If you’re in the market for a versatile and budget-friendly vehicle, exploring the realm of SUVs under $40,000 is a smart move. These SUVs strike a compelling balance between practicality, comfort, and affordability, making them ideal for families, commuters, and adventure seekers alike. While they might not boast every luxury feature imaginable, our rigorous testing program has consistently highlighted top-performing models in this price range, earning them our enthusiastic recommendations. Among the best SUVs you can find for under $40k are several efficient hybrids, although fully electric SUVs largely exceed this price point. We’ve carefully evaluated factors like performance, design, quality, and overall value to bring you this curated list of the best SUVs under $40,000 currently available.
To provide a clear and comparative assessment, we use a proprietary BuzzScore system which benchmarks vehicles against their direct competitors. It’s important to note that while SUVs on this list are similarly high-scoring, they may not always compete directly in the same segment. You can delve deeper into the BuzzScore rating system here. This list is regularly updated to reflect the latest BuzzScores and vehicle information as new models and data become available.
1. Kia Sorento Hybrid
Image of the Kia Sorento Hybrid exterior in silver, showcasing its modern and spacious design
2025 Kia Sorento Hybrid
BuzzScore: 8.2/10
What is Buzzscore?
| Base MSRP | $38,690 |
| Engine | 1.6L Turbo Inline-4 Hybrid |
| Horsepower | 227 hp |
Leading our list of top SUVs under $40,000 is the Kia Sorento Hybrid. As a three-row SUV, the Sorento Hybrid offers exceptional versatility, seating up to six passengers comfortably. Within our budget, the EX trim level, starting at $38,690, provides a compelling entry point to this fuel-efficient and spacious SUV. Power comes from a 1.6-liter four-cylinder hybrid powertrain, delivering a combined 227 horsepower and 258 lb-ft of torque. The interior of the Sorento Hybrid prioritizes passenger space, offering generous legroom in both the second (40.7 inches) and third (29.6 inches) rows. For those prioritizing cargo, folding down the rear seats expands the space to a maximum of 75.5 cubic feet.
Despite its focus on fuel economy, the Sorento Hybrid is surprisingly energetic, offering ample power for daily driving. While the six-speed automatic transmission might not match the silky smoothness of some competitors’ transmissions, it provides competent and responsive gear changes.
– Jared Rosenholtz, CarBuzz Editor-at-Large
2. Subaru Forester
Side view of a blue Subaru Forester parked on a scenic road, highlighting its rugged and outdoorsy character
2025 Subaru Forester
BuzzScore: 8.1/10
What is Buzzscore?
| Base MSRP | $29,810 |
| Engine | 2.5L Flat 4 Gas |
| Horsepower | 180 hp |
The Subaru Forester is a strong contender in the SUV under $40,000 category, renowned for its standard all-wheel drive and rugged capability. Offering five trim levels, with the first four falling comfortably under our price cap, the Forester presents a range of options to suit different needs and budgets. The base model starts at an MSRP of $29,995, while even the well-equipped Limited trim remains affordable at $36,410. Under the hood, a 2.5-liter four-cylinder boxer engine produces 180 horsepower and 178 lb-ft of torque. The Forester accommodates up to five passengers, providing ample headroom and legroom in the rear seats. Cargo capacity is practical, ranging from 29.6 cubic feet in the trunk to 74.4 cubic feet with the rear seats folded.
The 2025 Subaru Forester delivers a composed and user-friendly driving experience. The updated steering system, borrowed from the WRX sedan, enhances responsiveness and driver engagement. While the engine performance is adequate, drivers with a more spirited driving style might find themselves pushing the engine harder, resulting in increased engine noise. The CVT transmission effectively manages the engine’s power delivery, optimizing fuel efficiency and smoothness.
– Ian Wright, CarBuzz
Front three-quarter view of the 2025 Subaru Forester in a forest setting, emphasizing its adventure-ready design Related: 2025 Subaru Forester First Drive Review: More Capable Than It Looks
Subaru’s latest Forester generation prioritizes capability and practicality over outright power, making it a standout choice for off-road adventures in its class.
3. Buick Envista
Angled front view of a red Buick Envista parked in a city environment, showcasing its stylish and coupe-like SUV design
2025 Buick Envista
BuzzScore: 8.1/10
What is Buzzscore?
| Base MSRP | $22,900 |
| Base Trim Engine | 1.2L ECOTEC I3 ICE |
| Base Trim Horsepower | 137 HP @5000 RPM |
For buyers prioritizing exceptional value, the Buick Envista stands out as the most affordable Suv Under 40k on our list. Starting well below $25,000, the Envista offers a surprisingly premium feel and stylish design that makes affordable look good. Available in three trims, the base Sport Touring version starts at just $23,800. Powering the Envista is a fuel-efficient 1.2-liter turbocharged three-cylinder engine producing 137 horsepower and 162 lb-ft of torque. The interior provides comfortable seating for up to five occupants, with generous rear headroom (37.3 inches) and legroom (38.7 inches). Cargo capacity reaches a maximum of 42 cubic feet.
