If you have $25 to $40K to spend and you want a luxury make, take a good look at these choices for Best Luxury Midsize Cars. While there are more than a dozen in this class, we’ve narrowed the selections down to the top three – in our estimation.

Best Luxury Midsize Cars in the $25 to $40K range include:

  • Cadillac CTSReviewers consider this to be the best car from General Motors in years, and it’s easy to see why. Sharp handling, ample power from the 304-hp 3.6-liter direct-injection V6 engine, terrific good looks, and stylish cabin with loads of innovative features are just some of the plusses. In addition, CTS is also relatively roomy inside and all-wheel drive is available. The 2010 Cadillac CTS sport sedan has a starting manufacturer’s suggested retail price (MSRP) of $35,165 (but can go up to $53,940). The high-performance CTS-V is even more pricey (but worth it), starting at $62,020. Consumer Guide says: “Cadillac’s smallest sedan is a Best Buy alternative to cars from BMW, Jaguar, and Infiniti. CTS shines for its refinement and performance…Competitive pricing is icing on the cake for this premium midsize sedan.”
  • BMW 3-SeriesDiscerning consumers, and automotive reviewers alike, consider the BMW 3-Series to be the best sport sedan available today. The 3-Series for 2010 features unparalleled handling and balance, a selection of powerful engines, excellent crash test scores, and a better-than-average long-term cost of ownership. Starting MSRPs range from $33,150. Car and Driver remarks: “There are faster cars, and ones with more horsepower, but the 3-series has earned a long list of comparison-test victories and now a 19th-consecutive 10Best appearance because of the instant confidence it imparts to the driver, making pushing a little harder completely comfortable. It’s the extraordinary precision and response of the perfectly weighted steering, the smooth predictability of the unwavering chassis… In short, it’s the car we’d like to drive every day.”
  • Hyundai GenesisWith base MSRPs from $33,000 to $39,500, the 2010 Hyundai Genesis sedan certainly fits in the ballpark. Note that the Genesis coupe begins at $22,000 MSRP. The best news is that Genesis offers surprising value, exceptional warranty, and loads of luxury features for the price. One downside is that no all-wheel drive option is available. The rear-wheel drive car is as large as Mercedes-Benz E-Class, supremely quiet inside, and offers brisk acceleration with the V6 engine and awesome performance from the V8. All-new in 2009, Genesis is Hyundai’s first rear-wheel drive luxury car for the United States market. Edmunds comments: “With optional V8 power, a roomy interior and plenty of standard and optional equipment, this luxury sedan in the $30,000-$40,000 price range deserves serious consideration.”

Need more choices? Try any one of these Best Luxury Midsize Cars on for size (and value): Acura TL (base MSRP starts at $35,105), Audi A4 (starting MSRP of $31,450), Infiniti G37 (base MSRP of $33,250), or Mercedes-Benz C-Class (starting MSRP of $33,600).

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