How Much are Used Car Sales Taxes in Oregon?

If you’re planning to shop for used cars in Oregon, you won't have to worry about paying sales tax on your purchase. Oregon is one of the five states that impose no sales taxes on motor vehicle purchases.
The Beaver State lets you off the hook for sales tax, but you still need to pay the fees involved with registering and titling the vehicle. Don’t forget to factor in the cost of Oregon license plates as well.

We're about to spill the beans on everything you need to know about buying a car from a private party in sales tax-free Oregon, and you don’t want to miss it.

Do You Pay Taxes When You Buy a Car From a Private Seller in Oregon?

When you buy a motor vehicle in Oregon, whether it’s from a private party or a car dealer, you don’t owe sales tax. Where other states rely on sales tax to fund infrastructure and programs, Oregon funds these from personal income tax and property tax. As a result, Oregon residents pay some of the highest income and property taxes in the country.
Like in other states, you’ll still have to pay registration, license, and vehicle title fees after buying a used car in Oregon.

Registration, Title, and License Fees in Oregon

Beyond the car’s purchase price, you have to factor in registration, title transfer, and license plates fees for your used car.

Oregon Registration Fees

Registration fees in Oregon depend on the vehicle’s weight, age, and combined MPG (miles per gallon) rating. The Oregon DMV suggests you use to find out how much you’ll pay for your vehicle’s registration, but generally, the amount ranges between $126 and $316.

To reduce the registration fee, the state of Oregon offers its residents the OReGO app, which allows enrollees to pay 1.9 cents for each mile driven in Oregon. If you have a used car and enroll in OReGO, your registration cost will be $86, while the rate is doubled if you own a new vehicle.

Before registering your car, you must first title it.

Oregon Title Fees

Similarly to registration fees, the title transfer fee depends on your vehicle’s combined MPG (miles per gallon) rating. The amount ranges from $101 to 192.

A salvage title will cost you $27.

If you’re 31–60 days late to transfer your title, you’ll be fined $25 on top of the transfer fee. If you fail to transfer your vehicle’s title for more than 60 days, there’s a $50 late fee.

Here’s what you’ll need to transfer a title in Oregon:

1. A completed title application form.
2. Original title or ownership document. If the title is lost, you need to provide an odometer disclosure and get a replacement title before you can transfer it for vehicle models year 2011 or newer. If your vehicle is model 2010 or older, complete a Replacement Title Application form.
3. If the original title was issued by another state, contact that state and get a replacement before applying for an Oregon title. You’ll need a VIN inspection ($7) which can be done during your appointment at DMV.
4. Original releases or bills of sale from any previous owners. Get the original lien release from previous security interest holders.
5. An odometer disclosure.
6. The title fee and any registration and plate fees.\

The Oregon Department of Motor Vehicles can help you calculate your title fees and prepare all the necessary documentation online for your passenger vehicle.

Oregon License Plate Fees

If you’re applying for a title transfer and license plates, you can use the ORDMV’s calculator to figure out how much you owe. Standard Oregon license plates cost $25.50. You’ll pay $6 to transfer Oregon plates to a new vehicle (and owe registration and title fees if the vehicle you’re transferring the plates to doesn’t belong to you).

You can also apply for custom and special plates, for which you pay additional fees. For more details, check out the official Oregon state guide to license plates.

The state of Oregon requires cars to have two license plates, one in the front and one in the rear. Some states require front license plates in addition to rear plates, while other states only require rear license plates. By Oregon law, it is forbidden to alter your plates or cover the numbers, letters, tags, or stickers with a frame.
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Oregon vs Neighboring States

If you’re buying a vehicle in Oregon, consider yourself lucky: the state levies no sales tax on used or new vehicle purchases. Be glad you don’t live in California, where the sales tax rate on car purchases is 7.2% (plus local taxes that vary depending on the county or city). California has the second-highest car sales tax after Kansas, with a whopping average of 7.5%.

If you take a look at the states bordering Oregon, you’ll see that the sales tax on vehicle purchases in Washington is 6.8%; in Nevada, it’s 6.9%; and in Idaho, it's 6%. These states also impose local (city, county, or both) taxes, resulting in a significantly higher total sales tax on motor vehicles.

