If you’re trying to properly budget for one of our used cars, you need to think about more than just the price. That’s because, when you buy a vehicle from I.G. Burton Chrysler Dodge Jeep RAM of Milford, there are some other necessary fees and taxes to consider. These are the expenses you need to worry about.
A car is much like many other products that you buy in that it can be taxed. In most states, you have to pay a certain percentage in taxes when you purchase a new or used vehicle.
There are some things to remember though. First of all, Delaware does not charge tax on vehicles! If you are living in this state and buying a car at our Milford, DE dealership, you won’t have to pay taxes on your vehicle.
However, if you visit from out of state and buy a car, you may need to pay the sales tax to the state you’re registering it in. It pays to research the sales tax in your home state before buying.
You will probably need to pay a title and registration fee. This puts the car in your name, orders license plates, and registers your vehicle in your state. This fee is often forwarded along to the relevant state agencies.
A documentation fee is also charged on some sales. This covers the dealer’s costs of preparing the relevant documentation and paperwork that’s needed to sell a car.
You may have to pay a transportation or destination fee if the car needs to be moved from another dealership, and you may also have to pay for VIN etching, extended warranty coverage, and other add-ons.
If you have more questions about used cars and associated fees, talk to our RAM dealers. We would be happy to tell you more about the car buying process!