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1998 Dodge Neon Overview, Reviews, Ratings & Specs

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Simon A | October 27, 2025
The 1998 Dodge Neon, part of the first generation of this popular compact car, offered a stylish and spirited option in its segment. Available as a two-door coupe or four-door sedan, it competed from 1995 through 1999. Key trims included the base model, the sporty R/T, and the more upscale ES. Known for its agile handling and surprisingly peppy engines for its class, the Neon garnered popularity for its blend of affordability and performance, especially appealing to younger buyers and those seeking a fun-to-drive daily car.
The Good

The 1998 Dodge Neon boasted nimble handling and responsive engines, offering an engaging driving experience. Its affordable price point provided excellent value. For practical buyers, good fuel economy was a plus, while its sporty design and available performance trims appealed to the emotions of driving enthusiasts.

The Bad

Potential buyers should be aware of common issues such as transmission problems, particularly with automatics. Engine oil leaks, coolant leaks, and issues with the ignition system are also frequently reported. Interior wear and tear can be significant in older models, so thorough inspection is recommended.

1998 Dodge Neon: Quick Overview

  • Engine Options: The 1998 Dodge Neon primarily offered two engine choices:
    • 2.0L SOHC I4: This was the standard engine across most trims, providing adequate power for daily driving.
    • 2.0L DOHC I4 (High Output): Found in the R/T and ACR (American Club Racing) models, this engine offered significantly more power for performance enthusiasts.

  • Horsepower:
    • 2.0L SOHC: Approximately 132 horsepower.
    • 2.0L DOHC High Output: Approximately 150 horsepower.

  • Fuel Economy: Estimated to be around 24 MPG city / 31 MPG highway, though this can vary depending on driving conditions and engine choice.

  • 0-60 Times: For the standard engine, expect times in the high 8-second to low 9-second range. The R/T and ACR models could achieve 0-60 MPH in the mid-7-second range, making them quite sprightly for their class.

  • Towing Capacity: The Dodge Neon was not designed or equipped for towing. Towing capacity is effectively 0 lbs.

  • Trim-Level Features:
    • Base Model: Typically included essential features like power steering, intermittent wipers, and a basic AM/FM stereo. Air conditioning and power windows/locks were often optional.
    • ES (Executive Sedan): Offered a step up in comfort and features, often including air conditioning, power windows and door locks, a better stereo system, and upgraded interior trim.
    • R/T (Road and Track): This performance-oriented trim featured the High Output engine, sport-tuned suspension, 15-inch alloy wheels, performance tires, fog lights, and a rear spoiler. It also often included upgraded interior accents and a tachometer.
    • ACR (American Club Racing): Focused on track performance, the ACR typically came with the High Output engine, stiffer suspension, larger brakes, and lightweight wheels. It often omitted some creature comforts to save weight.

1998 Dodge Neon Specifications

Vehicle Information
Year 1998
Make Dodge
Model Neon
Trim -
Style -
Type Coupe
Category Compact Car
Manufacturing Details
Made In United States
Manufacturing City -
Dimensions
Doors -
Curb Weight -
Gross Vehicle Weight Rating -
Overall Height -
Overall Length -
Overall Width -
Wheelbase Length -
Standard Seating -
Engine & Performance
Engine 2.0 L 4-Cyl.
Engine Size 2L
Engine Cylinders 4
Transmission -
Transmission Type -
Transmission Speeds -
Drivetrain Front-Wheel Drive
Additional Features
Anti-Brake System -
Steering Type -
Pricing
Manufacturer Suggested Retail Price (MSRP) -
Invoice Price -
Delivery Charges -

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What Problems Does the 1998 Dodge Neon Have?

