What's new for the 2007 Honda Fit: All-new model.

With American Gas Crisis III in full effect, the Fit would have been a hit no matter how it had turned out. It's small, it's cheap, and its 30-plus miles per gallon serves the needs of the times. How strange, then, that Honda went the extra mile to make the Fit desirable in any era.

With its sharp, hatchback-only body style, the Fit sure stands out among its dumpy competitors. Its interior materials are held to the same high standards as the Civic, and the controls are arranged with flair. The arms-out driving position is an annoyance, but the Fit makes amends by having the best back seat you'll likely ever see in a subcompact car -- and Honda's clever packaging lets that seat fold in two different ways, each creating an immensely versatile cargo area. By comparison, the insides of the Toyota Yaris look frumpy and disorganized, while the Koreans just look cheap.

Honda also set a higher standard for engineering. Items like a 5-speed SportShift automatic transmission (or a crisp-feeling manual) and Honda's VTEC engine technology keep the Fit one notch richer than the rest, while quick, responsive handling keeps it a step more fun. Slightly flinty ride quality and a buzzy engine means the Fit will never be as refined as an Accord, but that's true of all subcompact cars.

Honda seems to know when it has a good thing going, judging by the $15,000-plus opening price for a Fit with an automatic (more than a grand higher than the Hyundai Accent, Kia Rio, or Chevy Aveo). Still, considering the Fit's position as the most useful, enjoyable, and unique in its class, it seems worth every penny.

Find out more about the 2007 Honda Fit.