Top 7 Best Budget Cars in India 2025 – Affordable, Fuel-Efficient & Under 10 Lakhs
If you are planning to buy a new car without burning a hole in your pocket, this guide is for you. With rising fuel prices and changing lifestyle needs, budget cars in India 2025 have become more advanced, feature-rich, and fuel-efficient. Whether you’re a first-time buyer or looking for a second family car, the Indian automobile market has something for everyone.
In this blog, we bring you the top 7 budget cars in India in 2025 that are not only affordable but also reliable, stylish, and packed with features. Most of these models are priced under ₹10 lakhs, making them ideal for middle-class families.
Why Choose a Budget Car in 2025?
- Low purchase cost
- High fuel efficiency
- Low maintenance expenses
- Easy to drive in city traffic
- Good resale value
Let’s explore the best options available this year.
1. Maruti Suzuki Alto K10 (2025)
Price: ₹4.20 – ₹5.60 Lakh (Ex-showroom)
Fuel Type: Petrol / CNG
Mileage: Up to 24.9 km/l (Petrol), 33.85 km/kg (CNG)

The all-new Alto K10 continues to dominate the entry-level car segment. It offers a fresh design, digital infotainment system, dual airbags, and excellent mileage. It’s one of the best cars under 5 lakhs in India 2025 and perfect for city driving.
Top features:
- Touchscreen infotainment
- Dual airbags
- ABS with EBD
2. Tata Tiago (2025)
Price: ₹5.70 – ₹8.20 Lakh
Fuel Type: Petrol / CNG
Mileage: Up to 20.09 km/l (Petrol)
The Tata Tiago has earned a reputation for its safety, build quality, and value-for-money proposition. The 2025 model gets refreshed interiors, a 7-inch touchscreen, and premium fabric seats.
Top features:
- 4-star Global NCAP rating
- Rear parking camera
- Harman infotainment system
3. Hyundai Exter (2025)
Price: ₹6.30 – ₹10.10 Lakh
Fuel Type: Petrol / CNG
Mileage: 19.4–27.1 km/kg (CNG)

Hyundai’s entry-level micro SUV, the Exter, is ideal for those who want an SUV feel on a small budget. It comes with a sunroof, digital instrument cluster, and multiple safety features.
Top features:
- Voice-enabled sunroof
- Six airbags (top variants)
- AMT and manual options
4. Maruti Suzuki WagonR (2025)
Price: ₹5.55 – ₹7.42 Lakh
Fuel Type: Petrol / CNG
Mileage: 24.35 km/l (Petrol), 34.05 km/kg (CNG)

Known for its practicality and spacious interiors, the WagonR 2025 is ideal for small families. With excellent fuel economy and strong resale value, it remains a top choice among low maintenance cars in India.
Top features:
- 7-inch SmartPlay Studio
- Tallboy design for headroom
- Auto Gear Shift (AGS) option
5. Renault Kwid (2025)
Price: ₹4.70 – ₹6.45 Lakh
Fuel Type: Petrol
Mileage: 21–22 km/l

The Renault Kwid brings SUV-inspired design to an affordable hatchback. It’s a popular choice among first-time car buyers in India. The new model includes a refreshed bumper and DRLs.
Top features:
- 8-inch touchscreen
- Reverse parking camera
- Bold styling
6. Maruti Suzuki Celerio (2025)
Price: ₹5.50 – ₹7.20 Lakh
Fuel Type: Petrol / CNG
Mileage: Up to 26.68 km/l (Petrol), 35.6 km/kg (CNG)

One of the most fuel-efficient cars in India 2025, the Maruti Celerio is built for mileage lovers. Its smooth drive and compact design make it a great option for daily city commutes.
Top features:
- AMT transmission
- Spacious cabin
- Best-in-class mileage
7. Citroën C3 (2025)
Price: ₹6.25 – ₹8.50 Lakh
Fuel Type: Petrol
Mileage: ~19 km/l

The Citroën C3 offers French styling with solid driving comfort. If you want a car that stands out from the crowd without exceeding your budget, the C3 is a fantastic option.
Top features:
- Funky, customizable design
- Comfortable suspension
- Modern dashboard
Conclusion
The best budget cars in India in 2025 offer much more than just affordability. They now come with high safety ratings, infotainment systems, good mileage, and low maintenance costs. From Maruti Suzuki’s practical options to Hyundai’s tech-loaded Exter, you have multiple choices to suit your needs and preferences.
Quick Comparison Table
Car Model | Starting Price | Mileage (km/l) | Fuel Type |
Alto K10 | ₹4.20 Lakh | Up to 33.85 | Petrol/CNG |
Tata Tiago | ₹5.70 Lakh | Up to 20.09 | Petrol/CNG |
Hyundai Exter | ₹6.30 Lakh | Up to 27.1 | Petrol/CNG |
WagonR | ₹5.55 Lakh | Up to 34.05 | Petrol/CNG |
Renault Kwid | ₹4.70 Lakh | Up to 22 | Petrol |
Celerio | ₹5.50 Lakh | Up to 35.6 | Petrol/CNG |
Citroën C3 | ₹6.25 Lakh | ~19 | Petrol |
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