The 1998 Dodge Neon, while offering an engaging driving experience, is known to have several common issues that can affect its long-term reliability. One of the most frequently reported problems is with the automatic transmission. Failures, particularly in higher mileage vehicles, can be costly to repair. Manual transmissions generally fare better but can still experience clutch wear. Another prevalent concern is related to the engine. Oil leaks, especially from the valve cover gasket and oil pan, are common. Coolant leaks are also frequently noted, often stemming from radiator issues or hose degradation. Overheating can become a problem if these leaks are not addressed promptly. The ignition system can also be a source of trouble, with reports of coil pack failures leading to misfires and rough running. For the 1998 model year specifically, there were some recalls. These often pertained to issues like potential fuel leaks due to a faulty fuel pump seal, or problems with the airbag system. It's crucial for prospective buyers to check if any outstanding recalls have been addressed. Long-term reliability can be a mixed bag. Cars that have been diligently maintained, with regular fluid changes and prompt attention to leaks or odd noises, tend to hold up better. However, the overall design and materials used in some components were not always as robust as those found in some Japanese competitors. Expect to potentially deal with electrical gremlins, suspension wear (bushings, ball joints), and exhaust system rust over time, especially in regions with harsh winters and road salt. The interior plastics can also become brittle and crack with age and sun exposure.

How long will the 1998 Dodge Neon last?

Based on owner data and typical maintenance habits, a well-maintained 1998 Dodge Neon can reasonably achieve between 150,000 to 200,000 miles or last for 15-20 years. However, this heavily depends on the owner's commitment to regular maintenance. Neglected maintenance, particularly regarding fluid changes (engine oil, transmission fluid, coolant), can significantly shorten its lifespan. The long-term durability is somewhat hampered by known weaknesses in the automatic transmission and potential for coolant leaks, which can lead to more serious engine damage if ignored. Conversely, cars driven in milder climates with less exposure to road salt tend to fare better regarding rust and corrosion, contributing to greater longevity. Cars that have had consistent attention to minor issues are more likely to avoid major, costly repairs.

What Technology & Safety Features are Included?

The 1998 Dodge Neon offered a fairly basic suite of technology and safety features, commensurate with its compact car class and era. Built-in Tech & Entertainment: Standard entertainment typically consisted of an AM/FM radio with a cassette player. Higher trim levels, like the ES and R/T, might have featured an upgraded stereo system with more speakers and possibly a CD player as an optional upgrade. Features like power windows and door locks were available on higher trims or as optional equipment on base models. Remote keyless entry was also an option on some versions. Air conditioning was standard on most models but could be absent on the absolute base trims. Cruise control was another common option. Driver-Assistance Features: Driver-assistance technology in 1998 was rudimentary. Anti-lock Braking System (ABS) was available as an option on many models, particularly those with more powerful engines or higher trim levels. Traction control was not a common feature on this generation of Neon. Safety Features: Standard safety equipment included driver and front passenger airbags. Seatbelts were also standard. Side-impact airbags were not offered on the 1998 Neon. Crash-Test Ratings: The 1998 Dodge Neon received mixed results in government crash tests conducted by the National Highway Traffic Safety Administration (NHTSA). For frontal impacts, it generally received 3 out of 5 stars for the driver and front passenger. Side-impact test ratings were less consistent, often receiving lower scores, particularly for rear passenger protection, due to the lack of side-impact airbags and the vehicle's overall structure. The Insurance Institute for Highway Safety (IIHS) also conducted tests, with results varying depending on the specific test and model year; overall, it was considered an average performer for its class at the time, but not a standout in safety.

What Colors Options are Available?

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1998 Dodge Neon Prices and Market Value

When new, the 1998 Dodge Neon typically ranged from approximately $12,000 for a base model to around $17,000-$18,000 for a well-equipped R/T or ES trim. Depreciation for the Neon was quite aggressive in its early years, a common trait for many domestic compact cars of that era. Today, current used market prices for a 1998 Dodge Neon can range widely, from as low as $1,000-$2,000 for vehicles needing significant work or with very high mileage, to potentially $3,000-$5,000 for exceptionally clean, low-mileage examples, especially performance-oriented R/T or ACR models. Factors significantly affecting resale value include the vehicle's overall condition, maintenance history, mileage, the presence of rust, and whether it's a more desirable trim like the R/T. The rarity of well-preserved examples is increasing its appeal to some enthusiasts.

