2027 Hyundai Palisade vs. Toyota Grand Highlander: Which 3-Row SUV Is Better?
If you're shopping for a spacious family SUV, two vehicles deserve a place at the top of your list: the 2027 Hyundai Palisade and the Toyota Grand Highlander.
Both SUVs offer three rows of seating, generous cargo room, available all-wheel drive, advanced safety technology, and hybrid powertrain options.
But they aren't exactly the same.
The Hyundai Palisade focuses heavily on comfort, premium technology, passenger space, power, and family-friendly features, while the Toyota Grand Highlander is particularly appealing to shoppers who prioritize maximum cargo capacity, third-row room, and hybrid efficiency.
So which one is better?
For many families, the answer will depend on how you plan to use your SUV.
If you're shopping for a 3-row SUV in Eastern North Carolina, this comparison will help you understand the key differences between the 2027 Hyundai Palisade and Toyota Grand Highlander.
2027 Hyundai Palisade vs. Toyota Grand Highlander: Quick Comparison
| Feature | 2027 Hyundai Palisade | Toyota Grand Highlander |
|---|---|---|
| Vehicle Type | 3-row midsize SUV | 3-row midsize SUV |
| Gas Powertrain | 3.5L V6 | 2.4L turbo 4-cylinder |
| Gas Horsepower | 287 hp | 265 hp |
| Hybrid Available | Yes | Yes |
| Palisade Hybrid Power | 329 hp | 245 hp on standard hybrid |
| Hybrid MAX | — | 362 hp |
| Available AWD | Yes | Yes |
| Maximum Seating | Up to 8 | Up to 8 |
| Maximum Cargo Space | 86.7 cu. ft. | Approximately 98 cu. ft. |
| Gas Towing | Up to 5,000 lbs. | Up to 5,000 lbs. |
| Hybrid Fuel Economy | Up to 34 MPG combined* | Up to 36 MPG combined* |
*Fuel economy, seating, towing, and equipment vary by trim and drivetrain. Toyota's published Grand Highlander figures above reflect currently available model information; 2027 specifications may vary. Hyundai's 2027 Palisade specifications are from Hyundai's current 2027 model information.
2027 Hyundai Palisade vs. Grand Highlander: Which Has More Power?
If you're comparing the standard gas-powered models, the 2027 Hyundai Palisade has the horsepower advantage.
The Palisade uses a 3.5-liter V6 producing 287 horsepower.
The Grand Highlander's gas powertrain uses a 2.4-liter turbocharged four-cylinder producing 265 horsepower.
That's a 22-horsepower advantage for the Palisade.
For families who frequently travel with several passengers, carry heavy cargo, or simply prefer stronger traditional engine performance, the Palisade's V6 is worth considering.
What about the Grand Highlander Hybrid MAX?
This is where Toyota changes the conversation.
The Grand Highlander Hybrid MAX produces 362 horsepower and 400 lb.-ft. of torque, making it significantly more powerful than the standard Palisade and standard Grand Highlander Hybrid. Toyota also rates the Hybrid MAX for up to 5,000 pounds of towing.
However, Hybrid MAX models are positioned higher in the Grand Highlander lineup and come at a substantially higher price.
For most families comparing similarly positioned vehicles, the standard Palisade and Grand Highlander Hybrid are more natural comparisons.
Which Has the Better Hybrid Powertrain?
Both SUVs give shoppers a way to combine three-row practicality with hybrid efficiency.
The 2027 Hyundai Palisade Hybrid produces 329 horsepower combined from its 2.5-liter turbocharged hybrid powertrain.
Hyundai lists the Palisade Hybrid at up to 34 MPG combined on applicable FWD configurations.
The Grand Highlander Hybrid uses a 2.5-liter hybrid powertrain producing 245 net combined horsepower.
Toyota's published Grand Highlander Hybrid figures show up to 36 MPG combined on the most efficient configuration.
