Family Cars for Under $400 a Month
Think a $400 monthly budget can’t upgrade your family car?! Think again! With the market seemingly as expensive as ever, it scares a lot of people out of even considering shopping for a new-to-you vehicle. I want to make it clear, cars within your budget are available - you just need to know where to look and what to prioritize.
If you’re new here - welcome! I’m Kelly the Car Mom and as a CPST, mom of three, and overall family vehicle lover, I want to help you find a vehicle you love at a price you can afford. Without any further introduction, let’s break down how to find family cars for under $400 a month + some of my top vehicle recommendations.
Pre-Owned Vehicles Are The Way To Go
I know there’s a lot of anxiety around buying pre-owned vehicles, but there shouldn’t be. The pre-owned car market exists for a reason (and a good one at that)! Here are a few reasons to help you warm up to the idea of shopping on the used car market:
Better Investment
It's true, pre-owned vehicles provide a much better bang for your buck. New vehicles depreciate rapidly, sometimes up to 30% in the first year. Shopping pre-owned allows you to get the car you’re interested in at a lower price, all while holding its value better.
If you want a brand new car, more power to you! But it’s essentially impossible that you’re going to get under a $400 per month car payment without putting a large portion down.
Proven Reliability
I always recommend to consider the vehicle's reliability score when searching for a car. If a car has gracefully reached the 50,000 or 100,000-mile milestone, it's a promising indicator that, with regular maintenance and care, it has plenty of life left to support your family.
If you’re concerned about the big 100k mile mark, check out this blog post that answers the question: how many miles is too many miles here!
It's important to remember that no vehicle is free from maintenance and repairs, but this is just part of owning a car! Car manufacturers outline maintenance up to 200,000 miles for a reason—they're confident in their vehicles' longevity.
Safety + Tech Still Available
There's a common misconception that pre-owned vehicles fall short when it comes to safety features and technology. I'm here to tell you, that's simply not true. In fact, the evolution of what I like to call "enjoyable" safety and tech features in cars hit a sort of peak around 2017-2018. For example did you know that as of May 1st 2018 every new car most be equipped with a backup camera standard.
What this means is that vehicles from those years often come equipped with some of the very same features you'd find in the brand new models on today's market. The differences, if any, are minimal and mostly cosmetic. T
he real advantage of opting for a pre-owned car, especially from a cost perspective, is the potential to upgrade to a higher trim level. This upgrade can afford you access to an array of additional features, ones you might not have been able to afford if you were shopping for a new car. This makes going the pre-owned route not just a savvy financial decision, but a choice that doesn't compromise on safety and technology.
How To Shop The Pre-Owned Market
The Car Mom’s mission is helping families of all sizes and budgets find their next family car! If you’re looking for a car under $400 a month, this list is for you. Keep in mind these are just broad suggestions, miles and condition will play a role into which cars fit into this strict budget.
Before just blindly shopping around for vehicles that may fit your needs, the first step is figuring out how much CAR fits into your budget. I love using our car payment calculator because it allows you to work backwards. All you have to do is type in your desired monthly payment and it will calculate your max vehicle price.
Is a $400 Per Month Payment Really Possible in 2024?
Achieving a car payment around $400 per month boils down to two primary strategies: reducing the purchase price or increasing your down payment.
To lower the purchase price, aiming for older models with a total purchase price between $20,000 and $25,000 is a smart move, especially when taking current interest rates into account. It's important to remember that interest rates can vary significantly based on your credit score and the institution you choose for financing. Although it's challenging to guarantee that every vehicle recommended will have a monthly payment under $400, focusing on vehicles within this price range is a solid approach. These models are not only affordable but also promise to offer value, falling close to the desired $400 monthly payment, given all factors are considered.
To achieve a $400 payment with 0 down and good credit, we are likely looking at a car with a purchase price of $20-$25k. The list I’ve compiled of pre-owned cars to look at will reflect this price estimate.
A great place to start when shopping the pre-owned market is Edmunds. You can filter cars by your desired monthly payment. Keep in mind this is just an estimate, but it really helps you understand the current market and what you can afford.
My Pre-Owned Family Vehicle Recommendations
It goes without saying your priorities are not necessarily going to fit within these vehicle parameters. These are just suggestions to help sway you in the right direction of finding a family vehicle that will prove reliable on the pre-owned market and in your garage for years to come.
