Saving & Spending Home & Auto

10 Most Popular Under $38K Sedans for Retirees in 2025

One of these models might fit perfectly with the retirement of your dreams.

By Cassandra Yorgey

Edited by Chris Kissell

Updated March 5, 2025

If you are planning an active retirement, chances are good that you will need a car. One of the smartest car owner moves you can make is to find a vehicle that is a great fit for your golden years.

Fortunately, there are many great sedans available for retirees. Whether you are looking for practicality, fun, or something that can simply handle the weather, options abound.

Here are some of the most popular sedans for retirees as you enter the new year, along with the starting manufacturer's suggested retail price (MSRP) for each vehicle.

If you’re over 50, take advantage of massive travel discounts and trip-planning resources

Over 50 and love traveling? Join AARP today — because if you’re not a member, you could be missing out on huge travel perks. When you start your membership today, you can get discounts on hotels and resorts, airfare, cruises, car rentals, and more.

How to become a member today:

Go here, select your free gift, and click “Join Today”
Create your account (important!) by answering a few simple questions
Start enjoying your discounts and perks!

An AARP membership not only unlocks discounts that could save you hundreds on your next trip, but you’ll also have access to deals on vacation packages, guided tours, and exclusive content to help plan your next getaway.

Important: Start your membership by creating an account here and filling in all of the information (do not skip this step!). Doing so will allow you to take up to 25% off your AARP membership, making it just $15 the first year with auto-renewal.

Become an AARP member now

2025 Toyota Camry

MSRP: $28,400

Nobody knows what gas prices will look like next year or into the future, so finding a fuel-efficient vehicle can be a smart move.

All Camry models have a rating of at least 48/47 mpg. The renowned reliability of Toyota vehicles also means retirees can expect to keep maintenance and repair costs down throughout the life of the car.

Who really has the cheapest auto insurance in your area? Check your zip code here.

2025 Toyota Corolla Hybrid

MSRP: $23,625

The Corolla Hybrid has everything that has made the model a longtime favorite while also boosting gas mileage to 53/46 mpg.

The Corolla also offers a high line of sight, which is perfect for retirees who prefer increased visibility.

2025 Mazda Miata

MSRP: $29,330

Cruising the open road with the top down in a sweet little convertible is a common retirement dream, and the MX-5 Miata is an affordable way to make that vision reality.

The Miata offers a powerful ride with sharp steering and includes kinematic posture control that keeps body roll to a minimum when you corner.

Earn a $250 travel bonus with this incredible card

There's a credit card that's making waves with its amazing bonus and benefits. The Bank of America^® Travel Rewards credit card has no annual fee and you can earn 25,000 bonus points after spending $1,000 in purchases in the first 90 days of account opening.

You can earn additional points just by using this card for your everyday purchases — unlimited 3 points per $1 spent on travel purchases booked through the Bank of America Travel Center and 1.5 points per $1 spent on all purchases. The 25,000 bonus points can be redeemed for a $250 statement credit toward travel or dining purchases.

If you want to travel and dine out more, the Travel Rewards card can help you get where you want to go.

The best part? There's no annual fee.

Click here to apply now.

2025 Honda Civic Sedan Sport Hybrid

MSRP: $28,750

Honda has a goal of making the fuel-efficient hybrid account for 40% of all Civic sales, so this is likely to be a popular choice for retirees and drivers of all ages.

The hybrid version offers gas mileage of 50/47, which means retirees on tight budgets will be able to squeeze more from the dollars they spend on gas.

2025 Volkswagen Jetta

MSRP: $21,995

VW fans are eyeing up the new Jettas, which offer a redesign and upgraded features.

The Jetta gets an estimated 29/39 mpg. Jetta drivers who activate Car-Net can access features such as remote start and last parked location.

2025 Hyundai Elantra

MSRP: $21,875

The newest Elantra boasts gas mileage of 32/41 mpg and includes a slew of technology-forward improvements that make it perfect for tech-savvy retirees looking for a reliable ride.

Tech features include a high-resolution 10.25-inch touchscreen display and both Apple CarPlay and Android Auto. You can even use your phone to open the doors.

Earn Points and Miles: Find the best travel credit card for nearly free travel

2025 Subaru Legacy

MSRP: $24,895

The Legacy is about to live up to its name, as this is the final year of production for the model.