Palisade Hybrid vs. Grand Highlander Hybrid
If your top priority is fuel economy, the Grand Highlander Hybrid has an advantage.
If you want hybrid efficiency combined with substantially more horsepower, the Palisade Hybrid is particularly compelling.
That's an important distinction.
The Palisade Hybrid doesn't ask you to sacrifice much performance in exchange for efficiency.
Which Has Better Fuel Economy?
The Toyota Grand Highlander Hybrid currently has the fuel-economy advantage.
Toyota lists up to 36 MPG combined for the Grand Highlander Hybrid, depending on configuration.
The 2027 Palisade Hybrid is rated at up to 34 MPG combined on applicable FWD configurations.
For someone driving a high number of miles each year, that difference could matter.
However, fuel economy shouldn't be the only consideration.
You should also compare:
- Purchase price
- Financing
- Insurance
- Maintenance
- Features
- Horsepower
- Passenger comfort
- Cargo space
- Towing needs
- Expected ownership period
A vehicle that saves a little more fuel isn't necessarily the better overall value if it doesn't have the features you want.
Which SUV Has More Cargo Space?
This is one of the Toyota Grand Highlander's biggest advantages.
Toyota designed the Grand Highlander specifically around family practicality, and it provides approximately 98 cubic feet of maximum cargo space with the appropriate seats folded. Toyota also highlights the ability to carry substantial luggage behind the third row.
The 2027 Hyundai Palisade provides up to 86.7 cubic feet of cargo space.
That's still a substantial amount of room, but the Grand Highlander has the advantage if maximum cargo capacity is your primary concern.
What does that mean in real life?
Think about the things your family actually carries:
- Strollers
- Sports equipment
- Luggage
- Groceries
- Camping equipment
- Beach chairs
- Coolers
- Backpacks
- Musical instruments
- Pet supplies
If you routinely need to carry a large amount of gear while still using the third row, the Grand Highlander's larger cargo area is worth considering.
Which Has the Better Third Row?
Both vehicles are designed to provide usable third-row seating, but the Grand Highlander has built a strong reputation around third-row practicality.
Toyota specifically designed the Grand Highlander with an adult-friendly third row and substantial passenger space.
The 2027 Palisade also provides a roomy cabin with seating for up to eight passengers depending on configuration.
In fact, current expert testing has praised the Palisade for its roomy interior, including comfortable third-row accommodations.
For families who regularly use the third row, we recommend sitting in both vehicles before making a decision.
The difference between reading a specification and actually sitting in the third row can be significant.
Which Has More Seating?
Both vehicles can accommodate up to eight passengers, depending on configuration.
The Palisade offers both second-row captain's-chair and bench-seat configurations depending on trim.
The Grand Highlander also offers configurations accommodating up to eight passengers.
If you have a large family, make sure you compare the exact configuration you're considering rather than assuming every trim seats the same number of people.
Which Can Tow More?
The gas-powered Palisade can tow up to 5,000 pounds when properly equipped with trailer brakes.
The Grand Highlander gas and Hybrid MAX models are also rated for up to 5,000 pounds of towing capacity. Toyota lists a lower towing capacity for the standard Grand Highlander Hybrid.
Towing winner: It depends on the powertrain
If towing is important, pay close attention to the exact model you're purchasing.
A standard Grand Highlander Hybrid isn't equivalent to a Hybrid MAX when it comes to towing.
Likewise, the Palisade's 5,000-pound maximum requires the appropriate equipment and trailer brakes.
Which Has Better AWD?
Both SUVs offer available all-wheel drive.
The 2027 Hyundai Palisade uses HTRAC All-Wheel Drive, which is available across the Palisade lineup and standard on the XRT PRO. Hyundai says HTRAC AWD is designed to provide additional traction when road or weather conditions change.
Toyota offers AWD on Grand Highlander configurations, including its gas, hybrid, and Hybrid MAX powertrains depending on trim.
For drivers in Eastern North Carolina, AWD can provide additional traction during heavy rain and other changing road conditions.
