5 BUDGET-FRIENDLY COMPACT CARS THAT OFFER A LUXURIOUS INTERIOR

Although SUVs are some of the best-selling vehicles at the moment, many buyers prefer crossovers since they're usually smaller, and yet retain the practicality an SUV provides. Although the demand for smaller cars is ever-growing, the price tag associated with a vehicle is more crucial than ever. With buyers becoming more value-conscious, cars that provide great value for money can be their main selling point. Not only does MSRP influence a buyer's decision, but other factors like fuel consumption and reliability do as well, hence why vehicles like the Toyota RAV4 Prime are so popular.

In the world of compact cars, many affordable options exist, like the Honda Civic sedan, Mazda 3, Hyundai Elantra, and Toyota Prius. But let's say you're craving something small, yet luxurious. Here are the five luxurious compact cars that cost less than $42,000 starting MSRP, and provide you with practicality, performance, and above all else, the desired luxury and interior amenities.

In order to give you the most up-to-date and accurate information possible, the data used to compile this article was sourced from various manufacturer websites and other authoritative sources, including Edmunds. These models were ranked based on their starting MSRP figures from cheapest to most expensive.

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Acura Integra

MSRP: $31,800

Back in the day, the Acura Integra was a small front-wheel-drive two-door coupe. In 2022, Acura revived the Integra name in the form of a compact luxury sedan. The new Acura Integra shares the same platform as the Honda Civic hatchback, but sports a more luxurious cabin, and a slightly more aggressive exterior design. Underneath the hood, all Integra models feature a turbocharged four-cylinder engine with VTEC technology, just with different outputs. Acura also offers the Integra either a CVT or a six-speed standard transmission with auto rev-matching.

Acura Integra Trim Levels

Integra

$31,800

Integra A-Spec

$33,800

Integra A-Spec Technology

$36,800

Integra Type-S

$51,800

Offered in three different trim levels, the new Acura Integra is the cheapest luxury sedan money can buy in 2024, and earned the highest possible safety award from IIHS. Both the base model Integra and A-Spec come with the sesame 1.5-liter four-cylinder shared by the compact Honda Civic Si. In contrast, the mighty Acura Integra Type S comes with the same turbo 2.0-liter four-banger the Civic Type R utilizes.

Performance Specifications

A-Spec

Type-S

Engine

Turbocharged 1.5-liter inline-four

Turbocharged 2.0-liter inline-four

Transmission

CVT/6-speed manual

6-speed manual

Horsepower

200 hp

320 hp

Torque

192 lb-ft

310 lb-ft

Driveline

FWD

FWD

0-60 MPH

7.0 seconds

5.2 seconds

Data sourced from Acura

Tech & Features

As standard, all Integra models have a well-crafted interior space with metal trim pieces scattered across the cabin space and soft-touch materials. Although the base model Acura Integra has an already sporty design with LED head- and taillights, and 17-inch wheels, the Integra has an impressive set of standard features, namely:

  • Leather-wrapped steering wheel
  • Eight-way power-adjustable driver's seat
  • Heated front seats
  • Leatherette seats
  • Moonroof
  • Eight-speaker audio system
  • Seven-inch touchscreen infotainment system
  • Digital Instrument Cluster
  • Apple CarPlay and Android Auto

The A-Spec Integra comes with a sportier exterior and interior design, larger 18-inch wheels, and can be had with a manual transmission when upgraded with the Technology Package. Not only does the Technology Package bring a six-speed manual to the mix, but it also adds adaptive dampers to the driving experience. But most importantly, the Technology Package upgrades the Integra's level of opulence with the following features:

  • 12-way power-adjustable driver's seat with lumbar adjustment and a memory function
  • Four-way adjustable passenger seat
  • Front seats with microsuede inserts
  • Dual automatic climate control
  • Ambient lighting
  • 16-speaker ELS STUDIO 3D premium sound system
  • Wireless charging
  • Nine-inch touchscreen infotainment system
  • Heads-up display
  • Wireless Apple CarPlay and Android Auto
  • Wi-Fi hotspot capability
  • Built-in Alexa

Cadillac CT4

MSRP: $34,595

The Cadillac CT4 is one of the very few American luxury sedans still on sale. While a performance-orientated Cadillac CT4-V Blackwing exists, the normal CT4 is an exceptional compact luxury car that provides great value for money. The CT4 is offered in three trim levels, with the Premium Luxury trim offering an optional V-6 engine, and the Sport optional performance upgrades like Brembo brakes from the Blackwing.

Cadillac CT4 Trim Levels

Luxury

$34,595

Premium Luxury

$39,495

Sport

$40,695

As standard, all Cadillac CT4 models are rear-wheel-drive, but all-wheel-drive is an optional extra available on all trim levels. The Cadillac CT4 also comes with an impressive set of standard safety features, which include automatic emergency braking, lane-keep assist, rear cross-traffic alert, automatic high beams, forward collision alert, rear parking sensors, and a rearview camera.

