Buying a car

[dkusma 0]

My husband and I are returning to the US from abroad. Our final destination will be Atlanta, GA. We will be landing in Washington DC where we lived before moving abroad. We still have Maryland driver licenses. We want to buy a car in Maryland and drive it along the east coast down to Florida and ultimately to Atlanta. Can we buy a car in Maryland and register it in Georgia even though we are not officially Georgia residents? What about insurance? Can we buy that in Georgia as well? Will we be taxed twice on the car if we buy it in a different state then where we plan to register it?

We kind of feel like we are in limbo, as we do not consider ourselves residents of anywhere.

Any insight is appreciated.

- See more at: http://community.cartalk.com/discussion/2293703/returning-from-abroad?new=1#sthash.keGmIzzC.dpuf

[Ozz777 23]

My husband and I are returning to the US from abroad. Our final destination will be Atlanta, GA. We will be landing in Washington DC where we lived before moving abroad. We still have Maryland driver licenses. We want to buy a car in Maryland and drive it along the east coast down to Florida and ultimately to Atlanta. Can we buy a car in Maryland and register it in Georgia even though we are not officially Georgia residents? What about insurance? Can we buy that in Georgia as well? Will we be taxed twice on the car if we buy it in a different state then where we plan to register it?

We kind of feel like we are in limbo, as we do not consider ourselves residents of anywhere.

Any insight is appreciated.

- See more at: http://community.cartalk.com/discussion/2293703/returning-from-abroad?new=1#sthash.keGmIzzC.dpuf

If you buy a car in Maryland and do not register it until you settle in Georgia, you will be driving a car that is not officially yours, which could open both you and the previous owner to different issues and liabilities under different circumstances, such as; wreck, auto theft, being pulled over, etc. I don't believe you will be able to insure a vehicle that is not registered to you either. Here is a nonofficial link that describes some of the possible issues with buying a car out of state.

http://www.ehow.com/info_7973791_regulations-state-titling-another-state.html

According to the official Georgia state link below, you'd need to already be a Georgia resident with a Georgia drivers license in order to register your car in Georgia. If you buy a car in Maryland, register and insure it in Maryland since you already have a Maryland license, then go on your road trip, settle in Georgia and re-register the car there once settled.

http://motor.etax.dor.ga.gov/motor/RegistrationSection/rs_RegReqmts.aspx

I don't believe you will be double taxed, but in the above scenario you will have to register the car twice, therefore paying registration fees twice. Or you could just rent a car in Maryland, do you your road trip, find a home and buy a car in Georgia. Good luck and have fun!

Edited July 31, 2013 by Ozz777

[christeen 966]

Agreed with above... But the cost of registering the car twice is far less than a long rental. Basically, busy the car in Maryland and register it (about $100 - $200 for licence and registrations) take the vacation and relocate to Atlanta... After you get residency and drivers licence etc. finalized... Register there (agin I would say about another $100 -$200 )... Those states do not have "impact fees or taxes like California and you have already paid tax on the car itself... Otherwise, a rental is at LEAST $100-150 a week, and when you first relocate, you will need a car and until you reside officially in Georgia, you would have to rent one for a few weeks at least.... So IMO the cost savings would say buy in Maryland... IMO

[Dustin and Janen 86]

Agreed with above... But the cost of registering the car twice is far less than a long rental. Basically, busy the car in Maryland and register it (about $100 - $200 for licence and registrations) take the vacation and relocate to Atlanta... After you get residency and drivers licence etc. finalized... Register there (agin I would say about another $100 -$200 )... Those states do not have "impact fees or taxes like California and you have already paid tax on the car itself... Otherwise, a rental is at LEAST $100-150 a week, and when you first relocate, you will need a car and until you reside officially in Georgia, you would have to rent one for a few weeks at least.... So IMO the cost savings would say buy in Maryland... IMO

You are forgetting about tax. From what I can find Maryland charges a 6% tax on car purchases.

Then, in Georgia you have to pay a 6.5% ad valorem tax (new for 2013). I live in Atlanta Georgia. And yes this tax is charged to people moving here. You have to pay half up front then you have 1 year to pay the remaining balance. It used to be you only paid the tax when you bought the car from a dealership. Now you pay if you transfer it in state or if you buy from a person too.

So on a $20,000 car you are looking at $1200 in taxes in Maryland and $1300 in Georgia. Plus the tag and title fees.

I think the best option is doing a long term rental. They run about $800 a month and you won't have to deal with registering your vehicle twice. Plus it gives you more time to get a better deal on a car. If you are forced to buy a car quickly you might pay to much since you won't be in a position of power and able to walk if the deal isn't good. And you're not putting a ####### ton of miles on your new car.

Edit: I reread your post and you did mention tax. What you said would have been true before March 1 2013

http://www.ajc.com/news/news/understanding-new-car-title-tax/nWdbR/ this article explains it.

Edited August 2, 2013 by Dustin and Janen

[christeen 966]

Hmmmmm interesting deliema as it does look like with this new law, Georgia got ya coming or going..... Given this info, yes, I might look into a long term rental options...