If you want to buy a car in these states around Oregon—or anywhere else where sales taxes are levied—but you’re not sure how much tax you’ll pay, here’s our used car sales tax calculator to help you figure it out.

Is Buying from a Dealer Better?

Many people think buying from car dealers is a great way to avoid hassle and reduce fees. In fact, when you go to a dealer, you end up coughing up more cash.

When you buy a car from a dealer, you pay all the same fees that you’d pay if you bought it from a private seller. Car dealers have a way of rolling it all up in the fine print, but the charges are still there.

Perhaps more significantly, nine times out of ten, you’ll pay more for a used vehicle when you buy it from a dealer compared to buying the same vehicle from a private seller. Dealers are notorious for buying low and selling high to make a profit. Cut out the middleman and get the best price possible by transacting peer-to-peer on PrivateAuto.

Additionally, dealerships charge a "documentation fee" above and beyond all the other taxes and fees you have to pay. The average documentation fee in the state of Oregon is $60, with a state limit of $150.

Dealers bring convenience that private sellers typically don’t, but that is where PrivateAuto comes in. Our platform offers the same dealer-like experience while allowing you to buy or sell from regular people without paying hefty fees. Get lower prices when you shop used cars from private sellers right here on PrivateAuto.

Buy and Sell Used Cars on PrivateAuto

Conduct private car transactions easily and safely with PrivateAuto. Our innovative platform connects buyers and sellers and gives them all the tools to complete the deal, from in-app financing to secure messaging to integrated payments.

PrivateAuto allows you to negotiate the price you want, schedule the test drive meetup, and pay for the car—all within our app without compromising your personal information.

Whether you want to buy a vehicle or are trying to sell your used car for top dollar, PrivateAuto will help you get the deal done.

Get started with PrivateAuto today.

Here’s how you can sell your car in Oregon with a few simple steps:

1. Gather necessary documentation

You’ll need your vehicle title and other documentation. Have all the paperwork you need to sell your car privately, so you’re not scrambling to find it at the moment of completing a sale.

2. Register on PrivateAuto and get verified

To make PrivateAuto a safe place for everyone, we require email, phone, and driver’s license verification, including facial recognition.

3. List your car

Easily create your PrivateAuto listing with our step-by-step guide. Bonus: we include a window brochure with a QR code scannable to your listing.

4. Set your terms

It’s your car, so you drive the deal! You can control where, when, and who you meet. Decide whether to accept only ID-verified buyers, or buyers with verified funds. Don’t waste your time with buyers who aren’t verified according to your preferences.

5. Vet incoming offers

Manage offers in one place with the ability to accept, reject, or counter offers within the app. Listing on multiple sites? Filter all communications through PrivateAuto by sharing your listing link on all platforms. Your personal info is protected: no more giving out your phone number or email address. All communication happens in our app.

6. Choose a buyer

When you find an offer you like, accept it and proceed to the next step with that buyer.

7. Schedule a meeting

The buyer will want to look at your car. No more back-and-forth texts. You never have to give out your phone number. Rather, use our handy scheduling feature to schedule test drives and coordinate a time and place for meetings. (Oh, and you’ll be able to finalize the transaction instantly at the first meeting, FYI.)

8. E-sign documents

After the buyer is satisfied with your car and the two of you have agreed on a purchase price, you can easily e-sign the bill of sale within our app, from your phone. With our shared documents feature, you can easily locate the paperwork needed after the sale.

9. Get paid, instantly

Before PrivateAuto, receiving funds was the most stressful part of the entire selling process, especially for any used car sale over $5,000. There just aren’t a lot of good ways to move large amounts of money quickly and conveniently. Those days are over! Verify and receive funds instantaneously with PrivateAuto Pay, our innovative banking integration. Guaranteed funds for transactions large and small.

10. Transfer title

When you sell your vehicle, fill out the necessary information on the back of the Certificate of Title and sign in order to transfer ownership of the vehicle to the new owner.

Oregon Used Car Sales Tax FAQ

Do Oregon residents have to pay Washington sales tax on cars?

If you’re an Oregon resident and you buy a used car in Washington, you do not pay Washington sales tax. Sales tax in Washington does not apply to sales of motor vehicles to nonresidents that will use the vehicle out of state.

According to Washington law, a vehicle bought in Washington is exempt from sales tax in that state if it is immediately registered and licensed under the laws of the buyer’s state.

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