Undoubtedly, the Mustang is one of the most iconic cars of all time, a fact that has been well-documented since the pony car’s inception more than 60 years ago. The first Mustang made its public debut on April 17, 1964, at the New York World’s Fair and was greeted with instant success. In fact, Mustang was so well received, that it officially kicked off the “pony car” wars, which it appears to have won (again) as it is the last brand standing.

Now in its seventh generation, the Mustang evolved into a serious sports car that well exceeds its secretarial origins, and that comes with a price. A 2025 Mustang GT Fastback, the entry-level V8-powered model currently offered, will set you back a minimum of $46,560. On the other hand, what if you’re a first-time Mustang owner looking for a more affordable option? Well, you’d be hard-pressed to find a Mustang enthusiast who wouldn’t recommend a Fox Mustang as a project car. However, Foxes are becoming quite expensive these days as the secret’s out.

Fortunately, there are plenty of other generations of Mustang you can consider. From affordability and customization to performance potential, overall reliability, and everything in between, these are five generations of Mustang you should consider buying as a first-time Mustang owner.

Mustang II (1974-1978)

Don’t overlook the second-generation Mustang, like this 1976 Ford Mustang II Mach 1. (Photo Credit: Ford Motor Company)

Kicking it off with what is arguably the most affordable Mustang is the second generation. Known as the “Mustang II” the Ford Pinto-based Mustang garnered a lot of hate when it first hit the streets in the mid-’70s. Though it was smaller and lighter than the previous generation, most Mustang fans couldn’t look past the obvious downgrade that was the Mustang II. Another contributing problem? Many of the early models were sans V8 engines. It wasn’t until sometime in 1975 that the Mustang II received a dull V8 under its hood.

However, through the miracle of time, Mustang IIs can now be considered cool, if you’ve got creativity and the cash. Over the years, we’ve seen some serious Mustang II builds, like this V10-powered version. And even this Gen 2 Coyote-powered Mustang II. Should you discount a Mustang II just because it begins as an ugly duckling? Not likely, as the two examples above are proof these little guys have potential. You’ll have to get creative in your search, however, as even browsing AutoTempest only yields one result nationally. Expect to spend anywhere from $5,000 and under in most cases.

SN-95 & New Edge (1994-2004)

Project Apex is our road-racing 2001 Ford Mustang Cobra.

Often split based on their styling, the SN-95 (1994-1998) and the New Edge (1999-2004) cohabitate as the Mustang’s fourth generation. These cars are a favorable starting point for any Mustang enthusiast. What makes them a great choice for a first-time Mustang owner is their affordability. While browsing online, GT versions with a 4.6-liter Two-Valve V8 can be had for as little as $5,000 if you’re willing to overlook perfection for high miles and exterior wear. That said, if you’re looking for a cleaner, more well-put-together example, expect to pay upward of $9,000.

If your budget allows, consider a Mustang Cobra. These high-performance Mustangs are highly desirable for their prowess and performance. Earlier models (1994-1995) are equipped with a 5.0-liter pushrod V8, while later models (1996-1998 as well as 1999 and 2001 examples) are equipped with a 4.6-liter DOHC Four-Valve V8. Lastly, if your budget truly is not an issue, consider the supercharged 2003-2004 Mustang Cobra, known as the Terminator, which is the mack daddy of the fourth generation.

Parts availability (both maintenance and aftermarket) is still relatively strong almost 30 years later. Even today there are still plenty of aftermarket manufacturers who offer brand-new parts like suspension upgrades, exhaust components, and everything in between.

S197 (2005-2014)

A relic from the past, this is our 2005 Ford Mustang GT project car.

Let’s start with the styling. When the fifth-generation Mustang debuted at the North American International Auto Show in 2004, it was hailed for its retro-futuristic design. Inspired by the fastback silhouette of the first-generation Mustang, the S197 was a big departure from the previous generation Mustang. It was larger and much wider, and the GT version offered more power than the outgoing model. After nearly a decade of SOHC V8s under the hood of GTs, even Ford’s newest 4.6-liter Three-Valve V8 wasn’t as exciting as expected.

