If I have to choose between the two cars, Xtrail will be my pick. Why? Refinement of the interior and 360 camera. The camera is useful.
Now for the real stuff. Lets be clear. Both vehicles are Family SUV. They are not designed for offroads despite a good ground clearance. The design of the suspension is more towards dampening asphalt flat roads and caters more towards handling and comfort, period. The suspension cannot take alot of beating. Don't be fooled by the 4wd system. 95% of the time, you will be running 2wd. Because you save more fuel, and there is no need to run or shift on 4wd based on demand. Why? the core of the 4wd system is not as robust as you think. Its just your normal on the road 4wd, mainly designed to tackle slippery rainy roads or snow on the roads or icy roads. Period. Older Xtrail 4wd are much more capable. if you need a real offroad machine, where you need to tackle the jungles of east malaysia, get a pickup. Or move up a notch and get the pajero or pajero sport or land cruiser or fortuner. Those are real offroad machines which offer "LOW DIFFERENTIAL" . you need this, along side with all terrian or offroad tyres to ensure a good traction. and yes, they do offer 7 seats. if your budget is tight. you may consider the older sorento which also have a part time 4wd system for offroad use.
Don't be fooled by the diff lock feature. This feature is good, if you have a low diff gearbox where you can lock all wheels and get your car out of sticky condition. But for SUV, yes, it helps... but... you're running road tyres.. and most rear diffs are very fragile. You can lock them on muddy or slippery ground and you are encouraged not to turn the steering whenever in use. Because you when you turn, the rotation count for inner and outer wheel side is different. And because diff locks tent to keep all wheels to rotate together for both sides, you're sending stress to the system. I've seen alot of people running diff locks on the road, ended up paying alot of money trying to fix it, or mechanically disable the system and run 2wd only as a cheaper option.
Despite both cars having good ground clearance, they are not designed to wade on flood waters. Petrol engines on both SUVs are very sensitive to water exposure. You do not see them advertising wade water depth in any of their brochure. That's because, as a core, both cars are designed to be used in the city. Which explains why CVT is used. There's alot of sensitive sensors and electronics around the vehicle, unless the salesman is confident the car can take a beating on crossing rivers and large puddle, I would strongly advise trying to gamble through the waters. The story is different when you run a diesel. most diesel engines have designed to take a beating and tough terrains.
If you need a good comfortable 7 seater, choose those minivans like kia carival, starex, alphard, veilfire, estima, etc. Those provide ample comfort to all class of passengers. no more trying to cramp your legs on the 3rd row. But if you want to get a SUV, just pick the few cars I've suggested earlier. rear aircon seats esp the 3rd rows are recommended.
Petrol Engines are cheaper to maintain, however not so reliable if you ask me. power output wise is also mediocre, fuel consumption wise, bad though from the spec, they're claiming impressive numbers, I would say, those numbers are barely achievable on city driving. You may get the numbers identical if you use the car primary on highways. Diesel on the other hands requires a bit more maintenance cost and other special car. Yes, they take up 2 bottles of lub oil. Alot of their components and replacement parts are not cheap. However, despite of their short fall, they are very very very reliable. Bullet proof. very fuel efficient, and powerful.
My suggestion is look for a 100k SUV with offroad capabilities. spend the other 20-30k for the first complete wear and tear replacement, then the car will be good to give you another 5 years run before the next major services.
Thank you sir for the very thorough explanation and advice, really appreciate it & made me realise (& scared) of my lack of knowledge in SUVs (I do watch Autobuzz & really like GC Mah way of 'presentation').
My new office & factory worksite (in few months time) has mainly asphalt road mixed with gravel roads. Some of my colleagues site are up & they have started working there. Most drive cars & we can park in non-flooding parking zone provided by company. The problem for me and few other colleagues that are in application/sales/management where we have to drive out to customer/supplier sites. When it rains, the road there gets water logged or flooded depending on how heavy the rain is. Some of my colleagues with X-trails and CX5 can still drive out or in but of course in mild flood (much less than 1 feet) otherwise wait out for water to recede.
I have no intention to drive through high flood or jungle areas. Just thought of buying a SUV as it would be more 'convenient' to drive on slightly water logged or gravel road. I thought a 4wd option with 7airbags will also be safer option when I'm driving in heavy rain on the highways especially with my family on board. Sorry, I'm kind of aversive to minivans/MPVs
Buying 2nd hand also needs much more effort & time which I lack of & buying new will give me 5years peace of mind (maybe). But nevertheless your advice is greatly appreciated & I will think on it carefully. Thank you
On a side note, the Outlander 2.0 2018 has added on 360 camera & leather seats.