Cheapest State to Buy a New Car

In the quest for the most budget-friendly cars, the landscape across the United States reveals a diverse range of opportunities and challenges. While the average car cost in the USA is around $46,290, the price tag varies significantly by state.

Some places burden buyers with high sales taxes and additional fees, while others offer the allure of no sales taxes, translating to considerable savings.

The journey to find the cheapest cars is like a road trip through a patchwork of states, each with its unique story and expenses. So, let’s embark on this adventure and discover the states where affordable car ownership becomes a reality.

Why Are Car Prices So High?

In the realm of car prices, the spotlight often falls on the Manufacturer’s Suggested Retail Price (MSRP). This figure, while a starting point for negotiations, is currently navigating stormy waters.

The enduring effects of the Covid-19 pandemic have left car prices consistently soaring, driven by supply chain disruptions and inventory shortages.

For those seeking refuge from these high prices, the used car market offers a more budget-friendly route to hit the road without breaking the bank.

To further assist in your car-buying journey, consider utilising a car shipping cost calculator.

This handy tool can help you estimate the expenses of getting your new ride to your doorstep, ensuring that your budget remains on track. So, if the allure of new car ownership feels like a financial cliff, consider the tried and tested path of used cars, where savings meet opportunity, with the added Calculate your car shipping cost with Nexgen Auto Transport car shipping cost calculator and get free Quote bonus of a helpful car shipping cost calculator to keep your expenses in check.

Cheapest States to Buy a New Car

Oregon emerges as the unrivalled gem for the budget-conscious car buyer in the United States. Crowned as the Cheapest State to Buy a New Car, it offers a unique blend of no sales tax and a thriving automotive market.

With the weight of sales tax lifted, purchasing a new car in Oregon not only fulfils your automotive dreams but also keeps your wallet significantly lighter.

When seeking the most wallet-friendly new car purchase, make a beeline for Oregon, where affordability and the open road harmonise in a truly distinctive manner.

Best States To Buy Used Cars

In the quest for a wallet-friendly ride, the used car landscape has evolved. While the average used car price has surged by approximately 35% since the dawn of 2021, there are pockets of affordability waiting to be unearthed, often just a state line away.

Yet, tread carefully, for venturing beyond your state’s borders may entail additional costs, such as shipping and registration fees.And now, let’s unveil the hidden treasures – the five states where used cars come with a more budget-friendly price tag, based on data from February to July 2021:


Indiana takes the lead, offering a sweet deal at an average price of $21,961, a remarkable 11.1% below the national average.


Ohio follows closely with an inviting average price of $22,244, making it an attractive option for frugal car seekers.


Connecticut presents itself as a contender, with an average used car price of $22,528, where affordability meets quality.


Virginia offers a competitive market with an average price of $22,618, ensuring you get more cars for your buck.


Kentucky rounds off the list with an average price of $22,995, making it a promising destination for the budget-conscious.

So, when hunting for that perfect used car deal, look beyond your borders, as these states present not just affordability but a chance to embark on a unique and budget-friendly automotive adventure.

Best States for Low Car Fees (Documentation Fee)

When considering low car fees, particularly dealer documentation fees, it’s essential to be aware of the cost regulations in different states. These fees cover the dealership’s administrative expenses and are often non-negotiable.

While some states impose caps on these fees, others do not, so knowing these guidelines can help you make an informed decision when buying a vehicle.

California – $55: In California, you can typically expect to pay an average documentation fee of $55, which is reasonably priced. This fee covers the administrative work required for the purchase and transportation of the vehicle.

Oregon – $61: Oregon has an average documentation fee of approximately $61, which is generally non-negotiable. It’s important to note that this fee adds to the overall cost of your vehicle.

New York – $74: New York’s average documentation fee is around $74. While it may seem slightly higher, this fee is common across many dealerships in the state and includes essential documentation.

Minnesota – $75: Minnesota also has a typical documentation fee of approximately $75, similar to New York. This fee is part of the standard purchasing process and covers necessary documentation.

South Dakota – $93: South Dakota has a higher average documentation fee of $93, making it more expensive than many other states. If you plan to buy a vehicle in South Dakota, it’s crucial to be aware of this additional expense.

Understanding these variations in documentation fees across states can help you make informed decisions when purchasing a vehicle while keeping your costs in check.

Buying a Car in Florida from Out of State

When buying a car in Florida from out of state and arranging, there are a few additional steps to consider. In addition to organising the transportation of the vehicle and obtaining temporary insurance coverage, it’s essential to ensure that all the required paperwork, such as the title and bill of sale, is accurately completed to comply with Florida’s regulations.

Furthermore, when registering the vehicle in car shipping after it arrives via car shipping, be prepared for potential variations in taxes and fees.

NexGen Auto Transport is your trusted partner for the shipment of vehicles. We specialise in providing seamless and secure car shipping Florida services across the nation. Whether you need your car transported locally or to a distant location, we have you covered. When you choose NexGen Auto Transport, you’re choosing a partner dedicated to your satisfaction and the safe transit of your valuable vehicles.


In the rich tapestry of America’s car market, the pursuit of affordability serves as our guiding star. Our expedition through the most cost-effective states for new car acquisitions leads us to Oregon, a hidden treasure where the absence of sales tax and a thriving automotive market intersect, transforming dreams into financial sensibility.

However, this journey isn’t confined to brand-new vehicles alone. The surge in average used car prices has urged thrifty buyers to explore this well-travelled path, discovering remarkable value just across state lines.

To streamline this odyssey, the practicality of a car shipping cost calculator emerges as an invaluable tool, ensuring that your budget remains on a steady course, whether you’re headed to Oregon or any other destination.

As we navigate the terrains of both new and used car ownership, we’re reminded that the allure of the open road and the excitement of budget-friendly automotive adventures are ever-present, ready to fuel your expedition towards economical car ownership.

For more please click on this link : What to Consider When Getting a Car Accident Lawyer in Your Locality

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