Hyundai Palisade Buying Guide: Cost, Reliability, and the Best Years to Buy

by Stephanie Wallcraft

Before Hyundai introduced the Palisade three-row SUV in 2020, the company offered North American families two versions of its Santa Fe model. The Santa Fe Sport had two rows of seats, while the Santa Fe offered an extra set of rear seats. For the 2019 model year only, Hyundai called the three-row version the Santa Fe XL, and that was replaced by the Palisade in 2020.

With bold styling, eight-passenger seating, and generous cargo room, the Palisade launched as a highly competitive midsize three-row crossover oozing with quality, comfort, and thoughtful details. It also had all the latest technology, and in the top-end trim level it looked and felt more like a luxury SUV than a typical family hauler.

In short, as long as you liked the way the Palisade looked, particularly its bold grille, there weren’t many reasons to pass it up for one of its rivals such as the Kia Telluride, the Toyota Highlander, the Honda Pilot, or the Ford Explorer.

RepairPal hasn’t issued a reliability rating for the Palisade, but CarComplaints.com has logged numerous owner gripes about the 2020 model, with a sharp decline in complaints in 2021 and almost none from 2022 on. A check of other sources suggests you should avoid the 2020 Palisade in favour of a later model year.

Hyundai Palisade Buying Guide: Cost, Reliability, and the Best Years to Buy

Frequently Asked Questions

Which Hyundai Palisade years are the best?

Based on our research, you should buy a 2022 Palisade or newer. If you’re not a fan of the SUV’s original front styling, a refresh in 2023 cleaned up the nose and eliminated the chubby-cheeked appearance. That year, Hyundai also upgraded the interior and the Palisade’s technology.

What are the worst Hyundai Palisade years?

As is frequently the case with all-new and redesigned models, we recommend against buying the earliest models, in this case those built in 2020 or 2021. In addition to numerous customer complaints, the imitation leather that used to cover the head restraints in the high-end models could emit an unpleasant odor that Hyundai traced to a manufacturing process problem. We experienced this ourselves in a test vehicle from that era.

Is a used Hyundai Palisade a good deal?

Considering the average transaction price of a new car in Canada hovers around $50,000, yes, a used Hyundai Palisade is a good deal. Better yet, there are plenty of them available. Choose a certified used example from a Hyundai dealership, and the automaker will provide extra peace of mind through warranty and roadside assistance protection.

Pros and Cons

Pros

  • Comfortable and spacious interior
  • Impressive infotainment and safety tech
  • Thoughtful interior design details

Cons

  • Unimpressive mpg and no hybrid option
  • Early model years appear problematic
  • Polarizing front styling

Hyundai Palisade Generations

2026 Hyundai Palisade Preview - Summary

Second generation (2026 to Present)

Building on the success of the first-generation model, the second-generation Hyundai Palisade three-row SUV launches for 2026.

The big news for the redesigned 2026 Palisade is it includes a hybrid version for the first time. Its powertrain combines a 2.5-litre turbocharged four-cylinder engine and electric power to produce 329 horsepower and 339 pound-feet of torque. Hyundai expects this version of its largest SUV to average 7.0 litres per 100 kilometres in highway driving and achieve more than 900 kilometres of range per tank.

The gas-powered versions of the 2026 Palisade come with a newly developed 3.5-litre V6 engine generating 287 hp and 260 lb-ft of torque, matched with an 8-speed automatic transmission and standard all-wheel drive (AWD) in Canada.

A first-ever XRT Pro trim also arrives with the 2026 Palisade. It adds to the Palisade’s off-road capabilities with an exclusive electronic rear limited-slip differential, terrain modes for mud, sand, and snow, 25 centimetres of ground clearance (2.5 cm more than standard models), improved angles of 20.5 degrees on approach, 22.4 degrees on departure, 18.3 degrees on breakover, 18-inch wheels with all-terrain tires, a surround-view monitor, orange front and rear recovery hooks, downhill braking control with tow mode, an integrated tow hitch, and Hyundai’s Blind View Monitor that projects camera views of blind spots into the digital instrument cluster when a turn signal is activated.

Newly available convenience features in the 2026 Palisade include what Hyundai dubs “relaxation seating” in the first and second rows with deeply reclining seatbacks and pull-out footrests, along with a smartphone-operated digital key with walkaway locking, high-powered 100-watt USB-C charging ports, and a factory-installed tow hitch. With the V6, the 2026 Palisade can tow up to 2,268 kilograms (5,000 pounds) when properly equipped, while the hybrid is rated for towing of up to 1,810 kilograms (4,000 pounds).

A built-in front- and interior-facing dashcam with built-in storage, ten airbags, third-row seatbelt pre-tensioners and load limiters, and rear camera washers for the backup camera and digital rearview mirror are also available.

The 2026 Palisade is larger than the first-generation model, adding 65 millimetres to its overall length, 70 mm to the wheelbase along with extra length in the rear of the cabin for added third-row legroom, and a 40-mm shorter front overhang.

With its standard 12.3-inch dual displays for the digital instrument cluster and touchscreen infotainment system, wireless Apple CarPlay and Android Auto are standard. This resolves a long-time complaint with Hyundai’s largest touchscreen, which was incompatible with wireless smartphone integration for much longer than its rivals. A standard wireless charging pad with an integrated cooling fan is integrated into the centre console, and a UV-C sanitizing tray is available.

