Your Complete Guide to Buying a Sedan

Sedans often come to mind when we envision a passenger car, but not all passenger cars are sedans. The traditional definition of a sedan is a vehicle that has three separate compartments for the engine, passengers and cargo — or a three-box configuration — as well as four doors.

The earliest U.S. sedans came into existence in the early 1900s, and for decades they dominated vehicle sales. But in the past decade sedans have declined in popularity, mainly due to more drivers choosing car-like crossover SUVs. Still, for certain types of drivers — families wanting reliability, first-time car buyers, commuters wanting fuel efficiency — sedans continue to be a practical and popular choice.

If you’re considering buying a sedan, this guide can help you navigate all you need to know, from the types available to key considerations when choosing one.

About the types of sedans

Sedans come in a range of sizes and prices, from budget-friendly to more expensive luxury models. You can find some sedans with an MSRP below $25,000, and one 2025 model — the subcompact Nissan Versa — is priced below $20,000. On the highest end of the range are luxury sedans, with sticker prices well above $100,000. In 2025, the most expensive luxury sedan will be the Rolls Royce Phantom, with an anticipated price of merely $510,000.

Typically, sedans are broken into four categories by size: subcompact, compact, midsize and full-size. These categories can help you narrow your choices to find the sedan best suited for your needs.

You’ll find different approaches to determining which sedans fall into each category, with one of the most common being classifications defined by the Environmental Protection Agency for its fuel economy reporting. The EPA categorizes a sedan based on its combined passenger and cargo interior volume, which we explain in this breakdown of sedan types.

Subcompact sedans

The EPA defines subcompact sedans as having 85 to 99.9 cubic-feet of interior space, but you won’t find many of them. As drivers turn to larger cars and SUVs, subcompact sedans are disappearing from the market. The Mitsubishi Mirage G4, known for its fuel efficiency and low starting price, is being discontinued after the 2024 model year. The only remaining choice for a true subcompact sedan that’s reasonably priced is the Nissan Versa, with a starting MSRP of $17,190.

Compact sedans

The compact category includes sedans that have 100 to 109.9 cubic-feet of interior space. They’re also referred to as small cars. Recently, compact sedans have seen a slight resurgence in popularity, as car buyers seek economical options amid high vehicle prices and auto loan rates. According to the 2024 AAA Your Driving Costs study, small sedans also have the lowest ownership costs of all vehicle categories at $5,786 a year. (Their study takes into account expenses for fuel, maintenance, insurance, license, registration, taxes and depreciation for a new vehicle driven 15,000 miles annually over five years.)

• Pros: Lower purchase price than larger sedans, better fuel efficiency, easy to navigate in traffic and tight spaces, top models hold resale value well.

• Cons: Smaller cargo space, limited rear legroom and headroom, less safe in collisions due to size, low ground clearance.

• Best for: City drivers, budget-conscious buyers, first-time car buyers, couples, small families.

• Typical price range: Low $20,000s to low $30,000s. Luxury models start at around $35,000.

• Fuel efficiency: Average 33 mpg city/highway combined for non-hybrid/electric, with some at about 36 mpg. Hybrid models can obtain more than 45 mpg.

• Popular models: Toyota Corolla, Hyundai Elantra, Honda Civic, Kia Forte.

• Drivetrain: Usually front-wheel drive (FWD), with all-wheel drive (AWD) as an option for some models, especially higher-level trims. A few luxury models have rear-wheel drive (RWD).

Midsize sedans

Sedans with 110 to 119.9 cubic-feet of space fall into the midsize segment. While carmakers are also turning their attention from this segment to more popular SUVs, some midsize sedan models maintain their popularity year after year. They offer a combination of efficiency, affordability, space and comfort. According to AAA, medium sedan ownership costs are around $7,042 annually, placing them behind the cost of subcompact SUVs and slightly better than compact SUVs.

• Pros: Passenger room for up to five, more trunk space than compact sedans, lower purchase price and better fuel efficiency than larger vehicles.

• Cons: More expensive than compact cars, less passenger and storage space than SUVs, low ground clearance, no or limited towing capacity.

• Best for: Small to medium-sized families, daily commuters, budget-conscious buyers, long-distance drivers.

• Typical price range: Upper $20,000s. Luxury models start at around $40,000.