Buick has successfully engineered the Envista to deliver a premium experience at an accessible price point. While outright power and opulent luxury are not its primary focus, the Envista provides a refined and stylish SUV option that exceeds expectations for its price.
– Jared Rosenholtz, CarBuzz
4. Ford Explorer
Front view of a silver Ford Explorer parked on a suburban street, emphasizing its family-friendly and spacious SUV design
2025 Ford Explorer
BuzzScore: 8.0/10
What is Buzzscore?
| Base MSRP | $39,625 |
| Engine | 2.3L Turbo Inline-4 Gas, 3.0L Twin-Turbo V6 |
| Horsepower | 300-400 hp |
Recognized as CarBuzz’s Best Family Car of the Year, the Ford Explorer is an exceptional choice for families seeking a spacious and capable SUV under 40k. This large three-row SUV is available in four trims, with the Active trim starting at $39,755, placing the base model just within our specified budget. Despite being the entry-level trim, the Explorer Active remains highly practical, comfortable, and capable. It’s powered by a robust 2.3-liter EcoBoost four-cylinder engine generating 300 horsepower and 310 lb-ft of torque.
Inside, the Explorer comfortably accommodates up to eight passengers, offering generous legroom in the second (39 inches) and third (32.2 inches) rows. Cargo space is abundant, reaching a maximum of 85.8 cubic feet with all rear seats folded down.
Promotional image for the Ford Explorer highlighting its award as Best Family Car of the Year
Related: CarBuzz’s Best Family Car Of The Year Is The 2025 Ford Explorer
The Explorer’s impressive blend of features and value raises the question of whether a more expensive luxury SUV is truly necessary for most families.
5. Buick Encore GX
Front three-quarter view of a white Buick Encore GX parked in an urban setting, showing its compact and modern SUV design
2025 Buick Encore GX
BuzzScore: 8.0/10
What is Buzzscore?
| Base MSRP | $26,000 |
| Base Trim Engine | 1.2L Turbo I3 |
| Base Trim Horsepower | 137 hp |
The Buick Encore GX is another compelling SUV option under 40k that delivers surprising affordability and a touch of premium flair. With a starting price of just $26,000, the Encore GX presents excellent value within the SUV segment. Engine choices include a 1.2L turbo three-cylinder producing 137 hp and 162 lb-ft of torque, or an upgraded 1.3L turbocharged three-cylinder with 155 hp and 174 lb-ft. The Encore GX comfortably seats five passengers, offering rear occupants 38.1 inches of headroom and 36 inches of legroom. Cargo space in the trunk is a practical 23.5 cubic feet, expanding to 50.2 cubic feet with the rear seats folded.
6. Chevrolet Trax
Front three-quarter view of a blue Chevrolet Trax on a city street, highlighting its subcompact SUV size and youthful styling
2025 Chevrolet Trax
BuzzScore: 7.9/10
What is Buzzscore?
| Base MSRP | $20,400 |
| Engine | 1.2L Turbo 3 Cylinder Gas |
| Horsepower | 137 hp |
For buyers seeking maximum affordability, the Chevy Trax is an outstanding SUV under 40k option, with a starting price of just $20,500. While more compact than some on this list, the Trax still comfortably seats five and offers respectable cargo space for its class. The Trax comes exclusively with front-wheel drive, making it best suited for on-road driving. Under the hood is a 1.2-liter turbocharged three-cylinder engine producing 137 horsepower and 162 lb-ft of torque. Interior space provides a maximum of 54.1 cubic feet of cargo volume behind the front seats, with rear passengers enjoying 38.1 inches of headroom and 38.7 inches of legroom.
Close-up front view of a red 2024 Chevrolet Trax ACTIV trim, showcasing its sporty front grille and headlights Related: Car Shoppers Are Going Small Thanks To High Prices And Interest Rates
As vehicle prices and interest rates rise, smaller, more affordable models like the Trax are gaining popularity among car shoppers.
7. Chevrolet Trailblazer
Front view of an orange Chevrolet Trailblazer parked in a natural setting, demonstrating its adventurous and compact SUV styling
2025 Chevrolet Trailblazer
BuzzScore: 7.5/10
What is Buzzscore?
| Engine | 1.2L Inline-3 Turbo Flex-fuel (FFV) | 1.3L Inline-3 Turbo |
| Horsepower | 137 hp (1.2L) | 155 hp (1.3L) |
| Base MSRP | $23,100 |
Another General Motors offering that combines affordability and versatility is the Chevrolet Trailblazer. The Trailblazer is available in four trims and offers a choice of front-wheel or all-wheel drive. The entry-level LS trim starts at $23,100. Engine options include a 1.2L or 1.3L engine, delivering 137 hp and 155 hp respectively, similar to other models in the GM lineup. The Trailblazer accommodates five passengers comfortably, with rear-seat occupants benefiting from 38.4 inches of headroom and 39 inches of legroom. Maximum cargo space is a practical 54.3 cubic feet.
