Best Compact Luxury Sedans

Polestar, once Volvo's in-house performance arm, is now a stand-alone electric car company within the Volvo Car Group, which in turn is owned by China's Geely Auto. There's a temptation to slot the Polestar 2 into the luxury small-EV class with the likes of the Audi e-tron and Jaguar I-Pace, but it falls short of true luxury car status.

Instead, the all-electric Polestar 2 is a well-appointed, sporty hatchback sedan — Polestar calls it a fastback. It provides scorching acceleration; great handling; loads of high-tech safety; driver-assistance and infotainment features; a comfortable, pleasantly designed interior; and decent cargo capacity. Its safety and driver-assist systems and Google-powered onboard infotainment are top of class. And as a performance car, the Polestar 2 does well even against the most powerful versions of the Tesla Model 3 and Ford Mustang Mach-E. Its biggest drawbacks are its price and range. Even with a $7,500 federal tax credit, the Polestar 2 costs about $1,000 more than a Tesla Model Y Long Range. For that kind of money, it has an unimpressive range.

According to company founder Elon Musk's vision, the Tesla Model 3 was supposed to be the car that would democratize electric vehicles. It's meant to be a midsize EV family sedan within reach of anyone who could otherwise afford a fully loaded Honda Accord or Toyota Camry.

But things haven't exactly panned out that way. The 2021 Tesla Model 3 starts at around $40,000, for one thing (about $3,000 more than a top-trim Accord), making it more of a gamble for those who just want a rock-solid family car. Tax incentives can lessen the bite. But quality control issues and uncertain resale value also dampen enthusiasm for Tesla's mainstream play (note that a $7,500 federal tax credit no longer applies to the Model 3).

Still, there's no denying that the Model 3 has broadened the appeal of EV ownership. It's practical, offering plenty of room for four passengers. Plus, there's a conventional trunk and a "frunk," a smaller front trunk for cargo. The Model 3 is the most "tech-forward" car you'll find in large volume production. Nearly all of Tesla's features and functions are controlled via the tablet-style touchscreen. This tech will delight some users and baffle others. But it eliminates a swath of switchgear inside the cabin, leaving behind a slick, stark interior design straight out of a German art movement.

Sure, there are many other EVs that cost less than the Model 3. Most are sized like compact cars, subcompacts, crossovers, or hatchbacks. Few come close to offering 353 miles of range. However, the new Ford Mustang Mach-E comes close enough at 305 miles.

The Model 3 is without a peer in some ways and feels like a car from the future. It also has some fundamental flaws that buyers would reject in cars costing half as much. The Model 3 may be imperfect, like the future, but it's a fascinating window into what's ahead.

Coupes used to be all the rage. Now only a few thousand deals cross the salesman's desk every year. Already susceptible to hot-then-not fashion fatigue, the BMW 4 Series sells half (or less) the volume of the BMW 3 Series sedan upon which it is based. But there is something cool about the cleaner lines of a coupe — or convertible in this case.

Competing against the clinical Audi A5, stylish Mercedes-Benz C-Class Coupe, swoopy Lexus RC, and slinky Infiniti Q60, the 4 Series has its work cut out for it. But as the most recently redesigned of the bunch, it has an advantage.

BMW has also reintroduced the 4 Series "Gran Coupe" to the lineup, a four-door hatchback sedan with a sloping roofline (read: less headroom for the second-row occupants). Body style aside, every 4 Series offers swift acceleration, powerful brakes, and a supple suspension that makes for an enjoyable ride no matter the route.

The Lexus IS has sleek, sporty styling and a beautifully crafted interior. It might be the base entry in the Lexus sedan lineup, but it still has an expensive look and feel. A wide range of standard features further enhances the luxury vibe and a fully featured infotainment system. The IS seats five passengers, although the backseats are snug for most adults. Other than the tight rear seats, the IS' interior is quite stunning, especially in Rioja Red. Where the IS falls a bit short is on performance. While it looks sporty and handles well, acceleration is modest. Those who crave performance may find the IS underwhelming.

Lexus IS competitors include the Cadillac CT4, Genesis G70, and Audi A4. The CT4 offers a wider range of models but with a less luxurious interior. The G70 is comparably priced with an equally upscale interior and more powerful engine options. The A4 is priced lower across its lineup.