Toyota Sienna
It's no secret minivans are family haulers! That’s exactly why I love them. If you’re on a budget, but need a large car, minivans are the way to go. They are more affordable than the large full size SUVs, plus offer great space.
Of the four minivans on the market, the Toyota Sienna is my pick for under $400 a month. Their reliability is best and the car itself is an excellent option for families. You get a second and third row with third car seats across capabilities, plus a trunk that can fit a double stroller with ease. Did I mention you get Stow and Go seats if you find captain’s chairs in the second row? This means even more space available. Toyota really focuses on the little details, including ceiling vents and tons of storage options.
Although there’s not much I dislike about this vehicle, I have two complaints: the exterior and door. The car is designed to mimic a Japanese bullet train and it definitely achieves that, but there are better looking minivans on the market. As for the doors, I don’t understand why they don’t open wider! Half the reason to love a minivan is for their sliding doors, but I just need a few more inches of space to be able to buckle easier.
No vehicle is perfect, so you’re looking at a really excellent option on the pre-owned market that will be an absolute hauler no matter how large your family grows to be.
Kelly’s Year Recommendation: To fit in the $400 a month budget, you're likely looking at a 2016-2018 model year. I encourage you to not be scared of high miles - just ensure it was well maintained.
Honda Pilot
New, used, old, the latest model, the Honda Pilot is one of my personal favorite vehicles to recommend to almost any family. The Pilot received a redesign for 2023 and is in the running for the Car Mom’s 2023 Car of the Year! No matter which model you’re looking into, it lives up to Honda’s “king of the carpool lane” nickname.
Depending on what year of Honda Pilot you’re looking into, you may find a boxier or more seamless design. While I personally prefer the boxier look in the redesign, the interior functionality of the previous generation is still very impressive.
As for the interior, this is one of the roomiest three row SUVs in its category. The first row is really comfortable, and the wide bench seat makes the Honda Pilot a good 3 across candidate. The trunk is a decent size even with the third row up really making the Pilot a Functional Family Hauler.
Honda has great reliability reputation and the Pilot is no exception! This car should be able to make it to 200k miles so don’t be scared of a high mileage well maintained Pilot.
Kelly’s Year Recommendation: To get within the $400 budget you will likely be looking at the 2016-2018 model year.
Ford Edge
For a five passenger SUV, the Ford Edge is a hauler. This is the largest mid-size SUV Ford offers and from here, you’d have to step up into the full-size category. If you are looking for a SUV this size and within the $400 a month budget, this is an excellent vehicle to test drive.
The Ford Edge is being discontinued, but that doesn’t mean previous models can’t be a great option for your family. It may even mean you can snag a better deal as this model is phased out.
Depending on the Ford Edge year you’re looking at, most likely you will get the second generation redesign. This generation debuted in 2015 with minor tweaks and updates throughout the year. If you have room to play around with trim levels, the Ford Edge comes with a lot of fun blacked-out exterior options.
As for the interior, this is quite a large five passenger SUV. Knee and head clearance is excellent in the second row, but most importantly the 60/40 bench is both deep and wide. It is a good candidate for some 3 across situations. This gives you a lot of flexibility with car seat installation. Lastly, the trunk is huge. There’s storage in the back and enough room for a double stroller.
Kelly’s Year Recommendation: To get within the $400 budget you will likely be looking at the 2018-2021 model year.
Subaru Forester
If you’re looking for an all-wheel drive SUV (that comes standard) the Subaru Forester is your family vehicle. Known for its safety for families, many used Subaru Forester’s will include seat pre-tensioners in the second row. This is very uncommon to see, but a huge safety plus.
Getting into the interior, while it may look like a standard five passenger SUV, there’s a lot going on. Comfort is great in the first row and although it’s nothing too crazy, you get a smooth ride. With the second row, the Forester’s bench is really wide and reclines (something you don’t see in every vehicle). This makes it an excellent candidate for a variety of car seats. Lastly, trunk space is pretty decent.
Kelly’s Year Recommendation: To get within the $400 budget you will likely be looking at the 2018-2020 model year.
Have you ever shopped the used car market? Let me know in the comments! And to keep up with the latest car buying tips, check out my recent posts:
