Tips on Buying Cars: where to buy car, state of delaware, car dealerships

Question
i know that delaware does not have sales tax. if we buy a car in delaware as opposed to in PA. will we save money, or do delaware car dealerships charge more? thanks for your help.

Answer
Pat,

Actually, the sales tax is based on what state you live in, not what state you purchase your vehicle in.  If you purchase your vehicle in the state of Delaware, then even though they may not charge you sales tax, you are liable for the sales tax in your home state of PA.  

But to answer your question, the price of the vehicle should not change or charge anymore just because a state does not have sales tax does not mean that the vehicle should be more or less expensive.  The vehicle is worth what the vehicle is worth and it should not matter the state and any dealership that tells you otherwise is using a sales gimmick, not truth.

Hope this helps.

Thanks - jb