Choosing your first car is one of life’s most exciting milestones. But for many young Australian drivers navigating their first solo car purchase, it’s also a significant decision often made in partnership with their parents.
The ideal first car needs to strike the perfect balance between affordability, safety, and style. Enter the all-new Mahindra XUV3XO. With sharp looks, premium features, and safety tech that rivals vehicles twice its price, this compact SUV is poised to win over first-time drivers and their families alike.
And best of all, it starts at under $25K.
Safety is a top priority for young drivers and an even bigger one for their parents. The XUV3XO delivers serious peace of mind thanks to its suite of advanced safety features that are rare at this price point.
Both the AX5L and AX7L variants are equipped with Level 2 Advanced Driver Assistance Systems. These include adaptive cruise control, forward collision warning, automatic emergency braking with pedestrian detection, lane keep assist, and lane departure warning. Additional features like Smart Pilot Assist, traffic sign recognition and high beam assist work together to help prevent accidents before they happen.
To further reassure cautious parents, the XUV3XO is fitted with six airbags and electronic stability control. Opting for the AX7L model adds even more advanced protection thanks to a 360-degree surround view camera with blind view monitoring, making low-speed manoeuvres and city parking safer than ever. In total, the XUV3XO packs up to 36 safety features, positioning it as one of the safest small SUVs available for under $30,000.
It’s all backed by a Global NCAP five-star safety rating, helping reassure cautious buyers and parents that the XUV3XO has them covered.
Young drivers want a car that looks great and keeps them connected. The XUV3XO delivers both, starting with a modern cabin featuring a 10.25-inch HD infotainment touchscreen, paired with wireless Apple CarPlay and Android Auto. Right beside it is a 10.25-inch driver’s digital instrument cluster, offering a high-tech feel that’s rare in this segment.
Even in the entry-level AX5L, you’ll find dual-zone climate control, a leather-trimmed steering wheel, and responsive voice commands. Step up to the AX7L and the experience gets even more premium, with a Harman Kardon sound system, amplifier and subwoofer, front parking assist, soft-touch leatherette trim, and 65W USB-C fast charging.
Outside, the XUV3XO turns heads with its bold design and eye-catching lighting. LED daytime running lights, diamond-cut alloy wheels—16-inch on the AX5L and 17-inch on the AX7L—and vibrant colour choices like Tango Red, Citrine Yellow, and Galaxy Grey help this small SUV make a big statement.
Many colour options come with a contrasting black roof, giving the vehicle a fashionable edge that’s hard to miss on city streets.
Whether you're navigating tight laneways, squeezing into a narrow park, or doing your first reverse parallel in traffic, the Mahindra XUV3XO is perfectly sized for inner-city living. It measures just 3990mm long, with a tight 5.3m turning circle, making it agile and easy to handle for learners and P-platers alike.
Under the bonnet is a 1.2-litre turbocharged petrol engine delivering 82kW and 200Nm, matched to a six-speed automatic transmission. That’s more than enough power for confident city and suburban driving, with the added bonus of being fuel-efficient, using only 6.5L/100km (combined cycle). It’s the kind of car that’s easy to live with, cheap to run, but most importantly, fun to drive.
For budget-conscious first-time buyers and the parents who may be helping to fund this first car purchase, the Mahindra XUV3XO makes a strong case. Pricing starts from just $23,490 drive-away for the AX5L model, with the top-spec AX7L coming in at $26,490 drive-away, placing the range well below popular small SUV rivals like the MG ZS, Mitsubishi ASX, and Chery Omoda 5, which start closer to $26K–$30K.
But it’s not just about the lower price, value for money is where the XUV3XO really shines. Many features that are optional or unavailable on competitors come standard here. Plus, every XUV3XO is backed by a seven-year warranty and seven-year roadside assistance, giving peace of mind and potentially lowering long-term running costs.
Maintenance is affordable, and with Mahindra’s expanding dealer network across Australia, support is never far away.
Although it’s designed with first-time buyers in mind, the XUV3XO has much broader appeal. Its compact footprint and high seating position also make it ideal for downsizers, retirees, and anyone seeking an easier-to-drive everyday car. Despite its size, the XUV3XO surprises with a generous boot and spacious second row, making it just as practical for weekend getaways as it is for daily commutes.
For budget-savvy Aussies of all ages, it’s a compelling alternative to both used cars and more expensive new options, proving you don’t have to sacrifice comfort, tech or safety to stay under $25K.
If you’re ready to experience just how much car you can get from under $25K, now’s the time to test drive the Mahindra XUV3XO. Take it for a spin this weekend and bring along your co-pilot, whether it’s mum, dad, or your best mate. See why this small SUV is getting big praise from first-time drivers and seasoned buyers alike.
You can book a test drive or find your local dealership by visiting the Mahindra Australia website. It’s time to discover more, for less!