In Canada, heated front seats, a heated steering wheel, heated second-row outboard seats, and heated washer nozzles are all standard on the 2026 Hyundai Palisade. Heated outboard third-row seats, ventilated first- and second-row seats, and a lightly massaging driver’s seat are equipped on the top Ultimate Calligraphy trim.

Hyundai’s SmartSense suite of active safety and driver assistance technologies is standard on the 2026 Palisade in Canada. This includes forward collision avoidance assist, blind spot collision avoidance assist, rear cross-traffic collision avoidance assist, safe exit assist, a driver attention monitor, automatic high beams, navigation-based adaptive cruise control, lane following assist, reverse parking collision avoidance assist, and remote smart parking assist.

The 2026 Hyundai Palisade will be assembled in Ulsan, South Korea. As of this writing, new vehicle pricing for the gas-only models ranges from $56,544 including fees for the base Preferred Trend and $65,344 for the top Ultimate Calligraphy trim. Hybrid pricing has not yet been announced at publication time. The second-generation Palisade is brand new, so meaningful used vehicle pricing comparisons will become available beginning in roughly 2028.



First generation (2020 to 2025)

The 2020 Hyundai Palisade was the automaker’s first truly competitive entry in the family-size, three-row SUV segment. It matched its rivals in power, size, and functionality, and it offered the latest convenience, infotainment, and driving assistance technologies. Hyundai Palisade trim levels in Canada initially comprised of Essential, Preferred, Luxury, and Ultimate trims. Each came equipped with a 3.8-litre V6 engine with specs of 291 horsepower and 262 lb-ft of torque. Front-wheel drive (FWD) was standard until 2022, when Hyundai’s Htrac all-wheel drive (AWD) system became standard on all trims.

The Palisade Essential trim level included 18-inch alloy wheels, cloth seats, a second-row bench seat, heated front seats and side mirrors, a heated steering wheel, and an eight-inch touchscreen infotainment system with Apple CarPlay and Android Auto. This version of the SUV also had numerous safety features, including adaptive cruise control, forward collision warning with pedestrian detection, automatic emergency braking, lane departure warning, lane keep assist, automatic high beams, and a driver attention monitor.

Upgrading to the Palisade Preferred brought standard features such as blind spot monitoring and rear cross-traffic alert, heated outboard second-row seats, an auto-leveling rear suspension, rear sunshades, dual-zone automatic climate control, keyless entry, and a sunroof.

In Luxury trim, the Palisade added LED headlights, leather upholstery, ventilated front seats with a driver cushion extension, a 10.25-inch touchscreen infotainment system with built-in navigation, a 12-speaker stereo, an in-car intercom, a surround-view camera, a hands-free power tailgate, LED interior lighting, Hyundai’s camera-based blind spot view monitor, power-folding third-row seats, front parking sensors, and a hands-on highway driving assist function.

In 2020, the Hyundai Palisade Ultimate was the top trim level. It came with a dual-panel sunroof, premium Nappa leather seats, rain-sensing wipers, heated and ventilated second-row captain’s chairs, wireless smartphone charging, a head-up display, a digital instrument cluster, and a microsuede headliner.

In 2021, the Hyundai Palisade Ultimate Calligraphy trim level debuted. This upscale version of the SUV incorporated many of the 2020 Ultimate model’s standard features, while increasing the sense of luxury with quilted door panel inserts , a perforated leather steering wheel, and more.

Hyundai made no changes to the 2022 Palisade. The 2023 Palisade received a comprehensive refresh including new front styling and a revised dashboard with new displays. The base Essential trim was renamed to Urban, and the Luxury trim was discontinued. The USB-A ports were upgraded to USB-Cs, and the wireless charging pad was upgraded to deliver more power.

During the 2023 model year, Hyundai introduced a new Palisade XRT trim level, giving the SUV a more rugged appearance, though here it didn’t add extra off-roading capability. For 2025, a Palisade Ultimate Calligraphy Night Edition joined it, offering a blacked-out appearance combined with that trim level’s luxury features.

Regarding reliability, the 2020 and 2021 Palisade models receive the most owner complaints. They range from the unusual smell of the imitation leather head rests to a few reports of automatic transmission troubles, so keep your eyes and nose open for both on a test drive. The 2022 models are better in this regard, but we think choosing a 2023 or newer Palisade is wisest in light of that year’s upgrades.

Relatively low-kilometre examples of the Hyundai Palisade can be found in Canada from any model year. When searching for versions with less than 100,000 kilometres on the odometer, you’ll find they range from just over $30,000 for an older model year in a base trim level to $60,000 or more for a loaded, low-mileage, nearly new Ultimate Calligraphy, which is essentially the same price as buying new. No matter which one you select, get a vehicle history report before you sign on the dotted line.


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Stephanie Wallcraft is a multiple award-winning professional automotive journalist based in Toronto, Ontario, Canada. In addition to CarGurus Canada, her byline has appeared in major Canadian publications including Toronto Star Wheels, Driving.ca, and AutoTrader.ca, among others. She is a Past President of the Automobile Journalists Association of Canada and was named 2024 Canadian Automotive Journalist of the Year.

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