buying a car out of state

A Detailed Guide on Buying a Car Out of State: Know the Pros and Cons

Planning to buy a new car? If yes, then you should also consider buying it from another state if you are getting a good deal. Many people have started buying vehicles from another state as it gives good benefits and the total cost also gets reduced eventually saving a lot of money.

Today, we will provide you complete knowledge of how to buy a car out of state and make you know what all important points you need to consider while purchasing the vehicle out of state. In the end, we will provide you the pros and cons of the complete scenario. 

First of all, let us check out some important points that you need to consider and do proper research about it to get the estimate of total cost and benefits. 

  • Registration

You will need to do two registrations. One is the temporary registration for moving the car from one state to another and the other is permanent registration in your state. 

You can take the help of the dealer from where you are buying the car for the temporary registration process, they can help you in making the paperwork quickly. 

This is the extra hassle that you need to do when you are buying the car from some another state but if you get the right guidance for the process then it will be a lot easy and quick for you. 

buying a car


  • Transport

Another main concern will be to transport the vehicle from one state to another. If the distance between the two states is short then you can drive it on your own but if it is quite far then you will need to contact a shipping agency that can ship the car to your home. 

The dealership from where you are buying your car will be having some good shipping agency contacts and they can provide you discount too so don’t forget to ask them about this. 

Do some research and select the most reasonable option to get your car shipped to your home to cut off extra expenses. 

  • Sales tax

You will need to pay a sales tax on your car in the state where you are going to register it. For example, if you are living in State A but buying the car from State B then you will pay the sales tax as per the amount charged in State B. 

In the USA, there are many states that don’t charge sales tax. If you buy your car from such a state then you will end up saving that money. 

Car insurance

buying a car


You will need to think about car insurance too. Talk to your current insurance policy provider and check out if they can extend the current coverage to your new vehicle as well. 

If you are getting a new insurance policy then it will add more money to your expenses so do some research before you finally decide the insurance provider. Select the one requiring minimum premium and maximum coverage in case of accidents and damage.

  • Emissions

It is very important to fulfill the emission standards set by both the states, the state where you live and state where you buy your car from. It is possible that both the states have different emission standards so you need to be extra careful while you buy the car from a different state. 

Also Read: Buying A Car? – Here Is The Best Way To Buy

Let us now check out the pros and cons. 


It might be possible that you are looking for a rare car that is available in some specific states only. 

Suppose a new car is launched and currently it is not available in your state but it is available in some other state. To buy it, you have two options: either wait for the car to get launched in your state or buy it from the other state. This is the benefit of buying the car from the other state. 

Also, if you expand your search to other states then you might get some good deals that can save your couple of bucks. For example, you are getting your car at a very high rate in your state but searching outside, you can get pretty good discount offers and the total car price gets lower eventually saving a lot of money. Buying a used car out of state may also help you get good benefits. 

buying a car out of state



The primary disadvantage of buying a vehicle out of state is that your process will get very much complicated. The registration process, sales tax, emission standards differ from state to state so it might get a little bit complex. You will also need to get temporary registration for moving the car from one state to another. 

Also, it will be a hurdle for transporting your car. If the distance is short between both states then you can drive on your own but if the distance is big then you need to ship it which will add more expense to its cost. 

So, here was a detailed article on the pros and cons of buying a car out of state. I hope you got a clear idea about the points that you need to consider while buying a car from another state. We hope that now you will be having a clear picture of the complete scenario and can make a sound decision effectively! For more information visit Financeshed.