Cars Under 5 Lakhs in India, Buying a car is one of the biggest dreams for many Indian families. Thanks to the growing competition among carmakers, today’s entry-level cars offer far more than just affordability. They come with modern design, advanced features, and great fuel efficiency.
If your budget is around ₹5 lakhs, here are some of the best new cars in India that combine performance, safety, and comfort at an affordable price.
Tata Tiago (Cars Under 5 Lakhs in India)
Starting Price: ₹4.57 Lakh (Ex-Showroom)
The Tata Tiago is one of the safest and most reliable hatchbacks in this price range. Built on Tata’s strong platform, it offers a smooth ride and excellent handling. The cabin feels premium for its class, and you also get features like Apple CarPlay, Android Auto, and an advanced infotainment system.
Key Features:
- 1.2L Revotron Petrol Engine
- Dual airbags, ABS with EBD
- 4-Star Global NCAP Safety Rating
- Mileage up to 20 km/l
Why Buy: A solid, safe, and stylish car that offers more value than most competitors.
Maruti Suzuki Alto K10 (Cars Under 5 Lakhs in India)
Starting Price: ₹3.70 Lakh (Ex-Showroom)
The Alto K10 has been India’s favorite small car for decades. The latest version looks sportier, drives smoother, and delivers incredible mileage. It’s compact yet spacious enough for a small family and perfect for city traffic.
Key Features:
- 1.0L K-Series Petrol Engine
- SmartPlay Infotainment System
- Mileage up to 25 km/l
- Low maintenance cost
Why Buy: The best option for budget buyers who want high mileage and proven reliability.
Renault Kwid
Starting Price: ₹4.30 Lakh (Ex-Showroom)
The Renault Kwid adds a sense of flair to the entry-level car segment. With its SUV-like stance, bold design, and modern interiors, it appeals to young buyers who want style without stretching their budget.
Key Features:
- 0.8L & 1.0L Petrol Engines
- 8-inch Touchscreen Infotainment System
- LED DRLs, Digital Instrument Cluster
- Mileage up to 22 km/l
Why Buy: Perfect for those who want a stylish small car with a modern look.
Maruti Suzuki Celerio (Cars Under 5 Lakhs in India)
Starting Price: ₹4.70 Lakh (Ex-Showroom)
The Celerio is another smart hatchback from Maruti Suzuki, designed for comfort and convenience. It’s available with an AMT (Auto Gear Shift), making it one of the most affordable automatic cars in India. The Celerio is also known for its superb fuel efficiency and easy driving experience.
Key Features:
- 1.0L K10C Petrol Engine
- Best-in-class mileage up to 26 km/l
- Spacious interiors & large boot space
- CNG variant available
Why Buy: Great for buyers who prioritize mileage and a smooth city drive.
Maruti Suzuki S-Presso (Cars Under 5 Lakhs in India)
Starting Price: ₹3.50 Lakh (Ex-Showroom)
The S-Presso brings SUV styling to the compact car category. With its tall-boy design and high ground clearance, it gives a confident driving position. It’s light, easy to handle, and fuel-efficient — a great choice for first-time car owners.
Key Features:
- 1.0L Petrol Engine
- Bold SUV-like design
- Mileage up to 25 km/l
- Spacious interiors for a small car
Why Buy: Combines SUV looks with hatchback practicality at an unbeatable price.
Final Thoughts
Finding a car under ₹5 lakhs used to mean compromising on looks and features — but not anymore. Today, brands like Tata, Maruti Suzuki, and Renault offer stylish, feature-packed, and safe vehicles that suit Indian roads perfectly.
Whether you want a reliable commuter like the Alto K10, a feature-rich option like the Tiago, or a stylish hatchback like the Kwid, you’ll find great value in this segment.
If you’re planning to buy a car soon, take a test drive of these models and see which one fits your lifestyle best.