Any strings attached to buying cars out-of-state ?

[lozina]

I live in New York, and am considering buying my new car out of state to save some cash. Are there any legalities I should be aware of? Who's tax rate would I be using?

 

Out of state motor vehilcles will require a Inspection before registering, no matter what the year of the motor vehicle is.

 

[Garet Jax]

This will not save you money.

When you import the car (which you will, if you want to register it, which you will if you want to insure it), then they will tax you accordingly. In MD, they will charge you the difference between their state tax and the tax from the state you bought it in. For example, MD = 5%, PA = 3% (purely made up numbers), MD will charge you 2%.

There is no way to save tax on buying a car out of state in MD I would assume all states are similar.

 

[lozina]

Originally posted by: Garet Jax
This will not save you money.

When you import the car (which you will, if you want to register it, which you will if you want to insure it), then they will tax you accordingly. In MD, they will charge you the difference between their state tax and the tax from the state you bought it in. For example, MD = 5%, PA = 3% (purely made up numbers), MD will charge you 2%.

There is no way to save tax on buying a car out of state in MD I would assume all states are similar.

I didn't mean saving on tax, but the dealers around me are quoting over msrp, while some out-of-state dealers are taking a few grand off msrp. (It's for a honda pilot so alot of dealers can get away with charging over msrp since it sells off as soon as it rolls off the production line)

 

[Banana]

Some dealers will actually arrange to pay the tax for the state you live in.

There is a possibility to save money if the out-of-state dealer is located in a place that has lower overhead--might give you more bargaining room. But then you have the hassle of making a long-distance transaction.

 

[Slickone]

I drove to another state to buy my truck that I had found online. The dealer there was much easier to work with, more friendly, and willing to come very close to the price I wanted to pay. The local dealers here wouldn't come near it.

 

[Heisenberg]

I bought my car in a different state. Like Roger said, it has to be inspected and you'll pay taxes/registration in your home state. The dealer should be able to get you a temporary tag to drive it home. Other than that, I didn't have any issues.

 

[LittleWolf]

I bought my new car from out of state. No problems. As a matter of fact it can be helpful, if the state from which you bought has lemon laws and your state doesn't. Example in North-east, PA has lemon protection laws while DE doesn't.

 

[C'DaleRider]

Originally posted by: Roger
Out of state motor vehilcles will require a Inspection before registering, no matter what the year of the motor vehicle is.

Completely depends on the state.......some do, some don't. Some states require an "out-of-state" fee, almost like an import fee, or environmental impact fee.

 

[LiQiCE]

Also depending on how often the dealer has out of state buyers from your state, it may make things easier. In the DC Metro area you have people from Northern VA buying cars in Maryland and vice versa ... In those kindof cases the MD dealers are so familiar with VA laws that they handle everything, sometimes even the VA inspection!

I would check with the dealers you're thinking of buying from and seeing if they already know what needs to be done to get the car from their dealership to your state.

 

[thedarkwolf]

If your buying from a private party you will need to get the title notarized before you can register it. Dealer should take care of everything for you.

 

[Ameesh]

Originally posted by: C'DaleRider

Originally posted by: Roger
Out of state motor vehilcles will require a Inspection before registering, no matter what the year of the motor vehicle is.

Completely depends on the state.......some do, some don't. Some states require an "out-of-state" fee, almost like an import fee, or environmental impact fee.

do you know if washington state has a law like that?