Performance Specifications

Engine

Turbocharged 2.0-liter inline-four

Turbocharged 2.7-liter inline-four

Transmission

8-speed automatic

10-speed automatic

Horsepower

237 hp

310 hp

Torque

258 lb-ft

350 lb-ft

Driveline

RWD/AWD

RWD/AWD

0-60 MPH

6.2 seconds

4.8 seconds

Data sourced from Cadillac

Tech & Features

Usually, American carmakers skimp on interior build quality in favor of performance. Fortunately, this isn't the case with the CT4. For years on end, Cadillac was known as the go-to American luxury carmaker. As a result, the Cadillac CT4 has a cabin space drenched in leather, and filled with top-of-the-line technology, despite looking somewhat outdated on the surface. Standard equipment on the base model Cadillac CT4 includes:

  • Leather-wrapped steering wheel
  • 12-way power-adjustable driver's seat and 8-way front passenger adjustments
  • Eight-way power-adjustable passenger seat
  • Wireless charging
  • Eight-speaker premium audio system
  • Eight-inch touchscreen infotainment system
  • Cruise control
  • Wireless Apple CarPlay and Android Auto
  • Keyless entry
  • Dual-zone automatic climate control

BMW 2 Series Gran Coupe

MSRP: $38,400

At its core, the BMW 2 Series Gran Coupe is a more compact version of the BMW 3 Series that happens to be front-wheel-drive. Although it shares the same number as the BMW 2 Series Coupe, the Gran Coupe is a four-door sedan with a sloping roofline that features all the luxury amenities you'd expect from a BMW product. Offered with two different engine choices in North America, the 228i Gran Coupe is the cheapest new BMW on sale, but for those who crave speed, the M235i version exists too.

BMW 2 Series Gran Coupe Trim Levels

228i Gran Coupe

$38,400

228i xDrive Gran Coupe

$40,400

M235i Gran Coupe

$48,300

As standard, the BMW 2 Series Gran Coupe comes as a front-wheel-drive 228i, with BMW's all-wheel-drive system, called xDrive being an optional extra. The more expensive M-lite version of the 2 Series Gran Coupe, on the other hand, only comes as an all-wheel-drive compact sedan.

Performance Specifications

228i Gran Coupe

228i xDrive Gran Coupe

M235i Gran Coupe

Engine

Turbocharged 2.0-liter inline-four

Turbocharged 2.0-liter inline-four

Turbocharged 2.0-liter inline-four

Transmission

8-speed automatic

8-speed automatic

8-speed automatic

Horsepower

228 hp

228 hp

302 hp

Torque

258 lb-ft

258 lb-ft

332 lb-ft

Driveline

FWD

AWD

AWD

0-60 MPH

6.3 seconds

6.0 seconds

4.6 seconds

Data sourced from BMW

Tech & Features

In typical BMW fashion, the BMW 2 Series Gran Coupe has plenty of optional extras to choose from, yet it retains a strong set of standard features too. The base model 228i comes with 17-inch wheels, an interior dressed in synthetic leather (perforated leather costs $1,500 extra), and illuminating trim pieces. Other standard features included on the base model BMW 228i Gran Coupe include:

  • Leather-wrapped steering wheel
  • Power-adjustable sports seats
  • Automatic high beams
  • 10.3-inch digital gauge cluster
  • 10-speaker Hi-Fi sound system
  • 10.3-inch touchscreen infotainment system
  • Apple CarPlay and Android Auto
  • SiriusXM Radio
  • Dual-zone climate control
  • Ambient lighting
  • Front- and rear parking sensors

The most impactful optional extra by a landslide is the available M Sport Package. For $4,150, you get a sporty M Sport body kit with a rear spoiler, 18-inch wheels, M Sport suspension, Live Cockpit Plus, an M Sport steering wheel, rear spoiler, Shadowline exterior trim, and safety features like BMW's Active Driving Assistant, lane departure warning, and blind-spot monitoring. Of course, this package comes standard on the BMW M235i Gran Coupe.

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Lexus IS

MSRP: $41,235

The Lexus IS goes head-to-head with other luxury sports sedans like the BMW 3 Series and Mercedes-Benz C-Class. Although the Lexus IS isn't as flashy as its European rivals, Lexus' reliability is uncanny, and its simplistic, yet high-quality interior is a stand-out feature. Lexus offers the IS in three different trim levels, namely the IS 300, IS 350, and IS 500.

