for the fading it would be more economic to use a cheap micro (look up arduino and attiny if you are new to it)
then you just have your permernant power connection, the lock status, and the ignition status going in, you use something like an NPN transistor to handle the switching / fading of the light with the micro controlling it,
so for that you could get away with, 1x LM7805 (and supporting parts), an attiny chip (crystal and reset resistor maybe), 2 resistor dividers for the inputs, and a NPN with base resistor,
for the code, they have on there site examples for fading an LED, all you would need to do is tweak it to happen when your inputs are triggered,