Cheapest and most expensive states to buy a car: Unexpected fees that drive up cost
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Some states are a bargain, but consumers in some states can expect to pay an extra couple of thousand dollars for costs you might not think of when you shop for a car – state and local sales tax, registration fee and so-called “doc fees,” short for dealer documentation fees.
Consumers should budget for those extra fees when they’re shopping for cars and negotiating the price. Unexpected fees can cause sticker shock, or they could even be a deal-breaker for consumers on a tight budget.
MojoMotors.com, a used-car classified ad site, said its recent research showed Alabama was the most expensive state for those items, at an estimated average of $2,313. Oregon was the cheapest, at only $127. That’s based on the purchase and registration of an average-priced used car, which MojoMotors.com pegged at $16,500.
Here are the five most expensive and the five cheapest states, in terms of what percent of the price of the car those three fees represent. Total fees are the sum of average state and local sales tax, average state registration fee and average dealer doc fee.
cheapest states to buy a car
Most Expensive States:
1. Alabama; $2,313 average total fees; 14 percent of sales price;
2. Arizona; $2,297 average total fees; 13.9 percent of sales price;
3. Colorado; $2,284 average total fees; 13.8 percent of sales price;
4. Tennessee; $2,061 average total fees; 12.5 percent of sales price;
5. Florida; $1,869 average total fees; 11.3 percent of sales price.
1. Oregon; $127 average total fees; 0.8 percent of sales price;
2. Alaska; $356 average total fees; 2.2 percent of sales price;
3. New Hampshire; $359 average total fees; 2.2 percent of sales price;
4. Montana; $724 average total fees; 4.4 percent of sales price;
5. Hawaii; $817 average total fees; 5 percent of sales price.
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