Best Cars under 5 Lakh in India

As Indians, we all dream of owning our own car. However, with the modest salaries most of us earn, it often feels impossible to afford one without draining our savings. But what if we told you that owning a car doesn’t have to cost a fortune? After thorough research, we’ve compiled a list of the 10 best cars under 5 lakhs—yes, just 5 lakhs! Now, owning a car and making lasting memories with your family every day and weekend is within reach, turning your dream into a reality.

Best Cars Under 5 Lakh in India

Here is our curated list of budget cars:-

1. Maruti Alto K10

We all must have heard of the Maruti Alto K10, a popular name in the Indian hatchback segment. It’s known for being a budget-friendly car that offers great value for money, making it a go-to choice for buyers who want a reliable car without burning a hole in their pocket. This makes it one of the best cars under 5 lakhs.

Features:-

• Maximum power:- 67bhp
• Engine:- 998cc
• Maximum Torque:- 89Nm
• Transmission:- 5 speed manual and automatic.
• Seating capacity:- 5 seater
• Fuel type:- Both CNG and petrol.
• Mileage:- 33.85 km/kg (CNG), 24.9 km/l (Petrol)
• Price:- Rs. ₹3.99 Lakhs (Ex-showroom price, Delhi)

2. Tata Tiago 

The Tata Tiago has become a popular choice among Indian buyers looking for a stylish yet affordable hatchback. With its attractive design, spacious interior, and solid build quality, the Tiago offers great value for money. It’s perfect for those who want a reliable and efficient car for their daily commute and family trips, all while staying within budget, making it one of the best cars under 5 lakhs.

Features:-

• Maximum Power:- 84 bhp
• Engine:- 1199cc
• Maximum Torque:- 113Nm
• Transmission:- 5-speed manual / 5-speed AMT
• Seating Capacity:- 5-seater
• Fuel Type:- Petrol
• Mileage:- 19.8 km/l (Manual), 19.2 km/l (AMT)
• Price:- Rs. 4.99 Lakhs

3. Renault Kwid

The Renault Kwid can easily give tough competition to some of the higher-priced models with its premium features. A compact hatchback that provides much more features than any other entry-level car and makes its unique space within the Indian market becoming a pocket friendly reliable ride companion.

Features:-

• Maximum power:- 67bhp @3750 rpm
• Engine:- 999cc
• Maximum Torque:- 91Nm @ 1600-2800 rpm
• Transmission:- 5 speed manual and AMT.
• Seating capacity:- 5 seater
• Fuel type:- Petrol.
• Mileage:- 21.07 km/l (Petrol)
• Price:- Rs 4.69  (Ex-showroom price, Delhi)

4. Maruti Suzuki S-Presso

A perfectly balanced blend of performance, efficiency, and affordability- the Maruti Suzuki S-Presso. A car that not only makes each and every ride of yours safe but, while doing that, also makes you save money by giving you the best you can get from a car that is on budget.

Maruti Suzuki S-Presso is a true friend for every car owner, and that’s why it’s one of the best cars under 5 lakhs.

Features:-

• Maximum power:– 65bhp, 55bhp (CNG)
• Engine:- 998cc
• Maximum Torque:- 89Nm, 82Nm (CNG)
• Transmission:- 5 speed manual/automatic.
• Seating capacity:– 5 seater
• Fuel type:- Petrol, CNG.
• Mileage:- 24.12 km/l (Petrol), 32km/kg (CNG)
• Price:- Rs. 4.26 Lakhs (Ex-showroom price, Delhi)

Additionally, here are two more cars slightly above the 5 lakh mark, but renowned for their excellent fuel efficiency and impressive performance.

Maruti Suzuki Wagon-R

Wagon-R has been a trusted companion for Indian buyers for decades. With time, Maruti even made some changes to the features to make it even more suitable for youth while keeping it pocket-friendly, but keeping it as one of the best cars under 5 lakhs for so long is a tough task that Wagon-R is doing with brilliance.

Features:-

• Maximum power:- 88.50bhp @ 6000rpm
• Engine:- 1197cc
• Maximum Torque:- 113Nm @ 4400rpm
• Transmission:- 5 speed manual.
• Seating capacity:- 5 seater
• Fuel type:- Both CNG and petrol.
• Mileage:- 34.05 km/kg (CNG), 24.35 – 25.19 km/l (Petrol)
• Price:- Rs. 5.54 Lakhs (Ex-showroom price, Delhi)

Maruti Suzuki Celerio

Indian buyers love the Celerio because of the mileage and the comfort it provides in the budget that it comes in. It is a more updated and stylish version of the Maruti Wagon-R, which was launched to appeal to the young generation who wants mileage, comfort, and a pocket-friendly car, but it has to be a treat to the eyes as well.

Features:- 

• Maximum power:– 65.7bhp (petrol), 56bhp (CNG)
• Engine:- 998cc
• Maximum Torque:- 89Nm (petrol), 82.1Nm (CNG)
• Transmission:- 5 speed manual/AMT.
• Seating capacity:- 5 seater
• Fuel type:- Both CNG and petrol.
• Mileage:- 35.60 km/kg (CNG), 24.97-26.68 km/l (Petrol)
• Price:- Rs. 5.36 Lakhs (Ex-showroom price, Delhi)

Conclusion

In conclusion, owning a car doesn’t always have to come with a hefty price tag. The options we’ve highlighted, like the Maruti Alto K10, Tata Tiago, and others, prove that you can get a reliable, efficient, and stylish car without exceeding a budget of 5 lakhs. These cars not only offer value for money but also cater to a variety of needs, from daily commuting to family trips. So, if you’re dreaming of your first car or looking for an upgrade, these budget-friendly options can make your dream a reality while keeping your finances in check. Or you can browse some amazing pre-loved options  at OLX too! Now, go ahead and make your first car purchase.