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Where you live can make a big difference in how much you'll pay when buying a car. Taxes, registration fees, and the overall market can vary state to state. Here's a breakdown of the top 10 states that don't cost an arm and a leg to buy a car.
New Hampshire – zero sales tax
The Granite State tops the list for one simple reason—no sales tax. Buying a car here means you'll skip the added costs piled on with sales tax, which can save you thousands. Plus, the low registration fees are the cherry on top for car buyers in this state. Keep in mind that it's a smaller state, and you might have a smaller selection when car shopping.
Oregon – tax-free advantage
The Beaver State follows closely behind New Hampshire with the huge perk of no sales tax. While registration fees are a bit higher, the overall savings on tax make Oregon a great place to buy a car. The state also has a healthy number of dealerships, so you'll have better luck finding the car you want.
Florida – low fees, high inventory
Sunshine State is a solid option for car buyers because of its 6% sales tax and low registration fees. What makes it stand out is the humongous inventory of cars, especially from retired folks, which means a lot of low-mileage, well-maintained vehicles are up for grabs.
North Carolina – low sales tax
With a 3% sales tax—way below the national average—The Tar Heel State offers a great chance to save. Add in its fair registration fees and diverse car market, and you couldn't find a more balanced place to purchase your next vehicle.
Delaware – no sales tax simplicity
The First State, which is the fifth on our list, offers no sales tax, too. The registration fees are minimal, but, like other smaller states, your car choices might be limited. Still, if you're not picky, Delaware isn't a bad place to look.
Virginia – affordable fees and taxes
Old Dominion's 4.15% sales tax is lower than most states, and the low-key registration fees make car buying more affordable here. With plenty of dealerships to choose from, it's easy to find a great deal on the car of your dreams.
Ohio – low cost and large market
The Buckeye State's 5.75% sales tax isn't the lowest, but it's still below the national average, and the registration fees are decent. Ohio also has a competitive used car market, giving you a good chance to find the best bang for your buck.
Montana – no sales tax
Big Sky Country also offers no sales tax, making it a car buyer's heaven. And by car, we mean truck or SUV. That's all they drive up there and all they'll be selling.
Wyoming – low fees and no sales tax
The Cowboy State not only offers no sales tax, but it also has some of the lowest registration fees in the country. If you're willing to travel hours between dealerships or horse auctions, you can save significantly on your next ride.
Colorado – low taxes, competitive prices
The Centennial State rounds out our list with a low 2.9% sales tax and a bounty of cars to choose from. While registration fees are higher than some, the savings from lower taxes and haggling power make Colorado attractive for buyers.
That's the top 10 states to stretch your dollars when buying a car. If you're looking to trade in your old vehicle for a new one, see how much Peddle will pay you first. The offer is fast, and the towing is free, no matter where you are.