Families come in all shapes and sizes, so we’ve lined up the best car choices across small, medium and large SUVs, and hatchbacks, sedans and wagons – with EV, hybrid and traditional engines in the mix.
What to look for when buying a family car
Here are 10 important things to consider when buying a family car, from safety, space, style and tech to affordability, running costs and reliability.
What makes a good family car? Well, that all depends on the family.
In the old days, a family car was whatever Holden or Ford built in Australia, which, for decades, was the Commodore or Falcon sedan and wagon. But these days families have an incredibly diverse range of vehicles to choose from, because families are incredibly diverse.
Having said that, whether you’re a family of three who needs something for your city life or a brood of seven who loves camping every weekend, there’s a family-friendly vehicle that will suit your lifestyle.
“Affordability, safety and running costs are a great place to start, but there are lots of other key considerations for families when it comes to buying their next car,” says RACV Motoring Editor Terry Martin. “Our landscape is changing fast with electric cars now widely available, bringing new options into the equation.
“And wherever possible, get the kids involved in the buying process – especially if you’ve got teenagers!”
In this article we’ll give you the 10 keys you need to know to find the right family car to suit you.
More: Research and compare new cars, SUVs and utes on sale today in Australia
In this article
- 1. How to choose a safe family car
- 2. How much space do you need for your family car?
- 3. Choosing the most efficient family car
- 4. Is your next family car affordable?
- 5. Compare family car running costs
- 6. How much technology does your family car need?
- 7. How to pick a reliable family car
- 8. Choose a car to suit your family’s lifestyle
- 9. Look for dog-friendly car features
- 10. Consider your finance and insurance needs
1. How to choose a safe family car
It goes without saying that safety should be your top priority when it comes to choosing a vehicle for your family. But how you go about finding that car or SUV requires some careful investigation.
These days, almost every car is fitted with a vast array of advanced driver assistance systems (ADAS) – items like forward collision warning, autonomous emergency braking and rear cross-traffic alert. If any car you’re looking at doesn’t have a long list of ADAS items in the brochure, you should look elsewhere.
However, not all ADAS is created equal, with different brands doing a better job of integrating these relatively new technologies. So, make sure you test drive any car you consider and work out if the safety systems are at an acceptable level for you and your family. After all, there is no point paying for these systems if you’re going to get annoyed and turn them off.
Be sure to check out any vehicle’s ANCAP rating. The independent crash testing agency publishes its reports in detail, so you can see exactly how it fares in terms of occupant protection, pedestrian protection and even crash avoidance.
The latest testing protocols (from 2026 models) also include an on-road driving assessment of driver assist systems. What’s more, they place a high emphasis on what happens after a crash, including whether automatic collision notification and an emergency call (eCall) system is fitted.
RACV car safety guides:
- The safest cars, utes and SUVs in Australia
- The safest affordable electric vehicles in Australia
- Australia’s Used Car Safety Ratings
- What is eCall? How crash detection technology saves lives
- Child booster seats – rules and safety tips for parents
Research and compare family cars on sale: prices, specs, features, running costs, safety
2. How much space do you need for your family car?
To answer this question you need to ask yourself: How big is your family and how big will they be while you have this particular car? As we said earlier, the modern family comes in all shapes and sizes and so does the modern family car.
You can buy a family-friendly small SUV or you can buy an eight-seater people mover, but it probably doesn’t make sense to buy the latter if you only have one kid. Equally, it doesn’t make sense to buy a small SUV if your children are coming into their teenage years and are about to grow up and make you feel short.
Note that electric vehicles tend to allow a lot of room to be created inside because of their inherent packaging advantages, so a smaller SUV, for example, might offer more space for your family than you realise.
Before you decide on a make or model, ask yourself how much space you really need both now and into the future. If you have very young kids and need a rearward-facing child restraint, is there still adequate room for the front seat passenger? Do you need two or three rows of seats? Is it big enough for older kids or driving with a dog? If you fill the seats up is there still enough room for school bags and the shopping?
Ask yourself a lot of questions to ensure you make a choice that will keep every member of the family happy.