8. Hyundai Tucson
Side profile of a gray Hyundai Tucson driving on a winding road, showcasing its modern design and compact SUV proportions
2025 Hyundai Tucson
BuzzScore: 7.3/10
What is Buzzscore?
| Base MSRP | $28,605 |
| Engine | 2.5L Inline-4 Gas |
| Horsepower | 187 hp |
The Hyundai Tucson is a well-rounded SUV under $40k, blending affordability with a spacious interior and stylish design. Offering five trim levels, the Tucson provides a range of features and price points within our budget. The base SE trim starts at $28,605, while the top-tier Limited trim remains under $40,000 with a base price of $38,645. All Tucson trims are powered by a 2.5-liter inline-four-cylinder engine producing 187 horsepower and 178 lb-ft of torque. The Tucson seats five passengers with ample room, including 39.5 inches of rear headroom and 41.3 inches of rear legroom. Cargo capacity is generous for a compact crossover, offering 41.2 cubic feet in the trunk and expanding to 80.3 cubic feet with the rear seats folded.
Front three-quarter view of a white 2025 Hyundai Tucson, highlighting its redesigned grille and modern front fascia Related: 2025 Hyundai Tucson Is Still A Sub-$30k Bargain
The 2025 Hyundai Tucson remains an attractive value proposition, with entry-level pricing starting below $30,000.
9. Volkswagen Tiguan
Front three-quarter view of a silver Volkswagen Tiguan parked in a city park, showcasing its European design and compact SUV size
2025 Volkswagen Tiguan
BuzzScore: Not yet available for 2025 model
What is Buzzscore?
| Engine | 2.0L Turbo Inline-4 Gas |
| Horsepower | 201 hp |
| Expected Base MSRP | Around $29,000 |
The Tiguan represents Volkswagen’s entry in the SUV under 40k category. While full details for the 2025 Tiguan are still forthcoming, the current 2024 model starts at $28,880, suggesting similar pricing for the new model year. Volkswagen has announced that the 2025 Tiguan will retain the 2.0L turbo-four-cylinder engine, but with a power increase to 201 hp. Interior dimensions and cargo capacity details for the 2025 model are yet to be released.
10. Chevrolet Equinox
Front three-quarter view of a red Chevrolet Equinox parked on a scenic overlook, highlighting its refreshed design and compact SUV proportions
2025 Chevrolet Equinox
BuzzScore: Not yet available for 2025 model
What is Buzzscore?
| Base MSRP | $28,600 |
| Engine | 1.5L Turbo Inline-4 Gas |
| Horsepower | 175 hp |
Rounding out our list of Chevrolet SUVs under 40k is the Chevy Equinox. The Equinox is offered in three trims: LT, RS, and Activ, all featuring standard all-wheel drive. The base LT trim starts at $28,600. Powering all Equinox models is a 1.5-liter turbocharged four-cylinder engine producing 175 horsepower and 203 lb-ft of torque. The Equinox seats up to five occupants, providing 39.2 inches of rear headroom and 39.9 inches of rear legroom. Cargo capacity is practical, with 29.8 cubic feet in the trunk, expanding to 63.5 cubic feet with the rear seats folded.
Elevated front view of a 2025 Toyota Grand Highlander parked on a coastal road, used as a generic crossover image Related: Best Crossovers Of 2025
The crossover segment continues to offer a diverse range of compelling vehicles in 2025, and these models represent some of the best choices available.
What To Consider When Buying The Best SUV For $40k
Purchasing a new vehicle is a significant decision, even within a more accessible price range. It’s crucial to assess whether an SUV under $40,000 meets your specific needs, or if saving for a higher-priced model would be more beneficial. If performance and speed are top priorities, SUVs in this price bracket may not satisfy, as faster SUVs typically come at a higher cost. To help you make an informed choice, here’s a summary of the advantages and disadvantages of new SUVs under $40,000:
Pros:
- Wide Variety of Models: The market offers numerous SUV options under $40k, providing diverse styles and features.
- Hybrid Options Available: Fuel-efficient hybrid powertrains are increasingly common in this price range.
- Enhanced Practicality: SUVs offer greater versatility and cargo space compared to similarly priced sedans.
Cons:
- Limited High-Performance Models: Powerful engine options are less frequent in this price category.
- Electric SUVs are Scarce: Fully electric SUV models largely exceed the $40,000 budget.
- Entry-Level Capability: Smaller, more affordable SUVs may have limited off-road and towing capabilities compared to larger or more expensive counterparts.
Sources: Subaru, Kia, Ford, Buick, Chevrolet, Volkswagen, Hyundai
