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2021 Kia Seltos First Drive | The Soul-ful CUV

To understand the 2021 Kia Seltos, you first have to consider its soul, the Kia Soul. Between the fun-and-funky styling and the compact, practical body style with tons of cargo room, the car that has defied traditional segment labels for a decade (and won an Autoblog comparison test) is a great all-around daily driver for folks who don’t want something that's obviously a crossover. ThereÂ’s just one problem: A lot of people really, really want crossovers. With this in mind, Kia decided to see if the Soul could be made more like one of them. Now, the simplest way to do that could've just been to introduce an all-wheel-drive Soul derivative, but somewhere along the line, the Korean automakerÂ’s product planners decided that would've been a half measure. They considered the fast-growing small crossover segment too hyper-competitive to simply trot out some half-assed Soul "Cross Country" model. Well, besides the X-Line. Instead, the 2021 Kia Seltos was born, a completely different vehicle in its own right, yet one that wears its soul on its sleeve by packing subtle hints to that trademark styling and some of its interior options. If offering all-wheel drive as standard helps cement its identity as a crossover, then the fact its all-wheel drive system comes with a locking center coupling truly seals the deal. In fact, despite our best efforts, we could find only one glaring omission in its CUV bona fides — towing capability. It has none. Sure, Kia offers a “Lifestyle Hitch” accessory for the Seltos, but that's only good for plugging in something like a hitch-mounted bike rack. Those with jet skis, you're out of luck. Trying to further pigeonhole the Seltos quickly becomes difficult, as the baby crossover space is so crowded with new entries in search of a niche that itÂ’s almost impossible to strictly define how it is segmented. You could easily count 20 vehicles of varying size and capability as competitors for the Seltos, from the front-wheel-drive-only Nissan Kicks and Toyota C-HR to the off-road-ready Jeep Renegade. Sister company HyundaiÂ’s Kona and smaller Venue could be considered, too, and then there's the Soul for those who don't need all-wheel drive and obvious crossover image.   Among them all, Seltos falls on the larger end of this evolving spectrum of subcompact “utility” vehicles.

Average new-vehicle transaction price hits a whopping new peak in December

Elevated prices for products and higher borrowing rates led to record high transaction prices for new vehicles in December, with the average cost in the U.S. rising to a record $49,507, according to data from Kelley Blue Book released today. The report notes that ATPs — average transaction prices — have climbed above suggested retail prices — MSRPs — for more than a year. Sales volumes were up in December on a year-over-year basis by more than 5%, a situation Kelley attributed to improved supply. Overall sales for 2022, however, were off 8% year over year. “The transaction data from December clearly indicates overall prices showed no signs of coming down as we headed into year-end,” said Rebecca Rydzewski, research manager of economic and industry insights for Cox Automotive. “Luxury prices fell slightly in December, but non-luxury transaction prices were up. Truck sales were particularly strong last month, and with many trucks selling for more than $60,000, a new record was all but inevitable.” Industry analysts claim the most obvious headwinds in the new car market are generated by higher interest rates, forced by the Federal Reserve's rate hikes intended to tame inflation, and by generally limited inventory. A recent report from J.D. Power showed that the average monthly payment for a new vehicle loan in December was $718, up $47 from a year ago. But 16% of consumers in December took out loans with monthly payments of over $1,000. Consumers think vehicles, and electric vehicles especially, are way too expensive. Fortunately, manufacturersÂ’ incentives, all but extinct in the past two years, are returning, especially in the electric-vehicle and luxury market, the Kelley data suggest. Plus, "With the new tax credits on the way, electric vehicle ATPs will drop lower for qualifying vehicles,” Rydzewski said. Non-luxury brands, such as Honda and Kia, showed particularly strong performance in December, with the average price paid at $45,578 — a record high and an increase of $994 month over month. Meanwhile, the average luxury buyer paid $66,660 for a new vehicle last month. Mercedes-Benz and Land Rover showed the most price strength in the luxury market, transacting between 2.6% to 6.5% over sticker price. But luxury brands Audi, BMW, Infiniti, Lexus, Lincoln, and Volvo showed the least price strength with some discounting in effect, selling 1% or more below MSRP in December, according to the survey.

Next-generation Kia Optima spied for the first time

On the heels of the completely redesigned Hyundai Sonata, one of our spy photographers has finally caught the next-generation 2021 Kia Optima out testing. It makes sense the family sedan would appear soon, since it will undoubtedly be based on the Sonata just like past Optimas. Unlike the Sonata, though, the new Optima looks like a very evolutionary design. The headlights are still wide and low in the nose. The "tiger nose" grille sits between the lights. It looks as though the grille may be a bit thinner than on the current model. The overall profile is still similar to the current model and the Kia Stinger, and it appears Kia will continue to have some interesting lines connecting the rear pillars and the roof. Among the subtle differences are a revised greenhouse. The pieces of glass just ahead of the C-pillars follow the curve of the roof more than the somewhat upright pieces on the current car. The rear taillights, though still thin and wide, now appear to protrude from the rear. This particular version also appears to have fake tail pipes. Though this is the first time we've seen the Optima, and it's still well-camouflaged, we expect to see the car revealed sometime next year. The reason is that the Sonata it's based on is nearly on sale, so a lot of the Optima's development is probably finished. It will likely share the Sonata's powertrains, which for now include a 191-horsepower naturally aspirated 2.5-liter 4-cylinder and a 180-horsepower turbocharged 1.6-liter 4-cylinder. Each of these is mated to an eight-speed automatic. A more powerful turbo four-cylinder should be available in the near future.