How to Buy a Used Car Out of State
While you may find 50 identical cars on a lot when shopping for a new car, shopping for a used car is different. No two used vehicles are alike. They may be similar models or have similar equipment, but one may have been well-cared for and the other abused. Used-car buying is much different than new-car buying. Sometimes you must travel out of town or out of state to find that perfect used car. Learn what to do and what not to do the next time you are considering purchasing a car out of state.
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Instructions
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Research the out-of-state dealer's credentials and reputation. Buying from a dealer out of town requires a little more legwork than buying local. You will not have immediate access to the dealer's reputation by word of mouth. Contact the Better Business Bureau in the area, and verify the dealer's standing with the state's motor vehicle commission.
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Arrange for an independent inspection before making the trip. Find an unbiased third-party auto mechanic in the area with no connection to the auto dealer. Some nationwide companies, such as Carchex, contract with local mechanics to provide pre-purchase inspections for a fee. Use online Yellow Pages and other resources to directly deal with a mechanic in the area. Have the overall cosmetic and mechanical condition of the vehicle inspected to make sure it is a good buy. No used vehicle is perfect, but it is better to know about any defects beforehand; you can use them as a negotiation tool and to help you weed out problem vehicles.
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Negotiate and agree upon a final price and terms before making the trip. Do as much of this over the phone or over the Internet as you can. Bring a copy of all the information the dealer has given you. There's nothing worse than traveling hundreds of miles only to find out you can't get the deal you were expecting. Use any defects discovered during your third-party inspection as a tool for negotiation.
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Contact your local motor vehicle office to determine the best way to handle your tax, title and license. Although you will be purchasing the car out of state, it still must be registered in your jurisdiction. Find out if any special documentation is needed to register a vehicle from out of state. If you are financing the vehicle, you need to make sure the dealer or bank has the information for registering a vehicle in your state. Verify the correct sales tax is being paid. If not, you could be penalized, not the dealer.
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Make arrangements to pick up or take delivery of the vehicle. Take a thorough test drive of the vehicle, even if you have ordered an independent mechanical inspection. Make sure you are satisfied with it before signing paperwork and taking delivery. If you are trading your vehicle, you can probably make the trip alone. If not, someone will have to come with you to drive one of the cars back. Having a vehicle shipped to you is possible, but it's not usually recommended to buy a used vehicle completely sight unseen.
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Tips & Warnings
Before making the trip to purchase a vehicle, ask the dealer for multiple photos. The more photos you can acquire, the better off you are.
If you live in a state with strict emissions laws, such as California, make sure the vehicle will pass a state emissions test.
If purchasing an extended warranty, verify there are shops in your area that will accept the warranty claim. Some extended warranties are not valid nationwide. If the vehicle has existing factory warranty, contact your local dealer for the brand of vehicle and verify any existing factory warranty coverage. Don't take the word of the dealer you are purchasing it from; verify coverage yourself.
If you are purchasing the vehicle from an individual, make sure you receive the title before transferring the money. Ask for identification to verify the person is the owner of the vehicle. Match the name up with the name on the title.
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