Buying your first car or upgrading to a better one can be both exciting and overwhelming especially when you’re working with a budget. For many middle-class families in India, a smart choice under ₹8 lakh can mean reliable performance, great mileage, low maintenance, and modern features without breaking the bank. And in under 10 Lakh there is SUV
In this guide, we walk you through the best cars under ₹8 lakh in 2026, compare their strengths, and help you choose the right one for your needs.
Why ₹8 Lakh Is a Sweet Spot for Middle-Class Car Buyers
An ₹8 lakh budget typically gives you access to:
- Brand-new hatchbacks and compact cars
- Low ownership & maintenance costs
- Good resale value
- Practical family-friendly options
These cars are ideal for daily commuting, small family trips, and occasional highway drives without burning a hole in your pocket.
Maruti Suzuki Alto K10 Budget Champ
Price: ₹3.99 – ₹5.96 lakh (ex-showroom)
Mileage: Up to 24.9 km/l

The Alto K10 continues to be a favorite among first-time car buyers and budget-conscious families. With its light steering, peppy engine, and excellent fuel efficiency, it’s perfect for city driving and tight parking spaces.
Why choose it?
- Lowest price on the list
- Excellent fuel economy
- Easy & affordable to maintain
Maruti Suzuki S-Presso SUV-Styled Hatch
Price: ₹4.26 – ₹6.12 lakh
Mileage: Up to 24.7 km/l

The S-Presso gives you an SUV-like presence with its taller stance and higher ground clearance. It’s compact, fun to drive, and offers a surprisingly spacious cabin.
Why choose it?
- Bold design targeting younger buyers
- Good visibility thanks to elevated seating
- Low running costs
Renault Kwid – Feature Rich Budget Hatch
Price: ₹4.70 – ₹6.45 lakh
Mileage: Up to 22 km/l

The Kwid blends affordability with modern features like a touchscreen infotainment system, digital instrument cluster, and stylish exterior.
Why choose it?
- Competitive feature list for its price
- Attractive SUV-inspired design
- AMT transmission available
Maruti Suzuki Celerio Mileage King
Price: ₹5.37 – ₹7.14 lakh
Mileage: Up to 26.7 km/l

If mileage is your top priority, the Celerio stands out. It delivers some of the best fuel efficiency in its class, making it ideal for long commutes and heavy city traffic.
Why choose it?
- Best-in-class fuel economy
- Smooth and easy automatic transmission (AMT)
- Practical cabin space
Tata Tiago Safety-Focused Choice
Price: ₹5.60 – ₹7.90 lakh
Mileage: Up to 20.1 km/l
If safety matters most to you, the Tiago earns serious points. It’s one of the few cars in this budget with a strong safety record and solid build quality.
Why choose it?
- High safety ratings for its segment
- Comfortable cabin & premium fit-finish
- Fun driving dynamics
Hyundai Grand i10 Nios Comfort & Quality
Price: ₹5.92 – ₹7.85 lakh
Mileage: Up to 20.7 km/l
The Grand i10 Nios is often considered a premium hatchback within the ₹8 lakh range. It offers a comfortable ride, refined interiors, and smooth performance.
Why choose it?
- Comfortable and feature-rich interior
- Strong brand support & resale value
- Balanced performance
Choosing a car under ₹8 lakh doesn’t mean sacrificing quality or comfort. Indian manufacturers now offer vehicles that combine reliability, fuel efficiency, decent safety, and value-packed features all within a middle-class budget.