Top 10 Underrated New Vehicles That Deserve Some Love

It's the start of a new year. Which also coincides with a flurry of car-of-the-year awards. Typically, these accolades go to "all-new" cars entering the market. And with hundreds of new models available, some vehicles inevitably get left behind in consideration.

There are plenty of reasons these underrated new cars may not be top of mind. Some have been on the market for a while, don't get any marketing support from their makers, or are soon to be replaced with something newer. Regardless, if you're in the market for a new car, here are 10 underrated new vehicles that don’t get much spotlight but still deserve some attention.

Alfa Romeo Giulia

With so many of the latest sport sedans focusing on high-tech gadgetry over an engaging driving experience, we're thankful that Alfa Romeo continues to offer its Giulia. Often overlooked, Alfa's compact sport sedan delivers a rare blend of old-school Italian style and luxury, with satisfying driving dynamics at a very competitive price.

Starting at around $64,000, the Giulia comes standard with a 2.0-litre turbocharged four-cylinder gas engine making 280 horsepower. It's matched to ZF's excellent eight-speed automatic transmission that's known for its quick shifts. Standard all-wheel drive (AWD) also makes the Giulia a practical sport sedan for all four seasons.

Whether you're driving in the winter, spring, summer, or fall, the five-passenger Alfa’s near-perfect 50/50 weight distribution and responsive handling provide a connected feel that’s missing in some of its German rivals. Its interior is also driver-focused. Unlike some rivals with overwhelming screens, the Giulia's physical controls and quality materials amplify its focus on being a driver's car.

2026 Chevrolet Trax

In Canada, the $30,000 price point has become the baseline for what's considered an "entry-level" new car. For buyers who haven't been in the market for a few years, that may cause some severe sticker shock. But the good news is that today's so-called "entry-level" models are miles ahead in value, offering the technology, features, practicality, and safety found in mid-size vehicles from a decade ago. A great example is Chevrolet's Trax.

The Trax is marketed as a subcompact SUV. But let's be honest here. It's only available with front-wheel drive (FWD), has a low-slung look, and drives more like a large hatchback. With starting prices under $27,000, the 2026 Trax comes with a peppy turbocharged 1.2-litre three-cylinder gas engine that delivers 137 horsepower and is paired with a six-speed automatic transmission. With automatic stop/start technology, it achieves an 8.1 L/100 km combined fuel-economy estimate.

The Chevy's cabin is no entry-level penalty box, either. Despite its subcompact designation, it offers ample room for up to five passengers and cargo, along with modern design and large touchscreens. Available higher trims (Activ, RS) add bold colours and a bit of personality to what is already a car that punches above its price class.

2026 Kia K4 Hatchback

Unlike Chevrolet, Kia is not trying to fool anyone. The term "Hatchback" is right there in the badge of the more practical version of its existing K4 compact sedan. This new model replaces the Forte 5. And like its sedan sibling, the five-passenger front-drive K4 Hatchback gets concept-car-like styling and a remarkably roomy interior that leads its segment in rear legroom.

It's also an underrated value. Base 2026 models start at under $25,000. A great price, considering you're getting an abundance of tech (digital driver instrumentation, 12.3-inch multimedia touchscreen, Kia Connect with over-the-air updates), strong safety features (cruise control with stop-and-go), and goodies (like remote engine start and heated front seats). As for power, a 2.0-litre four-cylinder making 147 hp with an eight-speed automatic transmission is standard. But a turbocharged version, with 190 hp, is available on the $35,000-plus K4 GT-Line, which also adds sportier suspension tuning.

Offering SUV-like versatility (spacious cargo, rugged looks) but with hatchback efficiency, better handling (lower centre of gravity), and lower pricing/running costs than actual small SUVs, the new K4 Hatchback certainly deserves as much attention as some of its more high-profile rival hatchbacks, such as the Honda Civic, Mazda3, and Toyota Corolla.