1998 Dodge Neon Cost of Ownership

The 1998 Dodge Neon is generally considered an economical vehicle to own. Insurance costs are typically low due to its age and market segment. Fuel costs are also moderate, with respectable MPG ratings. Routine maintenance, such as oil changes and tire rotations, is inexpensive. However, potential buyers should budget for repairs, as common issues like transmission problems or engine leaks can arise and become costly. Overall, while initial purchase and running costs are low, unexpected repairs can increase the total cost of ownership. It is more economical than many larger or newer vehicles, but diligence in maintenance is key to managing repair expenses.

1998 Dodge Neon Fuel Efficiency

Fuel Type Gasoline
Fuel Capacity -
City Mileage -
Highway Mileage -

1998 Dodge Neon Safety Rating

NHTSA
Overall Rating Not Tested
Overall Frontal Star Rating Not Tested
Side Overall Star Rating Not Tested
Overall Rollover Star Rating Not Tested
Combined Front Seat Rating Not Tested
Combined Rear Seat Rating Not Tested
Overall Frontal Star Rating Not Tested
Frontal Barrier Star Ratings Not Tested
Side Barrier Star Ratings Not Tested
Rollover Resistance Star Rating Not Tested

1998 Dodge Neon Insurance

Insurance for a 1998 Dodge Neon is moderately priced, reflecting its status as a Coupe with strong safety ratings and
reasonable repair costs.

How Does the 1998 Dodge Neon Compare to Other Coupe?

The 1998 Dodge Neon competed in a crowded compact car segment against strong rivals such as the Honda Civic, Toyota Corolla, Ford Focus (which debuted shortly after), and Chevrolet Cavalier. Performance: The Neon, particularly in its R/T trim, often offered superior performance and more engaging handling than many of its peers. Its sporty suspension and responsive engines provided a driving dynamic that appealed to those seeking more excitement than a typical commuter car. Rivals like the Civic also offered sporty variants (Si), but the Neon often felt more raw and direct. The Corolla and Cavalier were generally more comfort-oriented and less performance-focused. Features: In terms of features, the Neon was competitive for its time, offering power accessories and decent audio systems on higher trims. However, it generally lagged behind rivals in terms of cutting-edge technology and advanced safety features available even then. For instance, the Honda Civic often boasted slightly better interior refinement and a more modern feel. Reliability: This is where the Neon often fell short compared to its primary Japanese competitors. The Honda Civic and Toyota Corolla built legendary reputations for bulletproof reliability and longevity. While the Neon could be dependable with good maintenance, it was more prone to mechanical issues, especially with its automatic transmission and tendency for leaks, compared to the near-indestructibility of its rivals. The Ford Focus, though newer, aimed to improve on the Neon's reliability but also had its own set of issues. Price: The Neon was typically priced very competitively, often undercutting comparable Japanese models, making it an attractive value proposition, especially for budget-conscious buyers who prioritized performance over long-term reliability. Recommendations: If reliability is paramount, the Honda Civic and Toyota Corolla from the same era are superior choices, offering exceptional durability and lower long-term repair costs, albeit often with less spirited performance in their base trims. If a similar blend of affordability and sportiness is desired, but with potentially better long-term prospects than a Neon, a well-maintained Ford Focus from the early 2000s could be considered. However, if the thrill of a nimble chassis and decent power on a tight budget is the primary goal, and the buyer is prepared for potential maintenance, the 1998 Dodge Neon R/T remains a unique and fun option.

Final Verdict: Is the 1998 Dodge Neon a Good Coupe?

The 1998 Dodge Neon is ideal for budget-conscious individuals or first-time car buyers who prioritize an engaging driving experience and agile handling over absolute long-term reliability. It's a car that offers a surprising amount of fun for its price point, especially in the R/T trim. Whether it's worth buying depends heavily on condition and price. As a used vehicle, it can be a great value if purchased at a low price and if the buyer is prepared for potential maintenance. It is definitely worth buying for enthusiasts looking for a project car or a cheap, sporty weekend driver. However, for someone needing a completely reliable daily driver with minimal fuss, there are more dependable alternatives. Focus on finding one with a well-documented maintenance history, preferably with a manual transmission, and inspect thoroughly for leaks and transmission health.

1998 Dodge Neon Owner Reviews

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Simon A

Simon is a contributor to VinCheck, where he provides articles and reviews on various automotive topics. His work focuses on delivering accurate and up-to-date information about used cars, helping readers make informed decisions.