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Discussion Starter #1
My daughter, who lives in Houston totaled her car and is looking for a used replacement. She's certainly not in the marker for a BMW, but I have generic questions about buying a car in Texas as I live in California. As a bimmerfest regular I've comer to value the info in these boards.

She's being told there's something called a "document fee" of $200 and a "non-tax fee" of uncertain amount. In California the document fee is limited by law (I think to $30). Is $200 typical, and for what? I suspect it's a rip off. The "non-tax" fee sounds even more bogus. Can anyone shed any light on this?

She says the sales tax is 8.25% and that the licensor's plates aren't based on the car's value. True? Is there a separate property tax for cars in TX?

Any other state specific scams you ca tell me about?

(she isn't leasing, so the unusual leasing taxation issues in TX don't apply)
 

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Resident Curmudgeon
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Obviously you should google this. Quickly looking it seems your suspicions are correct. There are some government websites which clearly lay out taxes and fees
 

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Discussion Starter #3
I did google this and know about vehicle licensing fees in TX. I'm still curious about the "Non-tax" fee. Nothing on the web about that. Also, for the Texans out there, are dealer documentation fees negotiable? any other typical TX scams she and I should look out for?
 

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There's an outfit call Texascarsdirect that has been around for about 4 decades and enjoys a solid reputation for mostly high-line used car sales. They are known for good customer service and honest dealings.

Not a recommendation by me of them for a purchase, but maybe a quick phone call to them will get all of your questions honestly answered.
 

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Sales tax in Texas on vehicles is 6.25%. Sales tax if you go to Macy's to buy a new shirt is 8.25%.

Document fee is about $150 on average in Texas.
 

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I too googled it and found the tx car tax is 6.25...so her reporting 8.25 didnt make sense.

Dealers can fudge quotes and numbers, then 'catch' the errors in closing, so the total is the same, but they pocket an extra 2%. stuff like that.

Good luck, glad yours is calling Dad for help!

;)
 

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In the midst of this a former employer offered her a well maintained 2009 Escalade (I know, grotesque) for $5k. Being a person with champaign tastes of a beer budget that was her choice. So all for this is moot. Thanks for all your help!
 

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FIFO
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Leasing a car in Texas can be very onerous due to the manner in which taxes are applied to the entire amount of the deal, as if the buyer was purchasing. Those taxes get applied again if the buyer chooses to buy out the lease at term end. My lease deals in Texas were worse than my California deals by a long shot.

Good news is that BMW (and other manufacturers I assume) have other deals available in certain states that help to alleviate these downsides. BMW refers to it as Owner’s Choice and my understanding is that it works more like a buy/lease hybrid. Worth examining if the deal is taking place in Texas or a handful of other states where leasing is not generally a good consumer arrangement.


Sent from my iPad using Tapatalk
 

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In the midst of this a former employer offered her a well maintained 2009 Escalade (I know, grotesque) for $5k. Being a person with champaign tastes of a beer budget that was her choice. So all for this is moot. Thanks for all your help!
Big and safe.

:thumbup:
 

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///Monkeyazz Duck
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In the midst of this a former employer offered her a well maintained 2009 Escalade (I know, grotesque) for $5k.
Solid choice. As an added benefit, you now know what to get her for Christmas:

 
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