• Fuel efficiency: Average 30 mpg city/highway combined for non-hybrid/electric. Some 2025 midsize hybrid sedans have a combined mpg of 50 or more.

• Popular models: Honda Accord, Hyundai Sonata, Nissan Altima, Toyota Camry (hybrid only).

• Drivetrain: Commonly FWD, with AWD as an option. Some are standard AWD, and a few luxury models are RWD.

Full-size sedans

Sedans with more than 120 cubic-feet of space fall into the full-size class, also called large cars. You won’t find a long list of full-size sedans, as car manufacturers are also replacing their production with more popular SUVs. Full-size sedans still on the market are mainly expensive luxury models, with most lower-cost models discontinued.

• Pros: Maximum trunk and passenger space compared to other sedans, smoother ride, strong safety performance, stylish with advanced technology and features.

• Cons: High price tag compared to compact and midsize, lower fuel efficiency, less agile due to size and weight.

• Best for: Families, long-distance drivers and professionals who prioritize space, comfort and sophistication.

• Typical price range: Low $80,000s to mid $150,000s. Some high-end models can reach half a million dollars. A notable exception is the hybrid Toyota Crown with an MSRP of $41,440.

• Fuel efficiency: Average 24 mpg city/highway combined for non-hybrid/electric. The Toyota Crown can obtain up to 41 mpg, while the highest-end models can be as low as 14 mpg.

• Popular models: Mercedes-Benz S-Class, Genesis G90, BMW 7 Series, Audi A8, Lexus LS. Some of these are mild hybrids, meaning they combine a traditional internal combustion engine with an electric motor and a small battery, but they can’t operate solely on electric power.

• Drivetrain: Primarily FWD or RWD, with AWD as an option.

What are the benefits of driving a sedan?

Today’s sedans incorporate advanced safety features, improved fuel efficiency and innovative technology. Owning and driving a sedan includes these benefits:

Affordability: Sedans are available with lower starting prices and ownership costs when compared to SUVs or trucks. This makes them especially attractive to first-time car buyers or anyone on a tight budget.

Fuel efficiency: Their lighter weight and sleek design make many sedans more fuel-efficient than other vehicle body styles. Hybrid and electric models are also available.

Smooth ride: Because of their lower center of gravity, sedans provide a stable and comfortable ride. They’re also typically easier to handle when driving.

Technology: Many modern sedans come equipped with advanced infotainment systems and driver-assistance features.

Safety: While sedans do have some disadvantages — like smaller size — when it comes to a collision, they also have advantages. Their lower center of gravity makes them less likely to roll over than an SUV. Also, their ease of handling can be beneficial when trying to avoid a crash.

Key considerations when choosing a sedan

Although sedans have declined in popularity, there is still an array to choose from. You’ll find a wide range of prices, sizes, styles and features, with options for nearly every type of driver. To decide on the sedan make and model that’s right for you, here are some things to consider:

Size: When deciding between a compact, midsize or full-size sedan, weigh your preference for maneuverability versus spaciousness. A compact sedan is going to be easier to drive in traffic or manuever through tight spaces, but it may not be the best option if you have a family of five.

Space: Think about passenger and cargo space. If you’ll regularly have adult passengers riding in the back, a midsize or larger model would be your best choice. Also, take into account trunk capacity if you plan to carry luggage, groceries or sports equipment regularly. It’s also worth noting that because of their longer body, sedans tend to have more passenger space than a hatchback or coupe — two other passenger-car styles. However, hatchbacks usually have the most cargo space of the three.

Comfort and interior: Think about what comfort features are important to you — such as certain seat materials, heated or ventilated seats, heated steering wheel, dual-zone climate control or memory seats and mirrors. If possible, test drive any sedans you’re considering.

Fuel type and economy: Compare the fuel economy rating — mpg for gas and MPGe for electric vehicles — of the cars you’re thinking about. The EPA determines and reports fuel economy for three types of driving: city, highway and combined (an average of city and highway). You can find this information at fueleconomy.gov, on new vehicle window stickers, manufacturer websites and online car retailer sites. Looking at these ratings can also help you decide between a gas, hybrid or fully electric sedan.

Safety ratings and features: See how each vehicle has fared in safety tests with the National Highway Traffic Safety Administration (NHTSA) and Insurance Institute for Highway Safety (IIHS). In addition, determine the standard and advanced safety features on each vehicle — such as adaptive cruise control, automatic emergency braking, blind-spot monitoring and forward collision warning.