RACV car buying guides:
- Australia’s best family cars: electric, hybrid and ICE
- Small vs medium SUV: what to consider
- Medium vs large family SUV: what to consider
- Station wagon vs SUV: what to consider
- Hatch vs small SUV: what to consider
Research and compare electric cars on sale: prices, specs, features, running costs, safety
3. Choosing the most efficient family car
In the not-too-distant past the choice for families came largely down to petrol or diesel power under the bonnet, but these days things are very different. In the past 12 months, as families look to save money at the pump, full battery-electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs) have surged in popularity, while regular non-plug-in hybrids have enjoyed steady growth over the years.
The Australian market has seen a flood of new EVs and plug-in hybrids that provide families with more choice than ever before, if going electric suits their lifestyle and routine. They might not be for everyone, which is why there are still plenty of petrol and diesel-powered options available too.
Whether you choose electric power or internal combustion, it’s important to look at the energy/fuel consumption both on paper and, where possible, in the real world. Remember that the official claimed figures are based on a lab test, so they give you a way to compare like-for-like – which you can do using the RACV Car Match site.
Our new car reviews provide a clearer picture of how they perform in real-world conditions, while the Australian Automobile Association’s Real-World Testing Program assesses the actual fuel/energy efficiency of hybrids, petrol/diesel cars and even EVs against the manufacturer’s claims.
RACV fuel efficiency guides:
- Do hybrid cars and SUVs match their fuel consumption claim?
- Does your EV match its driving range claim?
- The most fuel-efficient cars, SUVs, and utes in Australia
- How to save money on fuel
Research and compare hybrid cars on sale: prices, specs, features, running costs, safety
4. Is your next family car affordable?
Buying any car is a major financial decision but it’s especially crucial to get the numbers right when it impacts the whole family. There’s no point finding a car that’s the perfect size for your family that costs so much you can’t afford to take the kids out of the house.
Fortunately, the Australian new car market is one of the most competitive in the world, so there are family cars across the price spectrum, which means you should be able to find something that fits the family as well as your budget.
There are incentives from the government if you choose an EV, especially if you finance it via a novated lease, so be sure to check those options.
It also pays to consider how much your current car is worth, understanding the market value to help guide you when setting a budget for your new family car.
RACV car affordability guides:
- The cheapest electric cars in Australia
- The best affordable SUVs in Australia
- The cheapest hybrid and PHEV cars in Australia
- How much should you spend on a car?
- Best used cars, SUVs and utes in Australia under $10,000
Research and compare budget cars on sale: prices, specs, features, running costs, safety
5. Compare family car running costs
Once you’ve decided if your car is affordable to purchase or lease, your next priority should be assessing what the ongoing costs will be.
In the past that required a lot of investigation and, frankly, guesswork, but that’s no longer the case with online resources such as RACV Car Match, which enables you to compare costs of any cars you’re looking at.
It can give you a detailed estimate not only on the upfront price but also your potential loan repayments, registration, fuel, servicing and several other elements, so you have a good idea of what you’ll be paying.
You can easily compare multiple models that you’re looking at on the site and get a clear picture of what any new car will cost you. It’s a crucial step, so don’t skip it.
RACV car ownership guides:
6. How much technology does your family car need?
Technology is the new battleground for carmakers, with seemingly every brand looking for new ways to appeal to buyers who have grown accustomed to the smartphone lifestyle.
This is especially important for families, because you want to ensure your focus is on the road, not fiddling with technology.
If you’ve got older kids who love technology, look for a car with USB charging ports in the back, so they can keep their devices charged on the go. You could also look for an EV or PHEV with vehicle-to-load (V2L) functionality, which means you can draw power from the battery to charge small electronic devices.
Most new cars feature seamless integration of Apple CarPlay or Android Auto (it should be wireless these days), so you can pair your phone and have all your usual apps running through the car’s multimedia screen.
Many, but not all, new cars also now have safety technology to alert you when you’re leaving the vehicle, so it can sound an alarm if you’re going to open your door into an oncoming car or bike. Plus, several models can alert you if you’ve left someone in the car.
RACV car technology guides:
7. How to pick a reliable family car
While it can be tempting to choose a family car that’s a lot cheaper than everything else you’re looking at, you want to be sure it’s not a lemon.
