Toyota Yaris. As far as the first gen sedan version goes (07-11 model years), it's a great, easy to drive car with comfy interior space, great handling, great gas mileage, and great reliability. (Mine was bought in June of 2006, meaning it's one of the first produced in america, and it's had literally no problems besides a couple of batteries.)
There's even a forum for them: yarisworld.com
As far as the other's recommending Camrys: I've driven my mom's '09 camry, and it feel like a loving boat in comparison to the Yaris.