What is the Cheapest Volvo?

With a starting MSRP of $36,350, the Volvo XC40 is currently the cheapest car on the market from this luxury automaker.
Written by Kathryn Mae Kurlychek
Reviewed by Jessica Barrett
Style and safety are surprisingly affordable in the latest XC40, which happens to be Volvo’s cheapest car on the market. 
Volvos are known for being powerful, safe, and economical—and they do it all in style. That’s part of what makes these stylish Swedish automobiles perfect for the occasional or everyday driver alike. But if a luxury price tag is preventing you from getting behind the wheel, don’t worry—we’re here to talk about the cheapest Volvo you can buy. 
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The XC40 is the cheapest Volvo you can buy

Starting at a base MSRP of $36,350, the XC40 is Volvo’s cheapest model on the market. 
New for 2023 in the XC40 is a mild hybrid system (MHEV) for both available powertrains, which boosts this subcompact luxury crossover SUV’s average mileage by about 1 mpg. Additionally, the latest XC40 has also received a refreshing update to its upper trim levels, adding refined touches like auto-dimming mirrors and synthetic leather upholstery to Volvo’s already stunning interior design. 
The base trim of the XC40 is called the Core model, which we think is an apt way to describe its numerous features: it includes all of the core features you’re looking for in a luxury crossover SUV, with none of the extra bells and whistles. 
Standard features in the base trim include a 9-inch Google infotainment system, a dual-zone climate control system, and a power-adjustable driver’s seat. Also included is Volvo’s comprehensive suite of safety and driver’s assistance features. 
If you’re someone who likes the added flair of upper trim levels, you’ll have to be willing to spend a little more on Volvo’s cheapest model:
  • Plus trim: Starting at $42,000
  • Ultimate trim: Starting at $45,000

How much cheaper is the Volvo XC40?

The 2023 XC40 is 5,000 cheaper than the next cheapest Volvo, and over $17,000 cheaper than its all-electrified counterpart, the XC40 Recharge, which has an impressive starting MSRP of $53,550. Here are the current starting prices for Volvo’s other new models: 
  • 2023 Volvo C40 Recharge: $55,300
  • 2023 Volvo S60 Recharge: $51,250
  • 2023 Volvo S90: $57,000
  • 2023 Volvo S90 Recharge: $70,500
  • 2023 Volvo V60 Cross Country: $48,800
  • 2023 Volvo V60 Recharge: $70,550
  • 2023 Volvo V90 Cross Country: $58,450
  • 2023 Volvo XC60: $43,400
  • 2023 Volvo XC90 Recharge: $71,900
  • 2023 Volvo XC60 Recharge: $57,200
The pure-electric Volvo EX90—slated to release in 2024—is expected to have a starting MSRP at or around $80,000, making it the most expensive Volvo to be. 
MORE: Are Volvos expensive to maintain?

How to find an affordable Volvo

As a luxury division of cars, you’ll be hard-pressed to find a new Volvo for anything less than $30,000—and that’s already being generous. The high-end style and suite of convenience features standard in Volvo vehicles has helped the brand earn a reputation for reliability and safety that’s often well worth the money you spend. 
But if you’re looking for ways to keep the price of your Volvo purchase low, here are some tips: 
  • Stick to the base model. One perk about a luxury brand like Volvo is even the base models are impressively equipped, so you don’t have to splurge on upper trim levels for access to modern features or amenities. 
  • Avoid unnecessary upgrades. While it’s tempting to add on optional packages, the extra thousand or two here or there can have a bigger impact than you might realize on your bottom line. That’s why it’s a good idea to skip optional perks and opt only for what’s already included in the price. 
  • Go used. The Volvo brand dates back 95 years—we’re not saying you should shop for a 1920s Volvo, but choosing a vehicle that’s a couple of years old can help lower the price you pay without sacrificing stylish comfort or convenience features. 
  • Look for dealer incentives. Keep your eyes peeled for special events and dealer-run discounts that can help you buy a Volvo for less! 

The best Volvo XC40 competitors you can buy for under $40,000

You won’t find a cheaper new Volvo than the XC40—but there are competitors out there for around the same price that can offer you the same (or more) bang for your buck: 
  • 2022 Mercedes-Benz GLB-Class: A starting MSRP of $38,600 puts the latest GLB-Class slightly above the XC40 in terms of price, but the tradeoff is a roomier cabin with more space for cargo. And if you like the somewhat boxier look of an XC40, the GLB-Class might also satisfy your tastes. 
  • 2023 BMW X1: Redesigned for 2023, the latest X1 kicks off the third generation of the brand’s classic entry-level SUV, with improved safety and tech features and upgraded space and style—all at a price point of just $38,600. 
  • 2023 Audi Q3
    : Audi’s smallest SUV starts at $36,800 and features a turbocharged four-cylinder engine and standard all-wheel drive in every vehicle. 
  • 2023 Lexus NX: If you’re looking for an all-around solid vehicle that checks all the boxes, the latest Lexus NX could be for you. Starting at $38,350, the NX is smaller than the XC40—but what it lacks in size it makes up for in practicality and performance. 
  • 2023 Volkswagen Tiguan
    : If you’re looking to save some extra cash, why not consider a Tiguan? With a starting MSRP of just $26,950, it may not have the upscale design or luxury leanings of the other vehicles included on this list, but it’s nonetheless a functional compact crossover with a surprising amount of space—enough to fit seven passengers. 
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