The launch of an all-new Jazz midway through 2008 has further sparked interest in this jazzy small car from Honda. Not that it needed much prodding in the sales race because buyer interest in cars of this type is at an all time high due to uncertain fuel prices and increasing awareness of C02 emissions from vehicles.

It's unlikely that any of these late ‘08 Jazz models will be on the used-car scene in these early days, so we will concentrate on the first-generation Jazzes, those sold in Australia from October 2002. These cars are holding up well due to Honda's legendary design expertise and high build quality. Though most Hondas come from factories in Thailand these days, head office keeps a very close eye on the way the cars are screwed together and Thai cars are virtually identical in standard to Japanese ones.

Honda's Jazz is unashamedly tall. Maybe this doesn’t make it a fashion statement, the high roofline allows additional interior space in a relatively small body. Sitting higher in the car makes for more legroom and permits a decent amount of room to be left aside for the rear luggage area. The Jazz manages provide good room for four adults with little compromising on legroom. There’s reasonably easy entry and exit into the back seat, though some may find the rear door opening is on the tight side.

Clever work by Jazz's designers has made a neat job of hiding the tall look, providing eye appeal in a body shape that uses big headlights, a sleek bonnet and some clever sculpting around the rear end to disguise the inherent bulkiness in its tail.

This Honda has one of the neatest and most effective folding rear seat designs yet. Jazz's rear seat slides backwards and forwards to let you juggle the people/luggage equation. It can be folded flat with a minimum of fuss to create a huge luggage area. The front passenger seat can be fully reclined to let you carry long loads extending from the dashboard to the rear window.

The Jazz GLi comes with a 1.3-litre engine, power windows, central door-locking and a single slot CD. The more expensive VTi and VTi-S variants have 1.5-litre engines, air conditioning, remote door-locking and a sportier look to the interior trim.

Both models come with fuel-efficient continuously variable transmissions (CVT). The 1.5 CVT comes with a sports mode offering seven preset gear ratios operated by steering wheel shifters. Thus giving a good degree of manual control when you’re in a sporting mood. The 1.3-litre engine runs purely as an automatic.

Handling is good provided the roads are reasonably smooth. The Jazz turns in easily, is happy to change direction in corners and is generally well set up for everyday driving. Enthusiasts may find it a little lacking in steering precision.

Australian Jazz models get the firmer European spec suspension. While giving decent handling the firmer suspension lets the Jazz be knocked about a fair bit on rough Aussie surfaces. And you don’t have to go a long way into the bush to find harsh road conditions in these times of local-road budget cuts.

Jazz is reasonably easy for the good amateur mechanic to work on, though there is some underbonnet crowding that’s inevitable on a car of this size. Keep some band aids handy – and don’t forget the workshop manual.

The Honda Australia dealer network is widespread in the heavily populated areas, but isn’t all that established in remote areas. We seldom hear of any real hassles with getting hold of spare parts, but if you are concerned about this it may be smart to make local enquiries before falling too deeply in love with one of these cute little models. Spare parts prices for Hondas are more reasonable now than they have been in the past.

Insurance costs for Honda Jazz generally sit in the mid-range of the field. There doesn’t appear to be any real differentiation between companies on premium charges. It’s always wise to spend some time shopping around for the best deal, though.

WHAT TO LOOK FOR

Check that the engine starts easily and responds quickly and positively to the throttle, even when it’s completely cold.

A continuously variable transmission should be crisp in its reactions to changes in throttle position and road conditions. Because a CVT transmission feels different in its operation to other types of automatics, have an expert drive it if you are not confident it’s working correctly.

Make sure the brakes pull the car up without any pulling to one side and that no one wheel locks while the others are still turning.

Bodywork should be undamaged and free from rust. Corrosion is not common unless the car has been poorly repaired after a smash.

Look over the interior to make sure it hasn’t suffered at the hands of uncaring owners, especially bored young kids.

As always, it makes a lot of sense to get a professional inspection after carrying out initial checks to the best of your ability.

HOW MUCH?

Expect to pay from $6000 to $10,000 for a 2002 Honda Jazz GLi; $7000 to $11,000 for a 2002 VTi; $8500 to $13,000 for a 2005 GLi; $10,000 to $16,000 for a 2004 VTi-S or a 2007 GLi; $12,000 to $18,000 for a 2007 VTi; and $14,000 to $20,000 for an early-2008 VTi-S.

CAR BUYING TIP

Don’t be afraid to haggle over the price of any car, the chances are that the asking price has been inflated to give the impression than you can receive a special deal.