Budget cars under 8 lakh
Best Cars Under 8 Lakh in India (2025) | Top Budget Cars with Price & Mileage
The Indian car market continues to evolve in 2025, and the cars under ₹8 lakh segment remains one of the most competitive categories. With rising demand for budget-friendly vehicles, manufacturers are packing in modern technology, safety features, and stylish designs without pushing prices beyond the reach of everyday buyers.
Whether you’re a first-time car buyer, a family looking for a reliable second car, or someone searching for an affordable upgrade, this price range offers plenty of choices. From compact hatchbacks to small sedans and even entry-level SUVs, there’s something for everyone.
In this guide, we’ll cover the best cars under ₹8 lakh in India, highlight their prices, mileage, and features, and help you decide which one suits your needs the most.
Why Buy a Car Under ₹8 Lakh in 2025?
The sub-₹8 lakh car category has gained immense popularity because it strikes the right balance between affordability and essential features. Let’s look at why these cars are such a smart choice in today’s market:
- Affordability: Perfect for middle-class buyers and first-time owners.
- Fuel Efficiency: Most cars in this segment deliver 18–23 km/l, reducing running costs.
- Feature-Rich: Touchscreens, ABS, dual airbags, and reverse parking sensors are becoming standard.
- Low Maintenance: Compact cars have lower servicing and spare part costs.
- Urban-Friendly: Hatchbacks and compact sedans are easy to manoeuvre in city traffic.
👉 Tip: For added peace of mind, consider pairing your new car purchase with Bajaj Allianz Motor Insurance, which offers comprehensive coverage against accidents, theft, and damage.
List of Best Cars Under ₹8 Lakh in India (2025)
Here’s a quick look at the most popular and practical options available in this budget range:
| Car Model | Engine Type | Price (On-Road) | Mileage | Key Features |
|---|---|---|---|---|
| Maruti Suzuki Swift | Petrol/Diesel | ₹7.5 Lakh | 23.2 km/l | Touchscreen, Dual Airbags, ABS |
| Hyundai Grand i10 Nios | Petrol/Diesel | ₹7.2 Lakh | 20.7 km/l | 8-inch Touchscreen, Wireless Charging |
| Tata Tiago | Petrol | ₹6.5 Lakh | 19.8 km/l | Reverse Parking Sensors, Touchscreen |
| Honda Amaze | Petrol/Diesel | ₹7.9 Lakh | 18.5 km/l | Cruise Control, Premium Interiors |
| Renault Kwid | Petrol | ₹5.5 Lakh | 22.3 km/l | LED DRLs, Compact SUV Look |
| Ford Figo | Petrol/Diesel | ₹7.8 Lakh | 20.4 km/l | Touchscreen, Rear Parking Sensors |
| Maruti Suzuki Dzire | Petrol | ₹7.9 Lakh | 23.0 km/l | Compact Sedan, Automatic Climate Control |
| Hyundai Santro | Petrol | ₹6.1 Lakh | 20.3 km/l | Spacious Cabin, Smart Infotainment |
| Toyota Glanza | Petrol | ₹7.8 Lakh | 23.8 km/l | Premium Hatchback, LED DRLs |
| Nissan Magnite | Petrol | ₹7.5 Lakh | 19.3 km/l | Compact SUV, 360-Degree Camera |
Top Cars Under ₹8 Lakhs in 2025: Detailed Overview
Let’s explore these models in detail to understand why they stand out in this segment.
1. Maruti Suzuki Swift (₹7.5 Lakh)
- Engine: 1.2L Petrol
- Mileage: 23.2 km/l
- Highlights: Dual airbags, ABS, 7-inch Touchscreen, Android Auto/Apple CarPlay, reverse parking sensors.
The Swift has consistently remained a top choice in India thanks to its sporty design, reliable performance, and excellent mileage. It’s a safe bet for urban buyers and small families.
2. Hyundai Grand i10 Nios (₹7.2 Lakh)
- Engine: 1.2L Petrol/Diesel
- Mileage: 20.7 km/l
- Highlights: Wireless charging, 8-inch touchscreen, rear camera, ABS, dual airbags.