Lexus IS Trim Levels

IS 300

$41,235

IS 350

$44,410

IS 500

$60,020

The mighty V-8-powered Lexus IS 500 F Sport only comes as a rear-wheel-drive sports sedan, whereas the IS 300 and IS 350, both have all-wheel-drive as an optional extra. The IS 300 houses a turbocharged four-cylinder motor, and the IS 350 is a normally aspirated V-6.

Performance Specifications

IS 300 RWD

IS 300 AWD

IS 350 RWD

IS 350 AWD

IS 500

Engine

Turbocharged 2.0-liter inline-four

Naturally aspirated 3.5-liter V-6

Naturally aspirated 3.5-liter V-6

Naturally aspirated 3.5-liter V-6

Naturally aspirated 5.0-liter V-8

Transmission

8-speed automatic

6-speed automatic

8-speed automatic

6-speed automatic

8-speed automatic

Horsepower

241 hp

260 hp

311 hp

311 hp

472 hp

Torque

258 lb-ft

236 lb-ft

280 lb-ft

280 lb-ft

395 lb-ft

Driveline

RWD

AWD

RWD

AWD

RWD

0-60 MPH

6.9 seconds

6.1 seconds

5.6 seconds

5.7 seconds

4.4 seconds

Data sourced from Lexus

Tech & Features

Apart from being an adequate performance car, the Lexus IS boasts impeccable build quality, and state-of-the-art technology. That is if you consider the touch-sensitive mouse pad which controls the infotainment system as 'state-of-the-art'. It is also worth noting that all-wheel-drive on the IS 300 and IS 350 costs an extra $2,000. Standard features on the base model Lexus IS 300 include:

  • Leather-wrapped steering wheel
  • Eight-way power-adjustable driver's and passenger seat
  • Heated front seats (all-wheel-drive)
  • Synthetic leather upholstery
  • Eight-inch touchscreen infotainment system
  • 10-speaker sound system
  • Apple CarPlay and Android Auto
  • Dual-zone climate control
  • Wi-Fi hotspot capability

Just like the BMW, Lexus offers a highly sought-after optional package which costs $2,570 extra, called the F Sport package. When fitted, the IS 300 F Sport gets a much meaner-looking exterior design, 19-inch wheels, heated and ventilated 10-way power-adjustable F Sport seats, and a heated leather-wrapped steering wheel. Most impressive, though, is that all Lexus IS models come standard with Lexus Safety System 2.5+, which includes adaptive cruise control, lane-keep assist, blind-spot monitoring, and much more.

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Genesis G70

MSRP: $41,500

Hyundai's luxury brand, Genesis, has a wide range of cars that provide buyers with excellent value for money, such as the criminally underrated GV60 EV. However, regarding luxury compact cars, the G70 is by far their best product. Genesis offers the G70 in two different trim levels, with two different powertrains, namely the 2.5T and 3.3T.

Genesis G70 Trim Levels

2.5T RWD

$41,500

2.5T AWD

$43,600

3.3T RWD

$49,950

3.3T AWD

$52,050

The 2.5T houses a 2.5-liter turbo-four, and the Genesis G70 3.3T has a 3.3-liter twin-turbo V-6. Both models are available either as rear-wheel-drive or all-wheel-drive luxury sports sedans.

Performance Specifications

2.5T

3.3T

Engine

Turbocharged 2.5-liter inline-four

Twin-turbocharged 3.3-liter V-6

Transmission

8-speed automatic

8-speed automatic

Horsepower

300 hp

365 hp

Torque

311 lb-ft

376 lb-ft

Driveline

RWD/AWD

RWD/AWD

0-60 MPH

5.5 seconds

4.5 - 4.9 seconds

Data sourced from Genesis

Tech & Features

Although the Genesis G70 is an adequate performance sedan, it shines especially bright regarding cabin space and quality. The Genesis G70 2.5T's standard equipment is the most impressive on this list, and includes:

  • Leather-wrapped steering wheel
  • Heated steering wheel (all-wheel-drive)
  • Leatherette surfaces
  • Heated power-adjustable front seats
  • Dual-zone automatic climate control
  • Eight-inch digital gauge cluster
  • 10.25-inch touchscreen infotainment system
  • Six-speaker sound system
  • Apple CarPlay and Android Auto
  • SiriusXM Radio
  • Adaptive cruise control
  • Automatic high beams
  • Hands-free trunk release

The 3.3T G70 models come standard with the Sport Advanced package, which includes Brembo brakes, leather seats, heated and ventilated front seats with a memory function, a wide sunroof, a wireless charger, aluminum trim pieces, and a premium 15-speaker Lexicon audio system. If that wasn't enough, Genesis offers a $4,400 Sport Prestige package on the 3.3T which adds Nappa leather seats, suede headliner and pillars, a heads-up display, a 360-degree camera, and electronically controlled suspension.

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