Car Buying

SUV vs Hatchback: Which Should You Buy?

What is an SUV and what is a hatchback? We examine the differences and help you consider which to choose.

Read time

6 minutes

Date

04.18.2023

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You have most likely heard of an SUV and a hatchback, but what distinguishes them from one another?


We define an SUV and a hatchback, and also highlight the differences between the two. We will examine important factors such as design, cost and safety. Finally, you will be able to consider the pros and cons of each type of vehicle and determine which one is best for you based on your lifestyle and priorities in a car. 

What is an SUV? 

An SUV is a Sport Utility Vehicle. It sits high off the ground, has four-wheel drive, can be taken off-road and has the feel of a lighter truck. It’s meant to be rugged, get things done and is able to handle different terrains. SUVs can also vary in size, so you can get as large as a GMC Yukon XL, or on the smaller end you could get something such as a Honda CRV. Some benefits include:


  • Ideal for outdoor excursions
  • Higher suspension allows for driving on more rugged terrain
  • Because it sits higher, the driver is able to have a higher visibility
  • Can be easier to get in and out of 
  • Larger SUVs can sometimes fit up to as many as seven passengers vs five

What is a hatchback? 

A hatchback is a car with two or four doors, seats five people, and has a low, sleek roofline. Their cargo capacity is large and is open to the back row of seats in the cabin. Hatchbacks tend to be compact or midsize sporty or luxury cars. Benefits of hatchback cars include:


  • Ability to carry large pieces of cargo
  • Allows for easy loading and unloading of cargo
  • Oftentimes the back row of seats has the capability to fold down to allow for even more room for cargo
  • Due to their tendency to be on the smaller end, they are typically easier to park

 

What’s the difference between an SUV vs hatchback? 

What are the basic differences between an SUV and a hatchback? Here we examine the various aspects of the cars and how they differ. 

1. Design 

  • SUV - An SUV comes in a wide range of sizes. You can choose from compact crossovers, a crossover, mid-size, or full-size. SUVs often focus more on the outdoors and the ability to conquer all types of terrain without ruining the undercarriage. 

  • Hatchback - Hatchbacks are known to be sleeker and sexier, with a seamless line from the front to the back of the car. The focus of design is on the ability to hold more cargo and the ability to load and unload that cargo easily. They also tend to be more sporty or luxurious looking. 

2. Performance 

  • SUV - A horsepower of 250 is a great output for an SUV. Their rate of acceleration isn’t as high due to their larger size. 

  • Hatchback - Many hatchbacks perform at a horsepower over 400 and tend to accelerate faster than even many sports cars. 

3. Fuel economy 

  • SUV - The number one performing SUV for fuel economy in 2023 according to Kelley Blue Book is the Kia Sportage Hybrid. It performs at 38-43 combined mpg. There are many SUVs with great fuel economy, but keep in mind most are hybrids.

  • Hatchback - The number one performing hatchback for fuel economy in 2023 according to Kelley Blue Book is the 2022 Hyundai Ioniq Hybrid. It performs at 55-59 combined mpg. Because hatchbacks tend to run on the smaller side, they tend to perform quite well in regards to their fuel economy.

4. Safety 

  • SUV - According to studies, larger vehicles including SUVs perform better than other cars in front-crash collisions. Overall, the larger the vehicle, the safer your car will take a collision. 

  • Hatchback - A smaller hatchback may not do well with front-crash scores, but they do well when it comes to rollover incidents. In these cases, lighter cars like hatchbacks perform better. 

5. Cost 

  • SUV - In 2023, the least expensive SUV costs around $22,000 with the Chevrolet Trailblazer. This car is on the smaller sized end of the spectrum. The larger the SUV and the more features you opt for, the higher the cost.

  • Hatchback - In 2023, the least expensive hatchback runs around $17,000 with the Mitsubishi Mirage. Overall, hatchbacks tend to be more budget friendly.

6. Resale value 

  • SUV - The average SUV retains 48.7 percent of its resale value. As SUVs become the default mode of transportation for the average consumer, the resale value holds strong.

  • Hatchback - Hatchbacks can also hold their own when it comes to resale value. In 2022, the Volkswagen Golf R held a 51.9 percent resale value. However, overall they don’t tend to have as high of a resale value as SUVs. 

