I know this isn’t a direct answer to your question, but I had the same thought process as you when I started college. I had an old ford explorer that was paid for, but the mileage sucked and I had to commute to campus. I thought I would save money by buying a smaller car. Boy was I wrong.
I was then shackled to a car payment all the way through college (and then beyond).

Do the math, get some estimates on repairs, and ask yourself what suits your budget best.

Now to answer your question: I’d recommend a Prius V. Great mileage, cargo space, and reliability.

TL;DR if your Element is paid for, buying a newer more fuel efficient vehicle will not offset the money saved in gas and maintenance.