Score Big With Your Budget: How to Maximize $40k on a Toyota Hybrid SUV

Thinking astir buying a brand-new Toyota RAV4 Hybrid? You mightiness beryllium amazed to larn that a one-year-old Toyota Highlander Hybrid—a larger, much premium SUV—can outgo astir the same.

Even better, galore utilized Highlanders are 2024 models, truthful they're inactive existent successful plan and tech. That makes the determination a spot much interesting.

So, which Toyota hybrid offers amended value? A afloat loaded caller RAV4, oregon a somewhat utilized Highlander with much abstraction and three-row flexibility?

Toyota has immoderate beardown contenders if you’ve got astir $40,000 to walk and privation an all-wheel-drive hybrid SUV. That includes 2 precise antithetic models that amazingly autumn wrong the aforesaid terms range.

In the sections below, we’ll interruption down the cardinal specs and features of each conveyance to spot which offers amended value. We'll besides item a fewer last factors to see earlier you marque your choice.

RAV4 vs. Highlander: Models, Generations, and Pricing

The current, fifth-generation Toyota RAV4 debuted for the 2019 exemplary twelvemonth and enters 2025 successful its seventh twelvemonth connected the market. For 2025, each RAV4 Hybrid models travel modular with all-wheel drive.

Trim options for the RAV4 Hybrid see LE, XLE, XLE Premium, Woodland Edition, SE, XSE, and the range-topping Limited. This assortment gives buyers a wide scope of features and terms points to take from.

The fourth-generation Toyota Highlander launched for the 2020 exemplary twelvemonth and remains the existent version. In 2023, it received a large update featuring a caller state engine, a redesigned infotainment strategy with a 12.3-inch touchscreen, and a relocated, much user-friendly wireless charger.

The 2025 Toyota RAV4 Hybrid Limited starts astatine a basal MSRP of $40,605, not including options oregon destination fees. It’s a top-rated hybrid SUV and 1 of the best-selling crossovers successful the world, making it a fashionable and reliable choice.

When new, 2024 Toyota Highlander models started astatine conscionable nether $40,000. Today, lightly utilized XLE trims often hover astir that aforesaid $40k mark, according to sources similar Kelley Blue Book and Autotempest.

Many of these utilized Highlanders are inactive connected their archetypal lipid change. That means you're fundamentally getting a astir new, higher-tier SUV for the terms of a compact crossover.

RAV4 vs. Highlander: Size, Space, and Cargo

These 2 SUVs autumn into antithetic size categories—the RAV4 is simply a compact, portion the Highlander is simply a mid-size. That size quality brings notable contrasts successful space, footprint, and practicality.

If you’re dealing with tighter parking oregon a smaller garage, the RAV4 is easier to manage. It’s 3 inches narrower, 14 inches shorter, and 1.1 inches little than the Highlander Hybrid.

Ground clearance is astir identical, with some models sitting astir 8 inches disconnected the ground. The Highlander technically offers a spot little clearance, but it’s a negligible quality for astir drivers.

Despite being 14 inches longer overall, the Highlander’s wheelbase is lone 6.3 inches longer than the RAV4’s. This gives it a much spacious compartment without dramatically changing driving dynamics.

The interior abstraction tells a bigger story, chiefly due to the fact that 1 exemplary has 2 rows of seating portion the different offers three:

The Highlander has a flimsy borderline successful beforehand headroom compared to the RAV4. However, it gives up a spot successful rear-seat headroom, though the quality is little than an inch.

Legroom is besides intimately matched, with the Highlander offering astir an other inch successful some the beforehand and 2nd rows. It’s a tiny gain, but 1 that adds to wide comfortableness connected longer drives.

Where the Highlander truly pulls up is successful enarthrosis room. It gives beforehand passengers 1.2 inches much abstraction and second-row passengers a notable 2.3-inch vantage implicit the RAV4.

The Highlander Hybrid includes a 3rd enactment of seats, which the RAV4 Hybrid doesn’t offer. Still, the archetypal and second-row dimensions are rather akin betwixt the two.

This means that portion the 3rd enactment whitethorn beryllium a bonus, wide rider abstraction successful the archetypal 2 rows is lone somewhat amended successful the Highlander. For many, that whitethorn not warrant the other size alone.

Cargo space, however, tells a antithetic story. The Highlander delivers 29 percent much country down the 2nd enactment and 21 percent much maximum cargo measurement than the RAV4 Hybrid—clear wins successful practicality.

Comparing Their Hybrid Powertrains

* City/Highway/Combined arsenic per the EPA ** As per the EPA

Both the RAV4 and Highlander Hybrids usage Toyota’s well-established hybrid system, which pairs a 2.5-liter state motor with electrical motors to boost ratio and torque. These are modular hybrids—not plug-in models—so there’s nary request to recharge them manually.

The artillery recharges automatically arsenic you drive, requiring nary other effort from the driver. It’s a seamless setup designed for mundane convenience.

When comparing these two, a fewer cardinal show differences basal out. The Highlander Hybrid makes 24 much horsepower than the RAV4 Hybrid, yet lone costs astir $150 much per twelvemonth successful fuel, according to EPA estimates.

Perhaps the biggest difference? The Highlander Hybrid tin tow doubly arsenic overmuch arsenic the RAV4 Hybrid for the aforesaid acquisition price.

Which One Should You Pick?

Both the RAV4 Hybrid and Highlander Hybrid are mature products with proven drivetrains, reliable tech, and beardown reputations for dependability and resale value. They're safe, well-rounded choices backed by years of lawsuit trust.

The Highlander received a large interior refresh for 2023, giving it an borderline implicit the RAV4 successful presumption of surface size, compartment storage, and wide refinement. It besides features Toyota’s latest infotainment system, anchored by a large, modern touchscreen.

For akin money, a lightly utilized Highlander Hybrid offers much space, power, and towing capability. The trade-off? A somewhat higher yearly substance cost.

Think astir however your SUV volition acceptable into your lifestyle. The Highlander Hybrid is apt the amended prime for increasing families, acknowledgment to its third-row seating and treble the towing capacity.

On the flip side, the smaller, much nimble RAV4 could beryllium perfect arsenic a 2nd household car oregon for regular commuting. Its compact size and casual maneuverability are large for municipality driving oregon pupil use.

Driving consciousness is different origin to weigh. The RAV4 has a sportier, firmer ride, portion the Highlander Hybrid leans toward comfortableness with a softer, much relaxed driving experience.

If you're an enthusiast, the RAV4's sharper handling and responsiveness mightiness entreaty more. But for those prioritizing comfortableness and calm, the Highlander has the edge.

Having options is ever a bully thing. And successful this case, we’d thin toward the Highlander Hybrid.

We admit the flimsy headroom boost and however it improves outward visibility—great for taking successful the scenery connected agelong drives. The thrust besides feels softer and much composed implicit unsmooth roads compared to the RAV4.

The Highlander Hybrid people encourages a much relaxed, fuel-efficient driving style. Its quiet, comfy quality makes it casual to settee successful and fto the hybrid strategy bash the work.

Sources: Toyota, EPA, Kelley Blue Book, AutoTempest