If you are looking for a true 7/8 seater, then the Toyota Innova Crysta is a better option for you. It is more spacious than the Mahindra XUV 7XO, especially on the 3rd row, and the 2.4-litre diesel engine is refined and powerful. The Innova Crysta also comes with Toyota's reliability and low service expenses, so even if you buy a used car, you will get the same benefit. 

If you do decide to buy from the used car market, make sure you do your due diligence well and buy from authorized second hand dealers, that way you can have some peace of mind.

In case you do not need the third row for seating, or need the third row for seating for a limited time, then you can consider the 7XO, which is now tech-loaded with its triple-screen setup. The new suspension setup, it gives excellent ride quality, too. However, the 7XO's 3rd row is not very practical for actual use and leaves very little space for luggage if all 3 rows are up.

If you want a proper 6 seater, the Toyota Innova Hycross Hybrid is the better option. It is a more spacious and comfortable 7-seater of the two. Mahindra XUV 7XO has been updated recently and is rich in tech; its last row is not comfortable for adults. 

Toyota Hycross also meets all your priorities - Stable drive, reliable and fuss-free ownership. Added advantage, you will get excellent mileage with its strong hybrid powertrain. 

The Skoda Kylaq meets all your requirements of fun to drive and safety. It’s fairly reliable, too, but doesn’t have the reputation for reliability like a Japanese brand. The sales and service are considerably improve and Skoda has worked to bring down spare parts and service costs as well. 

The air conditioning is an issue with Skodas, but the company has fixed it in the new Kushaq, and we expect to see these improvements in the Kylaq too. The Aircross is a lovely car to drive, but its dealer and service network needs to improve. The Mahindra XUV 3XO is a great all-rounder and the best equipped, but it's not as much fun to drive as the Kylaq. 

The Tata Safari and Mahindra XUV 7XO are the best options for your requirements. Both are large SUVs with strong road presence and ample room in the first and second rows. 

However, it's the Tata Safari that has the better third row, with a bit more space and a comfier seating position. If the third row will be used often, we would recommend the Safari. 

The Mahindra XUV 7XO doesn't offer a middle row slide function, leaving no option to free up extra space for third row passengers. The third row is usable but is best for short commutes. 

Given your priorities, we would recommend you look at the Mahindra XUV 3XO in compact SUVs. It's got a tough build, strong engines and scored well in terms of cabin space. Alternatively, you could look at the turbo versions of the Nissan Magnite and Renault Kiger. The two models are underrated and actually deliver great value for money. 

Among sedans, if you don't mind the absence of many tech and comfort features, the entry-level Skoda Slavia and Volkswagen Virtus are worth considering. Their strong turbo-petrol engines and tough build are highlights. If you want more features, there's the Maruti Suzuki Dzire, but you'll have to compromise on power and performance. 

In a market, as ours, where there's a new launch every couple of months, your predicament is understandable! Given your requirements, we've narrowed the list of options down to the Kia Syros and Mahindra XUV 3XO. Both compact SUVs offer comfortable seating for five passengers, which is a priority for you. 

The Kia Syros has a roomier interior and also offers more flexibility with its unique sliding rear seats. The clean layout of the dash and crisp screens also gives the interior a new-age vibe. It's got a nice turbo-petrol engine that delivers pleasant performance. A firm ride does take a bit away from the experience, though. You could get the Syros turbo manual HTX within your budget. 

The Mahindra XUV 3XO is nicer to drive with a stronger turbo-petrol engine. Ride and handling are also well sorted. The XUV 3XO turbo-manual AX7 fits comfortably within your budget.  
 

While the Mahindra XUV 7XO AX diesel-manual packs in a lot for the money, we'd urge you to consider the higher spec AX3 that is still within your budget. The added Rs 1.7 lakh will get handy features like a reverse camera and electric mirror fold, as well as essentials like a rear defogger and rear wiper. These features add greatly to your long-term experience with the car, and are way more reliable than aftermarket solutions that might cost less. 

You could also consider the petrol-AT AX3 or petrol-manual AX5 for the same money. Do note, while the petrol engine is smooth and powerful, it isn't very efficient. Fuel economy is on the low side.  

The Mahindra XUV 3XO would be a good option for you. At your budget, you will get a variant with a level 2 ADAS suite, though this won't be too much use in small town areas and it's best out on the highways. However, we would recommend this as the car is well equipped with safety features like six airbags, and it has secured a full 5-star crash rating in the BNCAP tests. Also, since you like driving the 3XO is a car that you will enjoy being behind the wheel of.