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Rob Nestora is a Senior Editor and has been a member of the Cox Automotive Editorial team since 2014 when he started as a content producer.  Since joining the team, he has worked with a long list of prominent automotive experts and influencers and has driven some of the finest vehicles on the planet.  If he’s not working on creating, producing, or editing content, he is likely perusing the vehicle listings and dreaming of cars that far exceed his salary.

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Eric Brandt, Author at Kelley Blue Book

Matt Degen is an author specializing in reviewing cars with the goal of helping you find the best one for your needs. Prior to joining Kelley Blue Book in 2012, he was a writer and editor for over a decade at The Orange County Register newspaper. There he covered automobiles, music and food -- all things Matt is passionate about. He holds degrees in Communications and Culinary Arts. When not evaluating vehicles, he is cooking on his YouTube channel.

Matt Degen

Colin Ryan specializes in writing about new cars. He has done this for the Los Angeles Times, Variety, Kelley Blue Book, Autotrader, Popular Mechanics, Mazda and Lexus customer magazines, plus a bunch of enthusiast sites and publications. And he spent several years as a staff writer at BBC Top Gear magazine. During this zig-zag of a career trajectory, he has driven everything from budget Malaysian hatchbacks (yes, they exist) to scarily expensive Italian exotica.

Colin Ryan

Luxury Compact SUV

Luxury Compact SUV Articles - Kelley Blue Book

2026BMW X3

2026BMW X3 Archives - Kelley Blue Book

luxury

luxury Archives - Kelley Blue Book

suv Archives - Kelley Blue Book

$48,500 - $53,499

$48,500 - $53,499 Archives - Kelley Blue Book

$53,500 - $63,499

$53,500 - $63,499 Archives - Kelley Blue Book

2-Line Blurb

140-Character Blurb

The 2026 BMW X3 offers edgy style and fresh tech in one of the best compact luxury SUVs around, whether you’re shopping for family or fun.

Cons

Power, Ride, and Handling

Driving Impressions

Fans of engaging SUVs know the BMW X3 has always had a certain charm. While it won’t shame BMW’s own sedans, it’s often surprising just how close the X3 comes to sedan-like agility and performance. Yet despite the X3’s spry nature, it also rides well.
For this latest generation, BMW says it has expanded the X3’s bandwidth even further, with more agile handling and a more comfortable ride quality.
The entry-level 255-horsepower X3 is plenty quick, accelerating from a standstill to 60 mph in just six seconds. Those seeking more muscle to complement the X3’s handling will appreciate the 393-hp X3 M50 and its ability to hit 60 mph in 4.4 seconds &#8212; about 0.2 of a second quicker than the pricier Porsche Macan.
Fuel Economy
Despite the quick acceleration and ample power, the X3 is also efficient. The 2025 model rates 29 mpg combined in base form, or 27 mpg combined achieved by the M50 variant. The 2026 model hasn’t yet been rated, but it is likely to return identical figures.

Interesting Exterior

Exterior

The fourth-generation X3’s design will probably not be everyone’s cup of tea, but that’s often the hallmark of good design. Bland is boring, and boring has no place in the world of luxury performance SUVs. The new X3 is most certainly anything but boring, whether to look at or to drive.

FAQs

Our Favorite Features and Tech

Favorite Features

Standard navigation
All X3 luxury SUVs come with the latest in BMW navigation, complete with cloud-based maps and live traffic information. The system also integrates with the available head-up display and augmented-reality video system.
BMW Operating System 9
Powering many of the X3’s tech upgrades behind the scenes, this system is the latest from BMW, featuring over-the-air (OTA) updates, a digital assistant, and bonuses like games and media streaming. Apple CarPlay and Android Auto are also standard.
Parking Assistant Professional
Although the X3 is a nimble machine, parking in tight urban spaces can sometimes be a challenge. That’s where this optional system comes in, taking over for the driver, or even parking with the driver outside the car, observing. The updated system takes curbs, road markings, and the position of other vehicles into account.
BMW Maneuver Assist
This feature of the Parking Assistant Professional package stores up to 10 tricky parking spots and the maneuvers required to enter and exit them. This makes for quicker, smoother parking on subsequent visits.
Traffic Jam Assistant
Another optional driver-assistance feature, this takes the load off the driver in stop-and-go traffic, providing hands-free driving for some of the most attention-demanding situations.

Class-Leading Interior

Interior

We expect the previous X3’s strengths to carry forward into the fourth-generation model, meaning it exudes the same feel of quality and high-tech elegance we’re all accustomed to, but with fresh style and new features and equipment.
The X3 has plenty of space, topping its class for legroom and cargo volume. The 2026 X3 has 31.5 cubic feet of space behind the rear seats and 67.1 cubic feet with the rear seats folded. Compare that to the Audi Q5’s 25.8/54 cubic feet or the Mercedes-Benz GLC’s 21.9/56.3 cubic feet.

Is the YMM a Good Vehicle?

Is the YMM Reliable?

KBB Editors' Overview

Luxurious and practical with a sporty edge, the 2026 BMW X3 is one of our favorites in the compact luxury SUV realm. Its strong combination of technology, fresh design, and ample space for the class makes it an even smarter choice after last year’s generational updates. If you’re looking for a right-sized premium SUV that doesn’t give up much to larger, more expensive models, the 2026 X3 is a great place to start.

Optional Equipment

Pricing - Dynamic

Pricing - Static

Despite the all-new model arriving just last year, pricing is up only incrementally compared to the previous generation, keeping the X3 competitive against key rivals like the <a href="https://www.kbb.com/audi/q5/">Audi Q5</a>, <a href="https://www.kbb.com/lexus/rx/">Lexus RX</a>, <a href="https://www.kbb.com/mercedes-benz/glc/">Mercedes-Benz GLC</a>, and <a href="https://www.kbb.com/volvo/xc60/">Volvo XC60</a>, all of which are priced to start within a couple thousand dollars of the X3, although the Q5 does offer a slightly less expensive base model. The <a href="https://www.kbb.com/porsche/macan/2025/">Porsche Macan</a> is somewhat smaller and sportier, and starts considerably higher. Lower-priced alternatives to the 2026 BMW X3 include the <a href="https://www.kbb.com/acura/rdx/">Acura RDX</a>, <a href="https://www.kbb.com/genesis/gv70/2025/">Genesis GV70</a>, and the <a href="https://www.kbb.com/lexus/nx/">Lexus NX.</a>
Before buying a new X3 compact luxury SUV, check the Kelley Blue Book Fair Purchase Price to see what you should be paying. The X3’s resale values for the new generation are still being determined, but the previous model has held its value well, performing substantially better than the class average. Recouping more money when selling a vehicle can mean a bigger down payment and lower monthly payments on the next one.

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