I'm very pleased with my 2010 Honda Fit. Small, but it's a hatchback so it doesn't seem small when I want to put stuff in it. It's a Honda so I expect it to last forever or close enough. I average about 36 MPG without really trying to maximize efficiency (5-speed manual w/ Sport package). A quick search shows similar cars (Fit Sport) going for around $12K-$14K, quite good for a car that originally sold at around $16K. If you do go with a second-hand Fit then try to get a 2009 or later. Honda made some significant improvements with the 2009 models. Base 2009 and 2010 models are going for around $10K-$12K.

And unlike a hybrid you won't have to fork over a small fortune for new batteries every three or four years.