What state is the best to buy a car right now?

The best states to buy a car right now are often Oregon, New Hampshire, Montana, Delaware, and Alaska due to no or low sales tax, saving thousands on high-priced vehicles, with Oregon often cited as cheapest overall due to low fees. Other factors to consider are low documentation fees (like in Minnesota or Arkansas), competitive markets in large cities (Atlanta, Dallas, Chicago), and states with less rust, like inland Florida for used cars.


What is the cheapest state to buy a car in?

The cheapest states to buy a car are generally those with no state sales tax, like Oregon, New Hampshire, Montana, Delaware, and Alaska, significantly lowering the final out-the-door price, though actual deals depend on local dealer competition and specific vehicle pricing. While Oregon and New Hampshire often top lists due to no sales tax and low fees, Montana is also great, but you pay tax where you register, so you need to factor that in. 

What state has the best deals on vehicles?

Delaware, New Jersey, and Pennsylvania have the cheapest median used car prices. Alaska, Arizona, and Wyoming are the most expensive states to buy used cars. Used car prices correlated with mileage—higher prices were associated with lower-mileage vehicles.


Which state is best for buying a car?

10 Cheapest States to Buy a Car in India in 2025
  • Chandigarh. ...
  • Assam. ...
  • Gujarat. ...
  • Punjab. ...
  • Jharkhand. ...
  • Jammu & Kashmir. ...
  • Haryana. ...
  • Uttarakhand. But, Uttarakhand imposes a road tax up to 8 to 10 percent depending on the worth of the car and certain conditions.


Where is the best place to buy a car in the US?

Best of the Best

According to our study results, the overall best U.S. cities for buying a car were Tucson, AZ; Boise, ID; and Gulfport, MS. Each city had good car buying options and excellent Yelp ratings. For more specific services, Huntington Beach, CA, was the best city for new car dealerships and auto insurance.


How to Buy a Car Out of State (Pros and Cons EXPLAINED)



What state is best to buy a new car?

Best States to Buy a Car in 2025

First, let's explore the states that offer the most advantages when it comes to car buying. States like Alaska, Montana, Oregon, Delaware, and New Hampshire stand out due to their lack of statewide sales tax, as well as generally low fees when buying and registering a car.

What is the 8% rule when buying a car?

The 20/3/8 rule is a guideline that suggests you put 20% down on a car and repay the loan over three years. Applying the rule correctly will also require your monthly payment and car expenses be 8% or less of your income.

What is the easiest state to buy a car in?

Oregon: Offers zero sales tax and low average documentation fees. New Hampshire: A tax-free state ideal for avoiding large tax bills on vehicle purchases. Montana: Famous for its no-sales-tax policy, especially for RVs and luxury cars. Delaware: An East Coast option for purchasing vehicles entirely free of sales tax.


What car can I afford making $3,000 a month?

Take-home pay is the amount you make each month after taxes, so if you bring home $3,000 monthly after taxes are deducted, it's likely you can comfortably afford a $300 car payment.

What state has the cheapest car sales tax?

These are the ten states with the cheapest sales tax for new and used vehicles:
  • South Dakota: 4.00%
  • Oklahoma: 3.25%
  • North Carolina: 3.00%
  • Colorado: 2.90%
  • Alabama: 2.00%
  • Alaska: 0.00%
  • Delaware: 0.00%
  • Montana: 0.00%


How do I negotiate car prices?

To negotiate a car price, research the market value using sites like Edmunds, get pre-approved financing, focus negotiations on the total "out-the-door" price (not monthly payments), separate your trade-in, and be prepared to walk away after getting competing offers from multiple dealers. Start with a low offer, stay calm, and use silence and competing quotes as leverage. 


What is the best time to buy a new car?

The best times to buy a new car are the end of the year (Dec) for big discounts, the end of a month/quarter (March, June, Sept, Dec) to hit sales targets, September/October for deals on outgoing models, and holidays like Presidents' Day or Black Friday; aim for weekdays, especially Monday/Tuesday, when it's less busy for better attention and negotiation. 

