CARVERSAL

14 Best Cars Under 7 Lakh in India 2025 – Top Budget Picks Compared

May 26th, 2025

Are you also looking for a feature-packed car within your budget? In 2025, the Indian automobile sector is filled with numerous options that suit individual needs, budgets, and preferences. You can choose from the wide range of available cars under 7 Lakh that also combine affordability, comfort, performance, and style. 

Whether you’re a first-time buyer, a city commuter, or someone just looking for a decent upgrade, you can find a perfect car under 7 lakh as per your requirements. You can choose a suitable hatchback, compact sedan, or an entry-level SUV with decent mileage, practical comfort, and modern safety features. All this will be available within your budget of 7 lakh. 

If you’ve a clear understanding of your requirements, then choosing a car under 7 lakh is not a daunting task. The following guide highlights the 14 best cars available in the Indian market under a budget of 7 lakh. Exploring the list of the most reliable and economical picks in 2025 will help you make an informed decision based on your needs and preferences. 

List of Best Cars Under 7 Lakhs in India

Explore our curated list of the best cars under ₹7 Lakhs in India for 2025. These models offer the perfect blend of affordability, features, and performance. All the cars on the list are ideal for first-time buyers, small families, and budget-conscious individuals seeking value and style without compromising on quality. 

Category 

Car Model Name

Approximate On-Road Price

Hatchback

Maruti Suzuki Alto K10

₹6.31 Lakh

Mini-SUV

. Maruti Suzuki S-Presso

₹6.06 Lakh

Hatchback

Renault Kwid

₹5.46 Lakh

Hatchback

Tata Tiago

₹5.57 Lakh

Hatchback

Hyundai Grand i10 Nios

₹5.98 Lakh

Hatchback

Maruti Suzuki Celerio

₹ 5.64 Lakh

MPV

Maruti Suzuki WagonR

₹5.80 Lakh

Hatchback

Tata Altroz

₹ 6.65 Lakh

SUV

Tata Punch (Base Variant)

₹7.00 Lakh

SUV

Hyundai Exter (Base Variant)

₹6.70 Lakh

Sedan

Hyundai Aura

₹6.54 Lakh

Sedan

Maruti Suzuki Dzire

₹6.84 Lakh

SUV

Nissan Magnite (XE Variant)

₹6.38 Lakhs

SUV

Renault Kiger

₹6.15 Lakh

1. Maruti Suzuki Alto K10

Maruti Suzuki Alto K10

The Maruti Suzuki Alto K10 comes in a compact size with low pricing. This is what makes it attractive for first-time buyers. If you’re someone bustling on the Indian urban roads, then this compact-sized hatchback is a perfect choice for you. It’s super simple to maneuver, and it also has an AMT option to offer better convenience. 

Key Specifications

  • Engine: 1.0L K10C Petrol

  • Power: 67 PS

  • Torque: 89 Nm

  • Transmission: 5-speed Manual / AMT

  • Mileage: ~24.39 km/l (Petrol)

  • Fuel Type: Petrol / CNG

  • Seating Capacity: 5

  • Boot Space: 214 litres

  • Safety: Dual airbags, ABS with EBD

  • Infotainment: 7-inch SmartPlay Studio (top variant)

2. Maruti Suzuki S-Presso

Maruti Suzuki S-Presso

This is a compact hatchback with an SUV-inspired styling, ideal for city driving. It can offer supreme performance and impressive mileage. The top features include high ground clearance, touchscreen infotainment, and easy maneuverability. It could be a budget-friendly and youthful choice for urban commuters in 2025. 

Key Specifications

  • Engine: 1.0L K10C Petrol

  • Power: 67 PS

  • Torque: 89 Nm

  • Transmission: 5-speed Manual / AMT

  • Mileage: ~24.76 km/l

  • Fuel Type: Petrol / CNG

  • Seating Capacity: 5

  • Boot Space: 240 litres

  • Safety: Dual airbags, ABS with EBD

  • Infotainment: Touchscreen with smartphone connectivity

3. Renault Kwid

Renault Kwid

When talking about a stylish entry-level hatchback with an SUV-like design, the Renault Kwid stands as a top choice. It has so much to offer, like a digital instrument cluster, touchscreen infotainment, good mileage, and a spacious cabin. The Renault Kwid model could be an ideal choice for those seeking affordability with a bold design. 

Key Specifications

  • Engine: 0.8L / 1.0L Petrol

  • Power: 54 PS (0.8L) / 68 PS (1.0L)

  • Transmission: 5-speed Manual / AMT

  • Mileage: ~22.3 km/l

  • Fuel Type: Petrol

  • Seating Capacity: 5

  • Boot Space: 279 litres

  • Safety: Dual airbags, reverse parking sensors

  • Infotainment: 8-inch touchscreen with Android Auto/Apple CarPlay

4. Tata Tiago

Tata Tiago

The Tata Tiago is known for its strong build quality, excellent safety features, and a refined petrol engine. This hatchback model will offer great value for money because of its premium interiors and attractive design. Dual airbags, infotainment features, safety enhancements, and decent pricing make it an affordable car under 7 Lakh. 

