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  4. We drove a $67,000 Audi RS3 and found that it's a 400-horsepower speed demon designed to take on the best from BMW and Mercedes

We drove a $67,000 Audi RS3 and found that it's a 400-horsepower speed demon designed to take on the best from BMW and Mercedes

The Audi RS3 debuted for the 2017 model year and is based on the brand's successful ...

We drove a $67,000 Audi RS3 and found that it's a 400-horsepower speed demon designed to take on the best from BMW and Mercedes

... A3 sedan.

... A3 sedan.

It's also a step up from the mid-grade Audi S3 sedan, which was a finalist for Business Insider's 2015 Car of the Year Award.

It

With a starting price of under $55,000, the RS3 is the most affordable way to gain entry into Audi Sport's lineup that includes the mighty RS 7 and ...

With a starting price of under $55,000, the RS3 is the most affordable way to gain entry into Audi Sport

... The R8 supercar.

... The R8 supercar.

In the marketplace, its rivals include BMW's delightful M2 and ...

In the marketplace, its rivals include BMW

... the Mercedes-AMG CLA 45.

... the Mercedes-AMG CLA 45.

While its rivals from BMW and Mercedes are decidedly road-going specialists, the Audi's rally DNA shines through its quattro all-wheel-drive system and ...

While its rivals from BMW and Mercedes are decidedly road-going specialists, the Audi

... the turbocharged, five-cylinder engine lurking under the hood. More on the engine a bit later.

... the turbocharged, five-cylinder engine lurking under the hood. More on the engine a bit later.

Lookswise, the RS3 is a handsome little beast.

Lookswise, the RS3 is a handsome little beast.

It maintains most of the A3 sedan's aesthetics but adds a few performance-minded flourishes like the 19-inch titanium-finish wheels and matte-aluminum Singleframe front grille.

It maintains most of the A3 sedan

The subtle decklid spoiler and dual, black-tipped sport exhausts are also nice performance touches.

The subtle decklid spoiler and dual, black-tipped sport exhausts are also nice performance touches.

The RS3 is a truly compact affair at just 176.3 inches long. That's 2.5 inches shorter than a Ford Focus sedan.

The RS3 is a truly compact affair at just 176.3 inches long. That

The interior is one of my favorites. Like the A3 on which it is based, the RS3's cabin is a masterclass in minimalist chic. It's simple yet sophisticated.

The interior is one of my favorites. Like the A3 on which it is based, the RS3

The cabin is also impeccably put-together, with fine, diamond-stitch Nappa leather and elegant metal accents. Audi doesn't let its RS3's sporting nature diminish comfort and luxury for its occupants.

The cabin is also impeccably put-together, with fine, diamond-stitch Nappa leather and elegant metal accents. Audi doesn

In front of the driver is an Alcantara and leather sports steering wheel. Beyond it is a 12.3-inch LCD digital instrument cluster.

In front of the driver is an Alcantara and leather sports steering wheel. Beyond it is a 12.3-inch LCD digital instrument cluster.

The screen is home to Audi's award-winning, reconfigurable virtual cockpit system.

The screen is home to Audi

The center stack is dominated by a seven-inch TFT screen running Audi's MMI infotainment system.

The center stack is dominated by a seven-inch TFT screen running Audi

Audi's MMI is arguably the best infotainment system we've ever encountered. It's an opinion we've held for the past few years. Even though the screen size is far from industry-leading, MMI is attractively rendered, highly intuitive to use, and packed with features.

The system is controlled using a center console-mounted rotary dial complete with a touchpad and handwriting-recognition technology.

The system is controlled using a center console-mounted rotary dial complete with a touchpad and handwriting-recognition technology.

The screen can also be retracted at the push of a button.

The screen can also be retracted at the push of a button.

The RS3 is also loaded with a host of available luxury, safety, and tech features.

The RS3 is also loaded with a host of available luxury, safety, and tech features.

They include adaptive cruise control; active lane assist; full Apple CarPlay and Android Auto integration; 4G LTE connectivity; panoramic sunroof; and a 14-speaker, 705- watt Bang & Olufsen sound system.

Out back, there's 10 cubic feet of cargo space. It's sufficient space for groceries and a couple of suitcases.

Out back, there

The Audi RS3 is powered by a 2.5-liter, 400-horsepower, turbocharged five-cylinder engine. It's mated to Audi's seven-speed S tronic twin-clutch transmission and the brand's signature quattro all-wheel-drive system.

The Audi RS3 is powered by a 2.5-liter, 400-horsepower, turbocharged five-cylinder engine. It

In the US, the standard A3 is powered by a 2.0-liter, 220-horsepower, turbocharged inline-four cylinder, while the racier S3 gets a 292-horsepower version of the same engine. Both models are also available with the quattro all-wheel drive and a six-speed S tronic transmission.

According to Audi, the RS3 can make the run from 0-60 mph in just 3.9 seconds with an artificially limited top speed of 155 mph. The top speed limiter can be raised to 174 mph if you option the $4,800 Dynamic plus package.

According to Audi, the RS3 can make the run from 0-60 mph in just 3.9 seconds with an artificially limited top speed of 155 mph. The top speed limiter can be raised to 174 mph if you option the $4,800 Dynamic plus package.

The Dynamic plus package also comes with ceramic front brakes and a special RS-tuned sports suspension in place of the standard magnetic ride system.

So, what's it like to drive?

So, what

The Audi RS3 is truly impressive. Its steering is quick and communicative, while its chassis and suspension are tuned to deliver sports-car-like stiffness without the dreaded bone-jarring ride.

The RS3 is quick and nimble around corners. Apart from some minor understeer, it feels perfectly balanced at all times.

The free-revving turbo-five cylinder delivers instantaneous power across its broad power band. The engine reaches its peak torque of 354 pounds-feet at just 1,700 RPMs and maintains this output all the way up to 5,850 RPMs.

Paired with the quick-shifting seven-speed dual-clutch transmission, the RS3 launches off the line like a crazed animal seeing the red mist. Acceleration is immediate, and power delivery holds steady as the RS3 works its way through the gears.

Our verdict.

Our verdict.

The Audi RS3 is simply astounding. It's brilliant not just as a performance machine, but also as a compact luxury sedan. It's both a predatory animal lurking in the tall grasses, ready to pounce at a moment's notice, and a warm comforting friend.

We were blown away by the S3's style, comfort, and performance back in 2015. With the RS3, Audi and Audi Sport have simply taken thing to the next level.


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