What 3 states are most expensive to own a car?

The three most expensive states for car ownership often cited are California, Nevada, and Louisiana/Florida, with costs driven by high insurance, gas, and repair expenses, though rankings vary slightly by study year and methodology, with some placing Louisiana or Florida at the very top due to insurance premiums. 

Does the time of year impact car prices?

You'll see other car price fluctuations during late fall and winter. Prices may drop as dealerships try to clear inventory before the end of the year. This period can be beneficial for buyers looking for deals. Spring and summer tend to see a price increase.


In which state is the new car the cheapest?

The cheapest states to buy a new car are usually those with no statewide sales tax, like Oregon, New Hampshire, Montana, Alaska, and Delaware, because they eliminate a major cost, with Oregon often topping lists due to low fees and taxes; however, always check local dealer fees and registration costs, as they vary, and consider states with competitive markets like Florida for good overall prices. 

What states not to buy a car from?

You might want to avoid buying cars from Florida, California, Illinois, New York, Texas, and Virginia, due to issues like high dealer fees (especially Florida), significant taxes and fees (CA, IL, NY, TX), low inventory (CA, FL, GA), and aggressive dealer tactics or add-ons (VA, TX). Nevada, Kansas, Tennessee, Indiana, Rhode Island, Utah, and New Jersey also stand out for high sales tax, adding significantly to the final cost. 

How does credit score affect car loan rates?

Good Credit (700–749): Your rate might be slightly higher—perhaps in the 4–5% range. Fair Credit (650–699): Rates could climb to 7–9% APR. Poor Credit (600–649): You might see APRs hovering around 10–15%, if not higher. Very Poor Credit (Below 600): Rates can exceed 15% or result in loan denials.


Which state has the best deals on vehicles?

The best states for car prices offer low or no sales tax and minimal fees, with New Hampshire, Oregon, Montana, Alaska, and Delaware consistently topping lists for upfront savings due to no state sales tax. However, actual car prices vary, with some states like Iowa and Indiana having great overall deals, while Delaware often shows low median used car prices and Oklahoma great initial costs, but always compare taxes, fees, and local inventory for your specific vehicle. 

Which state sells cars the cheapest?

The cheapest states to buy a car are generally those with no state sales tax, like Oregon, New Hampshire, Montana, and Delaware, significantly lowering the final price, with Oregon often topping lists for low overall costs due to minimal fees too, while some Midwestern states (Ohio, Indiana) offer low median car prices, but factor in sales tax/fees when comparing.
 

Which car is cheapest to tax?

Best Cars with Low Road Tax in 2025
  • BMW 2 Series. Think low road tax means giving up on luxury? ...
  • Ford Fiesta. A true British favourite, the Ford Fiesta combines affordability, reliability, and fun driving dynamics. ...
  • Hyundai i10. ...
  • Mazda 3. ...
  • Mercedes-Benz GLA-Class. ...
  • Mini Hatch. ...
  • Nissan Qashqai. ...
  • Peugeot 3008.


What is a red flag when buying a car?

Use your best judgment; if a car looks or feels wrong, don't buy it. Look out for excessive rust, a worn tailpipe, or illuminated dash lights. During your test drive, pay special attention to how the car handles and sounds. If something's off, ask the seller and double-check the title and history report.

What should a $30,000 car payment be?

For a $30,000 car, your monthly payment could range from around $500 to over $700, depending heavily on your down payment, loan term (e.g., 60 vs. 48 months), and interest rate (APR), with longer terms and higher rates increasing payments, while a larger down payment (like 20%) lowers them significantly. For example, with a $3k down payment, 5.8% rate, and 60 months, it's about $520; with a good rate on a 4-year loan, it could be $733. 

What is the 6000 car rule?

The Section 179 tax deduction gives vehicles under 6,000 pounds that are used for business purposes a deduction cap of $12,400 and $30,500 for vehicles over 6,000 but under 14,000 pounds.