First Gen Highlanders are pretty old, but they're bullet-proof and do what you want. They're trimmer than Gen 2/3 units, and i really like the size. Just a bit bigger than the Forester, but the same fuel economy. We see 11-12 city and 8.5-10 highway depending on the rate of travel.
The 3.3L V-6 is so smooth and has great linear power delivery. The 2004-07 models have the nice five speed AT. The AWD is 50:50 full time so winter traction is very, very good. The 2004- models have traction/yaw control that added "electronic trickery LSD" and it plain works.
Interior materials are nicer than the Gen 2. The light coloured interiors are very nice. I've found the seats super comfy for long trips. (and putting 90K on in 26 months, I've been on lots!!)
Ours has the tow package and I've towed 3800lbs with no difficulty at all.
Downside? Like most Toyotas, they're pricey for the age. But, they keep holding their value, so should you bail, costs are low. We paid $10K for ours a little over 2yrs ago, and despite adding a lot of kms, we could probably fetch $8K for it. That's CHEAP driving!
If something happened to ours, I'd be shopping for a 2006-07 Highlander in a second.