Buying a car interstate

Are you buying a car interstate? Read our guide on its pros and cons, costs, registration, getting it home and more.

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Key takeaways

  • You can purchase a vehicle from another state, but you will need to transfer the registration to your state.
  • Looking at cars interstate does give you more to choose from, but is logistically harder with inspections and collection.
  • Different states have different rules around registration and insurance, so be sure you don't get caught out.

Can I buy a car from interstate?

Yes, you can purchase a vehicle from a different state. It can be a little more complicated than buying in the same state though. You'll need to arrange for car transportation and also have the registration transferred into your name and state.

Pros and cons of buying a car interstate

Pros

  • More vehicle choice. You'll have more options if you expand your search to include cars located in different states.
  • Potentially cheaper vehicles. Car prices can vary between states, so you may be able to find a better deal by buying interstate.

Cons

  • Having to arrange an inspection. You should inspect a car in person before you buy, which can be difficult if it's in another state. Unless of course live fairly near the state borders or you're travelling there anyway.
  • Cost of travel and transport. Never mind the cost of travelling to inspect the vehicle you might decide not to buy, you'll need to pay to get the car home. Whether you drive it home or have it delivered by a car delivery company will determine the cost, as well as the distance.

Other costs to consider when buying a car from another state

Aside from the purchase price of the car and the cost of transporting the vehicle, there are a few extra costs you need to consider when buying a vehicle interstate:

  • Transfer of registration: When you buy a car you need to pay to transfer the vehicle’s registration into your name. If the vehicle is first registered in your name in another state before you drive it home, you’ll also need to cover the cost of moving the registration over to your state of residence.
  • Insurance: As part of the cost of registering your vehicle, you’ll also need to pay for compulsory third party (CTP) insurance. This will most likely set you back a few hundred dollars or more, but it’s automatically included in the cost of registration everywhere except NSW, the ACT and Queensland.
  • Roadworthy and safety certificates: You’ll also need to pay for the necessary roadworthy and safety certificates (pink slips) to register the car in your state. Costs for these important certifications vary. For example, in NSW, a Vehicle Safety Check (pink slip) for a light vehicle costs $49 and a Safety and Identity Check (formerly a blue slip) costs $78. Check with the roads and transport department in your state to find out how much you’ll need to pay.

Where can I find a vehicle to buy interstate?

There are a few options available when buying a car interstate:

  • Buying from a dealer: If you buy a new car from an interstate dealer, it should be protected by an extensive warranty. The good news is that used-car dealers are also required by law to provide a 3-month warranty for used cars with less than 160,000km on the clock, are under 10 years old and do not exceed the luxury car tax threshold. This warranty expires after 3 months or 5,000km. Most dealers will happily record a walk-around video for you to look at the car in more detail before you commit to travelling. They may even work with a delivery company.
  • Buying at an auction: The same warranty applies when you buy a vehicle from a licensed chattel auctioneer. If you buy a vehicle at auction, the auctioneer must inform you if the vehicle does not come with a statutory warranty. If you decide to buy a car without this protection, make sure you’re aware that you will have to cover the cost of any defects.
  • Buying from a private seller: If you buy from a private seller, protections such as cooling-off periods and statutory warranties do not apply. With this in mind, it’s essential that you thoroughly research and inspect the car before you buy.

Before you buy: Inspecting the car

Although the Internet is invaluable when it comes to researching cars for sale, it's not going to help you truly assess the condition and feel of the cars.

Particularly when you’re buying a used car interstate, it’s highly recommended you make sure the vehicle gets a proper inspection before you buy. There are some options for this:

  • You view the vehicle yourself. For many of us, physically viewing and test-driving a car before we buy it is an absolute must. If you live on the border of NSW and QLD, and you've found a car a few towns over, this isn't really a problem. But if you live in Perth and you've found a car in Melbourne, that can be an expensive and time-consuming exercise. However, if the alternative is buying without inspecting, paying for flights and accommodation (if necessary) to check out the car in person could end up saving you thousands of dollars in the long run.
  • You rely on family or friends that you trust. If you've found a car for sale which isn't near you, but is near someone you know well, getting them to look at it for you instead of no one inspecting it at all is a great solution. Even better if you know someone nearby who knows about cars!
  • Pre-purchase vehicle inspection service. Motoring organisations such as the National Roads and Motorists' Association (NRMA) and the Royal Automobile Clubs of Victoria and of Queensland (RACV and RACQ) all offer independent vehicle inspection services to help you determine whether the car is safe to drive and in good condition. Alternatively, you may want to find a trusted local mechanic to give the car a once-over before you part with any cash.
Rebecca Pike's headshot
Our expert says: Don't skip the inspection

"You might be tempted to buy a car interstate without the hassle of inspecting it in person. Perhaps the advertisement and the seller have been very convincing and you're pretty sure you can trust them. The thing is, even if you actually knew the seller, there's often no way of knowing for sure what the condition is and whether it's a fair price.

If the car you buy is not what you expected, you could end up significantly out of pocket. It is always worth getting a mechanic to check over the car, but especially if you're buying one interstate."

