Best 5 cars in India under 5 Lakh with Good Mileage

With the entry of various international automobile manufacturers in India, the number of car options available under 5 lakh rupees to customers has also increased. But at the same time, customers are getting more confused with all these options. 

People need a car that fulfills their needs but at the same time does not blow their pockets. Those who look for a new car have the following questions while selecting a car:

• Which car has a low maintenance cost
• Which car returns great mileage
• Which car is ideal for city usage
• Which car is perfect for highway trips
• Which car is good for both family and personal needs
• Which car is more reliable

All these questions will be answered in this post. 

Note that the list of cars is according to my preference and can vary from person to person. This is just to highlight better options available for cars under a budget of 5 lakh rupees of the ex-showroom price. We are considering both the petrol options available at this price point. Also, all the cars listed here comply with the latest safety norms.

So without wasting any more time, let's get into the list of the best 5 cars available under a budget of 5 lakh rupees in India. 

1) Renault Kwid:

Source: Renault India

Renault had started the trend of Mid-size SUV with the Duster and Pseudo-SUV with the Kwid. When the Kwid was launched, it sold like hot cakes in India as there were no direct competitors to it. 

Here are some specifications of the Kwid:

Available in petrol engines of 800 CC and 1000 CC. Both engine options are equipped with a 5-speed manual, and the latter has an option for AMT Transmission.
Kwid is available in only petrol engine option, so there is no diesel offering as of now.

Good things about Renault Kwid:

• Suitable for both the City driving and Highway Driving
• Compact size, easy maintenance
• Has an ARAI certified mileage of 22-25 kmpl
• Comes with all the necessary features required according to today's standards
• The latest version adds a premium touch on the exteriors

Not so Good things about Renault Kwid:

• Not a car for the driving enthusiast, No thrilling acceleration or responsive steering
• The rear seat is better suited for 2 people only if you want a comfortable ride
• Some of the plastic quality is just average

Who should purchase the Renault Kwid:

This car is suitable for those who want an entry-level car for their families majorly used in cities and occasional highway trips.

2) Datsun Go+:

Source: Datsun India

Datsun has the most affordable 7 seater car in its segment. It comes with a single 1.2-liter engine that is sufficient for this size and weight of the car. To make driving easier, there is also an option for CVT Transmission.

Good things about Datsun Go+:

• A genuine 7 seater if you have 2 kids to accommodate the last seat, else it can be used as a 5 seater with a huge boot space
• The 1.2-liter engine is powerful for this car as it weighs less than 900 kg
• Equipped with all necessary features required for an entry-level car, the addition of touch screen is appreciated in the latest generation
• Good mileage of 18-19 kmpl for this size of a car

Not so Good things about Datsun Go+:

• The engine feels underpowered when you are carrying a full load
• NVH levels could have been better by providing proper insulation
• Interior and exterior finish is not up to the mark with other cars at this price
• Service and Maintenance can be an issue as there are a limited number of dealers available

Who should purchase the Datsun Go+:

If you are someone who has a large family and frequently go on highway trips, then this can be a great option for you at this price, you can also use it as your daily driver as its length is less than 4 meters.

3) Hyundai Santro:

Source: Hyundai India

Hyundai decided to bring back the nostalgia by introducing the new version of Santro. The reason behind naming this car Santro can be the value and emotions attached along with it, and this version also carries the same.

Santro has an option of 1200 CC engine with Petrol or CNG, in both the fuel options it returns respectable mileage figures.

There is no option of a CNG option with an AMT gearbox, while the petrol engine is available with AMT Gearbox for easy driving.

Good things about Hyundai Santro:

• Feature loaded at this price
• great interior compared to competitors
• Spacious rear seats with AC vent to keep passengers cool
• Reliable Hyundai Service network
• Fuel efficient engine returning a mileage of 20 kmpl in petrol and 30 km/kg in CNG

Not so Good things about Hyundai Santro:

• Ride quality is not the best due to softer suspension settings
• Cabin insulation could have been better for better NVH levels

Who should purchase the Hyundai Santro:

Santro becomes a best-suited package for those who want to use a car for their daily commute or daily family travel along with highway trips.

4) Tata Tiago:

Source: Tata India

While international brands are taking benefits of our Indian market by introducing new models, the Indian brand Tata is also coming up with the latest generation of cars promising better than ever quality and reliability.

Tata Tiago is coupled with a 1200 CC engine providing adequate power and torque at all the times

It is being offered with Manual as well as AMT Transmission

Good things about Tata Tiago:

• Great looks and practical design
• Latest features show that Tata is working hard to keep up with the latest trend in technologies and building a new brand image by providing quality and reliable products
• Safest car available at this price and has achieved 4-stars in NCAP crash test
• Respectable mileage of 19 kmpl
• Spacious rear seats
• Good ride quality for long drives

Not so Good things about Tata Tiago:

• NVH levels could have been better
• Interior fit and finish needs improvement
• Boot size is small compared to other cars in the segment
• Rear visibility is restricted by the through the rear glass design

Who should purchase the Tata Tiago:

Tata Tiago can be a great city car as well as a highway cruiser at lower speeds.

5) Maruti Suzuki Ignis:

Source: Nexa Experience

It is not possible to not have a car from Maruti Suzuki is a Budget Car list. Though there are other options available like Celerio, Alto, S-presso, and Wagon-R. But in my opinion, those cars are at their maturity period and needs a serious upgrade to be the value for money package they used to be.

Ignis is the newest offering from the automaker and has received a massive response from the consumers. 

It comes with a single petrol engine option of 1200 CC along with options of Manual and AMT Transmission

Good things about Maruti Suzuki Ignis:

• Compact size and packs in a lot of features
• Good mileage of around 21 kmpl
• Handling and ride quality is good

Not so Good things about Maruti Suzuki Ignis:

• Looks are quirky (It is totally subjective)
• Rear seats are best suited for 2 people
• Build quality is always desirable in Maruti Suzuki cars

Who should purchase the Maruti Suzuki Ignis:

This car is for those who are looking for a daily city commute car for 1 or 2 people. Occasional highway trips with 5 people on board can also be done, though not of utmost comfort.

So, this was my views on cars available in India under a budget of 5 lakh rupees, hope you have found the information you needed, feel free to reach out to me in the comments section in case of any query/suggestion.