These Budget-Friendly Sedans Offer Alternatives to Toyota Prius
CARS.COM — Lower gas prices and a shift in market tastes have contributed to a decline in hybrid vehicle interest, with sales down about 20 percent from the year ago period, according to Autodata Corp. But another factor is at play: Cheaper conventional cars have gotten a whole lot more efficient.
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This trend undercuts the math for budget-conscious new-car shoppers — potentially prime hybrid customers. They want to spend less for fuel, but they also want lower monthly payments. In that context, a cheaper gasoline sedan with high mileage can be dollars ahead of a hybrid with superior mileage. Which ones should you consider?
We calculated the purchase and fuel costs for high-mileage models of three top-selling compacts — the 2016 Toyota Corolla LE Eco, the 2016 Honda Civic EX and the 2017 Hyundai Elantra Eco — as well as for the highest-mileage 2016 Toyota Prius Two Eco model hybrid. All are volume models, not the base trim; compare these rivals here.
High and Higher Mileage Ratings
The EPA mileage ratings for the Prius Two Eco truly are eye-popping: 58/53/56 mpg city/highway/combined. But the non-hybrids come in well above the ratings of most new vehicles. The 2016 Corolla LE Eco is rated 30/42/35 mpg, the Civic EX is 31/41/35 and the Elantra Eco is 32/40/35. Compare the ratings here.
Cars.com editors have also found these conventional compacts can hit these numbers on the road. Executive Editor Joe Wiesenfelder observed highway mileage in the high 40 mpgs with the Elantra Eco in two highway drives of about 140 miles each; he got mid-30s in more combined driving. A Civic EX-T — a step up from the EX trim, with a more powerful turbocharged 1.5-liter engine — registered just more than a 43 mpg average in two 235-mile highway drives with about 20 minutes of city traffic at either end in Washington, D.C., and New York City. In Cars.com’s $20,000 Compact Sedan Challenge, a 2014 Corolla LE Eco, then in its first year, measured 38.29 mpg in a 200-mile mileage test with highway and city driving.
Cost Breakdown
Still, the Prius is definitely cheaper to keep filled. The EPA figures its annual average fuel cost at $600, based on 15,000 miles of driving (55 percent city, 45 percent highway) and current fuel prices at this writing (the estimate varies with the fuel price average). The EPA says that in any of the other three contenders, the average driver would spend $1,000 a year based on fuel costs. Put another way, the Prius would pay back its higher price with those savings of $400 per year; higher gas prices would increase that rate, but not quickly.
Using the Cars.com Auto Loan Calculator, we looked at the overall cost to purchase each of these sedans. We assumed our budget buyer took a more-conservative-than-average 60-month loan. (About 86 percent of new-car purchases are financed, and the search for lower payments has stretched the average loan to 68 months, according to Experian’s first-quarter 2016 report.
We also assumed a wiser-than-average 20 percent down payment (see why that is a smart decision here), including any trade-in. The interest rate used came from the Bankrate.com average for a 60-month new-car loan of 3.24 percent at the time of publication.
We assumed 6 percent in the calculator for tax and license. Your state may vary.
The Results
Toyota Corolla LE Eco
Price with destination: $19,970
Down payment: $3,994
Payments: 60 at $310.43 for total of $18,625.80
Total paid for purchase: $22,619.80
Five-year fuel cost: $5,000
Total cost to buy and fuel: $27,619.80
Honda Civic EX
Price with destination: $21,875
Down payment: $4,375
Payments: 60 at $340.04 for total of $20,402.40
Total paid for purchase: $24,777.40
Five-year fuel cost: $5,000
Total cost to buy and fuel: $29,777.40
Hyundai Elantra Eco
Price with destination: $21,485
Down payment: $4,297
Payments: 60 at $333.98 for total of $20,038.80
Total paid for purchase: $24,335.80
Five-year fuel cost: $5,000
Total cost to buy and fuel: $29,335.80
Toyota Prius Two Eco
Price with destination: $25,535
Down payment: $5,107
Payments: 60 at $396.94 for total of $23,816.40
Total paid for purchase: $28,923.40
Five-year fuel cost: $3,000
Total cost to buy and fuel: $31,923.40
The bottom line: The Prius can be the budget buy — eventually. But not in five years, more likely in 10. The Prius payment premium after five years ranged from more than $2,000 to more than $4,000. Its toughest rival was the Corolla across the Toyota showroom.
