10 Fun-To-Drive SUV’s For Under 40k

Not all affordable SUV shoppers have ‘fun to drive’ at the top of their wish list. If you do, you’ll quickly find that not all SUV models and trim grades are the same when it comes to delivering an exciting drive by way of their performance, features, and driving feel. Some affordable SUVs are built for quiet comfort and luxury, others for practicality and fuel efficiency. Elsewhere in that mix are a few specific models and trim grades that also hit the sweet spot between price and fun factor in their lineups that enthusiast drivers love. A few of the picks we’ll show you below provide access to up-level engine options that help turn in the best value for your gas dollars, too.

Here are ten fun-to-drive SUVs for around $40,000 or less that deliver great value for your money, while providing good fuel economy as well. Not every model here is the right choice for you if you need to tow a heavy trailer, because the larger SUVs are usually more suitable for that, but most compacts can tow a light rig without a problem. Let’s see how they shake out.

For this story, we’re considering new SUVs available in the USA for the 2025 model year, using MSRP (before taxes and fees) of less than $40,000. Each of the models selected below is a strong contender in its segment but was chosen specifically for delivering an optimal blend of key SUV attributes and fun-to-drive factor, relating to performance, features, and lifestyle.

10

2025 Subaru Cosstrek Sport

$29,610

Engine

2.5L NA H4

Horsepower

182 hp

Torque

176 lb-ft

Transmission

CVT auto

Towing Capacity

1,500 lbs

Introduced in 2013 as the XV Crosstrek, the Subaru Crosstrek entered its third generation for the 2023 model year. The 2025 Crosstrek range starts at $25,810 with standard AWD and $29,610 for the Crosstrek Sport grade we’re pointing you at here. The platform beneath the latest Crosstrek is one of the industry’s most modern, and all models ship standard with EyeSight, Subaru’s award-winning camera-based driver-assistance system, in its latest and most updated configuration. Standard EyeSight arrived for the 2024 model year, ditto slight trim adjustments. In 2025, the Crosstrek is a carry-over, and don’t expect any major upgrades for a few more years. The Crosstrek Sport can tow 1,500 lbs while the Crosstrek Wilderness ($32,610) can tow 3,500.

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In the Sport grade, the Crosstrek’s lively and spirited drive is joined by dark-gray 18-inch alloy wheels, heated front seats, sport cloth upholstery with yellow contrast stitching, an optional power moonroof, leather-wrapped steering wheel, and yellow exterior accents. More serious reasons to consider the Crosstrek Sport include its engine upgrade, with the standard 2.5-liter unit fitted here making 30 more horsepower than the 2.0-liter unit you’ll find in lower-grade models while using the same amount of gas.

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Add in excellent rough-surface ride and handling control and steering that feels eager and lively in almost all situations, and the Crosstrek Sport represents a strong value on driving fun factor for under $30,000.

9

2025 Mazda CX-50 Turbo Meridian

$40,800

Engine

2.5L turbo I4

Horsepower

227 hp

Torque

310 lb-ft

Transmission

6-speed auto

Towing Capacity

3,500 lbs

The CX-50 Turbo Meridian is a relative newcomer, having entered the market in 2023 as a brand-new machine. The Turbo Meridian is priced at $40,800 with standard AWD, and if you’re ok with stretching your budget to the upper end of this comparison, you’ll find it’s money well spent. For starters, the 2.5-liter turbo four-cylinder behind the grille is a familiar and highly-proven unit that delivers the highest torque output on this page, and among the biggest horsepower figures in this comparison. For the dollar, you’ll find competitors with better infotainment systems and more space, but the stealthy punch of that Skyactiv turbo-four and the CX-50’s way sharper-than-average steering and handling make it a joy on any drive with twists and turns.

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Some of the most fun you can have in a CX-50 Meridian Turbo comes when briskly browsing winding backroads in remote areas: it has a Crosstrek-like ability to soak up rough-surface backroads without much unwanted feedback while feeling lively and refined from the driver’s seat. It feels like a smaller SUV than it is when driven spiritedly, and unless Subaru launches a sharpened-up, turbocharged version of the Crosstrek, the CX-50 Turbo Meridian might be as close as you’ll get. Two other notables here. First, you’ll get an extra 29 horsepower and 10 lb-ft of torque by running 93 octane gas if you like (most drivers don’t), and the CX-50 Turbo Meridian can tow 3,500 pounds so you can bring more fun toys along for the adventure.

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8

2025 Hyundai Kona N-Line

$31,000

Engine

1.6-liter Inline-4 turbo

Horsepower

195 hp

Torque

195 lb-ft

Transmission

8 AT

Towing

Not Rated

The Hyundai Kona comes in several different flavors, including the high-performing N-Line at $31,000. Equipped to ensure maximum driving fun for the dollar, this sportiest Kona trim delivers a 190-horsepower turbo engine, a power sunroof, Bose stereo system upgrade, and custom red badging and accenting to pump up the flair throughout the cabin – itself faced by a wide-screen digital display. A twin-tip styled exhaust finisher and rear hatchback spoiler help complete the look from the outside and help the Kona N-Line stand out in the crowd. All-wheel drive is available for a few bucks more if you need it. The Kona was redesigned for the 2024 model year, and no major changes are expected in the near future.

