The Best Car and SUV You Can Buy for $100,000 in Australia (2026)

A hundred thousand dollars used to buy you a properly fast German sedan or a big luxury four wheel drive with change left over. In 2026 it still buys a lot, but the rules have shifted. Electric luxury cars have arrived, prices on some favourites have drifted past the six figure mark, and the Luxury Car Tax now quietly shapes which cars make sense at this level.

So we set ourselves a simple brief. Find the single best car (sedan, hatch, coupe or wagon) and the single best SUV you can buy in Australia for around $100,000, with official pricing behind every pick. Then give you two or three alternatives for each, because the best car for one buyer is the wrong car for another.

Best car: Lexus ES 500e Sports Luxury, $84,000 before on road costs. It's an all wheel drive electric luxury sedan priced under the Luxury Car Tax threshold. Best SUV: Mazda CX-90 Azami, from about $89,500 drive away in Sydney. It's a three row luxury SUV with a turbo straight six, on the road for under $100,000.

How the Luxury Car Tax changes your $100,000

Before we get to the cars, it's worth understanding the tax that sits underneath every price at this level. From 1 July 2026, the Luxury Car Tax thresholds for the 2026 to 27 financial year are:

• Fuel efficient vehicles: $91,661 (up from $91,387 in 2025 to 26)
• All other vehicles: $80,809 (up from $80,567)

To count as fuel efficient, a car must now use no more than 3.5L/100km on the official combined cycle. That definition was halved from 7.0L/100km on 1 July 2025, so in practice the higher threshold now only covers electric cars and some plug in hybrids. A regular hybrid like a Lexus ES 300h no longer qualifies.

LCT is charged at 33 per cent on the amount of the car's value above the threshold, worked out excluding GST. Manufacturer prices already include it, so you won't see a separate bill. But it explains why a $95,000 petrol car carries thousands of dollars of tax that an electric car at the same price might not.

There's a second reason the threshold matters. Electric cars priced under the fuel efficient LCT threshold are exempt from fringe benefits tax on a novated lease. That full exemption runs until 31 March 2027. From 1 April 2027, it only applies to EVs priced at $75,000 or less, with a 25 per cent discount for EVs between $75,000 and the LCT threshold. Leases already in place won't be affected.

Best car for $100,000: Lexus ES 500e Sports Luxury

The all new eighth generation ES is the most interesting sedan to arrive in this part of the market for years. It's far more modern inside and out than the car it replaces, and for the first time it's offered as a battery electric car. Lexus has launched it in Australia in electric form first, and both electric versions come in the top Sports Luxury grade.

• Price: $84,000 before on road costs (ES 500e AWD Sports Luxury)
• Power: 252kW combined from two electric motors, all wheel drive
• Battery: 74.69kWh
• Range: 465km claimed (WLTP)
• Charging: up to 150kW DC and 22kW AC
• Cheaper electric option: ES 350e FWD Sports Luxury, $77,000 before on road costs, 165kW and 510km claimed

Why it wins. At $84,000 it sits below the $91,661 fuel efficient LCT threshold, so you're not paying luxury tax on top of a luxury car. Add on road costs and you're still comfortably under $100,000. It also qualifies for the full FBT exemption on a novated lease until the end of March 2027. For a salaried buyer that can mean thousands of dollars a year in tax savings compared with a petrol rival.

Beyond the tax maths, it's a genuinely premium car. You get Lexus's flagship equipment level, a quiet electric drivetrain that suits a luxury sedan perfectly, and the brand's long record of reliability and dealer service.

Who it suits: professionals who drive mostly in and around cities, can charge at home or at work, and want a calm, comfortable sedan rather than a sports car. If you regularly drive long country stretches, the 465km claimed range will feel tight at highway speeds, and the front drive ES 350e's 510km may be the smarter buy.

The catch: Lexus has also priced a hybrid ES 300h from $75,000 before on road costs. If you can't charge at home, that's the version to look at. As a hybrid it doesn't meet the 3.5L/100km test, so it gets no FBT break on a novated lease, but at $75,000 it's under the $80,809 threshold and pays no LCT anyway.

Car alternatives worth a look

Mercedes-Benz C 300 AMG Line Plus Edition: $94,900 drive away

If you want a petrol sedan with a three pointed star, this is the one. Mercedes-Benz Australia lists the C 300 AMG Line Plus Edition at $94,900 drive away. It pairs a 2.0 litre turbo petrol making 190kW with a mild hybrid system that adds up to 17kW. The C-Class cabin still feels special, and it's the easier choice if you can't charge an electric car at home. Because it's well above the $80,809 threshold for regular cars, LCT is built into that price.

Honda Civic Type R: from $85,000 drive away

The driver's choice. Honda sells the Type R from $85,000 drive away, and it remains one of the most rewarding front wheel drive performance cars on sale, with a six speed manual and a 2.0 litre turbo engine. It's a hatch, so it's more practical than it looks, but the ride is firm and the styling loud. Buy it because you love driving, not as a luxury car.

Polestar 2: from $73,900 drive away

If you want an electric fastback without spending the full budget, Polestar advertises the 2 Rear motor from $73,900 drive away (with the Plus pack and premium paint, based on Western Australia registration). That's under the $75,000 line, so on a novated lease it would keep the full FBT exemption even after April 2027.