Rebecca Pike's headshot
Editor, Money

Before you buy: Vehicle background checks

When buying a used car from interstate, you should always conduct a full check of the vehicle’s history – just as you would when buying from a seller down the road. This allows you to determine the following:

  • Whether the car has been written off or suffered previous damage
  • Whether the car is listed as stolen
  • Whether the car is under finance or is leased (if you buy a car from a licensed motor dealer or auctioneer, they must guarantee clear title)
  • The build and compliance dates of the vehicle
  • The vehicle’s sales history
  • The consistency and accuracy of the odometer reading

There are specialist companies that can conduct a full car history check for you, and many of them offer discounted prices to members of state and territory motorist organisations.

Alternatively, you can conduct all the necessary checks yourself through databases like the Personal Property Securities Register (PPSR) and through the roads and transport department in the relevant state or territory.

What do I do about registration when I buy a car interstate?

If the car is registered, the seller will typically not be able to transfer the Australian Vehicle Registration and Car Insurance (rego) for their home state over to you, unless you can provide a garage address in that state.

This means the seller will usually cancel their rego once they sell the car. Assuming you want to drive the car home, here are your options:

Option 1: You can apply for an unregistered vehicle permit. This permit is only for a limited period, but it allows you to move an unregistered vehicle by road from one place to another, provided the vehicle is in a safe condition.

Option 2: In some cases, the seller might agree to let the rego remain in place on the vehicle for a limited period. You should provide a statutory declaration accepting liability for any fines or damage. Just remember that you’ll be required to transfer the interstate registration into your name within 14 days.

The good news is that if you buy a car with a period of the interstate registration still remaining, you can apply to the roads and transport department in that state or territory to have the unused registration costs refunded.

Getting your new car home

The final factor you need to consider is how you will get your new vehicle home. There are a few options available:

  • Drive it back yourself. If you don’t mind a long road trip, you can fly interstate to pick the car up and then drive it home yourself. Just remember to factor the cost of a flight, fuel and accommodation into your budget.
  • Get someone else to drive it back for you. Don’t have the time to pick the car up yourself? Ask a friend or relative to do the job for you – and cover all their expenses, of course.
  • Get it shipped. There are numerous carriers that specialise in shipping cars interstate. Look around for a reputable company by checking online reviews and asking family and friends for their recommendations. Also make sure to compare quotes from multiple companies before choosing one.
  • Get the seller to drop it off. In some cases, it may be possible to negotiate for the seller to deliver the car to your door – if you’re willing to pay an extra price of course. You’ll need to cover the cost of fuel, the seller’s transport home and also compensate them for their time. This may not be possible in many situations, but it’s worth considering if picking the car up yourself isn’t an option, and if you think it might be cheaper than paying to have it transported commercially.

Can I get finance for a car I'm buying interstate?

Yes, whether you're buying a car in the same state or in another state, you can use a car loan to buy the car. Many loans will allow you to purchase a used car, but they may have conditions on the age, make and model.

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Frequently asked questions about purchasing a car interstate

Sources

Rebecca Pike's headshot
Written by

Editor, Money

Rebecca Pike is Finder’s money editor, with over 7 years of experience in mortgages and personal finance. A frequent TV and radio commentator, she frequently appears on Sunrise and 7News, Today and 9News, as well as Sky News, Channel 10 and across radio and print. Rebecca previously served as Editor of Mortgage Professional Australia. She has a Master’s degree in Journalism as well as ASIC-recognised certifications in Tier 1 Generic Knowledge and Tier 2 General Advice Deposit Products, which comply with ASIC guidelines. See full bio

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Rebecca has written 267 Finder guides across topics including:
  • Home loans
  • Personal Loans
  • Car Loans
  • Cost of living
  • Budgeting

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6 Responses

    Default Gravatar
    MayFebruary 1, 2019

    If I buy a car from Victoria privately, is the owner liable to provide a Road Worthy Certificate as well?

      James Martin's headshotFinder
      JamesApril 11, 2023Finder

      Hi May,

      According to VicRoads, a Certificate of Roadworthiness is a requirement whenever a vehicle is sold. You can read more about the certificate on the government website.

      Default GravatarFinder
      ValFebruary 6, 2019Finder

      Hi May,

      Thank you for leaving a question! Yes, you’ll also need to cover the cost of getting the necessary roadworthy and safety certificates (pink slips) to register the car in your state. Costs may vary as well depending on state, we may suggest you to check with the roads and transport department in your state to find out how much you’ll need to pay.

      Cheers,
      Val

    Default Gravatar
    JasonMay 12, 2018

    I’m looking to buy a car interstate how can I make sure I receive the car how do I pay and give him the funds once I know it’s been put on the freight?

      James Martin's headshotFinder
      JamesApril 11, 2023Finder

      Hi Jason,

      Thank you for reaching out. Generally speaking, it’s a good idea to do a lot of research on the seller and to review any payment options with care. However, it wouldn’t be our place to comment on the specifics of payment timings or methods.

      Best wishes,

      James

      Default GravatarFinder
      JhezelynMay 13, 2018Finder

      Hello Jason,

      Thank you for your comment.

      The guide above could be very helpful for you since you can get some tips on how to buy a car interstate. For this process, you can probably hire someone or have a team/company to check all the stuff needed to be checked when buying a car. For the payment, there are many payment options you may opt to, like bank to bank or in a form of a check. Make sure you ask all the necessary documentation and verify that all information are correct. I hope this helps.

      Regards,
      Jhezelyn

      Regards,
      Jhezelyn

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