Honda CR-V vs Mahindra XUV700

What's the difference?

What a joy it is to drive such a complete, solid, refined car. Close to three years into its life, the sixth-gen Honda CR-V remains one of, if not the best mid-size mainstream SUV in Australia. I say ‘one of’ as I am yet to drive the new-gen Toyota RAV4 so I’ll wait to test that before giving a final judgement.

The new entry-grade VTi X e:HEV is a winner and you likely won’t need much more kit than what it offers. But you wouldn't regret paying a bit more for the extra spec in higher grades.

Aside from the lack of a space-saver spare wheel in hybrid grades, most of the other negatives are forgivable.

If you are looking for a mid-size family friendly SUV, please go and test drive the CR-V. Very few brands are doing things as well as Honda right now.

The Mahindra XUV700 is a solid, well-rounded family SUV. It has a practical cabin with a usable third row and a punchy turbocharged powertrain. The Indian manufacturer needs to address a few things like interior quality and some ADAS calibration and there’s more work to do when it comes to ride and handling. But overall this seven-seat SUV represents exceptional value for money against some pricier rivals and should be on more consideration lists.

If you’re familiar with the sixth-generation CR-V that launched in late 2023 then you’re familiar with the 2026 version. No visual changes have been made, although the flagship RS now has gloss black mirror caps and door handles.

It is a handsome design for sure, but it doesn’t elevate the medium SUV segment, nor does it do anything different or interesting.

I remember thinking it already looked a bit old when it launched, specifically the entry-grade versions, and given there’s a lot more competition in the segment now, a nip and tuck would've helped.

Nothing has changed design-wise inside. It has an appealing but somewhat conservative design with cool elements like the honeycomb mesh horizontal panel housing the air vents, and the classy chrome dials.

The XUV700 is a reasonably handsome vehicle in the metal. It has a distinctive look that ensures it is immediately identifiable as a Mahindra. It is a clear evolution of the XUV500 it replaces, but far more coherent. 

It has a typical SUV shape but in profile the bonnet looks short and it has a big glasshouse with a kicked-up window line from the C-pillar back.

Front on the unique headlights surround an appealing six-bar grille with the cool Mahindra badge front and centre.

The rear features stretched and pinched tail-lights and the XUV700 sits up high on the road.

Inside the cabin is neat and the dash has an uncomplicated layout. It’s not the world’s most visually appealing interior but it doesn’t get anything wrong. Although the steering wheel feels a bit cheap.

The lovely dark grey interior is broken up with a light grey upper half and there’s stitching on the seats, dash and steering wheel. There are plenty of piano black inserts but it's not overdone. 

The CR-V is a medium-size family SUV with a long history of practicality at its core, so it has to get the fundamentals right. And, largely, it does.

Up front the CR-V is a spacious car with ample head room and decent space across. The seats are well-bolstered and comfortable across the model grades. The seats in the RS are almost sports seats with ample side bolsters and black leather-appointed trim with red stitching, but I prefer the cloth trim of the VTi X.

Storage is handled by sizeable door bottle holders, a pair of cupholders up front and a big central bin, with a few other nooks for phones and the like.

Connectivity-wise there’s a pair of USB-C ports and a wireless charging pad on all grades. The multimedia screen is small by today’s standards, but it’s hard to fault its functionality. Large menu tiles are easy to identify and swipe through, and thankfully there is a separate space on the stack for air-con with actual buttons and dials. And the dials look great! Virtually every Chinese brand (and Tesla), please take note.

Google Built-in is a solid system as it allows you to log into your own Google account and access your saved places on Maps. I used this when I reviewed the Accord and barely needed to use Apple CarPlay. On the launch we mostly used CarPlay because of time limitations, and unlike when I attended the original sixth-gen CR-V launch, the Apple connection worked without fault.

Rear-seat space is ample, especially when it comes to leg, knee and toe room, but headroom is impacted in the RS by the panoramic sunroof. There’s scalloping in the roof to help with this, but my head (I’m 6ft tall) almost scrapes the roofliner.