Be sure to check out the Hyundai Kona Electric as well – for a few bucks more, it’s got a boatload of noiseless torque that you’ll likely never get tired of. Charging up at home so you never have to wait around and pump gas in the cold is a pretty good gig, too.

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7

2025 VW Taos SE Black

$30,145

Engine

1.5-liter Inline-4 turbo

Horsepower

174 hp

Torque

184 lb-ft

Transmission

8 AT

Towing

NA

The VW Taos is a recent addition to the Volkswagen lineup, joining the scene for 2022. It’s now entering its 4th year on sale hot out of a refresh for the 2025 model year, which updates the front end, lighting, and bumpers while making LED projectors the range standard, and a new interior complete with new tech. All models now offer standard IQ.DRIVE driver assistance technology and all trim grades get upgraded interior stitching, too. Elsewhere, look for a more generous list of standard features across all trim grades as the Taos enters 2025, but keep in mind that towing isn’t recommended.

Bigger news lies under the hood, where the Taos’s updated 1.5-liter EA211 turbocharged four-cylinder TSI engine gets the latest round of hardware tweaks, including revised piston rings and fuel injectors, a modified turbo housing, a larger intercooler, and a new gasoline particulate filter. These changes raise the power plant’s output to 174 horsepower this year, 19 more than the outgoing unit. An 8-speed automatic replaces the 7-speed DSG dual-clutch automatic on models with AWD.

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Already built with German-tuned handling and a responsive turbo engine, the updated looks and power for the 2025 Taos perhaps channel best through the SE Black trim grade, which value-bundles a black roof, A-pillars, mirror caps, wheels, spoiler, sunroof and LED grille light bar to dial up the visuals on the experience, and focusing your spend on must-have equipment and fun-to-drive add-ons.

6

2025 Subaru Outback Onyx XT

$39,475

Engine

2.4-liter Inline-4 turbo

Horsepower

260 hp

Torque

277 lb-ft

Transmission

CVT

Towing

3,500 lbs

The Subaru Outback Onyx XT, with a price tag of $39,475, is a long-standing nameplate that dates back to 1994. Currently in its sixth generation and fresh out of a 2024 mid-cycle refresh, this Outback trim wears an updated and more rugged-looking front end, runs the latest EyeSight system enhancements, and adds wireless charging to the digital cockpit. This mid-cycle refresh suggests a comprehensive redesign is still a few years out.

The Outback XT is an excellent choice for SUV fun at this price point, especially given its low-mounted 2.4-liter turbo engine and 260 horsepower – the most powerful on the page. From behind the wheel, the torque-rich power means only slight throttle inputs are sufficient to glide through traffic, the CVT transmission keeping revs smooth, consistent, and steady. Opened up, it’s got more jam than most SUV drivers will need, but that turbocharged torque and signature Boxer engine soundtrack will definitely cause grins during on-ramps and merging.

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The Crosstrek is the handling option for sporty drivers, though. The Outback’s ride is softer and less athletic, and the steering is lighter and lazier. Still, the same excellent rough-surface suspension tuning remains, and the Outback Onyx XT’s ability to rapidly cruise uneven surfaces with minimal driver workload and power to spare is sure to be entertaining for years to come, especially in the snow. You’re clear to tow 3,500 lbs with this model, too.

5

2025 Nissan Kicks

$27,680

Engine

2.0-liter Inline-4

Horsepower

141 hp

Torque

140 lb-ft

Transmission

CVT

Towing

NA

The all-new second-generation Nissan Kicks hit the market for 2025, following the release of the first-generation Kicks back in 2018. This all-new model is fresh this year, so don’t expect major updates for at least a few years yet. Pricing starts at $21,380, and if you can stretch your budget to $27,680, you can get yourself into the top-dog SR trim grade with some optional two-tone paint and 19-inch wheels to make it even more fun to look at. Specifically, the Kick’s looks themselves intend to convey a sense of fun by concentrating powerful styling elements into a compact package.

The 141-horsepower engine is modest where output is concerned, though improved roominess, fuel efficiency, and space should help compensate, while the Kicks’ small overall size and sporty stance contribute to nimble and eager dynamics, especially in tight quarters. Really, the most fun thing about the Kicks is how it looks, combined with how it’s equipped, and how it’s priced. That’s why it was crowned CarBuzz’s Best Budget car for 2025.

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4

2025 Seltos X-Line

$29,390

Engine

2.4-liter Inline-4 turbo

Horsepower

175 hp

Torque

195 lb-ft

Transmission

8 AT

Towing

NA

For a little over $29,000, you can get into the Kia Seltos X-Line, priced at $29,390 and featuring a compelling array of in-demand performance features for the model, which debuted initially in 2021 and remains in its first generation for 2025. A major refresh was applied for 2024 to update the looks and lighting and add new features including a wide-screen panoramic display on higher-end models. This makes using the Seltos’s advanced features, including turn-signal camera mirrors, and reconfigurable instrument cluster display modes more fun.

