Massive inventory and a high volume of older drivers mean a steady supply of well-maintained used vehicles. South Dakota
Known for lower dealer markups and more consumer-friendly documentation fees. Arizona / Texas
: Buying a car in a "tax-free" state like Montana won't save you money if you live in California; you will still owe California sales tax when you register it at home.
: These states also have no state sales tax , though Delaware applies a "Doc Fee" (around 4.25%) that functions similarly to a tax. Best States for Specific Needs Best States Used Cars Florida
: Another tax-free state with very low dealer documentation fees , often capped at roughly $115, compared to $1,000+ in some other states.