Sadly the CR-V doesn’t have the ‘magic’ seats of other Honda models. That system allows you to fold the base upright on all three rear seats, or even remove the seat entirely, to allow for extra cargo space in the second row. The CR-V just has standard 60-40 split-fold seats.

You also get map pockets on the rear of both front seats, two more USB-C ports, fold-down armrest with cupholders, knee-level air vents and enough space for a small bottle in the doors.

The boot measures a healthy 589 litres for the five-seat petrol, as well as VTi X and L hybrid grades. That drops ever so slightly to 581L for the VTi LX and RS hybrids. And it’s just 150L for the seven-seater with the rear rows in place. The boot in the five-seat versions has a flat floor for easier loading of heavy items, as well as a 12V outlet, hooks, nooks and lights. It’s a decent, practical space.

Only the five-seat petrol grade has a full-size spare wheel. The seven-seat petrol has a space saver spare, while the hybrid has none at all - just a dismal tyre repair kit. That’s not good enough, Honda. Many of your hybrid rivals have at least a space-saver these days.

The Mahindra boasts a versatile, practical cabin - not something all mid-size seven-seat SUVs can claim.

This grade has electric ‘smart’ door handles that pop out when the car is unlocked. They’re not super easy to grab and feel a little gimmicky. 

The sunroof has a solid power-operated blind, unlike an increasing number of models that come with a flimsy sheer blind or no blind at all, which is unimaginable in our hot Australian climate. Thank you, Mahindra! 

Another cool feature is the extendable sun-visors that are great at blocking out sun at the front or side, especially on longer drives.

A chunky rear centre headrest impedes rear visibility, but it is easily removed. However the rear outboard headrests are also big and that impacts vision out the large rear side windows.

Great to see Mahindra has retained physical controls for the air conditioning, although if you want to adjust anything digitally, you can via the central screen.

Sitting under that and the air vents are buttons for the reversing camera, hazard lights and other controls, then there’s a wireless phone charger, an extra little slot for your phone and two USB-A ports. No USB-C up front in the XUV700.

There’s decent storage up front with two compact, squarish cupholders in the console, a small central bin with a handy rubber key holder, while the glove box is a decent size and will fit more than just the manual.

Bottle storage in the front doors is excellent. The tall CarsGuide bottle fits easily and there’s extra storage for a bunch of other items. 

The front seats are on the firm side but the side bolstering is good, helping you feel nicely secured. The base makes you feel like you’re sitting on the car rather than in it. There’s not a great deal of adjustability - you can’t extend the under-thigh cushion - but the Mahindra has Mercedes-Benz-style controls on the door.

The multimedia screen houses a lot of functions. If you tap the bottom of the screen the climate controls including seat heating pop up. There are more functions if you tap the top of the screen like sound, camera view and the like.

The multimedia screen homepage has tiles, one says ‘Fun in XUV700’ (for Android Auto, Apple CarPlay and radio) and the other says ‘Fun with XUV700’ (vehicle performance). 

Driver assist functions are accessible via the driver’s instrument display using the steering wheel-mounted controls and you can change the intensity of cruise control and lane keep assist or turn off functions like traffic sign recognition and smart pilot assist. 

There are a few cons up front. The indicator sound is awful and makes it feel cheap. There are some quality issues, like the flimsy panel to the lower right of the steering wheel that’s home to the auto stop-start. It feels like it’s going to fall off. And some of the fabrics don’t quite line up.

The device charger could do with a fan as my phone gets super hot charging on the pad, while the ‘Siri’ talk-to-text function of Apple CarPlay is patchy. 

In the second row, the legroom is decent and while there’s not acres of room I don’t feel cramped sitting behind my 183cm (six-foot) driving position. A tiny transmission tunnel means good centre seat legroom. There’s a lever on the front passenger seat back allowing rear passenger behind to move that seat forward.

Headroom is also decent without being ample. There’s about an inch between my head and the roofliner.

