Apr 15, 2026
Saving money on a car purchase doesn't necessarily require settling for less. It's possible to shave thousands off the sticker price of the exact same vehicle, simply by widening your search radius.
In today's expensive market, where average prices hover around $49,000 for new cars and $25,000 for old ones, location can play a surprisingly big role in what you pay (1, 2). An identical make and model, with the same mileage, could carry very different price tags depending on where it's being sold.
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That's pushing some shoppers to look further afield to secure a better price.
In some cases, those price differences aren't just marginal, they can be substantial. Automotive expert Lauren Fix told MarketWatch she found the exact same vehicle listed for $8,000 less at a dealership in another state, prompting her to book a flight and buy it there (3). Examples like that highlight just how wide regional pricing gaps can be, especially for higher-end or in-demand models.
For those willing to put in a bit of extra effort, the savings can be significant. However, there are also a few important considerations to keep in mind before committing to a purchase.
Why shopping out of state can unlock significant savings
Contrary to what many people think, car prices aren't uniform. The same Ford F-Series, for instance, could cost significantly less in another state or zip code.
Values fluctuate depending on local demand, inventory levels and even lifestyle preferences. A vehicle that's very popular in one area may sit on the lot longer somewhere else, and that difference can translate into major savings for buyers willing to travel.
For example, all-wheel-drive vehicles may command higher prices in mountainous or snowy regions, while smaller cars could carry premiums in dense urban areas where they're used more.
"It's not necessarily that cars are always less expensive in Montana," automotive-finance expert Joel Kansanback told MarketWatch. "It's more vehicle specific, where Subarus would be stronger in Colorado and trucks would be stronger in Texas (3)."
Expanding your search radius increases your odds of finding those pricing gaps. And you can still profit even if you have no intention of driving or flying miles away to buy a vehicle.
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Experts say knowing what other dealers are charging gives you leverage when negotiating. Instead of simply asking for a discount, you can point to a real listing and ask your dealer to match it.
At worst, they'll say no. At best, you could walk away with a better deal without leaving town.
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Important considerations
A lower sticker price doesn't automatically mean a better overall deal.
Travel costs can eat into your savings. Flights, hotels, gas (which currently averages around $4 per gallon) and even your time all factor into the real cost of buying out of state (4). A quick day trip might make sense, but a cross-country journey for a modest discount probably doesn't.
Start by asking the dealer what they're willing to cover. According to Fix, dealerships in smaller markets are often eager enough for business that they may offer to ship the vehicle or help offset travel costs.
If the answer is no, weigh your options carefully. Shipping a car typically costs between $0.56 and $1.50 per mile depending on distance, meaning it can sometimes be cheaper to book a one-way flight and drive your purchase home (5).
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Before committing, calculate every expense and determine not only if there is still a saving, but if that money saved is worth the extra hassle and inconvenience of not being able to easily inspect the car in person.
That's particularly important with used vehicles. The last thing you want is to buy a car hundreds of miles away only to discover it has issues.
Fortunately, there are ways to learn about a car from afar. A vehicle history report will reveal accidents, flood damage or title issues. It may also be worth paying a local mechanic to do a pre-purchase inspection, which typically costs a few hundred dollars (6).
Finally, don't overlook the paperwork. While dealers typically handle taxes, registration and title transfers across state lines, insurance is your responsibility.
Most states allow a short grace period to transfer coverage, but experts warn against relying on it (7).
Fix says coverage should begin the moment you commit to the purchase, not when the car arrives. One of her friends learned this the hard way. His decision to wait for a car to be delivered before adding it to his insurance policy backfired when it got stolen in transit.
Article sources
We rely only on vetted sources and credible third-party reporting. For details, see our ethics and guidelines.
Kelley Blue Book (1, 2, 5); MarketWatch (3); AAA (4); NerdWallet (6); GEICO (7)
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Daniel Liberto is a financial journalist with over 10 years of experience covering markets, investing, and the economy. He writes for global publications and specializes in making complex financial topics clear and accessible to all readers.