Neither SUV requires AWD for everyday driving, but it can be a worthwhile option for shoppers who prefer the added capability.
Which Has the Better Interior?
This is one of the areas where personal preference matters most.
The Grand Highlander emphasizes practical family functionality.
The Palisade takes a more premium approach to the cabin, with available features such as:
- Heated and ventilated seats
- Premium Nappa leather
- Second-row comfort features
- 12.3-inch touchscreen navigation
- Wireless phone charging
- Hyundai Digital Key
- Surround View Monitor
- Premium audio
- Relaxation seats on upper trims
Hyundai's highest Palisade trims are designed to give the vehicle a distinctly upscale feel.
The Grand Highlander also offers a strong technology package, including a standard 12.3-inch multimedia display and wireless smartphone integration on applicable trims.
If interior luxury is high on your priority list, the Palisade deserves a close look.
If maximum functionality is your primary goal, the Grand Highlander is difficult to ignore.
Which Has Better Technology?
Both SUVs offer extensive technology.
The 2027 Palisade includes features such as:
- 12.3-inch touchscreen navigation
- Wireless device charging
- Hyundai Digital Key
- Advanced driver-assistance technology
- Surround View Monitor on applicable trims
- Multiple USB-C charging locations
- Available premium audio
- Available advanced parking technology
The Grand Highlander offers:
- 12.3-inch Toyota Audio Multimedia
- Wireless Apple CarPlay
- Wireless Android Auto
- Toyota Safety Sense
- Available JBL premium audio
- Available panoramic camera technology
- Multiple USB charging locations
Toyota's Grand Highlander is particularly strong in practical technology, while the Palisade provides a very feature-rich experience on higher trims.
Which Has Better Safety Features?
Both manufacturers put significant emphasis on driver-assistance technology.
The 2027 Hyundai Palisade comes equipped with Hyundai SmartSense safety technology.
Available and standard features vary by trim, but the Palisade can include technologies such as:
- Forward Collision-Avoidance Assist
- Lane Keeping Assist
- Blind-Spot Collision Warning
- Rear Cross-Traffic Collision-Avoidance Assist
- Highway Driving Assist
- Rear View Monitor
- Surround View Monitor
The Grand Highlander uses Toyota Safety Sense technology, which also includes a comprehensive collection of active safety and driver-assistance features.
When comparing safety, it's important to look beyond the number of features.
Look at how those systems operate and whether you find them intuitive during your test drive.
Which Is More Comfortable for Road Trips?
For families who take long road trips, comfort may be more important than almost any other factor.
Current expert testing has praised the Palisade for its smooth ride, quiet cabin, and roomy interior, making it particularly well suited to highway travel.
The Grand Highlander also emphasizes long-distance family comfort and offers substantial passenger and cargo room.
Both are excellent road-trip vehicles.
However, if your priority is a more luxurious, quiet, premium-feeling driving experience, the Palisade should be high on your list.
Which Is Better for Families?
Both vehicles are excellent family SUVs.
The Toyota Grand Highlander may be the better choice if your family prioritizes:
- Maximum cargo capacity
- Excellent third-row space
- Hybrid fuel economy
- Practical interior storage
- Long-term family utility
The Hyundai Palisade may be the better choice if you prioritize:
- Premium interior comfort
- Strong gas-engine performance
- Powerful hybrid performance
- Advanced technology
- Upscale features
- Smooth highway driving
- Available AWD
- Up to eight-passenger seating
2027 Palisade vs. Grand Highlander: Which Is More Affordable?
Pricing needs to be handled carefully because Toyota's currently published Grand Highlander pricing is for the 2026 model year, while MY27 production information is already appearing in Toyota's fleet system.
The 2027 Hyundai Palisade currently starts at $39,735 MSRP, before freight, taxes, title, license fees, and dealer charges.
Toyota's published 2026 Grand Highlander starts at $42,260 for the gas model and $45,610 for the Hybrid LE.
