Small cars are popular for a reason. They’re economical, reliable and easier to maneuver than their larger counterparts. So if you’re in the market for a compact car, these are the 10 best small cars to add to your test-drive list.
Vehicle prices
Prices listed below are the MSRP for each model in base trim.
Best overall small car: Honda Civic
The Honda Civic has long been a favourite among Canadian buyers, and it’s easy to see why. This compact sedan comes with a 2-litre, 4-cylinder engine with 150hp in standard trim, while a 200hp hybrid version is also available. Step inside the Civic and you’ll find a comfortable and spacious cabin, Apple CarPlay and Android Auto, and the choice of four drive modes.
Price: $27,540
Why it’s one of the best
It wasn’t all that long ago that the Civic celebrated 20 consecutive years as Canada’s best-selling car, and it topped the Q1 car sales charts again in 2024. Boasting a five-star NHTSA safety rating, the Civic delivers excellent fuel economy, good looks and a refined cabin. And with a string of awards to its name — the Civic was named Edmunds 2023 Top Rated Car, Best Compact Car in the AutoTrader Awards, and featured on Car and Driver’s 10 Best Cars for 2024 list — there are lots of good reasons why it’s worth checking out.
The Hyundai Elantra is a small sedan that offers great value for money. It’s powered by a 2-litre, 147hp engine as standard but is also available with a 1.6L turbocharged engine on the N Line model or with a hybrid drivetrain. The Elantra delivers excellent combined fuel economy of 6.5 litres per 100km, has a comfortable and well-appointed cabin, and a user-friendly infotainment system.
Price: $21,999
Why it’s one of the best
If safety is your number-one priority on the road, you’ll be pleased to know that the Elantra gets a five-star NHTSA safety rating and Top Safety Pick status from the IIHS. It also features Hyundai SmartSense safety tech like Forward Collision-Avoidance Assist, Adaptive Cruise Control and Blind Spot Collision-Avoidance Assist. And you get all that in a car with a very wallet-friendly base MSRP of just $21,999, making the Elantra an excellent value proposition.
The Prius is the car many of us think of when picturing a hybrid vehicle, and this famous model offers plenty of features to modern buyers. It features a standard electric all-wheel-drive system, 196hp and impressive fuel economy. And with Toyota Safety Sense 3.0 tech also included, it helps keep you and your loved ones safe on the road.
Price: $37,650
Why it’s one of the best
The Prius delivers fuel efficiency of 4.8 litres per 100km in the city and 4.7 litres per 100km on the highway. It also has a five-star NHTSA safety rating and a Top Safety Pick+ award from the IIHS. Finally, it was named 2024 Canadian Car of the Year by the Automobile Journalists Association of Canada — if that doesn’t get your attention, nothing will.
Chevrolet’s pint-sized Bolt EUV is an affordable electric car with a long list of features. It delivers an estimated range of nearly 400km, a long list of tech features, punchy acceleration and a roomy interior. And you get all of that at a very competitive starting price.
Price: $40,548
Why it’s one of the best
The Chevy Bolt EUV is the highest-rated vehicle in the Small Electric Cars category of J.D. Power’s Consumer Verified Ratings, scoring 81/100. Add in a comfortable interior along with the advanced safety tech of Chevrolet Safety Assist, and there are lots of good reasons why the Bolt EUV is worth a closer look.
If you’re in the market for a compact SUV, it’s hard to go past the Honda CR-V. This popular model features a 1.5-litre turbocharged 4-cylinder engine that produces 190 horsepower, but there are 11 different trims available including a hybrid drivetrain. It features a choice of four drive modes, flexible cargo space and plenty of safety tech for added peace of mind.
Price: $35,725
Why it’s one of the best
The CR-V features a suite of Honda Sensing Technologies which, along with this model’s performance in crash tests, sees it earn a five-star NHTSA safety rating and a Top Safety Pick award from the IIHS. It also delivers impressive fuel economy, boasts a practical interior, and featured on Car and Driver’s 2024 list of the 10Best Trucks and SUVs.