The window line is low enough for small children to see out but not so low you feel like you’re sitting on the car. 

The rear seating row is comfortable enough but the backrests - which recline - are flat. 

You’ll find rear knee-level air vents, one USB-C port (the only ‘C’ port in the car) and a pair of map pockets, a phone slot under the vents, a centre armrest with two cupholders and loads of door storage for big bottles and more.

For child seats, the two outboard seats have ISOFIX anchors and there are two top tethers as well.

Access to the third row is much easier than I expected for a mid-size seven seater. The passenger-side single outboard seat tumbles flat then up, leaving plenty of space to get into the rear. There’s even a grab handle to assist.

Headroom isn’t great back there for me, but again, I am six-foot tall. A kid will be fine. There’s a surprising amount of legroom and toeroom. 

Third-row occupants have access to cupholders and air vents on both sides, a fan speed dial, speakers and a 12-volt outlet that is also accessible from the boot when the seats are lowered.

The fact the curtain airbags cover the third row is a big tick. Overall, a solid third-row experience.

There’s a handy plastic lever on the rear of the seats to lower and raise the third row easily. They don’t quite fold flat into the boot floor so they sit up a little, but don’t intrude on boot space.

It looks like there is a cargo cover option but it wasn’t fitted to this example of the car. There are lots of hooks in the boot to hold bags, but note there is no power tailgate - it’s a manual operation in the Mahindra. 

You also get a temporary spare wheel housed externally on the underside of the car.

One thing I can’t tell you unfortunately is the boot volume. Mahindra doesn’t provide those figures. I can say that when all three rows are in place, there is not much room behind the third row. Just enough for three backpacks or a few bags of shopping in a row. When the third row is lowered, there’s ample luggage space.

The Mahindra XUV700 is offered in two model grades, both powered by the same petrol engine. It all kicks off with the AX7 from an affordable $39,990, drive-away.

The focus of this review is the AX7L which tops the range at $42,990, drive-away, which is still great value.

At this price the Mahindra undercuts most mainstream medium SUVs like the Toyota RAV4 and Mazda CX-5 and lines up more closely with the GWM Haval H6 and MG HS from China.

But unlike most of the mid-size SUV set, the XUV700 has a third seating row. The only other offerings in this category to boast that option are the Honda CR-V, Mitsubishi Outlander and Nissan X-Trail, - all of which are more expensive for an equivalent seven-seat grade when factoring in on-road costs.

For the model year 2025 update, both Mahindra XUV700 grades gain all-black interior trim, while the AX7L updates to wireless Apple CarPlay and Android Auto, as well as ventilated front seats with memory settings for the power function.

Standard gear in the AX7L includes a panoramic sunroof, dual 10.25-inch screens, synthetic leather trim, keyless entry and start, a 12-speaker audio system, wireless charging and a leather steering wheel.

You also get a 360-degree surround-view monitor, Bluetooth, rain-sensing wipers, dual-zone climate control, 18-inch alloy wheels and an electronic park brake.

The only option available is premium paint at $495 extra, including the 'Midnight Black' shade on our test car.

This isn’t top-grade luxury car levels of standard gear, but there's very little that’s missing and for $43K, that’s impressive.

Pure petrol powered CR-Vs use Honda’s 1.5-litre four-cylinder turbocharged engine that’s also found in the HR-V and ZR-V SUVs. In the CR-V, it pumps out 140kW of power and 240Nm of torque.

It is paired with a continuously variable transmission (CVT) driving the front wheels only.

The hybrid uses a 2.0-litre petrol engine combined with a hybrid setup and a shift-by-wire E-CVT. The total system output for the hybrid is 135kW and 335Nm. There’s a choice of two front- and two all-wheel-drive hybrid grades.

The CR-V’s power output is less than the RAV4 (143kW) and Forester (145kW), but it offers more torque than the latter (212Nm).

