For us, we could not justify the extra $$$ for the Lexus RX300 over the Highlander. It is mostly the same vehicle, except the Highlander is longer in WB and has a roomier cargo area behind the rear seat. Interior appointments and features are virtually the same, but are not $4000 to $6000 nicer for a smaller vehicle.
If I were in the market for a smaller vehicle, I would consider the Liberty, despite the bad experience I had with the 97 Cherokee (ROTORS REPLACED 3X UNDER WARRANTY, INSTRUMENT CLUSTER REPLACED UNDER WARRANTY, TRANSFER CASE REPLACED AT 28k DUE TO WORN OUT DRIVE CHAIN SPROCKET TEETH, UNDER WARRANTY). Funny thing, I loved that Cherokee. The I-6 really MOVED the vehicle and I got decent mileage from 17 to 22. But it spent a combined total of 16 days in the shop over a 40 month period. You would think that a vehicle platform that has been in place since 1984 would be fairly trouble-free, but the venerable small Cherokee fell victim to Chrysler cost-cutting and vehicle platform de-contenting. OEM auto parts suppliers are under relentless and constant price-cutting demands from the automakers. Suppliers are expected to reduce the price on their components by 5% a year, every year, and often more on demand. Want to take cost out of a platform? Sign up a new supplier for instrument clusters or lower-torque-capable transfer cases that underbids the supplier(s) you've had for several years. The new designs are cheaper to produce, lighter in weight, use less materials, not as strong, etc. That's how a transfer case is shot after 28k, and what's more, the poor transfer case supplier will be expected to provide a full explanation as to the cause of the failure and the corrective action. They will not be able to say "underbuilt" because they signed off on the design as being capable.
Anybody that has a Dodge pickup or Durango with the Chrysler corporate rear axle knows -- those axles are notorious for premature wear of the differential gears. Same for Chrysler minivan transmissions. I am not busting on Chrysler, but they have some convenient examples to illustrate my point.
In the meantime, new-car prices continue to climb.
IMO, the best time to buy a new vehicle is in the second year. That is after all 1st-year bugs are out, and before the manufacturer starts to de-content to cut costs.
Noah, off-rant