The 2026 Mahindra XUV700: Australia’s Best-Value Seven-Seater or Still a Dark Horse?
Looking for a budget-friendly, feature-rich seven-seater SUV in Australia? Take a look inside our comprehensive 2026 Mahindra XUV700 review of interior, performance, safety, capabilities, price, pros & cons, and the final verdict — all with a splash of Aussie humour!
When Mahindra Met Australia: The Underdog SUV with a Point to Prove
Once — well, not all that long ago — the name Mahindra didn’t exactly get Aussie families leaping for joy at the dealership. For years, Mahindra was that tough brand churning out farm-duty utes and bullet-proof off-roaders your neighbour’s cousin’s uncle had. But then the Indian behemoth said, Hang on, what if we create something that doesn’t just endure the bush, but actually gets the morning school drop-off to feel upmarket?
And so the Mahindra XUV700 came into being — a sleek-dressed, technology-bolstered seven-seater SUV that’s been making subtle inroads in India since 2021. It stepped onto Australian roads in 2023, apologetically asking Outlander, X-Trail and Tucson owners, Mind if I join in? By 2026, this underdog in the making isn’t saying it quietly anymore — it’s here to pilfer a slice of mainstream SUV action with intelligent features, a generous warranty, and a price point that may leave you spilling your barista-prepared flat white.
Inside the XUV700: Surprisingly Plush for the Price
Step into the 2026 Mahindra XUV700 and you’ll discover an interior that’s anything but frugal. Mahindra clearly pilfered the premium SUV playbook — and didn’t cut corners. The very first thing that greets you is the twin 10.25-inch HD displays running across the dash like a mini command center out of a sci-fi movie. One’s your virtual speedo, the other’s your entertainment center — wireless Apple CarPlay, Android Auto, high-end graphics — all part of the package.
Slide into the driver’s seat of the AX7L and you’re greeted by ventilated front seats (yes, cool bum included), a panoramic sunroof that’ll keep your kids occupied on road trips, and even a 12-speaker Sony audio system that pumps out the Wiggles or AC/DC with equal power. The materials are solid, fit-and-finish tight, and there’s ambient lighting for date night vibes (while the kids fight in the third row).
In brief, the XUV700’s interior is evidence that you can have champagne extras for a beer price — and not the low-grade beer, mind you.
Performance: Turbo Power, City Comfort
Pop the bonnet and inside you’ll discover Mahindra’s 2.0-litre home-grown mStallion turbo-petrol engine (amusing fact: yes, they actually named it that). With 149 kW and 380 Nm on hand, it’s got more oomph than you’d think. No, you won’t leave a Mustang at the lights, but passing on a country road is reassuringly effortless.
The six-speed automatic is silky smooth, and although the front-wheel drive configuration won’t thrill off-road enthusiasts, it’s well-suited for weekday commutes and weekend trips. Plan on about 8.5 L/100 km in real-world fuel economy — not exactly hybrid-like sipping, but reasonable for a seven-seater of this size and cost.
Safety:Loaded with Smart Tech
The XUV700’s safety package punches well above its weight. Ithave Autonomous Emergency Braking, Adaptive Cruise Control with Stop-and-Go, Lane Keep Assist, Traffic Sign Recognition, and 360-degree camera on the AX7L. Six to seven airbags, a tyre pressure monitor, and ISOFIX mounts take care of the family essentials.
That said, the sheer amount of ADAS (Advanced Driver Assistance Systems) does a lot to boost confidence behind the wheel.
Capability: More School Runs than Bush Bashes
Let’s be honest: the XUV700 isn’t pretending to be a Land Cruiser. It’s built for city streets, motorways and the bad gravel road. The boot’s spacious enough for a full week’s shopping or prams, and you’ll still get a kid or two in the third row without folding them in half.
Towing? You can tow a light trailer or small camper — up to 1,500 kg (braked) — so yes, the family camping holiday is alive. But rock-crawling, river-fording shenanigans, no. For that, there’s the Scorpio-N or Thar — the XUV700’s role is to be the comfortable people-carrier with a bit of adventure credibility for the school car park.
Pricing and Availability: Seriously Sharp
Let’s discuss turkey. The XUV700 still underprices competition by a good amount:
AX7: from approximately AUD $39,990 drive-away
AX7L: from AUD $42,990–$43,990 drive-away
Mahindra’s comprehensive 7-year/150,000 km warranty along with roadside assist come with it — not terrible for a company once more famous for tractors. Stock is okay across major Australian cities, but test drives fill up quickly, so don’t just roll up on Saturday hoping to grab one before your neighbour.
Pros and Cons
Pros
Massive bang for buck: seven seats, sunroof, twin screens for under $45K
Feature-rich safety features to match more expensive SUVs
Long warranty and low ownership costs
Unexpectedly luxurious interior for the dollars
Stunning looks that don’t shout “budget vehicle”
Cons
No AWD or diesel model available in Australia
Consumes slightly more fuel than hybrid competition
Awaits official ANCAP safety rating
Brand still needs to win over consumers’ trust
Final Verdict: Should You Purchase the 2026 Mahindra XUV700 in Australia?
If you’re looking for a low-cost seven-seater SUV that’s spacious, comfortable, really packed with tech and won’t tear through your bank account — the 2026 Mahindra XUV700 is more than a novelty. It’s a credible competitor to established nameplates that cost thousands more.
Yes, no AWD for serious off-roaders, perhaps, but for the average Aussie family’s daily runs, school drop-offs, weekend sport runs and the occasional road trip, the XUV700 nails the compromise. If Mahindra can maintain supply steady — and that NCAP rating is solid — the XUV700 could become the Everyday Aussie driveway SUV.
So go ahead, take the new kid for a spin. Worst-case scenario? You can tell your mates that you grabbed a fully-loaded SUV for the cost of competitors’ entry models — and that’s a story to tell at your next BBQ.
FAQ: Mahindra XUV700 Australia 2025
Q: Is the Mahindra XUV700 on sale in Australia in 2025?
Yes — it’s on offer nationwide with AX7 and AX7L models from under $45K drive-away.
Q: Is the Mahindra XUV700 a 7-seater?
Yes — it’s a true seven-seater SUV with flexible second and third-row space.
Q: What is the fuel efficiency of the Mahindra XUV700?
Real-world use averages around 8.5 L/100 km, depending on how hard your right foot is.
Q: Is the Mahindra XUV700 safe to drive?
It’s equipped with more advanced driver assistance features such as AEB, lane keep, adaptive cruise and surround-view cameras. ANCAP rating is pending.
Q: What is the Mahindra XUV700 towing capacity?
As much as 1,500 kg (braked) — suitable for tiny trailers or a light camper.
Q: How much is the Mahindra XUV700 in Australia?
The AX7 at around $39,990 drive-away, the top AX7L around $42,990–$43,990.