The XUV700 is powered by what Mahindra calls its ‘mStallion’ 2.0-litre, four-cylinder, turbo-petrol engine delivering 149kW of power and 380Nm of torque. These are solid outputs and the only petrol-powered mainstream rivals that come close to those figures are the Kia Sportage/Hyundai Tucson mechanical twins, with their 1.6-litre turbo punching out 169kW/350Nm.

The Mahindra’s engine is paired with a six-speed automatic transmission driving the front wheels only, so no all-wheel-drive option here.

Fuel consumption for the petrol grades is 7.1 litres per 100 kilometres for the five seat VTi X, while the VTi L7 is a tad thirstier at 7.3L. CO2 emissions for the petrol SUV is 162-167g/km.

Front-wheel-drive hybrids sip 5.5L and all-wheel-drive versions consume 5.7L. CO2 emissions for the hybrids range from 125-131g/km.

Hybrid versions of the Kia Sportage drink between 4.9-5.3 litres, while the new-gen RAV4 sips just 4.5-4.6L. The CR-V is not the most efficient hybrid in the medium SUV segment, but it’s more frugal than most petrol engines.

The theoretical driving range of the CR-V hybrid is close to 1040km, while the petrol CR-V is 804km.

Both powertrains are rated for Euro 6b and they can both drink 91 RON fuel.

The XUV700 is only available with that petrol engine so no fuel-saving hybrid or plug-in hybrid options for now.

It’s also on the thirsty side with an official combined (urban/extra-urban) cycle fuel use figure of 8.3 litres per 100 kilometres. That’s more than petrol versions of the Mitsubishi Outlander and Nissan X-Trail.

After a week of mixed but mostly urban driving, the trip computer showed an average of 8.5L/100km, but my own calculation based on real-world use at the fuel pump came out at 11L, so a bit of a discrepancy there.

It’s been about two-and-a-half years since I attended the CR-V launch and it’s always good to reacquaint yourself with a car, particularly one I was so impressed with.

The CR-V has a few more rivals than when it first went on sale. A lot of them are from Chinese brands. But even with the fierce competition in the segment, the CR-V remains an absolute standout.

Honda didn’t have any petrol grades at the launch, which isn’t surprising given the Japanese carmaker expects hybrids will make up a whopping 85 per cent of CR-V sales by the end of this year.

The two-wheel-drive VTi X e:HEV is the most affordable hybrid grade and it should appeal to a lot of potential buyers. This does not feel like a base grade car in terms of the cabin or how it drives. The cloth seats are the only giveaway that it’s not a higher grade.

Honda engineers have managed to produce something rare - a silky-smooth hybrid system. The company is using the word ‘smooth’ in its TV ads for this car, but for once the ad execs got it right.

The powertrain operates on electric power until highway speeds but the transition to the petrol engine is seamless. If you floor the throttle you’ll hear the engine, but it’s a pleasant note. Certainly more appealing than the sound of Toyota’s petrol-electric hybrid on the go.

Acceleration is brisk enough for a car like this. Not overly quick, but it’s linear and the build up to higher speeds feels natural yet still urgent when required.

There is no whine from the electric CVT, in fact it is virtually unclockable. I don’t love the shift-by-wire transmission buttons. I’m fine with buttons rather than a traditional shifter generally, but it’s the layout of the Honda buttons that’s unnecessarily confusing.

When it comes to ride and handling, the CR-V excels.

The launch drive from Melbourne up through the Yarra Valley to Marysville features some of the best driving roads within an hour or so of the city. A carmaker would only include these roads in a test loop if it was confident of the vehicle’s dynamic ability.

In both two- and all-wheel drive guise, the CR-V hybrid exhibits excellent body control, thanks to a well-balanced chassis. It carves through tight, twisty sections like a car half its size and never feels like it will lose control.

The ride quality is hard to fault. Those roads are littered with shockingly large potholes, the sort that could damage a lesser car. The CR-V eats them up with barely a hint of disruption in the cabin. Given the rough ride of some newer rivals it’s a pleasure to drive a car with such a well-sorted suspension setup.

