Honda Fit is completely redesigned for 2009, making the industry's best subcompact car even better and more desirable. There's plenty of room for four plus luggage in a five-door package that's only 162 inches long. The cockpit is spacious, the rear seats fold flat in an instant, the vast majority of Fits come with an iPod adapter, fuel economy is on the high side of 30 mpg, and the optional navigation system is quite good. In a car so nearly perfect, the Fit falls short because of the lack of a crucial technology - unavailable from the factory, unavailable from the dealer -- a Bluetooth adapter.

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Subcompact cars are getting more attention this year because of gasoline prices. (Sales of the old Fit are up 72% year-to-date.) They've always been the ideal first new cars for Gen Y buyers because of their $15,000 prices. Baby boomers are also discovering subcompacts as they trade in SUVs or add subcompacts and park the SUVs for most trips. The trade-down buyers are willing to pay for luxury appointments that don't reduce fuel economy. Fit can't help these buyers too much. (For that, there's the Mini Cooper.) The Fit's base price is $15,220 (including $670 freight). The most you can pay for a fully-optioned Fit is $19,430.

High-tech engine
Fit's technology runs throughout the car but it isn't on display on the dashboard where high-end cars would have multiple driver aids such as lane departure warning or active cruise control. Instead, the body has been re-engineered for more room inside and more crash protection for the occupants. The nose was redesigned to be kinder to pedestrians who wander in your path. Pedestrian protection is big in Europe, where drunks are less often behind the wheel, but still out in public. The Fit's wheelbase is 2 inches longer and most of that benefits the back seat; the car is 4 inches longer overall (162 inches) and 0.5 inches wider (67 inches).

The 1.5-liter i-VTEC engine produces 117 hp, up 8 hp, through a more sophisticated method of controlling intake valve timing (when the intake valves open to admit the air-fuel mixture) and valve lift (how much the valves open). The most popular model, the Fit Sport with a five-speed automatic, would get 27 mpg city, 33 mpg highway, 29 mpg. With a 10.6-gallon fuel tank, your cruising range tops out at about 300 miles.

Other new technology
All models now get MP3/WMA playback and an aux-in jack. The Fit Sport models that will make up 80% of sales get a USB interface that works with iPods, USB memory keys, and some other devices. An Alpine touchscreen navigation system (with a PC Card for music behind the LCD) is an option on the Fit Sport where Honda pairs it with stability control (Vehicle Stability Assist) for $1,850. Honda is likely to get some flack for making stability control optional and only on the priciest model but there's no easy solution. According to Honda senior product planner Jeff Swedlund, when Honda offered VSA as a standalone option previously, there was a low take rate; when it's built in, customers gripe about the car's base price (and Fit is already priced at the high end for its segment, because of all the standard features).

The original Fit has only been on the market since 2006, but in the rest of the world it's been around since 2002, and Honda has most of its cars on a five-year new model cycle, so it's due.

Test drive
On the road, the Fit is fun to drive. Its good looks help the car stand apart from the competition. It's the only subcompact I've driven that invites comparisons to the Mini Cooper. Acceleration and handling are good. Engine noise under hard acceleration is still noticeable but less so than in the past. That's life with a $15,000 car.

The five-speed manual transmission worked well. I preferred the five-speed automatic with its paddle shifters and, because of the gear ratios, slightly better fuel economy. The new tilt/telescope steering wheel makes it easier to find a comfortable driving position. An instant-economy meter is helpful. Fuel economy is about the same as on the old Fit; it's down slightly on the base Fit with manual transmission. For those who want more mpg, hold on for 2009 when Honda introduces new hybrids; off-and-on rumors say the Fit would be one of the hybrid models.

Visibility is excellent, back seat passengers are comfortable (much improved), and there's enough luggage room for a weekend getaway for two or three, four if you pack light. The 60-40 split rear magic seat (Honda's term), drops down to a flat load floor at the press of a button and doesn't require removing the rear headhests. Conversely, the back seat cushions fold up to create a tall load space, great for bringing home that 42-inch plasma TV that shouldn't be carted on its side.

The audio system is adequate -- four speakers on base Fit, six on the Fit Sport. Honda does not offer satellite radio (XM), not even as a dealer-install option, saying there's not much demand in this segment. On this, Honda is probably misguided, especially as baby boomers with money make up more of the Fit demographic. But that's not as big a gaffe as not having Bluetooth available. At its press introduction, Honda spent a lot of time talking about safety engineering, then through exclusion ignored the safety aspects of Bluetooth. The worst built-in Bluetooth is still better and cheaper than the best add-on modules.

Honda's Alpine-based satellite navigation is aging, but it's still among the best. The display washes out in sunlight, as do virtually all other displays, but that doesn't make it acceptable. This version does not include some of the bells and whistles of higher-end Honda and Acura navigation, such as restaurant ratings. Still, for the money, it's not bad since the package comes with vehicle stability control.

Should you buy?
Fit's competitors include the Scion Xd, the one other car in this segment with a sense of quirky style (quirky in a good way); Nissan Versa, bigger outside but no longer much bigger inside; Toyota Yaris; Chevrolet Aveo; Kia Rio; Ford Focus (which rolls in Bluetooth and iPod free); and Hyundai Accent.

Fit and finish on the Fit are outstanding. Combine that with a high level of standard equipment and you've got the most desirable car in the segment as well as one that's also one of the most costly.

Were I buying, I'd go for the Fit Sport. The $1,560 upcharge for the Sport buys you the features that will make the car more enjoyable three years down the road. Either transmission is fine. I'd also opt for the navigation/stability control package because a) you're crazy not to get stability control if it's offered, b) the navigation system is pretty good, and c) the big LCD display makes it easier to control your iPod. If you're on a tight budget and wish Fit pricing were more in line with the competitors, drop back to the base Fit and order an iPod adapter from the Honda dealer for about $200.

The Honda Fit was the best subcompact around, and the 2009 Fit, even without Bluetooth, continues to be the benchmark.

Honda Fit (2009)
American Honda
http://automobiles.honda.com/
Price: 15,220 - $19,430
EPA economy: 27 mpg city, 33 mph highway, 30 mpg combined (Fit Sport Automatic)

Pros
Fit and finish. Interior spacious in 162-inch car. Improved rear seating.

Cons
No Bluetooth. No satellite radio. Stability control only offered with navigation package. Engine noise under heavy acceleration.

Bottom line
Honda Fit set the benchmark in subcompacts and raises the bar in 2009. Not the cheapest but currently the best subcompact you can buy.