2026 Honda Ridgeline

The industry's experience with battery-electric pickup trucks has, if not failed outright, been put on the back burner. But for almost 20 years, there's been a quiet, non-plug-in alternative to thirsty full-size pickup trucks: the Honda Ridgeline.

This Ridgeline generation has been around since 2017. Because it's built on a unibody platform (similar to the Honda Pilot and Passport mid-size SUVs) instead of a traditional truck's body-on-frame architecture, the Ridgeline offers exceptional daily driving comfort, practicality, and clever features (like the in-bed trunk and dual-action tailgate) that appeal to most everyday drivers.

Albeit with only a 3.5-litre six-cylinder and 280 hp, the over $52,000 AWD Honda pickup's towing limit of 2,268 kilograms (5,000 pounds) can't match those of larger trucks. But the five-passenger Ridgeline's versatility, car-like handling, and better fuel economy (11.5 L/100 km combined) are more than enough for a lot of truck buyers.

2026 Mitsubishi Outlander PHEV

It's just not electric trucks that have lost their lustre. Sales of battery-only new vehicles are slowing. But for Canadians looking for the best of both worlds, plug-in electric hybrid vehicles (PHEVs), like the Mitsubishi Outlander, are highly underrated. Why? Well, for starters, they offer the ability to be driven on electric power alone for shorter trips, backed by the reassurance of a gas engine for long trips.

With a starting price under $49,000, the Outlander PHEV packs a lot into its compact SUV package. A 2.4-litre four-cylinder gas engine plus twin electric motors (one up front, and one out back for traction to all four wheels) are powered by a battery, delivering a combined 248 horsepower. For efficiency aficionados, the plug-in Mitsubishi offers a 61-kilometre electric-only range, 687 km of total driving range, and a 3.6 L/100 km city and highway combined estimate.

From an accountant's perspective, the Outlander also offers excellent value. Unlike its Ford Escape, Hyundai Tucson, Kia Sportage, or Toyota RAV4 PHEV rivals, the Mitsubishi has seats for up to seven passengers. It also offers near-luxury amenities, including heated seats with ventilation and a massage function for both the driver and the passenger.

2026 Subaru Trailseeker

If going electric is still at the top of your new car wish list, Subaru's new Trailseeker SUV could be one of 2026's sleeper buys. The Trailseeker is Subaru's take on the Toyota bZ Woodland, a stretched, more rugged version of the standard electric bZ, comparable to the Subaru Solterra models. Pricing hasn’t been announced as of this writing, but early estimates suggest under $40,000 for the base trim.

The five-passenger Trailseeker fills a niche between smaller compact and larger three-row SUVs. The electric bits include a 74.7-kWh battery that Suabru estimates will deliver about 420 kilometres of range per charge. Onboard battery preconditioning for fast charging at warmer or colder temperatures, and a standard Tesla-style charging port, offers the latest in charging tech.

As a Suabru, the Trailseeker is expected to deliver a modicum of inclement-weather and mild off-road capability. As such, the Suabru includes a dual-function X-Mode AWD system, plus tech like grip control, downhill assist, and 210 millimetres of ground clearance, making this an electric SUV that's not afraid to get its tires dirty. It also produces 375 horsepower and accelerates from zero to 96 km/h in a claimed 4.3 to 4.4 seconds range, making the Trailseeker the fastest-accelerating Subaru production vehicle ever.

2026 Toyota Corolla Hybrid

Since Honda launched its hybrid Civic compact for the 2025 model year, it's been heaped with praise from critics and reviewers alike. One could argue that the existing Corolla Hybrid sedan is the better buy if you prioritize a lower price, better fuel economy, and available AWD.

While a Civic Hybrid sedan starts at over $34,000, the base FWD Corolla Hybrid is about $4,000 cheaper. It also employs Toyota's tried-and-true hybrid technology. The familiar 1.8-litre four-cylinder Atkinson-cycle engine, mated with electric motors, produces a combined 138 horsepower and is delivered through an electronic continuously variable transmission (eCVT). The Toyota hybrid's combined fuel-economy estimate of 4.7 L/100 km is also better than the Honda's 4.9 L/100 km estimate. A major consideration for Canadian drivers, the Toyota offers AWD as an option for $1,500.