There’s no point getting a lower upfront price if you end up spending more on servicing – plus there’s the inconvenience of having your car in the workshop.
That’s one of the reasons why RACV provides comprehensive new car reviews, so we can let you know which brands produce cars with a good reputation of reliability and dependability and which brands are lagging behind.
With more new brands than ever before in Australia, and many without a proven long-term track record, it’s vital to do your research before committing to such a big purchase.
RACV guides to Chinese brands, EVs, used cars:
- Chinese cars in Australia: Best brands, models, EVs and buying advice
- Electric vehicles in Australia: Complete buyer and ownership guide
- How to buy a used car with confidence
- What to know about buying a used electric car
- How long do electric car batteries and motors last?
- Pros & cons of buying a used plug-in hybrid or hybrid car
- The best affordable used electric cars in Australia for 2026
- The best used hybrid cars and SUVs in Australia under $40,000
8. Choose a car to suit your family’s lifestyle
Whether you’re a family that loves exploring the urban jungle or one that hits the open road any chance you get, you need to look for a family car to suit your lifestyle.
The most obvious example of this is if you need to tow. Be it a caravan, boat, trailer or something else, if your family likes taking things away there are plenty of options.
Equally, if you’re considering a ute primarily for the tax breaks they offer, you need to be mindful of what the specific rules are from the tax office. You should also ask yourself if you really need a ute, as even the popular dual-cab models offer limited rear seat space for older kids, and unless the tray has a tonneau cover it leaves your bags and shopping exposed when you park.
The default choice needn’t be an SUV or ute, either. The rise in EVs and hybrid cars has brought some affordable, spacious, practical, efficient and quite luxurious family sedan and wagon options, including the new Mazda 6e, BYD Seal 6 Touring and the popular Tesla Model 3, the latter now standing as Australia’s cheapest electric sedan at $45,900 plus on-road costs. And let’s not forget the ever-reliable Toyota Camry Hybrid.
Bottom line: Think carefully about what sort of style and size of vehicle you really need to suit you and your kids.
RACV vehicle lifestyle guides:
- Australia's best large SUVs and 7-seaters
- The best cars for towing a caravan in Australia
- AWD vs 4WD: What’s the difference & how they work
- 8 essential things you need for a safe off-road adventure
Research and compare towing vehicles on sale: prices, specs, features, running costs, safety
9. Look for dog-friendly car features
Just as it’s important to consider your lifestyle and the opinions of your kids, who are significant members of the car buying journey, catering for the family dog in the decision is highly recommended.
Many new cars have synthetic leather seats which can prove better than cloth trim for managing stains and odours, while the Jaecoo J5 EV has “pet-friendly” silicone-based upholstery designed to be antibacterial, easier to clean and able to withstand dog and cat claws!
With any vehicle, canine considerations extend to luggage capacity, rear seat space and jump-in height, all of which depend on the dog’s size and breed.
Some new electric cars also come with a dedicated Pet Mode (Tesla calls it Dog Mode) that draws on the high-voltage battery when the car is parked to keep the air-conditioning or heating system running for a pet left inside while the driver is away. It usually displays the temperature on the central touchscreen to inform passersby that your pooch is safe, while owners should also be able to remotely monitor conditions inside the vehicle via the brand’s smartphone app.
RACV guides to travelling with pets:
10. Consider your finance and insurance needs
Unless you’re in a position to purchase your next family car outright, car loan options are an important step in the process. Choosing the best finance option for you is critical, so it’s important to research and compare car loans before taking the plunge.
Car insurance is also an important protection to put in place, so choosing a policy that best suits your family’s needs is highly recommended.
RACV car finance advice:
The information provided is general advice only. Before making any decisions please consider your own circumstances and the Product Disclosure Statement and Target Market Determinations. For copies, visit racv.com.au. As distributor, RACV Insurance Services Pty Ltd AFS Licence No. 230039 receives commission for each policy sold or renewed. Product(s) issued by Insurance Manufacturers of Australia Pty Ltd ABN 93 004 208 084 AFS Licence No. 227678.