Five & Fabulous: The Best Cars Under 5 Lakhs You Can Drive Home

India’s car industry is experiencing rapid expansion with the introduction of cutting-edge vehicles. Despite the diverse options available, a significant portion of the population favours affordable cars priced under five lakhs. This article aims to guide budget-conscious buyers through the best choices in this price range, considering features, fuel efficiency, and overall value.

Top Picks Under 5 Lakhs:

  1. Maruti Suzuki Alto:

The Maruti Alto 800 is a popular choice in the sub-5 lakh category. Available in both petrol and CNG options, it offers 177 litres of boot space. While it only comes with a manual option, its 3-cylinder petrol engine, producing 69 Nm of torque and 47 PS of power, makes it ideal for daily commutes.

  1. Renault Kwid:

The Renault Kwid, available in various fuel variants, provides manual and automatic gearbox options. With a displacement of 799–999 cc, the engine generates 54 PS and 72 Nm of torque. This makes it versatile for those seeking budget-friendly options with different transmission preferences.

  1. Maruti Suzuki S-Presso:

The S-Presso, another contender in the sub-5 lakh range, offers hatchback options with CNG and petrol engines. The VXi model has an automatic gearbox, while the LXi and Std models feature a 5-speed manual gearbox. With a maximum power output of 68 PS, it stands out as one of the top automatic cars in this price range.

  1. Redi-GO Datsun:

The Datsun Redi-GO, available only in a petrol variant, is a reliable and attractive option for budget-conscious consumers. With a maximum power output of 53.64 horsepower and 72 Nm of torque, it chooses a more affordable manual version or a slightly pricier automatic option.

  1. Maruti Suzuki Wagon R:

The Maruti Suzuki Wagon R has two versions, featuring dual-toned interiors, cabin lamps, and safety features like reminders to buckle up and high-speed alerts. With a rear parking system and child-proof door lock, it combines safety with affordability.

Choosing the Ideal Car:

Car shopping involves considering various factors, including mileage, features, gearbox options, and variants.

Budget Consideration:

Understanding your budget is crucial, as is covering the showroom price and daily operations, maintenance, and insurance for car costs.

Fuel Type:

Choose between diesel, petrol, CNG, or electric options. CNG suits those with high daily mileage, while electric vehicles are gaining popularity for cost savings.

Body Type:

Consider the body type – SUV, sedan, or hatchback – based on your preferences and needs.


Decide between manual and automatic transmissions. Automatics offer a more comfortable ride, making them preferable for city-to-city travel.

Cars under five lakhs remain the most popular choice in India due to their affordability and dynamic performance. With numerous options available, selecting the right car involves careful consideration of budget, fuel type, body type, and transmission preferences. Additionally, securing appropriate insurance for a car is crucial to safeguard finances in unforeseen circumstances. Make sure you compare car insurance before buying one. Claims are subject to terms and conditions set forth under the motor insurance policy. *

These vehicles offer economical affordability and advantages like lower maintenance, insurance, and operating costs, making them an ideal choice for many Indian consumers. Use a car insurance calculator to estimate policy costs. Renew car insurance on time to enjoy uninterrupted coverage. Claims are subject to terms and conditions set forth under the motor insurance policy.

*Standard T&C Apply

Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.