Cars
The Best of the 2007 Cars
Which of the almost 500 models is perfect for you?
By Mark Solheim, Senior Editor
From Kiplinger's Personal Finance magazine, December 2006
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Fuel-efficient sedans
The gas-electric hybrid is getting a mixed reception despite fuel prices that soared past $3 in many areas last summer. The Toyota Prius still rules the hot-car list (see the box), and the Honda Civic Hybrid is selling well. But buyers are lukewarm toward higher-priced, less fuel-efficient hybrids.
So it's no surprise that a new standout in the hybrid arena is the gas-sipping Toyota Camry. Unlike the Honda Accord hybrid, which combines an electric motor with a V6 engine, the Toyota Camry scales back the power and uses a four-cylinder gas engine, achieving fuel economy of 40 mpg city and 38 highway. (Note that most hybrid drivers -- many drivers, in fact -- report lower gas mileage than Environmental Protection Agency ratings show; new tests starting with all 2008 models will produce closer to real-world estimates.)
The Camry hybrid has won fans coast to coast and among all age groups. Tatiana Santos of Los Angeles went shopping for a new car last summer, after she got a job with Bank of America. Only a year out of college, she was interested in the sporty Lexus IS 250 -- until the Camry hybrid caught her eye. She loved the new design, and her 40-mile-a-day commute put fuel economy near the top of her priority list. Fully loaded, it cost $31,000 -- just $1,000 more than a fully loaded Prius. The price was reduced by the $2,600 federal tax credit and the $3,000 reimbursement that Bank of America offered employees who purchased a hybrid. (Tax credits for hybrids are designed to be phased out and have since been cut in half for Toyota and Lexus hybrids.)
George and Cathy Rommal of Bethlehem, Pa., set out to buy either a Camry or its big sister, the Avalon. When they test-drove the Camry hybrid, they were sold. They wanted good fuel economy, and George was fascinated by the technology. "It's fun to drive, though in a different way than a sports car," he says. "The tax incentive combined with the economy took away the pain of paying a little more for the hybrid up front." And a Camry is roomy enough to transport the whole family -- including daughters Lauren, 18, and Andrea, 15 -- in comfort.
Two new hybrids are debuting this fall: the Nissan Altima and the Saturn Vue Green Line. The Vue doesn't rely as much on its electric motor as other hybrids do, so its fuel economy isn't stellar, at 27 mpg city and 32 highway. But at $22,995, it's the least expensive hybrid crossover on the market, and it qualifies for a $650 tax credit.
You can get about 30% better fuel economy with a diesel model, but there's a catch. Strict new emissions standards have just kicked in, and carmakers must tweak their diesel models to meet the new requirements. Only Mercedes-Benz and Volkswagen have new entries now, but Jeep will introduce a diesel Grand Cherokee early next year. None of the 2007 diesels on the market yet qualifies for the stricter emissions standards in California and four northeastern states: Maine, Massachusetts, New York and Vermont.
MOST POPULAR CARS | |||
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HOTTEST SELLERS: Vehicles averaging fewest days on dealers' lots 1. Toyota Prius 2. Honda Civic 3. Honda Fit 4. Toyota Yaris 5. Scion xA 6. Lexus ES 350 7. Toyota Camry 8. Toyota FJ Cruiser 9. Pontiac Solstice 10. Volvo C70 BEST SELLERS: For 2006 model year, not including pickups 1. Toyota Camry 2. Honda Accord 3. Toyota Corolla 4. Honda Civic 5. Chevy Impala 6. Chevy Cobalt 7. Nissan Altima 8. Dodge Caravan 9. Chevy Trailblazer 10. Honda Odyssey | |||
But you don't have to pay the higher price for a hybrid or wait around for diesels to achieve outstanding fuel economy. Subcompact and compact cars, which reside in our under-$20,000 category, have practically been driving themselves out of dealerships. The tiny Toyota Yaris wins the lowest- annual-fuel-cost derby, followed by the subcompact Honda Fit and Nissan Versa. But don't ignore the strong fuel numbers posted by the larger Honda Civic and Toyota Corolla.
Best New Car in this category is the $15,620 Volkswagen Rabbit. Although the redesigned Golf has a recycled name associated with the 1980s econoboxes, it has 21st-century amenities and Euro-sport-sedan handling, and it is one of the safest small cars on the road. Best in Class is the Hyundai Sonata GLS four-cylinder ($17,795) -- a value-priced, midsize sedan that's safe, roomy and fuel-efficient.
Value abounds in the $20,000-to-$25,000 class. The smartly redesigned Nissan Altima 3.5-liter V6 ($24,350) wins Best in Class. And the new Saturn Aura ($20,595) brings home Best New Car honors. This is no Ion: It has a smooth powertrain and a stiff chassis, and it accelerates and handles well.
Hyundai scores again in the $25,000-to-$30,000 class with the Azera Limited. It has entry-luxury features, such as leather seats and a rear-window sunshade, for $27,795. The $25,235 Toyota Camry SE V6 earns Best New Car accolades. It's the sportiest Camry, with a stiffer suspension and 17-inch wheels.