Toyota's final 2027 retail pricing should be confirmed once published.
Don't compare MSRP alone
When you're shopping for either SUV, compare:
- Actual selling price
- Manufacturer incentives
- Dealer incentives
- Financing rates
- Lease programs
- Trade-in value
- Available equipment
- Warranty coverage
- Fuel costs
The lowest advertised MSRP isn't necessarily the best overall deal.
Which Has the Better Warranty?
Hyundai has traditionally been a major differentiator in the warranty category.
The 2027 Palisade is backed by Hyundai's well-known warranty coverage, including its 10-year/100,000-mile powertrain limited warranty for original owners, subject to the warranty's terms and exclusions.
Toyota also offers strong warranty coverage, but Hyundai's long powertrain warranty remains one of the reasons shoppers compare Hyundai against other mainstream brands.
If you're planning to keep your SUV for many years, warranty coverage should be part of your purchasing decision.
2027 Hyundai Palisade vs. Toyota Grand Highlander: Pros and Cons
2027 Hyundai Palisade
Pros
- 287-horsepower V6
- 329-horsepower hybrid
- Available HTRAC AWD
- Up to eight-passenger seating
- Premium interior
- Strong technology package
- Up to 5,000-pound towing capacity
- Comfortable ride
- Strong warranty coverage
- Competitive starting price
Cons
- Less maximum cargo space than Grand Highlander
- Hybrid fuel economy is slightly lower than the Grand Highlander's most efficient hybrid configuration
- Some premium features require higher trim levels
Toyota Grand Highlander
Pros
- Excellent third-row space
- Approximately 98 cubic feet of maximum cargo space
- Efficient hybrid powertrain
- Available Hybrid MAX performance
- Up to eight-passenger seating
- Available AWD
- Up to 5,000-pound towing capability on gas and Hybrid MAX models
- Strong family-oriented design
Cons
- Standard hybrid produces significantly less horsepower than the Palisade Hybrid
- Hybrid MAX pricing is substantially higher
- 2027 retail specifications and pricing should be confirmed with Toyota as they are published
Which 3-Row SUV Is Better for Eastern North Carolina?
For families in Goldsboro, Clayton, Kinston, Greenville, New Bern, Jacksonville, Wilson, and surrounding communities, either SUV can make an excellent family vehicle.
But your driving habits may help determine which one makes more sense.
Choose the Palisade if you want:
More power from the standard engine.
The Palisade's 287-horsepower V6 gives it an advantage over the Grand Highlander's 265-horsepower gas engine.
A powerful hybrid.
The Palisade Hybrid produces 329 horsepower combined.
A premium interior.
The Palisade's upper trims offer a particularly upscale cabin.
Strong technology.
The Palisade offers a long list of available convenience and technology features.
Choose the Grand Highlander if you want:
Maximum cargo space.
The Grand Highlander has a significant advantage in maximum cargo volume.
Excellent third-row practicality.
The Grand Highlander's interior was specifically designed around family passenger space.
Maximum hybrid fuel efficiency.
The Grand Highlander Hybrid can reach up to 36 MPG combined in applicable configurations.
Hybrid MAX performance.
If you're willing to move into a higher-priced model, the 362-horsepower Grand Highlander Hybrid MAX provides substantially more performance than either standard powertrain.
Is the 2027 Hyundai Palisade Better Than the Toyota Grand Highlander?
For many shoppers, yes—but it depends on what you value most.
The Toyota Grand Highlander has a legitimate advantage in cargo capacity and hybrid fuel economy.
The Palisade answers with stronger standard gas-engine horsepower, substantially more hybrid horsepower, a premium interior, extensive technology, and a comfortable driving experience.
Current expert rankings also put the Palisade at the top of the midsize three-row SUV segment, while describing the Grand Highlander as a particularly practical alternative with excellent third-row space and cargo capacity.
That's why the best way to compare them isn't simply to look at a specification chart.