Use: Think about the main ways you’ll be driving your sedan. For daily commuting and road trips, fuel efficiency and comfort could be the biggest priority. For professionals, an upscale interior or dependable connectivity could be a determining factor. For drivers living in an area with harsh weather, AWD or a higher ground clearance might be important.

Engine and power: Sedans offer a variety of engine types, from four-cylinder to turbocharged. Compact sedans with four- or six- cylinder engines tend to be more fuel-efficient, but deliver less horsepower. Midsize or full-size sedans with six- or eight-cylinder engines provide more horsepower at the cost of fuel efficiency. Turbochargers give an engine extra power without sacrificing fuel efficiency.

Technology and entertainment: Nearly all of today’s sedans come with some type of touchscreen system, from simple to elaborate, so determine which will be easiest for you to use. Consider the availability of features like Apple CarPlay, Android Auto, built-in navigation, wireless charging and voice controls. Do they come standard or at an additional cost?

Reliability: Research the reliability and brand reputation of the sedans you’re considering. Have they had a lot of recalls? What do online owner reviews indicate? You can also find reliability scores for various makes and models through Consumer Reports and J.D. Power. Also, compare warranty coverages and research resale value. Specific makes and models — such as the Honda Accord, Honda Civic and Toyota Camry —are known for maintaining a strong resale value.

New vs. used: Whether you buy a new or used sedan, you’ll find pros and cons for each. A new sedan is likely to have the latest safety and tech features, and it provides peace of mind with full warranty coverage. You may also reduce your cost with manufacturer incentives. The downside is a higher upfront price and faster depreciation. If you opt for a used sedan, the price tag will likely be lower, and you may pay less for taxes, registration and insurance. However, you won’t have a full warranty, so getting a professional inspection either before you buy or within a return window is important.

The cost of financing and owning a sedan

With sedan models ranging in price from less than $20,000 to more than $500,000, the monthly payment for a 60-month, 7% APR loan for a sedan could be from about $400 to $9,900. While it isn’t likely that many people will be flocking to that highest payment, you’ll still want to determine where in this range your budget falls. It’s best to do this before you start shopping, so you can target the vehicles that are a fit and don’t overspend.

An auto loan calculator can show you an estimated payment amount and total loan cost for different vehicle prices, loan terms and interest rates.

To get an idea of the rate you’ll qualify for, apply for auto loan pre-qualification or preapproval. Pre-qualification with a soft credit check won’t affect your credit scores, but it isn’t a firm offer of credit and the rate you're given is more likely to change during the loan process. Still, you can use pre-qualified rates for planning.

A preapproved rate carries more weight and is less likely to change, but it typically requires a hard credit inquiry which will temporarily lower your credit scores. You can present a preapproved rate to a car dealer to see if it can beat the rate, but if you’re buying and financing through an online retailer most don’t negotiate rates.

In addition to the MSRP or sticker price, your sedan costs will include ongoing expenses like fuel, insurance and maintenance. A total cost of ownership calculator can help with planning and budgeting for the long-term.

Cost of sedan ownership

Automotive group AAA conducts an annual Your Driving Costs study that breaks down vehicles by category and provides the average costs for five top-selling models in each category. The summary below is for the sedan category in 2024 and not a specific make and model.

Final thoughts on selecting a sedan

SUVs have surpassed sedans in popularity, and in recent years automakers have discontinued the production of many sedan models. However, sedans remain a reliable and affordable choice for many people, and you can still find many makes and models to choose from, with more EVs and hybrids in the mix.

If you’re still torn between a sedan versus an SUV or a gas-powered sedan versus an electric one, our SUV buying guide and EV buying guide can help you decide. But if you already know a sedan is the right choice for you, here are some steps to take:

• After identifying your needs and preferences in a car, determine which sedans are a match. Much of your research can be done online using automotive sites and car-buying apps, where you can filter by budget, desired features and more. 

• When you’ve decided on a specific make and model, use pricing guides like Kelley Blue Book and Edmunds to determine a fair price and avoid overpaying for the car you want. Also, look into any available rebates or incentives, which you can usually find on manufacturer websites.

• You may find the car you want at a local dealer, but with a specific vehicle in mind you might have to use other avenues — like ordering directly from the manufacturer or using websites that list dealer inventory from across the country.