Hyundai Palisade 2020
Michel Deslauriers

Hyundai Palisade 2020–2025: what to know before buying?

December 22, 2025 — Written by The Car Guide

As you may have seen, the Hyundai Palisade has been completely redesigned for its new generation in 2026. In addition to adopting a decidedly more modern look, this Korean mid-size SUV with three rows of seats is now more comfortable and technologically advanced. It also offers a new V6 engine and a hybrid powertrain for the first time.

Here, we'll focus on the first-generation Palisade, which replaced the Santa Fe XL and covers the years 2020 to 2025. Unless you're looking for a true off-road version (such as the XRT Pro added for 2026), it remains an excellent choice. In fact, The Car Guide has repeatedly named it the best buy or one of the best buys in its class, along with the Kia Telluride.

Let's start with the mechanics. We're talking about a 3.8-liter V6 that generates 291 horsepower and 262 lb-ft of torque via an eight-speed automatic transmission. From 2020 to 2022, the base version had only two-wheel drive in order to lower the price. The other versions, as well as all 2023 and newer Palisades, feature all-wheel drive with a multi-terrain selector.

Hyundai Palisade 2020
Michel Deslauriers

Fuel consumption isn't really one of the Palisade's strengths, especially when compared to rivals with turbocharged four-cylinder engines. Expect an average of just over 11 L/100 km under normal conditions. Keep in mind that no hybrid variant is available.

The interior, which features a nice integration of technology and storage, has already been recognized by WardsAuto magazine as one of the 10 best in the industry. It can seat seven or eight people, depending on the version. The trunk space is 509 liters, but increases to 2,447 liters when all the rear seats are folded down, which puts the Palisade in the good average range. If you need to transport more, the vehicle can tow up to 5,000 lb, like the vast majority of its competitors.

Hyundai Palisade 2023
Dominic Boucher

For the 2021 model year, Hyundai installed LED headlights as standard on the Luxury and Ultimate models, then added a very high-end version called Ultimate Calligraphy. Then, for 2023, a styling update significantly changed the front end of the Palisade (love it or hate it) and new technologies were added. Finally, for 2025, an Ultimate Calligraphy Night version appeared, distinguished by blacked-out elements and trim on the exterior and interior.

Strengths and weaknesses

On the road, the first-generation Palisade shines with its solid construction, comfortable ride, and reassuring safety arsenal. However, it is not one of the most dynamic and agile three-row SUVs. Its V6 engine, while flexible, sometimes responds hesitantly to pressure on the accelerator. It should also be noted that the rather busy infotainment system tends to cause distraction while driving.

Hyundai Palisade 2023
Dominic Boucher

What about reliability? The 2020 to 2025 Palisade has an average track record, certainly less impressive than that of the Toyota Highlander and Buick Enclave, for example. Studies and rankings by J.D. Power and Consumer Reports confirm this. There isn't really one model year to avoid more than another, except perhaps 2020, based on problems reported by owners on discussion forums. This is normal, as it was a brand new product with teething problems. However, none of the problems proved to be major or widespread.

Finally, there have been about ten safety recalls in six years (oil pump, seat belt buckles, center display, trailer wiring harness, etc.), so it's important to make sure that all recommended fixes have been made to the model you're interested in. Don't neglect the mechanical inspection and history check for peace of mind.

Happy shopping!

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