Drive them both.
Sit in the third row.
Load something into the cargo area.
Test the technology.
Drive them on the highway.
Then decide which one feels like the better fit for your family.
Why Consider the 2027 Hyundai Palisade at Deacon Jones Hyundai?
If you're searching for a 2027 Hyundai Palisade near Goldsboro, NC, Deacon Jones Hyundai can help you compare available Palisade models and determine which configuration best fits your family.
Deacon Jones Hyundai serves customers throughout Eastern North Carolina, including:
- Goldsboro
- Clayton
- Kinston
- Greenville
- New Bern
- Jacksonville
- Wilson
- And surrounding communities
Whether you're replacing an older SUV, upgrading for a growing family, trading in your current vehicle, or simply comparing the Palisade against the Toyota Grand Highlander, our team can help you explore your options.
Frequently Asked Questions
Is the 2027 Hyundai Palisade better than the Toyota Grand Highlander?
It depends on your priorities. The Palisade offers more gas-engine horsepower and a more powerful standard hybrid system, while the Grand Highlander offers more maximum cargo space and stronger hybrid fuel economy.
Which has more cargo space, the Palisade or Grand Highlander?
The Toyota Grand Highlander has more maximum cargo capacity. Toyota lists approximately 98 cubic feet with the appropriate seats folded, compared with 86.7 cubic feet for the 2027 Palisade.
Which has more horsepower?
The 2027 Palisade gas model produces 287 horsepower compared with 265 horsepower for the Grand Highlander's gas powertrain. The Palisade Hybrid produces 329 horsepower, while the standard Grand Highlander Hybrid produces 245 horsepower.
Which hybrid gets better MPG?
The Grand Highlander Hybrid currently has the advantage, with Toyota listing up to 36 MPG combined on applicable configurations. The 2027 Palisade Hybrid reaches up to 34 MPG combined on applicable FWD configurations.
Which has the better third row?
Both have usable third rows, but the Grand Highlander has been specifically designed around generous third-row passenger space. The Palisade is also praised for its roomy third row and overall passenger comfort.
Can the Palisade tow 5,000 pounds?
Yes. The 2027 Hyundai Palisade can tow up to 5,000 pounds when properly equipped with trailer brakes.
Does the Grand Highlander have a hybrid?
Yes. Toyota offers the Grand Highlander with a standard hybrid powertrain as well as the more powerful Hybrid MAX system.
Which is better for a large family?
Both are excellent choices. The Grand Highlander has an advantage in cargo space and third-row practicality, while the Palisade offers strong passenger comfort, technology, and hybrid performance.
Where can I buy a Hyundai Palisade in Eastern North Carolina?
Deacon Jones Hyundai in Goldsboro, NC, serves customers throughout Eastern North Carolina and can help shoppers explore available Palisade models, trims, financing options, and trade-in opportunities.
Final Verdict
The 2027 Hyundai Palisade and Toyota Grand Highlander are both excellent three-row SUVs, but they appeal to slightly different shoppers.
The Grand Highlander is an excellent choice if your priorities are maximum cargo space, generous third-row room, and hybrid fuel efficiency.
The Palisade is an excellent choice if you want a combination of power, premium comfort, technology, available AWD, strong hybrid performance, and family-friendly versatility.
For many families, the Palisade's combination of 287-horsepower V6 power, 329-horsepower hybrid performance, available HTRAC AWD, up to eight-passenger seating, advanced technology, and premium comfort makes it one of the most compelling three-row SUVs available.
And if you're shopping in Eastern North Carolina, the best way to decide is to experience it yourself.
Visit Deacon Jones Hyundai in Goldsboro, NC, and take the 2027 Hyundai Palisade for a test drive.
Vehicle specifications, pricing, fuel economy, availability, and features may vary by trim, drivetrain, options, and production changes. Toyota 2027 Grand Highlander retail specifications and pricing should be verified when officially published. Always confirm current vehicle information with your local dealer.
