Blog

If you’re car shopping in the Mid-Atlantic region, you might be wondering: is it actually cheaper to buy a car in Delaware? The answer is a resounding yes—and it’s one of the reasons buyers from Maryland, Pennsylvania, New Jersey, and beyond flock to dealerships like My Car in Wilmington. Here's why Delaware is one of the most affordable states to buy a car in 2025.

1. No State Sales Tax on Vehicle Purchases

Delaware is one of just a handful of states that doesn’t charge sales tax on car purchases. In nearby states, a 6%–7% sales tax could add over $1,000 to the cost of a $20,000 vehicle. In Delaware? Zero. That makes your dollar go further instantly.

(Reference: Delaware Division of Revenue – Sales Tax Policy)

2. Low Registration and Title Fees

In addition to no sales tax, Delaware offers some of the lowest registration and titling fees in the region. The process is also streamlined when purchasing through a licensed dealership, as most handle the paperwork in-house.

(Reference: Delaware DMV – Fees and Forms)

3. Save Even More with a Trade-In Tax Credit

If you’re trading in your current vehicle, Delaware allows the trade-in value to reduce the taxable amount of your purchase—even further lowering your costs. This tax advantage is especially useful for buyers upgrading from an older vehicle.

Learn how to maximize your trade-in in our blog on How to Trade In Your Car in Delaware

4. Why Out-of-State Buyers Choose My Car in Wilmington

Because of Delaware’s tax-free advantage, many customers from New Jersey, Maryland, and Pennsylvania drive to Wilmington to purchase their next vehicle. At MyCar, we help out-of-state buyers with the title transfer process and provide all necessary documents for your home state DMV. You’ll still walk away with major savings thanks to our transparent pricing and Delaware’s no-tax policy.

Final Thoughts: Delaware Delivers Real Savings

When you add it all up—no sales tax, low DMV fees, and trade-in incentives—buying your next car in Delaware just makes sense. Whether you’re a local resident or an out-of-state buyer looking to save, My Car in Wilmington is here to help you drive off in a quality vehicle without the extra costs.

Visit our wide selection of used vehicles today to explore top-value used cars, trucks, and SUVs with no tax surprises.

Helpful Resources & References

1. Delaware Division of Revenue – https://revenue.delaware.gov/frequently-asked-questions/

2. Delaware DMV Fees & Forms – https://www.dmv.de.gov/VehicleServices/titles/index.shtml

3. MyCar Blog – How to Trade In Your Car in Delaware