Buying a car in another state: shipping, title, sales tax and registration
Updated 2026-10-04
If you are hunting a specific spec, the right car is rarely within driving distance. Buying from another state is routine, and most of it comes down to paperwork and planning. Here is what to sort out before you commit.
Shipping the car or flying in to drive it home
You have two ways to get the car home. Flying in and driving it back lets you see the car before you pay and gives you a long test drive, but puts the miles and the risk of a breakdown far from home on a car you do not yet know. It suits a newer car and a buyer who enjoys the trip.
Shipping is the usual choice for older or more valuable cars, or long distances. Things to know:
- Open or enclosed. Open carriers, the familiar double-deck trucks, are cheaper and fine for most cars. Enclosed transport protects the car from weather and road debris and suits valuable, collectible or very low cars; it costs noticeably more.
- Brokers and carriers. Most quote websites are brokers who find a carrier for your route. That is normal; just ask who the carrier will be and check that they are licensed and insured.
- What moves the price: distance, open or enclosed, the season, how far the pickup and delivery points are from main routes, and whether the car runs. Get several quotes for the same dates.
- The inspection report at pickup and delivery (often called the bill of lading) records the car’s condition. Check it carefully on delivery, and note any damage on it before you sign.
Title and paperwork
Before any money moves, confirm the title is in the seller’s name (or, for a dealer, that they hold it), is free of brands such as salvage or rebuilt unless you knew that, and shows a VIN matching the car. At the sale you should get:
- The title, signed over to you as your state requires.
- A bill of sale with the VIN, price, date and both parties’ names and signatures. Some states require it notarized.
- An odometer disclosure, which federal law requires for many vehicles (older model years are exempt), often on the title itself.
- A lien release if the car had a loan, or the lender’s payoff arrangements if it still does.
If you are buying from a private seller and the lender holds the title, expect the title to arrive by mail after the loan is paid off. Agree in writing how and when it will reach you.
Sales tax
In most cases you pay sales tax to the state where you register the car, not the state where you bought it, and you pay it when you register. Out-of-state dealers sometimes collect your home state’s tax for you; private sellers never do. Rules differ by state, and some states tax private sales differently from dealer sales, so check your own state’s motor vehicle agency before you buy, and budget for the tax in your all-in price.
Registering it in your state
Each state has its own process, but expect some combination of: proof of insurance (insure the car from the moment you own it, before it ships), the title and bill of sale, a VIN verification for a vehicle coming from another state, an emissions or safety inspection, and payment of tax and fees.
Pay particular attention to emissions rules. California and some other states have their own emissions requirements, and a car built to a different state’s standard may not be registrable there. If you live in one of those states, confirm the car qualifies before you buy it.
If you are driving the car home, ask your motor vehicle agency or the seller’s state about a temporary transit permit or plates. Dealers can often issue temporary tags; private sales generally cannot.
Buying from a dealer in another state
A dealer sale takes some of the paperwork off your hands, but not all of it. Dealers who sell to remote buyers regularly will often prepare the title paperwork for your state, issue temporary tags if you drive the car home, and help arrange transport. Ask early whether they sell out of state often; one that does will know what your state needs.
- Fees. Ask for an out-the-door price in writing, with every fee itemized. Documentation fees vary widely by dealer and state.
- Tax. Ask whether the dealer will collect your home state’s sales tax or leave it for you to pay when you register. Either is normal; paying it twice is not.
- Promises in writing. Anything the dealer agrees to fix or supply after the sale, such as a second key, a manual, or a repair, should be written into the sale paperwork.
- Deposits. Make any deposit refundable if the inspection finds problems, and get that in writing too.
Insurance while the car travels
A licensed carrier carries cargo insurance for the cars it moves, but limits and deductibles vary, so ask for the certificate and check that it covers the car’s value, particularly for an expensive car on an open trailer. Add the car to your own policy from the day you own it, and ask your insurer whether that covers it while in transit. If you drive it home, you need the car insured in your name before you set off.
A simple order of operations
- Find the car and agree the price subject to an inspection.
- Check the VIN, the title and the history report.
- Get the inspection done near the car.
- Arrange payment and confirm the paperwork you will receive.
- Insure the car in your name.
- Ship it, or fly in and drive it home.
- Register it, paying tax and fees in your state.
Widen the search, not just the trip
Being willing to buy out of state is the single biggest step to finding a rare spec, because it multiplies the number of cars you can consider. GarageScout searches nationwide by default, shows where each car is, and tells you how far away it is when you add your ZIP code.
Try a search: “mk4 supra turbo 6-speed anywhere in the US”
More buying guides
- Buying at an online car auction
- Buying from forums and Marketplace safely
- Pre-purchase inspections
- Finding a rare spec