Why the 2026 Toyota RAV4 might finally outshine the Honda CR-V

The compact SUV segment has been dominated by recognizable names for years, but in 2026 the battle for supremacy may finally heat up. The latest update to the Toyota RAV4 brings a number of improvements that could give it a real edge over the Honda CR-V, long considered the benchmark for practicality, reliability and overall value in this crowded category. As both models evolve, buyers now have more to consider than ever before.

Toyota's newest RAV4 combines thoughtful improvements in efficiency, comfort and technology with a comprehensive driving experience that lets you feel confident in both everyday use and long journeys. Improved powertrain tuning, updated interior features and smarter safety systems all make the package more refined than previous versions. Compared to the CR-V, which continues to excel in stability and cost of ownership, the RAV4's changes may finally tip the scales for drivers who prefer a modern, attractive crossover.

In this article, we explore why the 2026 RAV4 could outshine its longtime rival, breaking down improvements in performance, features, and overall value. For buyers considering compact SUV options, this could be the year the RAV4 takes the lead.

To provide you with the most current and accurate information possible, the data used to compile this article was obtained from various manufacturers' websites and other reputable sources, including the Environmental Protection Agency.

The new Toyota RAV4 starts out much cheaper than the Honda CR-V Hybrid.

The wait is finally over and The updated 2026 Toyota RAV4 is here. This new generation of Toyota's compact SUV is different in many ways, and the key factor is that it's hybrid-only. Compared to the old gas-powered RAV4, the new model costs slightly more, but is slightly cheaper than the old hybrid model. It is also a more affordable option compared to its main competitor, the Honda CR-V Hybrid.

2026 Toyota RAV4 trim levels and prices

Yes, we know the RAV4 is outselling the CR-V. However, we believe that despite this, the CR-V remains a consistently better and more refined car. Toyota may have never been behind in terms of units moving through the door, but Honda has definitely delivered the best SUV. The 2026 RAV4 changes that.

The changes to the RAV4 have been quite extensive, with a new exterior design, updated interior and updated tech offerings. A hybrid model is already in development, but for now we only have access to a traditional hybrid setup. These models start with just above the $30,000 markwhich means they have overtaken their closest competitor, Toyota. The Honda CR-V can start at $30,920, while hybrid models start at $35,630.

We also don't think you need to climb that far up the trim ladder to find the best value model. The SE will definitely suit most buyers, offering some desirable equipment upgrades without pushing the price too high. It comes with niceties like heated front seats, blind-spot monitoring and black 18-inch wheels.

Toyota RAV4 is considered a more efficient option

One of the most important factors in the hybrid compact SUV segment is efficiency. Previously, the Honda CR-V was a slightly more efficient option in most scenarios, but it looks like that may be changing. Although the EPA has yet to test the 2026 RAV4, Toyota estimates it's significantly ahead of the Honda.

Fuel economy

We want to reiterate that the numbers above are Toyota's estimates, and that the actual numbers could definitely be lower. However, if they are accurate, or even close to accurate, the new RAV4 should be substantially more efficient than the Honda CR-V Hybrid.

Front-wheel drive CR-V hybrids are rated at 43 mpg in the city and 36 mpg on the highway. All-wheel drive models are rated at 40 mpg in the city and 34 mpg on the highway. This means the new RAV4 should get about four extra mpg in most scenarios.

Performance of the 2026 Toyota RAV4

The standard 2026 RAV4 comes with front-wheel drive. This setup includes a four-cylinder engine and two electric motors producing 226 horsepower. All-wheel drive is optional on all models, and a third electric motor is added to the rear axle, increasing power to 236 horsepower. Each model is equipped with a continuously variable transmission.

The 2026 RAV4 will look very similar to the outgoing model. He is a jack of all trades, master of none. It offers competent handling, excellent acceleration and a reasonably comfortable ride. Our main complaint is that there have been many reports that the petrol engine can be a bit clunky at high speeds and make quite a bit of noise.

We're looking forward to seeing what the upcoming hybrid model can do. In particular, we're delighted with the GR Sport model, which has had its suspension and steering system tweaked to make it more responsive and engaging.

Inside, it is more modern without losing its utilitarian feel.

Toyota's whole trick is simplicity. They create cars for people who don't need flashy gimmicks or systems that are difficult to use. In the modern era, this is becoming more and more difficult to achieve. However, we think they've done a good job of updating the new RAV4's interior with new technology without compromising usability.

Interior dimensions and comfort

In terms of passenger space, the competition between the RAV4 and CR-V Hybrid is pretty close. Both offer ample space in both rows of seats, and their interior dimensions are very close to each other. The CR-V has slightly roomier rear seatsAlthough. Where Toyota regains the edge is in trunk capacity: The Honda has 36.3 cubic feet of space.

We really like how Toyota has updated the RAV4's interior. They've kept the blocky theme throughout, which reinforces its identity as a small adventure car. Practicality is a big focus here with plenty of storage space in the form of drawers. Toyota offers a good list of standard comfort features, including things like automatic dual-zone climate control. Top trims include things like faux leather upholstery, a panoramic glass roof and a foot-activated power liftgate.

Infotainment systems and technologies

Another place where the RAV4 has received some pretty major upgrades is in the tech department. A 10.5-inch infotainment screen sits high above the center of the dashboard as standard. Also standard is a 12.3-inch digital instrument cluster. However, some models come with a 12.9-inch infotainment screen. Both systems offer wireless connectivity for Apple CarPlay and Android Auto.

Bluetooth is standard, and the RAV4 can support up to two devices simultaneously. There are plenty of USB-C ports throughout the cabin, but higher trims also come with a wireless smartphone charging pad. The base sound system is pretty boring, but the optional nine-speaker JBL system takes things up a notch.