While the engine is generally reliable, its variable valve timing system wasn’t Ford’s best implementation, and earlier versions of the Three-Valve engine were plagued with spark plugs becoming stuck (and eventually breaking) inside the cylinder heads, which led to a redesign of the cylinder heads in the middle of the 2008 model year. Thankfully, nowadays, there are aftermarket remedies for such issues. And the best part is the earlier models can be had for as little as $5,000 for the roughest of examples, or around $10,000 to $15,000 for an average. If you’re willing to spend a bit extra (around $15,000 to $20,000) you can even find some of the cleanest examples, including the California Special and Bullitt.

Project Grabbr is our Grabber Blue 2011 Mustang GT.

It’s also important to note that the 2011-2014 models are the more sought-after versions of the S197. This is when Ford decided to drop the aging Three-Valve in favor of an all-new, robust 5.0-liter DOHC Four-Valve V8 — a.k.a. the Gen 1 Coyote. With the all-new Coyote came greater power and potential. The 2011-2012 models seem to be the most affordable, ranging from $15,000 to $25,000 depending on where you look. However, it’s important to keep in mind, that these Mustangs are highly desirable for their power and their price point. If you can find one in the low to mid-teens, do yourself a favor and snag it immediately. Aftermarket support for Coyote-powered Mustangs (S197, S550, and current S650 generations) is at an all-time high.

S550 (2015-2023)

Project Boosted Coyote is our 9-second, daily driven 2015 Ford Mustang GT.

The S550 truly changed the game when it came to the out-of-the-box capabilities of the Mustang. The sixth-generation 2015-2023 Mustangs was born with an evolved Coyote V8 with more power as well as a fully independent rear suspension on all models. In the early days, Mustang builders quickly realized the potential of the new platform. Tuners alike were throwing big boost at the new Gen 2 Coyote, and these cars would take it all day. These days, it’s not uncommon to see a Coyote-powered Mustang running 10s or below in the quarter-mile on a factory long-block with some added boost, fuel, suspension, and the right tires.

As we’ve mentioned before, the earlier models are where you’ll find the most savings. High-mileage S550s can be had for as little as $16,000 to $20,000 but the sweet spot for a good example with relatively low miles will set you back around $25,000 or more. And, if you’re looking to save even more money upfront, consider a V6 or EcoBoost-powered version. Those can be had for as low as $10,000 if you look hard enough, but on average they are about $18,000. Out of all the budgets and generations, the S550 is widely considered to best bang for your buck. Even the earliest versions from 2015 make use of technology that is still considered modern as of today.

First Generation (1965-1973)

Our former project car Biting The Bullitt, is a first-generation Mustang.

Arguably one of the most iconic generations of Mustang ever, the first-generation Mustang undoubtedly holds a special place in the hearts of Mustang enthusiasts. While many of the legendary models came from this generation (think Shelby GT350 and GT500, Boss 302 and Boss 429, Bullitt, Mach 1, etc.) those models – in virtually any condition – are budgetarily out of enthusiast hands in today’s market. That said, there are still relatively affordable versions of the first-generation Mustang available if you’re willing to look. Like the Mustang II, depending on your overall budget, you may have to look further than the internet for yours. Surprisingly, clean and mostly restored examples can be found for as little as $15,000 to $20,000 online. Expect to pay much more for prime examples and trim levels.

Which Generation is Best for You?

Ultimately, there’s no real answer to which generation is best for you, as each generation offers its unique style and overall performance potential. Want to build a street/strip-capable car? You can do that. Want to build a corner-carving missile? You can do that as well. What about a Mustang you’d feel proud of taking to your local Cars & Coffee on a Saturday morning? Go for it! Truly, that’s the beauty in Mustang — it’s a blank canvas waiting for your vision.

The enduring popularity of the Ford Mustang is as apparent as its massive market presence. What makes Mustangs of all generations unique is its vibrant community of owners and the abundance of aftermarket support. From iconic design and worldwide recognition to unwavering performance and endless customization possibilities, it’s no wonder why the Mustang was named “the world’s best-selling sports car.”