Consumer Reports releases list of best cars under $25,000

SAN FRANCISCO (KGO) -- The average price of a new car these days is around $32,000, but people don't have to pay that much to get a decent set of wheels.

Seven On Your Side's Michael Finney, together with Consumer Reports, has the lowdown on good cars for at least 20 percent less.

People are holding onto their cars a lot longer these days. The average age of a car on the highway is more than 11 years, 11.4 years to be exact. That's the oldest on record. J.D. Power says the average trade-in is more than six years old.

Analysts say cars are engineered better these days, so they last longer. Car buyers are also doing their best to stretch their dollar.

"It begs the question; can they get a decent car for $25,000 or less these days?" asked Jennifer Stockburger with Consumer Reports.

Stockburger says the answer is yes.

"So when we talk about value in cars, it's not just that sticker price. It's how much a car will depreciate. It's how much you'll pay in maintenance costs. It's how much you'll pay in insurance costs," she said.

Some of the cars on the list include several that made Consumer Reports' picks for best cars at any price. That includes the Subaru Forester, and the Honda Accord.

Several Hyundai also made the list.

"When they first came to this country, you know, it was a joke almost. So a Hyundai, now you think about Elantra, Sonata. There's some beautiful cars," said Stockburger.

Kia is another Korean automaker with a good price point.

Consumer Reports particularly likes the Kia Rio and Kia Optima. Subaru also received high marks for several of its vehicles.

All the cars on Consumer Reports' list of Best Cars for Under $25,000 have good repair histories.

"In the long run, a inexpensive not-reliable car may end up costing you more than a more expensive reliable model," said Stockburger.

The complete list of Best Cars for Under $25,000 appears in April's special car issue of Consumer Reports.

Consumer Reports is published by Consumers Union. Both Consumer Reports and Consumers Union are not-for-profit organizations that accept no advertising. Neither has any commercial relationship with any advertiser or sponsor on this site.

(All Consumer Reports Material Copyright 2010. Consumers Union of U.S. Inc. ALL RIGHTS RESERVED.)