Key Specifications

  • Engine: 1.2L Revotron Petrol

  • Power: 86 PS

  • Torque: 113 Nm

  • Transmission: 5-speed Manual / AMT

  • Mileage: ~19 – 20 km/l

  • Fuel Type: Petrol / CNG

  • Seating Capacity: 5

  • Boot Space: 242 litres

  • Safety: 4-star GNCAP, dual airbags, ABS with EBD

  • Infotainment: 7-inch Harman system (top variants)

5. Hyundai Grand i10 Nios

Hyundai Grand i10 Nios ​

If you’re looking for a premium hatchback with modern styling, spacious interiors, and reliable performance, the Hyundai Grand i10 Nios is the car you might be looking for. This car offers wireless phone connectivity, smooth handling, great ride comfort, and high fuel efficiency. It’s available in diesel, petrol, and CNG variants.  

Key Specifications

  • Engine: 1.2L Petrol

  • Power: 83 PS

  • Torque: 114 Nm

  • Transmission: 5-speed Manual / AMT

  • Mileage: ~20.7 km/l

  • Fuel Type: Petrol / CNG

  • Seating Capacity: 5

  • Boot Space: 260 litres

  • Safety: 6 airbags (top variant), ESC, Hill Assist

  • Infotainment: 8-inch touchscreen with smartphone connectivity

6. Maruti Suzuki Celerio

Maruti Suzuki Celerio

Maruti Suzuki Celerio is an ideal option for everyday commuters as it offers the best-in-class mileage. This is because of its 1.0L DualJet engine and the feature of Auto Gear Shift (AGS). You’ll get a roomy cabin, a practical design, and high-end engine performance. If you’re someone seeking convenience and economy, then this is the go-to option for you. 

Key Specifications

  • Engine: 1.0L K10C Petrol

  • Power: 67 PS

  • Torque: 89 Nm

  • Transmission: 5-speed Manual / AMT

  • Mileage: ~25.24 km/l (Petrol), 34.43 km/kg (CNG)

  • Fuel Type: Petrol / CNG

  • Seating Capacity: 5

  • Boot Space: 313 litres

  • Safety: Dual airbags, ABS with EBD

  • Infotainment: 7-inch SmartPlay Studio

7. Maruti Suzuki WagonR

Maruti Suzuki WagonR

The Maruti Suzuki WagonR is a highly popular model among budget-conscious and middle-class buyers. It offers highly innovative and premium features at a low price, making it a suitable choice for urban families. It also has low maintenance costs with no additional high-end expenses, and has a great resale value in the market. 

Key Specifications

  • Engine: 1.0L & 1.2L Petrol

  • Power: 67 PS (1.0L) / 89 PS (1.2L)

  • Transmission: 5-speed Manual / AMT

  • Mileage: ~24.35 km/l (Petrol), 34.05 km/kg (CNG)

  • Fuel Type: Petrol / CNG

  • Seating Capacity: 5

  • Boot Space: 341 litres

  • Safety: Dual airbags, ABS with EBD

  • Infotainment: 7-inch touchscreen

8. Tata Altroz

TATA Altroz

The Tata Altroz is an exceptional choice for those keeping safety as a priority. You can rely on this car as it has received a prestigious 5-star Global NCAP safety rating. When talking about unmatched safety features with a sporty design, Tata Altroz remains a worth considering hatchback car under 7 lakh. 

Key Specifications

  • Engine: 1.2L Petrol

  • Power: 88 PS

  • Torque: 115 Nm

  • Transmission: 5-speed Manual

  • Mileage: ~18.5 – 19.3 km/l

  • Fuel Type: Petrol / CNG

  • Seating Capacity: 5

  • Boot Space: 345 litres

  • Safety: 5-star GNCAP rating, dual airbags, ABS

  • Infotainment: 7-inch touchscreen with Harman sound

9. Tata Punch (Base Variant)

Tata Punch (Base Variant)

The Tata Punch base variant is one of the most reliable car options available under 7 lakh. It has a solid construction and offers high ground clearance, making it perfect for Indian roads. The base variant has an SUV-like design with a robust build, impressive safety features, versatility, and performance. You can get all this even on your tight budget. 

Key Specifications

  • Engine: 1.2L Revotron Petrol

  • Power: 88 PS

  • Torque: 115 Nm

  • Transmission: 5-speed Manual

  • Wheelbase: 2445 mm

  • Mileage: ~20.09 km/l

  • Fuel Type: Petrol

  • Seating Capacity: 5

  • Boot Space: 366 litres

  • Safety: 5-star GNCAP rating, dual airbags

10. Hyundai Exter (Base Variant)'

Hyundai Exter (Base Variant)

When looking for cars under 7 lakh, the Hyundai Exter base variant can offer you everything as a small SUV. This base variant is highly popular in the Indian market due to its strong build and dramatic design. It comes with all the essential features and a good space. The Hyundai Exter targets urban drivers looking for a stylish and affordable SUV. 

