Half a grand, a monkey – £500, in other words – is a good chunk of change to spend on a car every month. And if you like the finer things in life, that kind of money opens up a whole world of possibilities when you’re looking for a new car deal. On this page, we’re highlighting some of the best cars for £500 per month that are available right now.
There’s upmarket saloons, a couple of posh SUVs, even one of the very finest sports cars on the market. You’ll find both personal contract purchase (PCP) and leasing deals.
Get a PCP deal and you pay a deposit up front, then a number of monthly payments over a set period. At the end of that period, you can then make the optional final payment to buy the car outright, or hand it back.
Leasing – also known as personal contract hire, or PCH – is much the same as renting, just over a longer term. You make an initial payment, then a series of monthly payments at the end of which you hand the car back.
If £500 a month is a bit too steep for you, check out our page rounding up the best deals available for £400 a month.
Best new cars for £500 a month 2024
Brilliant driver's car, no matter what it looks like
It is a serious piece of machinery, and it serves up remarkable performance – both in a straight line, and in corners. It’s also great fun to drive, loaded with kit, and it feels like a high-quality product. The M2 comes in at a little over budget but when you're talking about a car like this, it pays to stretch your finances if you can.
To find out more, read our full BMW M2 Series review
Pros
- Engaging and exciting to drive
- Comfortable and quiet when cruising
- Modern and high-quality feel
Cons
- Expensive compared with rivals
- Challenging styling
An excellent left-field performance saloon
So, should you take one over a Tesla Model 3? In the Seal’s favour, its interior is more welcoming, it’s better built and there’s more room inside. It’s a close call. But overall, it's a very convincing Chinese-built electric saloon, and its strength across the board is genuinely surprising.
To find out more, read our full BYD Seal review
Pros
- Stylish, sleek and spacious
- Excellent range and performance
- Very well equipped
Cons
- Almost no brand awareness
- A Tesla Model 3 is easier to live with
Smart-looking family-size SUV that’s comfy and practical
Even the entry-level Sport model comes with Apple CarPlay/Android Auto, satnav, heated leather seats and adaptive cruise control. The mid-ranking 40 powertrain offers 204hp. The big question is whether you thnk the kudos of the four rings on the bonnet is woirth the premium over a lower-priced, but technically simialr Skoda Enyaq iV.
To find out more, read our full Audi Q4 E-Tron review
Pros
- 300-mile range
- Five-adult space
- Smooth and quiet to drive
Cons
- Interior could be plusher
- Irritating touch controls
All the space of a i5 or EQE without the price premium
Yes, it’s slower than the Tesla Model 3 and BYD Seal, but it’s also larger and considerably more accommodating for anyone who regularly ferries around people and their luggage. As an alternative to the BMW i5 or Mercedes-Benz EQE, though, it looks little short of a bargain. It's also under budget, which makes it even more appealing.
To find out more, read our full Volkswagen ID.7 review
Pros
- Huge official range
- Nicely judged interior
- Comfort and refinement
Cons
- Infotainment still a bit fiddly
- Not Tesla fast
Still the classiest mid-sized SUV for your money
That said, the opposition is strong. Audi’s Q3 and Q3 Sportback are both very well-rounded, while the Volvo XC40 majors on tech, plus there’s an all-electric Recharge version to choose from. For now, the Evoque is still the best premium SUV for the money – but the opposition is rapidly catching up.
To find out more, read our full Range Rover Evoque review
Pros
- Comfortable, refined and grown-up
- Plug-in hybrid version adds appeal
- Still our favourite premium SUV
Cons
- It's costly when loaded
- Petrol models' high running costs
Cool, all-electric people carrier
It is also very good to drive. It’s quiet, comfortable and more than brisk enough. You’ll have to make sure the complications of running an EV can fit into your lifestyle, but this is otherwise a fab family wagon. As long as you don’t need three sets of Isofix across the rear seat.
To find out more, read the full Volkswagen ID.Buzz review
Pros
- Excellent driving experience
- Reasonable range per charge
- Exceedingly desirable inside and out
Cons
- Disappointing back seat
- Usual VW touch-control issues
Spacious SUV that looks great and feels it to drive
For a smidge under £500 a month you get the R-Dynamic SE Black model which comes with satnav, Apple CarPlay/Android Auto, wireless charging pad and electrically adjustable heated leather seats. The D200 diesel engine is a strong performer and returns 40mpg-plus. For those who need. alarge SUV for towing, the diesel is still the one to have.
To find out more, read our full Jaguar F-Pace review
Pros
- Drives like a saloon
- Refined engines
- A great family car
Cons
- Can be a bit thirsty
- Showing its age in places
Recent updates keep it at the sharp end of the grid
It’s also the best out there for long, unplanned journeys. It’s not perfect, though. The quirky styling and love-it or hate-it interior aside divide opinions, and although the quality is better than before, the BMW i4 and Hyundai Ioniq 6 are more nicely made.
To find out more, read the full Tesla Model 3 review
Pros
- Refined, easy to drive, responsive
- Electric range is very impressive
- Brilliantly-integrated route planning
Cons
- Many would prefer a hatchback
- Still questions over reliability
These deals are indicative examples of some packages available as of 25 April 2024, but are subject to change without prior notice. Everyone’s financial circumstances are different and the availability of credit is subject to status. Terms, conditions and exclusions apply. Parkers cannot recommend a deal for you specifically.
