Fundamental differences between leasing and buying
When you lease a new Kia from Jeff Wyler Fairfield Kia, you'll be making a lower initial down payment, and you'll have lower monthly payments than you would if you got a car loan for the same Kia. At the end of the lease contract, you won't have to be concerned about selling that Kia because you won't have any ownership stake in it.
On the other hand, Dayton, OH customers who buy a new Kia with a loan are building cash value in the car they drive every day. There are no restrictions on the number of miles you can drive, and you can customize it as much as you want, unlike with a lease.
Why is a lease payment lower than a car payment?
Monthly lease payments are lower because you're paying only for the amount the car depreciates over the life of the lease contract. That depreciation is calculated by determining the market value over the length of the lease. When you lease a vehicle, you're not paying for the entire purchase price of that Kia. There are other costs connected with leasing that Dayton, OH customers should be aware of, including use tax, sales tax, rental charges, and other related fees.
When you get a car loan for a new Kia, the monthly payments are higher, but you're building long-term cash value in that vehicle. That's real money with your name on it that you can use to help buy your next vehicle. By contrast, leasing a Kia is just like renting, so you aren't building any cash value. In other words, Hamilton, OH customers would pay less in the short term with the lease, but they may be better off in the long run with a car loan.
What happens at the end of a Kia lease?
When you're approaching the end of your Kia lease contract, which typically lasts 36 months, it's time to contact us and schedule an inspection of the Kia you've been leasing. One of our representatives will inspect your leased Kia carefully, looking for any excess wear and tear or damages that are beyond what's allowed under your lease contract. You will then be responsible for covering the cost of repairing that vehicle.
A Middletown, OH lessee will also have to pay for any excess miles that he or she drove above those that are allowed by the lease contract. Once you've paid for all lease-end charges, you will return that Kia to us, and you won't have to worry about selling it because you won't own it.
What are my options at the end of the lease?
One choice you can make when your lease contract ends is to pivot away from leasing and purchase your next new or pre-owned Kia with a car loan. That will give you a chance to build cash value in that Kia and potentially own it someday, so you can say goodbye to monthly car payments. You might also decide to purchase the Kia you've been leasing, and we can make that easy for you. One other option is to sign up for another Kia lease and get a brand-new Kia. Contact a member of our finance team to find out more about your options.
