Buying a Vehicle
Financing a car with an auto loan is typically what comes to most people’s minds when they’re ready for a new car. If you love the idea of owning a new Kia Sportage and customizing it as you please, then financing is the way to go. You can choose to pay for the vehicle outright or take out an auto loan. With every loan payment, you’ll gain equity in your new Kia car or SUV as you continue to pay the lender the remaining amount you owe. Once you’ve paid your final installment, the title of the vehicle will be transferred from the lender to you and you will have complete ownership of the car. Another benefit to purchasing your next vehicle is that you have the freedom to make any desired alterations and you won’t need to worry about mileage restrictions either. That being said, auto loan payments are typically higher compared to leases and usually require a larger down payment when you initially drive off the lot. So if your cash flow is tight, leasing may be the way to go. The team at Haddad Kia is happy to help you determine if buying a car makes the most sense for your driving habits and budget. To learn more, give our Bakersfield auto finance center a call or continue reading for more information on Kia leases.
Isn’t Financing Better than Leasing?
Auto leases previously were thought to be a ‘financially irresponsible’ way to drive home in a new car. This is an outdated thought, as in some cases, a lease may be a better financial choice than taking out an auto loan. A Kia lease may be a great option for Bakersfield drivers that have a strict monthly budget, prefer driving a new vehicle every few years, and who don’t drive many miles. Auto leasing is also a great alternative to financing for those who aren’t interested in vehicle ownership and who don’t plan on customizing their new car. When you choose to lease your vehicle, you’re essentially making rent payments to the lender based on a pre-determined depreciation value. Since you’re not paying for equity in the vehicle, your down payment and monthly lease payments tend to be less than that of an auto loan. At the end of your lease term, you may even have equity in the car if the value of the vehicle is worth more than the depreciation you’ve paid! At Haddad Kia, our finance team can customize your lease to suit your driving needs and budget. Whether you drive 8,000 miles or 12,000 miles a year, are looking at a 24-month or 36-month contract, we can tailor a Kia lease just for you. Keep in mind that leases are legally binding contracts, so if you need to terminate your lease early or go over your mileage limit, there will be additional costs. At the end of your lease term, you can choose to trade in your Kia Sedona or Rio for a different model, buy the car, or turn it in and walk away. For more information about leasing or to check on our current Kia lease offers, give the team at Haddad Kia a call.