I purchased my 2004 Toyota Matrix new in late 2003 for about $15,000. I got the basic trim model (not XR or XRS), with the automatic transmission, 3-in-1 stereo, power windows and locks, and all-weather package.
A big advantage of the Matrix is the versatility of the cargo space. The rear seats and even the front passenger seat fold flat and are backed with high-impact plastic (so they don't get torn up like the fabric-backed seats of my other car). A few months ago I was moving, and I fit my dresser and a 24-inch TV in the back of the matrix without even folding down the front passenger seat.
Even with all of this cargo space the car handles amazingly well. I can actually have fun in this car! I can take tight right turns at 25 miles per hour with no problems. This is no muscle car but the throttle is very responsive. If you need a lot of power just slam the gas pedal and it will downshift and rev up to give you more power than you need.
Fuel economy is good, but not as good as smaller cars. I average about 27 miles per gallon, and if I'm just cruising on the highway I can get as high as 34 mpg.
The disadvantages with this car are few. The high-impact plastic in the trunk is great but it causes groceries to slide around the trunk if I corner too fast. I solved this by laying down a cut-out piece of carpet in the trunk. Also, when stopped with the engine running, the middle of the rear seat sometimes vibrates. The other minor problem is that it can be hard to read the speedometer in direct sunlight. I have not had any mechanical problems with the car. Brake and tire replacements have come at the expected mileages.
I am very glad that I bought my Toyota Matrix because it is a car that I can use for everything. I can fit myself and four friends (not perfectly comfortably, but we fit), and I can carry big loads of cargo. The car handles well and gets good fuel economy. It's a great car for everyday use.