If you’re in the market for a small car that won’t break the bank, add the Nissan Versa to your test-drive list. This small sedan features a 1.6-litre, 4-cylinder engine, a continuously variable transmission, and driver assistance technologies such as Automatic Emergency Braking.
Price: $20,498
Why it’s one of the best
With its wallet-friendly price tag, the Nissan Versa will immediately attract the attention of budget-conscious buyers. They’ll also be impressed by its combined fuel economy figure of 6.7 litres per 100km, plus its decent cargo space and comfy interior. And with a five-star NHTSA safety rating, the Versa offers plenty of bang for your buck.
The Mazda 3 Sport is a stylish hatch powered by a 191 horsepower, 2.5-litre engine in standard trim. All-wheel drive is available on select trims, while this compact hatchback is a fuel-efficient performer on the road. It also boasts active safety tech, a comfortable interior and an 8-speaker sound system.
Price: $24,950
Why it’s one of the best
The Mazda 3 Sport has a five-star NHTSA safety rating and a Top Safety Pick+ award from the IIHS. It also has a premium interior and impressive handling, so it’s well worth a look if you want your next car to be a hatchback.
The Corolla is one of those cars that needs no introduction. Available as a sedan or hatch, this popular small car features a 2-litre engine and the choice of four hybrid models. It’s also loaded with active safety tech and comes backed by Toyota’s well-earned reputation for reliability.
Price: $23,490
Why it’s one of the best
In J.D. Power’s 2023 Dependability ratings, the 2020 Toyota Corolla scored an impressive 85/100 for Quality & Reliability. The Corolla also has a five-star car safety rating from the NHTSA and a Top Safety Pick award from the IIHS. And with Kelley Blue Book in the USA naming Toyota the best car brand for resale values in 2024 — for the seventh time in eight years — the Corolla is a wise choice.
The Integra is a premium sport compact with a 200hp turbocharged engine and a 6-speed manual transmission. It features a spacious and easy-to-load cargo area, three driving modes thanks to an Integrated Dynamics System, and a premium interior with plenty of tech features.
Price: $39,875
Why it’s one of the best
The Acura Integra has earned a Top Safety Pick+ award from the IIHS and a five-star NHTSA safety rating. It’s a fuel-efficient performer on the road, offers plenty of safety aids, and boasts a spacious and comfortable interior. And that’s why it’s well worth a look if you want a small luxury car.
Downsides
Some buyers might prefer a model from one of Acura’s Euro rivals
Best small car for performance: Volkswagen Golf GTI
The Golf GTI is a sporty performer designed to suit any keen driver. It features a 241hp engine and the choice of a manual or automatic transmission, along with driver assistance technology such as Autonomous Emergency Braking and the Side Assist lane change system. It’s backed by a 4-year, 80,000km warranty.
Price: $34,795
Why it’s one of the best
Volkswagen’s Golf GTI and R models are long-standing fan favourites in the hot hatch category. In J.D. Power’s Consumer Ratings, the GTI scores an impressive 83/100 for Driving Experience. It also features in Car and Driver’s 2024 Editor’s Choice Awards in the Sport Compact Car category, so check it out if you enjoy an exciting driving experience.
We chose the best cars on this page based on vehicles available in Canada. These vehicles are not representative of the entire market. When choosing our picks for the best small cars in Canada, we considered price, safety, unique features, awards, ratings and sales volume. No single car will be the best choice for everyone, so compare your options to find the best fit for your situation.
Why buy a small car?
Buying a small car comes with several benefits, especially when you take your budget into consideration:
Cheaper to buy upfront. As you can see, half the cars on this list have an MSRP of less than $30K.
Less money spent at the pump. You’ll save hundreds of dollars a year by opting for a smaller car instead of a gas-guzzling truck or SUV.
Easier to get financing. If you don’t have a great credit score, you may only get approved for a small car loan amount. So if you’re relying on financing to purchase a car, your options might be limited to small cars as opposed to more expensive SUVs or trucks.
Fewer greenhouse gas emissions. You can check your car’s emissions on Natural Resources Canada search tool, but the concept is simple: The smaller your engine, the less carbon dioxide and other greenhouse gasses your car will produce. This makes driving a small car a good choice for your wallet and your environmental conscience.
