What is the cheapest state to buy a car in?

Written by Editorial Team | Last Updated: August 2026

Oregon is widely regarded as the cheapest state to buy a vehicle due to its complete lack of a statewide general sales tax combined with relatively low vehicle documentation and registration fees. Other states frequently cited for lowering out-of-door vehicle purchase expenses include New Hampshire, Montana, Alaska, and Delaware, all of which do not levy state-level sales taxes on car purchases, saving buyers thousands of dollars compared to high-tax jurisdictions.

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