The cabin is well-insulated from external noise, but that engine note will be evident if you switch to Sport mode and give it a bootful.

There’s an overall feeling of quality behind the wheel of the CR-V. This company has been building cars for 60 years and it shows. I would happily live with a CR-V as my daily drive.

On the road the Mahindra has some clear pros and cons. Overall, it’s a more polished performer than you might expect.

The turbocharged engine sounds good when pushed and is a punchy unit, delivering linear acceleration and getting to speed quickly, mostly without fuss. The 235/60R18 MRF Wanderer tyres have a tendency to chirp when accelerating hard and the XUV700 would benefit from higher quality rubber.

The six-speed auto transmission works well with the engine, delivering smooth shifts but it can hold gears on downhill runs.

Ride quality is a mixed bag. Those tyres have a high sidewall but you’ll feel bumps like road and bridge joins, while speed bumps aren't so smooth, either. The ride is on the firmer side but it’s no dealbreaker. 

It’s a little top-heavy when cornering, so there is lateral movement in the car. A good reminder this is a family SUV, not a hot hatch.

Steering is overly light and a bit too sharp for this sort of vehicle. There’s nothing wrong with dull or slower steering in a family car because it’s less responsive if you accidentally turn the wheel when distracted by shenanigans in the back seat.

The brakes are also quite sensitive. Just a tap of the foot and you’re coming to a full stop.

A bit of road and wind noise creeps into the cabin, so it’s not the most hushed interior, but it’s not too dramatic.

Other points include a decent turning circle, making it more nimble than you might think in tight parking spots, and poor-quality, low-definition lane watch camera display. Also the remote lock and unlock is temperamental. You need to double check it’s locked.

The XUV700 is yet to be assessed by ANCAP so it currently doesn’t have a score.

The standard safety list is solid without being exceptional, and it includes seven airbags in this grade, with the curtain airbags stretching all the way back to the third seating row. However, it misses out on a front centre bag.

In terms of driver aids and advanced driver assistance (ADAS) tech, it also comes with adaptive cruise with stop & go, auto emergency braking, lane keep assist, lane departure warning, traffic sign recognition, tyre pressure monitoring, blind spot monitor and a pilot assist function. It lacks a rear cross-traffic alert.

The reversing camera lags when you put the car in reverse, taking a couple of beats to kick in. Not great when you’re trying to park on a busy street.

The adaptive cruise needs further calibration. When the system detects a car in front, it slows the Mahindra down a little too dramatically and takes too long to respond.

Honda’s ownership proposition is solid, thanks to renowned reliability and an extensive dealer network across the country (more than 80).

The CR-V is covered by a five-year/unlimited kilometre warranty.

Yes, that term length looks a bit average by today’s standards when so many have seven and 10-year terms. However, Honda offers an additional three years - bringing it to eight - if you service with Honda dealers.

Nissan and Mitsubishi advertise a 10-year warranty, but it’s conditional, as long as you service with their dealer network. The difference is Honda promotes it as an add-on, whereas Nissan and Mitsubishi splash the 10-year figure first and foremost, with caveats. Honda’s marketing of its warranty just feels a bit more authentic. 

Hybrids come with an eight-year battery warranty, too.

The service schedule is every 12 months or 10,000km. That would be more competitive if it was 15,000km.

But the rest of the aftersales offer is excellent. It includes five years of roadside assistance and services are capped at just $199 per visit for the first five years.

Mahindra covers the XUV700 with a seven-year or 150,000km warranty which is generous but doesn’t match Kia’s seven-year, unlimited-kilometre term. It also includes seven years of free roadside assistance.

The servicing schedule has a few quirks. There’s a free service at 1500km or one month of ownership, then the next service is at 12 months or 10,000km, whichever occurs first. After that the term is every 12 months or 15,000km, so it’s a little confusing.

There’s four years of capped-price servicing that averages out to about $445 per service. That’s roughly $100 more on average per service than a petrol Mitsubishi Outlander.