Tips on Buying Cars: Buying a car from a different state, mrinal, michigan resident

Question
Hi,

I am a michigan resident and i want to buy a car from a dealor in chicago(illinois). How does the transfer of title work in this case. Also do i have to pay any additional tax for transferring the new car to michigan? Also if there are taxes, are they too expensive? what can i do to avoid this extra costs?

Thanks,
Mrinal


Answer
Mrinal,

The dealership should take care of all of the taxes and fees for you.  Simply tell them that you want all of the taxes and fees rolled into the deal, that you don't want to have to take care of it by yourself.  

You will not have to pay any extra taxes or fees.  Any dealership should know this and understand it.  You do not get double dipped in taxes or fees.  If the dealership tries to tell you that you have to, understand that they are wrong, and you need to call them on it, because they are simply trying to make more money on you.  

It is very simple and if the dealership knows what they are doing then you will never even know that you purchased the vehicle out of state.

Hope this helps, and Good Luck.

Thanks - Jb