Easier to drive and park. If you live in a crowded city or take frequent road trips, a small car — especially a compact car — makes it much easier to navigate and park in cramped spaces.
How to choose the best small car for you
Keep the following factors in mind when choosing a small car.
Your vehicle needs
Think about all the key features you want in a car. How many seats do you need? How much cargo space? How much driving will you do? Do you want a car that offers impressive on-road performance, or are factors like fuel economy and safety more important?
Once you have a checklist of your must-haves, it’s time to start comparing suitable vehicles.
Price
Next, set your budget. Whether you’re buying upfront, taking out a car loan or leasing, work out how much you can afford to spend. If you’ll be paying for the car in installments, use a car loan calculator to work out an affordable monthly payment.
There are now multiple powertrain options available when choosing a car. As well as traditional gasoline-powered vehicles, you can also choose from:
Hybrid electric vehicles (HEVs), which have both an internal combustion engine and an electric motor. Hybrid batteries are charged by driving the vehicle.
Plug-in hybrid electric vehicles (PHEVs), which are hybrids with batteries that can be charged by plugging them into a power source.
Battery electric vehicles (BEVs), feature electric motors that are powered by rechargeable batteries.
Check what active and passive safety tech each vehicle offers as standard features and how a car performs in crash tests. The easiest way to do this is to check a vehicle’s safety rating from the Insurance Institute for Highway Safety (IIHS) and the US Government’s National Highway Traffic Safety Administration (NHTSA). Learn more about the safest cars in Canada.
Running costs
You don’t just need to consider the upfront price when buying a car — you also need to think out how much it costs to own. Fuel economy, licensing and registration costs, maintenance and servicing can make some vehicles much cheaper to run than others. Use the Canadian Automobile Association’s Driving Costs Calculator to get a better idea of how much specific models cost to own.
Resale value
New cars lose 20% to 30% of their value in the first year. But while depreciation is unavoidable, it’s worth noting that some makes and models hold their value better than others. Choosing a car with a high resale value will mean you’re in a stronger financial position when it comes time to buy your next vehicle, so use online tools from providers like CARFAX, AutoTrader and Kelley Blue Book to check average resale values.
4 tips for buying a small car
Use these tips to help you get a good deal when buying a small car:
Get pre-approved.Getting pre-approved for a car loan from a few banks or third-party lenders can give you more bargaining power when you hit the dealership.
Check manufacturer incentives. If you decide to buy or lease a new car, check the manufacturer’s website to see if it has any special deals or incentives available. This may include 0% APR financing, no money down or cash back to help offset the price of the car.
Schedule multiple test-drives. Once you’ve narrowed it down to two or three models, schedule test-drives for each one. This is especially important if you’re buying used, since it gives you a chance to check for any damage or potential issues.
Prepare to negotiate. When you’re ready to buy, remember to negotiate the price of the car — not the monthly payment. If you plan to finance through the dealership, bring along your most competitive pre-approval offer to see if the salesperson is willing to offer a lower rate. You can find more tips for negotiating with a car dealer with our guide.
Bottom line
There are lots of great options to choose from if you’re shopping for a small car. Make sure you have a clear picture of what you need in a vehicle before you start shopping, and test-drive multiple cars back to back before deciding on the right one for you. And if you need financing, compare car loans to find the best rate.
Frequently asked questions
Yes — but exactly how safe they are varies depending on the vehicle. The Insurance Institute for Highway Safety (IIHS) and the US Government's National Highway Traffic Safety Administration (NHTSA) both perform crash tests and evaluate car safety features and tech to determine vehicle safety ratings. To get a better idea of how safe a particular model is, check its IIHS and NHTSA safety ratings.
Yes, but you'll likely have to shop used. New cars typically have a price point above $15,000.
Yes. You can find several larger models worth considering in our guide to the best cars to buy in Canada.
Tim Falk is a freelance writer for Finder. Over the course of his 15-year writing career, he has reported on a wide range of personal finance topics. Whether you're investing in stocks and ETFs, comparing savings accounts or choosing a credit card, Tim wants to make it easier for you to understand. When he’s not staring at his computer, you can usually find him exploring the great outdoors. See full bio
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