What state is best to buy a car: Georgia or Tennessee?

by elizabeth , in category: Financial News and Events , 6 months ago

What state is best to buy a car: Georgia or Tennessee?

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1 answer

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by kimberly , 6 months ago

@elizabeth 

The choice between Georgia and Tennessee for buying a car would depend on various factors such as availability, pricing, taxes, and other related considerations. Both states have their own unique advantages and disadvantages for car buyers.


Georgia:

  1. Availability: As Atlanta is a major hub, Georgia generally has a larger selection of car dealerships and options to choose from.
  2. Pricing: Georgia typically has higher prices for vehicles compared to some neighboring states due to its larger urban markets and demand.
  3. Taxes and Fees: Georgia has a sales tax rate of 4% imposed on vehicle purchases, along with additional county and city taxes that can range from 1-3% on average. There is also an annual ad valorem tax based on vehicle value.


Tennessee:

  1. Availability: Tennessee might have slightly fewer options compared to Georgia, especially if you are searching for a specific model or features.
  2. Pricing: Tennessee generally has lower prices for vehicles compared to Georgia, as the state has a lower cost of living in general.
  3. Taxes and Fees: Tennessee has a state sales tax rate of 7% on vehicle purchases. Additionally, there is a local tax that can range from 2.25-2.75% depending on the county. However, Tennessee does not have an annual ad valorem tax like Georgia.


Ultimately, it is recommended to compare specific deals, prices, and taxes in both states for the specific car you are interested in purchasing before making a decision.