A luxury car is a car that provides above-average to high-end levels of comfort, features, equipment, and or performance. Often more expensive materials and surface finishes are used, and buyers expect better build quality. The usually higher pricing and more upscale appearance is often associated with higher social status of the users, compared to low and mid market segment cars.

The term is relative and partially subjective, reflecting both objective qualities of a car, as well as the projected and perceived image of the car marque. Luxury brands rank above premium brands, though there is no clear demarcation between the two.

Traditionally, most luxury cars were large vehicles, though smaller sports-oriented models were always produced. "Compact" luxury vehicles such as hatchbacks, and off-road capable sport utility vehicles, are more recent expansions of luxury qualities in various cars.

Increasing (comfort) features, materials quality, interior space, innovations, and or performance have consistently been competitive strategies between car makers, practically throughout the history of the automobile.