Why the 2026 Toyota Highlander XLE Might Be the Smartest Buy in the Lineup

Toyota’s three-row Highlander has long been a go-to for families who need a comfortable, practical midsize SUV. With the 2026 model, the Japanese automaker has made a bold move: it dropped the base LE trim, making the XLE the new entry point. That means a higher starting price, but also a lot more standard equipment.

So, is the XLE the best value in the lineup, or should you spend up for a higher trim? We break it down.

5-liter four-cylinder with three electric motors and a CVT. All-wheel drive is now standard across the board. The gas model tows up to 5,000 pounds and returns an EPA-estimated 24 mpg combined, while the hybrid jumps to 35 mpg combined and tows 3,500 pounds. For city drivers or high-mileage commuters, the hybrid’s extra $1,750 over the $46,270 gas XLE is a solid investment.

3-inch digital gauge cluster, wireless Apple CarPlay and Android Auto, heated SofTex seats, and a power liftgate. You’ll miss out on leather upholstery, a JBL sound system, and a panoramic roof, but the cabin feels modern and well-built. The second row can be configured as a bench to seat eight, though the third row remains best left to kids.

On the road, the standard 18-inch wheels actually deliver a smoother ride than the 20-inchers on pricier trims.

For most buyers, the XLE hits the sweet spot. 5+, blind-spot monitoring, and LED lighting as standard. The exterior hardly changes across trims, so you’re not sacrificing looks. Unless you absolutely need leather, a HUD, or sportier suspension, the XLE gives you everything essential without forcing an upgrade.

With the next-generation 2027 Highlander delayed, the 2026 model remains a compelling, well-equipped choice for families who occasionally need that third row.