This vehicle is great for anybody seeking a cold-weather retirement because the Legacy handles well in the snow with its all-wheel-drive traction. Drivers can expect gas mileage of 35/27 mpg.

2025 Hyundai IONIQ 6

MSRP: $37,750

Retirees looking to make the leap to a fully electric vehicle will want to consider the IONIQ 6, which offers an estimated range up to 342 miles.

It also has a rapid charge rate of 18 minutes, giving you peace of mind when you travel and need to recharge quickly. The price is higher than some of the other vehicles on this list, but you will also save a lot of money on gas if you purchase this car.

2025 Kia K5

MSRP: $26,990

The K5 handles like a sports car and features wide-track suspension. The D-shaped steering wheel and 24-inch panoramic display create a top-of-the-line driving experience.

Remote start and climate control are standard on this car, which jumps from zero to 60 mph in just 5.4 seconds.

Get a protection plan on all your appliances

Did you know if your air conditioner stops working, your homeowner’s insurance won’t cover it? Same with plumbing, electrical issues, appliances, and more.

Whether or not you’re a new homeowner, a home warranty from Choice Home Warranty could pick up the slack where insurance falls short and protect you against surprise expenses. If a covered system in your home breaks, you can call their hotline 24/7 to get it repaired.

For a limited time, you can get your first month free with a Single Payment home warranty plan.

Get a free quote

2025 Honda Accord

MSRP: $28,295

The Accord is a practical, jack-of-all-trades vehicle for retirees who want something affordable that gets them around town. There is a reason this vehicle is a staple on most roads.

The car gets gas mileage of 29/37 mpg and comes with safety features such as the Collision Mitigation Braking System that assists you when you are in danger of crashing into a pedestrian or another vehicle.

Bottom line

Many retirees want to live in a walkable community that allows them to live their day-to-day lives on foot. But even if that's true for you, chances are good that you will still need a vehicle to get around during your golden years.

Having a vehicle that fits with your planned retirement lifestyle can make a huge impact on your quality of life. So, it's worth taking the time to consider which car will meet your driving needs.

The cars on this list offer many perks that might suit a retiree lifestyle, and many of them are affordable. If money is tight, another way to reduce your costs is to shop around and compare quotes so you can save on car insurance.

More from FinanceBuzz:

Benefits

Card Details

$0 annual fee
Simple, flat-rate rewards
Flexible redemption options
Up to 75% Bank of America Preferred Rewards® bonus potential
Apply Now

25,000 online bonus points after you make at least $1,000 in purchases in the first 90 days of account opening - that can be a $250 statement credit toward travel purchases.
Earn unlimited 1.5 points per $1 spent on all purchases, with no annual fee and no foreign transaction fees and your points don't expire as long as your account remains open.
Earn 3 points per $1 spent on travel purchases booked through the Bank of America Travel Center.
Use your card to book your trip how and where you want - you're not limited to specific websites with blackout dates or restrictions.
Redeem points for a statement credit to pay for travel or dining purchases, such as flights, hotel stays, car and vacation rentals, baggage fees, and also at restaurants including takeout.
0% Intro APR for 15 billing cycles for purchases, and for any balance transfers made in the first 60 days. After the Intro APR offer ends, a Variable APR that’s currently 18.24% - 28.24% will apply. A 3% Intro balance transfer fee will apply for the first 60 days your account is open. After the Intro balance transfer fee offer ends, the fee for future balance transfers is 4%. Balance transfers may not be used to pay any account provided by Bank of America.
If you're a Bank of America Preferred Rewards® member, you can earn 25%-75% more points on every purchase. That means instead of earning an unlimited 1.5 points for every $1, you could earn 1.87-2.62 points for every $1 you spend on purchases. You could earn 3.75-5.25 points for every $1 you spend on travel purchases made through the Bank of America Travel Center.
Contactless Cards - The security of a chip card, with the convenience of a tap.
This online only offer may not be available if you leave this page or if you visit a Bank of America financial center. You can take advantage of this offer when you apply now.

Bank of <span class='whitespace-nowrap'>America<sup>®</sup></span> Travel Rewards credit card

4.4

Apply Now

on Bank of America’s secure website

Read Card Review

Intro Offer

Earn 25,000 online bonus points after you make at least $1,000 in purchases in the first 90 days of account opening - that can be a $250 statement credit toward travel purchases

Annual Fee

Why we like it