Leasing vs. Financing Your New Kia

Leasing vs. Financing a New Kia: What’s the Best Choice for You?

Buying a new Kia is an exciting experience. Not only do you get to choose vehicles like the sporty Kia K5, the spacious Kia Telluride, and the fully electric Kia EV6, but you also get to choose between leasing vs. financing. Both options have pros and cons that depend on your lifestyle, driving habits, and financial goals. Fortunately, the Berwyn Kia finance team is here to help drivers from Elmhurst to Evergreen Park choose a financing option that fits their budget.

Pros & Cons of Leasing a New Kia

When you lease a vehicle, you’re essentially committing to a long-term rental. Most lease terms last for 24 to 36 months. Drivers make lease payments to use the car, but they don’t own the vehicle at the end of the lease term. When the term ends, drivers return the leased vehicle or buy it for a predetermined price.

Leases have several benefits that Kia drivers appreciate. Compared to car loans, leases usually have lower monthly payments. Leases are only for new cars, so leased vehicles align with the Kia factory warranty, which means fewer out-of-pocket repairs. Drivers who lease get to drive a new car every few years, so they can take advantage of the newest Kia technology, safety features, and fuel-efficient powertrains.

Like any financial program, leases do have some drawbacks. First, they have mileage limits, usually between 10,000 to 15,000 miles annually. If you exceed the mileage limit, you’ll receive overage fees when you return the vehicle. Because a lease is essentially a long-term rental, you don’t build equity on the vehicle. Lease deals also include wear-and-tear fees that can be assessed when the vehicle is returned.

Pros & Cons of Financing a New Kia

Financing a Kia involves taking out a loan. Unlike a lease, when you finish paying for an auto loan, the vehicle is yours. The benefits of financing a Kia differ from lease benefits. At the end of the loan, you own the vehicle, so you can sell it, trade it in, or customize it at any time. Loans never include mileage limits, making auto loans especially attractive to drivers who exceed 15,000 miles annually. When you choose an auto loan, you can take advantage of specials from Kia Finance America as well as from other national lenders and local banks and credit unions.

Cons of financing include higher monthly payments and depreciation expenses. Once the vehicle exceeds the warranty parameters, you’re responsible for maintenance and repair costs.

Convenient Online Financial Services

Berwyn Kia is dedicated to making your Kia ownership convenient and stress free. We offer several online services, including our online financing pre-approval application and a financing calculator. Use the calculator to determine the monthly payment that fits your budget and the cars that fit your monthly payment. We also offer a budget search option so you can quickly filter vehicles that are outside of your ideal price point. Our website also includes the latest leasing and financing specials from Kia Finance America.

Explore Kia Financing Options at Berwyn Kia in Chicago, IL

We invite you to browse our online inventory of attractive, innovative, and fuel-efficient Kia cars, SUVs, and EVs, then visit our store in Chicago, IL, to take a test-drive. The friendly Berwyn Kia sales team can help you choose the best vehicle for your lifestyle, while our finance team is here to help build a loan or lease that fits your budget.