Key Specifications

  • Engine: 1.2L Kappa Petrol

  • Power: 83 PS

  • Torque: 113.8 Nm

  • Transmission: 5-speed Manual

  • Mileage: ~19.4 – 20.1 km/l

  • Fuel Type: Petrol / CNG

  • Seating Capacity: 5

  • Boot Space: 391 litres

  • Safety: 6 airbags standard

  • Infotainment: Basic in base variant

11. Hyundai Aura

Hyundai Aura

If you also wonder whether you can have a sedan car under 7 lakh or not, then the Hyundai Aura is the answer for you. It’s a trendy sedan equipped with the latest technologies, modern design, and comfortable interiors. You can have supreme comfort and a pleasant ride experience with the Hyundai Aura sedan. 

Key Specifications

  • Engine: 1.2L Petrol

  • Power: 83 PS

  • Torque: 114 Nm

  • Transmission: 5-speed Manual / AMT

  • Mileage: ~20.3 km/l (Petrol), 28 km/kg (CNG)

  • Fuel Type: Petrol / CNG

  • Seating Capacity: 5

  • Boot Space: 402 litres

  • Safety: 4 airbags standard, optional 6 airbags

  • Infotainment: 8-inch touchscreen (top variant)

12. Maruti Suzuki Dzire

 Maruti Suzuki Dzire

The Maruti Suzuki Dzire has always been a top choice among Indian consumers. It is a compact sedan, offering superb mileage, elegant styling, low maintenance costs, and great fuel economy. You’ll also get high-end features like touchscreen infotainment and spacious seating. The Dzire model is a solid option for buyers seeking comfort, practicality, and value. 

Key Specifications

  • Engine: 1.2L DualJet Petrol

  • Power: 90 PS

  • Torque: 113 Nm

  • Transmission: 5-speed Manual / AMT

  • Mileage: ~22.41 km/l (Petrol), 31.12 km/kg (CNG)

  • Fuel Type: Petrol / CNG

  • Seating Capacity: 5

  • Boot Space: 378 litres

  • Safety: Dual airbags, ABS with EBD

  • Infotainment: 7-inch touchscreen

13. Nissan Magnite (XE Variant)

Nissan Magnite (XE Variant)

The Nissan Magnite XE variant is a great vehicle option for those looking for a budget-friendly SUV without compromising on the premium features. It offers a bold design, good ground clearance, ample cabin space, and all the essential safety features. The XE variant also comes with innovative features like wireless Apple CarPlay and Android Auto. 

Key Specifications

  • Engine: 1.0L NA Petrol

  • Power: 72 PS

  • Torque: 96 Nm

  • Transmission: 5-speed Manual

  • Mileage: ~19.35 km/l

  • Fuel Type: Petrol

  • Seating Capacity: 5

  • Boot Space: 336 litres

  • Safety: Dual airbags, ABS with EBD

14. Renault Kiger

Renault Kiger

Renault Kiger is a sporty and feature-rich compact SUV available in a base variant under ₹7 lakh. It combines functionality with athleticism, offering spacious interiors, cutting-edge infotainment, and strong road presence. The Kiger is an attractive option for budget SUV enthusiasts who seek modern styling and good fuel economy. 

Key Specifications

  • Engine: 1.0L NA Petrol

  • Power: 72 PS

  • Torque: 96 Nm

  • Transmission: 5-speed Manual

  • Mileage: ~19.17 km/l

  • Fuel Type: Petrol

  • Seating Capacity: 5

  • Boot Space: 405 litres

  • Safety: Dual airbags, ABS with EBD

  • Infotainment: 8-inch touchscreen (in higher variants)

Best Picks Based on Category

Here are some of the best car options under ₹7 Lakh in 2025, categorized based on usage, features, and value to help you decide better. 

Category

Best Car Under ₹7 Lakh

Why It Stands Out

Best Mileage Car

Maruti Suzuki Celerio CNG

Excellent mileage and best for budget-conscious buyers

Best City Drive Car

Maruti Suzuki Alto K10

Compact design and excellent fuel efficiency

Best Safety Features

Tata Tiago

Dual airbags, ABS with EBD, and solid build quality

Best for First-Time Buyers

Renault Kwid

Attractive design, user-friendly features, and value for money

Best Mini SUV

Tata Punch Pure

SUV-like stance, high ground clearance, and feature-rich, even in the base model.

Best CNG Option

Maruti Suzuki WagonR CNG

Reliable engine, spacious interiors, and impressive mileage of 34.05 km/kg (CNG)

READ ALSO: Top 10 Luxury Cars in India: Cost, Mileage & Buying Tips

Conclusion

Choosing the right car under ₹7 lakh in 2025 depends mainly on your requirements. The Indian automobile market has something to offer to budget-conscious buyers with different preferences for mileage, space, or features. 

From hatchbacks to sedans, you may get excellent value-packed options under your ₹7 Lakh budget. Always remember to assess your priorities, compare the features and specifications, and pick the model that best suits your lifestyle needs and budget.

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