Best SUV for $100,000: Mazda CX-90 Azami

Mazda's biggest SUV is the one that best captures what $100,000 should feel like in a family car. It has three rows of seats, a cabin finished like a European luxury car and a smooth turbo straight six, and you can put the top Azami grade on the road for under six figures.

• Price: from about $89,500 drive away in Sydney (Mazda recommended delivered price), rising to about $97,700 with options
• Petrol: G50e 3.3 litre turbo six with mild hybrid, 254kW, 8.2L/100km claimed
• Diesel: D50e 3.3 litre turbo diesel six, 187kW, 5.4L/100km claimed
• Drive: all wheel drive
• Cheaper entry: the G50e Touring is on offer from $66,990 drive away, and the GT from about $81,200 drive away in Sydney

Why it wins. Most SUVs at this price are either very good family wagons or very good luxury cars. The CX-90 manages both. The straight six engines are smooth and strong, and the diesel's 5.4L/100km claim is impressive for a vehicle this size.

The trim to get: the Azami if you want the full luxury experience, with the diesel for long distance families. If $100,000 is a ceiling rather than a target, the GT gives you most of the car for about $8,000 less.

Who it suits: families who need a third row a few times a week and want something that feels upmarket. It isn't an off roader, so if you tow a big caravan or head up the beach, look at the Isuzu below.

SUV alternatives worth a look

Kia EV9 Air: $97,000 before on road costs

The electric choice. The EV9 is a seven seat electric SUV with a big, square cabin that makes the third row genuinely usable. The entry Air is rear wheel drive with a 76.1kWh battery, 160kW and 443km of claimed WLTP range, and Kia lists it at $97,000 before on road costs (about $106,200 drive away in Sydney). The catch is price. At $97,000 it sits above the $91,661 fuel efficient LCT threshold, so it pays some luxury tax and misses out on the novated lease FBT exemption. The Earth AWD, with a 99.8kWh battery, 283kW and 512km, is about $119,200 drive away in Sydney.

Isuzu MU-X X-Terrain: $76,490 drive away

For towing and touring. If your $100,000 SUV needs to pull a 3.5 tonne caravan or head down a fire trail, a luxury wagon is the wrong tool. The top MU-X X-Terrain is on offer at $76,490 drive away until 31 October, with a 3.0 litre turbo diesel making 140kW and 450Nm and 3,500kg braked towing with Isuzu's genuine tow bar kit and brake controller. It leaves about $23,000 in your pocket for the van.

Kia Sorento Plug in Hybrid S: $69,990 drive away

For mostly electric school runs. Kia's October offer puts the Sorento plug in hybrid S on the road for $69,990. Charge it overnight and much of your daily driving can be done on electricity, with a petrol engine for weekends away. Note that plug in hybrids no longer qualify for the novated lease FBT exemption on new leases.

Know which one you want? Tell us the model and we'll use our network to find the best deal anywhere in Australia, whether that's new, a demonstrator, near new or used. At this price, the gap between a good deal and a great one can run to thousands of dollars.

Is $100,000 the right budget?

Probably not, if you're spending it because you can. Every SUV alternative above comes in under budget, and the best car pick does too. The money you save buys a lot of fuel, electricity or servicing.

On the other hand, if you're a business buyer or on a novated lease, the details matter more than the sticker price. An electric car under $75,000 keeps its full FBT exemption after April 2027. One between $75,000 and $91,661 keeps it only until 31 March 2027. Anything above the LCT threshold pays luxury tax and, if it's electric, loses the exemption entirely. Get the price right and the tax works for you.

Frequently asked questions

What is the Luxury Car Tax threshold for 2026 to 27?

$91,661 for fuel efficient vehicles (those using 3.5L/100km or less, which includes electric cars) and $80,809 for all other vehicles, from 1 July 2026. LCT is 33 per cent of the value above the threshold, excluding GST.

What is the best car you can buy for $100,000 in Australia?

Our pick is the Lexus ES 500e Sports Luxury at $84,000 before on road costs. If you want petrol, the Mercedes-Benz C 300 AMG Line Plus Edition at $94,900 drive away is the alternative.

What is the best SUV for $100,000?

The Mazda CX-90 Azami, from about $89,500 drive away in Sydney. If you want electric, the Kia EV9 Air lists at $97,000 before on road costs.

Can I get an electric car on a novated lease without FBT at $100,000?

Only if it's priced under the fuel efficient LCT threshold of $91,661. That full exemption lasts until 31 March 2027. From 1 April 2027 it only applies to EVs priced at $75,000 or less, though existing leases aren't affected.

Prices are manufacturer list prices before on road costs, drive away offers or recommended delivered prices published by Lexus Australia, Mercedes-Benz Australia, Honda Australia, Polestar Australia, Mazda Australia, Kia Australia and Isuzu UTE Australia, checked in early October 2026. They can change without notice. LCT thresholds are from the ATO and the Australian Border Force. Images: Lexus ES courtesy of Lexus Australia. Mercedes-Benz C 300 by Damian B Oh, Honda Civic Type R by Dinkun Chen, Mazda CX-90 by Ethan Llamas, Kia EV9 by Alexander-93 and Isuzu MU-X by LuvsMG481, all CC BY-SA 4.0 via Wikimedia Commons.