For budget-conscious buyers seeking dependable, efficient, safe (with a robust suite of standard safety features), and affordable transport, the five-passenger Corolla Hybrid is an underrated value. And for 2026, even the base model includes desirable new standard features such as blind-spot monitoring with rear cross-traffic alert and a 7.0-inch digital gauge cluster.

As a counterpoint to the “Miata is always the answer” zealots, the $40,000+ Ford Mustang gang, or the $50,000+ Nissan Z and BMW 2 Series Coupe fans, we'd like you to consider the mid-$35,000 Subaru and Toyota twins as under-the-radar sports car alternatives.

Now in their second generations, the BRZ and GR86 remain faithful to their original development ethos of being "back-to-basics" sports cars, offering a lightweight chassis, tactile steering, and a manual transmission (and handbrake). While their 228-horsepower 2.4-litre four-cylinder gas engine isn't a powerhouse by today's standards, the twins' lightness and balance make them feel lively and allow drivers to explore their limits in a safer, more forgiving manner on public roads or tracks.

In a world where "sports car" often equates to extreme speed and massive horsepower, the BRZ / GR86 twins cater to a niche audience of enthusiasts who value driver feedback, balance, and mechanical connection over raw straight-line speed. And unlike the Miata, they offer two small back seats and a decent-sized trunk when the seats are folded down, adding a level of daily usability not typically found in a dedicated sports car.

2026 Volkswagen Jetta

Did you know that there's a new four-door sedan that blends German engineering with practicality, great fuel economy, a comfortable ride, and sophisticated tech, all for under $27,000? No? Then let us let you in on the secret. It's called the Volkswagen Jetta, a more mature and well-rounded compact sedan than it often gets credit for.

The FWD, five-passenger Jetta isn't the freshest metal on the market. The most recent, seventh generation was introduced in Canada in 2018, for the 2019 model year. It still packs desirable tech (IQ.Drive, digital cockpit) and comfort (heated seats, dual-zone climate) for its price. Its cabin rivals some pricier mid-size sedans for adult-sized room, and its trunk space is generous for its class, which only gets larger thanks to split-fold rear seats.

The Jetta also gets an excellent 7.2 L/100 km combined fuel economy estimate, thanks to its turbocharged 1.5-litre four-cylinder gas engine and eight-speed automatic transmission. If you want more fun behind the wheel, there's also the Jetta GLI. A sleeper sports sedan for just over $35,000, the GLI gets a larger, 2.0-litre turbocharged four-cylinder making 228 hp, with a choice of a six-speed manual or a seven-speed dual-clutch automatic transmission.

2026 Volvo XC60

You could argue that Volvo is underrated as a brand. With a design philosophy centred on minimalism and understated elegance, its vehicles appeal to buyers who prefer "silent luxury" over more obvious status symbols from BMW or Mercedes-Benz. While highly regarded in its native Sweden and by loyal customers, this subtlety doesn't translate as well to other markets where opulence and flashiness are often the hallmarks of luxury. As such, Volvo's best-selling model in Canada, the underrated mid-size XC60 SUV, personifies Volvo's blend of Swedish design, safety, and efficient performance.

With a starting price of over $61,000, the XC60 is a few thousand dollars less than its German rivals: the Audi Q5, BMW X3, and Mercedes-Benz GLC Class. The XC60's serene cabin offers exceptionally comfortable seats and creates a calm driving experience, prioritizing well-being over aggressive sportiness. There's also Volvo's legendary safety, excellent cargo space, and practical features like a standard power liftgate.

The standard powertrain is a 247-horsepower AWD mild-hybrid that returns a reasonable 9.0 L/100 km. For under $70,000, here's also a plug-in hybrid version. It can be driven 58 km on electricity, similar to an overall estimate of 8.5 L/100 km, yet it has an unexpected 455 hp rating.