7. Space 

  • SUV - SUVs tend to have more overall space and even larger capacity for passengers with sometimes up to 7 passengers without the bulk of a minivan.

  • Hatchback - Hatchbacks seat only 5 passengers, but have more space in the trunk space with the ability to carry more. 

8. Towing capacity 

  • SUV - It comes as no surprise that SUVs can have a large towing capacity due to their range in size and 4-wheel drive. The SUV with the best towing capacity is the 2022 Jeep Wagoneer with a towing capacity of 10,000 pounds.

  • Hatchback - While it’s obvious that a larger vehicle is going to be better at towing, don’t completely discount a hatchback. A Chevrolet Bolt has a towing capacity of 2,000 pounds. So if you’re looking for a smaller car that has the ability to tow smaller loads, they are out there.

9. Parking Ease

  • SUV - SUVs come in a range of sizes, but because they can get quite large, sometimes they are more difficult to maneuver into tight spaces.

  • Hatchback - Conversely, due to their smaller size, hatchbacks are quick to zip around and easily squeeze into some tight spots. 

SUV vs Hatchback: Pros and cons 

Now that we have covered the overall descriptions and differences of an SUV and hatchback, let’s review the pros and cons for each.

SUV pros and cons 

SUVs are quickly becoming many consumers' cars of choice. This is thanks to their variety in sizes, ability to hold more passengers, and great resale value. Further, their safety and towing capacity are also strong points for the SUV. SUVs may be better suited for a family or for those who frequent the outdoors and sport, as they can handle all types of terrain and have 4-wheel drive. 


While the larger size of an SUV provides its advantages, its larger sizes are also responsible for its downfalls. SUVs tend to be a little sluggish when it comes to horsepower and acceleration. They are also more expensive and have a lower fuel economy. 

Hatchback pros and cons 

Hatchbacks are sleek looking vehicles with lots of capacity for carrying cargo. They are fast and fuel efficient cars and are also easier to handle in city streets. Hatchbacks are affordable cars and have great fuel economy. For those who are living in cities, hatchbacks are ideal for navigating tight streets and parking spaces. 


While some hatchbacks do have the capacity to tow, many do not. If they do tow, their load capacity is drastically lower. Many hatchbacks have all necessary safety features, but when it comes to front-on collisions, they tend to perform worse than larger vehicles. Finally, most hatchbacks can only hold up to five passengers. 

Should you buy a hatchback or SUV? 

If you are split on your decision on whether to purchase a hatchback or SUV, reflect on your lifestyle and priorities. Both are great choices but for different reasons. If you’re a city dweller and looking for a budget friendly car, a hatchback may be better suited for you. However, if you’re looking to get outdoors often and tow a boat to the lake, an SUV might be the optimal choice.


Whether you choose to go with an SUV or a hatchback, the good news is you can get either with a car subscription from FINN. You have the opportunity to try the car before committing to one. Better yet, you can switch cars at any point should you change your mind.

Final thoughts

Purchasing a car is a commitment and requires lots of points to consider. However, consider choosing a car subscription with FINN as an alternative. With a wide selection of cars at different price points, you’re sure to find what you’re looking for with the flexibility to change along with when your life may change. 

How a FINN Car Subscription Works

1. Meet your perfect car

Pick your next car and select the term and mileage package that’s right for you.


2. Get approved in a few clicks

Submit your information and get the green light in under five minutes.


3. Enjoy free delivery to your home

FINN delivers your new car right to your door so you can focus on the road ahead.


4. Just hit the road and swap when you’re done

All that’s left to do is drive. When your term is over, you can return the car and pick out something new, or simply walk away.

How a FINN Car Subscription Works
How a FINN Car Subscription Works

How a FINN Car Subscription Works

1. Meet your perfect car

Pick your next car and select the term and mileage package that’s right for you.


2. Get approved in a few clicks

Submit your information and get the green light in under five minutes.


3. Enjoy free delivery to your home

FINN delivers your new car right to your door so you can focus on the road ahead.


4. Just hit the road and swap when you’re done

All that’s left to do is drive. When your term is over, you can return the car and pick out something new, or simply walk away.