With the Seltos X-LIne, you’ve got a long list of must-haves to squeeze the most entertainment value out of every drive, including AWD and the 1.6-liter turbo engine, good for 195 horsepower. It’s gloss-black eighteens underneath, with gloss black roof rails and lower door trim helping round out the look. With a punchy engine and one of the most compelling technology packages in the segment, the Seltos X-Line brings plenty of value to the sub-$30,000 price point, complete with turbocharged power.

3

2025 Ford Escape ST-Line Elite EcoBoost

$36,540

Engine

2.0-liter Inline-4 turbo

Horsepower

250 hp

Torque

280 lb-ft

Transmission

8 AT

Towing

3,500

The latest generation of the Ford Escape is its fourth after an initial 2001 debut put the Escape on the scene as the crossover SUV segment really started to pick up steam. It’s been a popular staple ever since. In 2024, Ford made minor updates to technology and features, such as upgrading the SYNC 4 infotainment system and adding more standard driver-assistance features to help add further market appeal as the Escape enters the final years of its current generation, with a major redesign likely in the next year or two.

The ST-Line Elite has a unique position on our list because of its size and engine. First, the Escape is one of the larger SUVs in this comparison, so if you need extra space for gear, passengers, or a growing family, point your search this way. Many smaller competitors listed here can’t compete on cargo space and rear seating comfort. Second, the ST-Line Elite is the top-dog version of the Escape’s sportiest-available trim grade, making it a fun-to-drive flagship at a reasonable price. Third, you can pick between standard ICE power from the highly-proven 2-liter EcoBoost four-cylinder, or an available hybrid engine for a few bucks more.

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We like the EcoBoost engine for this trim grade: it’s a punchy performer that’s smooth and refined, delivers solid output, and respects your fuel dollars by delivering a major performance boost versus the smaller 1.5-liter EcoBoost engine, with only a slight increase in fuel consumption. Properly equipped, the Ford Escape ST-Line Elite is clear to tow 3,500 lbs of your gear as well.

2

Chevy Trax 2RS

$24,300

Engine

1.2-liter Inline-3 turbo

Horsepower

137 hp

Torque

162 lb-ft

Transmission

6 AT

Towing

NA

The Chevrolet Trax was introduced to the US market in 2013 and has been completely redesigned for 2024. Carrying into 2025, the latest Trax is larger than its predecessor, offering more passenger and cargo space. As a new model, you can expect the Trax Activ to remain current for several years, with no major updates anticipated in the near future.

The 2025 Trax 2RS starts at $24,300 and stands out as a sporty, upscale trim grade with 19-inch wheels, unique badging, red accents, and a dark, focused cabin that has sports car vibes broken up by additional red accenting and generous use of digital screens angled to the driver for a more cockpit-like setup, complete with a center-mounted digital tachometer in sportier drive modes.

Though AWD and towing are not on the table, the Trax’s 3-cylinder engine provides pleasing torque response for low-speed driving in the city and confident merging and passing, while keeping your fuel bill in check. Compact sizing, approachable tech, a dynamic look, and a sport-tuned drive make the Tracks 2RS a solid value for driving fun at the price point, leaving plenty of room for a trip to the accessory catalog.

1

2024 Ford Bronco Sport Badlands

$38,390

Engine

2-liter inline-4 turbo

Horsepower

250 hp

Torque

277 lb-ft

Transmission

8 AT

Towing

2,200 lbs

The Bronco Sport launched along with its big brother, the Bronco, for the 2021 model year. Ford’s website doesn’t offer the 2025 Bronco Sport for sale as of this writing, so we’ll use data from the 2024 Bronco Sport, and specifically, the Badlands, here. Since its launch, Bronco Sport updates have been limited to the launch of new trim grades and options packages, so significant updates aren’t likely in the next year or two.

The $38,390 Bronco Sport Badlands is worth a close look by SUV shoppers whose definition of ‘fun to drive’ includes exploring new places and getting the most out of a capable 4×4 package. The 2-litre EcoBoost engine spins up 250 horsepower, helping enable a respectable 2,200 lb towing capacity. Power is put to the ground by all four wheels, the rear of which are controlled by an upgraded twin-clutch rear-drive unit that unlocks special traction-enhancing abilities by controlling each rear wheel precisely via its own clutch. The highly approachable G.O.A.T. mode controller makes it fun and easy to select the right mode for the terrain, so drivers can sit back and relax while the electronics handle traction management in real-time.

The Bronco Sport Badlands has solid performance and a ride that feels in its element while spiritedly bashing around in the bush. Best of all? That safari-style rear roof means easier loading of your mountain bikes, and a significant rear-seat headroom advantage versus every competitor on this page.

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