Hi Guys,
Anyone have any recent experiences with buying a new vehicle out of state?
I’m in the market for a new 1/2 ton truck and I’ve noticed a considerable ($3,000+) pricing difference if I were to purchase from a dealer outside of MN or WI.
What kind of transfer and title fees would be waiting for me when I go to transfer the vehicle in my home state of MN?
I bough a vehicle in indiana in December and brought it back to Minnesota. All the fees were based on Mn State Sales Tax. I did have to pay for the registration separately at the dmv….Something i found out months later, after i didn’t receive my license plates in the mail. This wasn’t a big deal, but it was an extra $580 i had to pay out of pocket. When normally this is figured into the loan…
Justin,
I noticed a comparable difference when shopping 8 years ago. I got an online quote from the out of state dealer for the exact vehicle and options I wanted. I showed it to a local dealer. I was offered the same exact deal on a vehicle they had on their own lot. The ONLY difference was the color and it was actually a color option that raised the price, but they still gave us the price from our original quote. Saved us some hassle doing it this way.
FDR
Just flew out to OHIO and drove back a new F-150. The dealer picked me up at the airport. Great service. I made sure the truck was what they said it was put $500 to hold it a week till I could fly out. Financed through them so I did not have to bring any money. $100 temp Ohio plate and $50 transfer fee that the dealer charges every one. When I got home to Minnesota I had to take the paper work to DMV and pay MN sales tax, plate fees and transfer title to MN. Same truck here was $7000 more then I paid out there. $$$$$
Shouldn’t have to… as FDR posted. Dealer pricing doesn’t vary unless there is a small regional incentive, and that is pretty easy to confirm while shopping. Even dealer freight is regulated and pretty consistent. Competition in specific markets may drive prices up or down some – but there’s only so far it can or should vary, they all pay the same amount. Exception is regional advertising fees by dealer groups that are built into the real cost to a dealer, but we are not talking about thousands of dollars. You can find info on those advertising fees as well.
What kind of transfer and title fees would be waiting for me when I go to transfer the vehicle in my home state of MN?
Think of it this way. if you bought a used car from a private party then you would go to the DMV and pay all the fees yourself. Same here. I did this 18 months back. For the most part I don’t think any amounts changed just who was responsible, me. Might have paid a small fee for something like the temporary plate.
My wife is extremely loyal to a salesperson in the Quad cities. That means we shop local but always give him a chance for the business. On two recent cars the ultimate difference was a couple hundred one way or the other. Like Chuck said, there shouldn’t be much variance.
As above, let the local guy know you are dealing with a dealer from xyz state. Give them a chance to compete and you may be surprised as long as the vehicles are apples to apples.
“Same truck here was $7000 more then I paid out there. $$$$$”
Are out of state vehicles really that much cheaper than here!? Ive considered driving to texas to get a rust free used vehicle but ive never that you can save a lot of money on new vehicle purchases
Are out of state vehicles really that much cheaper than here!?
NO, some other factors played into it.
When I got home to Minnesota I had to take the paper work to DMV and pay MN sales tax, plate fees and transfer title to MN.
Did you just have to pay the difference in sales tax between MN and OH once you registered the vehicle in MN or did OH withhold all sales tax on the sale since you were an out of state buyer, and you were responsible for all the sales tax upon registering in MN?
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