This car offers premium features that are usually found in higher-end models, making it one of the most value-for-money hatchbacks under 8 lakhs.
3. Tata Tiago (₹6.5 Lakh)
- Engine: 1.2L Petrol
- Mileage: 19.8 km/l
- Highlights: Reverse parking sensors, dual airbags, ABS, touchscreen.
The Tiago stands out with its 4-star Global NCAP safety rating, robust build, and fuel efficiency. If safety is a priority, this is the car to shortlist.
4. Honda Amaze (₹7.9 Lakh)
- Engine: 1.2L Petrol/Diesel
- Mileage: 18.5 km/l
- Highlights: Cruise control, premium cabin space, 7-inch touchscreen, ABS.
The Amaze is a compact sedan that offers executive styling with excellent comfort. Ideal for small families who want more boot space and comfort.
5. Renault Kwid (₹5.5 Lakh)
- Engine: 0.8L Petrol
- Mileage: 22.3 km/l
- Highlights: LED DRLs, SUV-inspired styling, dual airbags, ABS.
For those on a tight budget, the Kwid offers great looks and features without compromising on fuel efficiency. Perfect for first-time buyers.
6. Ford Figo (₹7.8 Lakh)
- Engine: 1.2L Petrol/Diesel
- Mileage: 20.4 km/l
- Highlights: Touchscreen infotainment, rear sensors, ABS.
Known for its driving dynamics, the Figo appeals to those who enjoy performance along with practicality.
7. Maruti Suzuki Dzire (₹7.9 Lakh)
- Engine: 1.2L Petrol
- Mileage: 23.0 km/l
- Highlights: Compact sedan styling, automatic climate control, reverse sensors.
The Dzire combines fuel efficiency with sedan comfort, making it a strong choice for family buyers.
8. Hyundai Santro (₹6.1 Lakh)
- Engine: 1.1L Petrol
- Mileage: 20.3 km/l
- Highlights: Spacious interiors, rear AC vents, touchscreen system.
The Santro remains a practical city car with easy handling, especially for first-time drivers.
9. Toyota Glanza (₹7.8 Lakh)
- Engine: 1.2L Petrol
- Mileage: 23.8 km/l
- Highlights: LED DRLs, premium interiors, ABS, dual airbags.
The Glanza combines Toyota’s reliability with premium features, making it a long-term investment for peace of mind.
10. Nissan Magnite (₹7.5 Lakh)
- Engine: 1.0L Petrol
- Mileage: 19.3 km/l
- Highlights: Compact SUV styling, 360-degree camera, 8-inch touchscreen.
As one of the most affordable compact SUVs, the Magnite is perfect for buyers who want rugged looks with modern features.
SUVs vs Hatchbacks Under ₹8 Lakh
If you’re confused between an SUV and a hatchback, here’s a quick breakdown:
- SUVs (e.g., Nissan Magnite, Renault Kwid): Better ground clearance, rugged look, suitable for mixed terrains.
- Hatchbacks (e.g., Swift, Tiago, Nios): More fuel-efficient, compact, and easier for city driving.
- Sedans (e.g., Dzire, Amaze): Spacious boot, premium feel, better suited for families.
FAQs on Best Cars Under 8 Lakhs
1. Which car under 8 lakhs has the highest safety rating?
The Tata Tiago scores high on safety with a 4-star Global NCAP rating.
2. Which car has the most features in this price range?
The Hyundai Grand i10 Nios offers wireless charging, rear camera, and advanced infotainment features.
3. Which car offers the best warranty?
The Renault Kwid comes with a 4-year/1 lakh km warranty, among the best in this segment.
4. Which is more practical – SUV or hatchback?
SUVs are better for mixed terrains, while hatchbacks are more efficient for city traffic.
Conclusion
The best cars under ₹8 lakh in India (2025) prove that buyers don’t need to compromise on quality, safety, or features to stay within budget. From the feature-packed Hyundai Nios to the safe Tata Tiago and the spacious Honda Amaze, each model offers excellent value for money.