WITH VISIONS OF CARS

almost small enough to tuck beneath a Christmas tree dancing in our heads, we decided to test-drive the crop of new subcompacts that have arrived at dealerships over the past year. They included the Toyota Yaris, the Honda Fit and the Nissan Versa all of which have been sold overseas for years but are new to U.S. shores along with the Chevy Aveo, whose redesigned sedan version was launched this summer to stave off the new onslaught. Yes, they posted impressive mileage we averaged at least in the low 30s with all of them. And yes, there were compromises, like small wheels. Though more-stripped-down versions of each of these vehicles are available, the testers we drove were all well-equipped, surprisingly roomy cars that won't tag you as a cheapskate.

Toyota Yaris Two-Door Hatchback
The Yaris hatchback is the lowest-priced of these four models, and you can definitely feel it. Far more than the others, it looks like a hatch you might see on a narrow European cobblestone street a look that has never inspired Americans to open their pocketbooks. Inside, the instrument panels are arrayed in a single cascade down the center of the dashboard, leaving wide expanses of plastic in front of both driver and passenger, contributing to the spartan feel. The driver has a high, almost minivan-like position, with a good view of the road. Despite being nearly 20 inches shorter than the Versa, the Yaris still boasts decent leg room, thanks to its vertical space. But while the body is up to the task of ferrying four adults, the engine is not. When fully loaded, the car was slow to accelerate and didn't seem to have a drop of power in reserve when cruising on the highway. The automatic transmission also did a lot of gear hunting on hills, and unlike the Fit, the Yaris had no manual-shift mode.

Nissan Versa 1.8 SL
The pitch for the Versa is that with 94.7 cubic feet of passenger volume, it's a midsize car masquerading as a subcompact. It does blow the others away in rear leg room in particular 38 inches, compared with the Fit's 33.7. But the big surprise was the fact that leg room was not a deciding factor in any of these cars; they were all comfortable for four adults. The Versa's other big draw is the list of upscale options it offers: a sunroof, satellite radio and Rockford Fosgate speakers. But we found the Versa the least enjoyable of the bunch to drive. The steering feels mushy and at highway speeds requires constant correction to keep moving in a straight line. The Versa's engine produces more horsepower than the others, but since it's a heavier car, the advantage is lost. There's plenty of power on normal acceleration, but like the other three cars here, the Versa gives the feeling at highway speeds that you've got nothing in reserve. Still, the car's classy-looking interior and fun extras make it worth considering if most of your driving is around town.

Chevy Aveo LT Sedan
Automakers are clear about the fact that they're marketing their small cars to young buyers. In the case of the Fit, Versa and Yaris, it's apparent from the hip minimalism of their interiors. On the other hand, the Aveo LT goes way over the top. The seats and door panels are swathed in perforated leatherette (a $250 option), the dash is trimmed with faux wood, and the A/C vents are trimmed with chrome. There's no mistaking it for a luxury car, but it won't make a thirty- or fortysomething buyer wonder what he's doing in a subcompact. As for the ride, the five-speed automatic does a good job of delivering power. Steering is a tad stiff, but there's enough feedback from the road that you feel well-connected and in control. It's ironic, then, that the Aveo's biggest drawback will especially afflict drivers of a certain age: Its flat, hard seats get uncomfortable after about half an hour.

Honda Fit Sport Four-Door Hatchback

Base Price: $16,565 (incl. destination charge)

Engine: 1.5-liter four-cylinder, 109 hp

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Comments: Like Honda's Odyssey minivan scaled way down, it offers a flexible, configurable interior that belies its size.

We'd be happy with any of these cars for short periods, but when it comes to actually living with a car, we'd choose the Fit. It offers a flexible, configurable interior that totally belies its size. At 21.3 cubic feet (compared with the Yaris's 12.8), the cargo space can hold a weekend's worth of luggage and gear while passengers are sitting in the back. And the rear seat cushions pop forward, allowing the seat backs to fold down into a flat load floor a trick none of the other subcompacts can manage. Despite the Fit's fourth-place rank in rear leg room, on one weekend trip a 6-foot-4 friend sat in the front seat, with another 6-foot-plus friend behind him, and both were reasonably comfortable. The Fit's handling is nimble and go-kart-like, although the one big drawback was the five-speed automatic, which forever seemed to be confused about what gear it should be in in either the normal or Sport mode. Luckily, the Fit has manual-shift buttons on the steering wheel that let you override this confusion. But buyers who are contemplating a Fit should seriously consider the stick-shift version.