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Shopping for a used a car in the state of Maryland can be a bit challenging as the states used car market has some unique set of challenges that reflect the state's specific market conditions, regulatory environment, and geographical characteristics. From high insurance rates to strict emissions standards and a competitive used car market, there are several hurdles that can make the process more difficult.
While a lot of the state's primary and most challenging used car obstacles have to do with weather related condition issues Maryland has to do more with various economic factors. While urban areas in Maryland have a plethora of car dealerships, rural areas can be more challenging. The Maryland Department of Economic Development notes that over 30% of the state's population lives in rural or semi-rural areas. The lack of dealerships in these regions can reduce your options and drive-up prices. For example, a used car that might cost $10,000 in New York while the same year, make and model vehicle in near identical condition may cost $12,000. That is an approximate 20% increase in price all due to high demand and limited supply.
Further compounding this problem is the state's high car insurance and average repair costs. According to the Maryland Insurance Administration, the average annual cost of auto insurance in Maryland is $1,450 which is about 20% higher than the national average. This is due to several factors, including higher traffic density, the cost of repairs in urban areas, and the state's no-fault insurance system. For example, a compact sedan in Baltimore might have an insurance premium that is 30% higher than a similar vehicle in a less densely populated area.
Additionally, Maryland has an above average standard for emissions and safety, making it challenging to find a vehicle that meets all legal requirements at a favorable price. This means that many older or out-of-state vehicles may not be eligible for registration in Maryland without significant modifications. According to a study by the National Bureau of Economic Research, vehicles in states with strict emissions standards are 15% less likely to pass emissions tests on the first attempt.
Beyond the burden placed on the pre-owed vehicle's buyer in a form of stringent emissions standards and safety inspections Maryland also has higher than average vehicle registration fees. For instance, the total cost of registering and titling a new car in Maryland averages over $200, which is 50% higher than the average cost in other states. Additionally, Maryland has one of the highest sales tax rates in the country, which can significantly increase the cost of buying a new or used car. The state sales tax rate is 6%, and some local jurisdictions add an additional 1% to 3% in local sales tax. According to the Tax Foundation, the average sales tax rate in Maryland is 6.75%, which is higher than the national average of 5.65%. As you can imagine these fees can add up quickly, making the overall cost of car ownership more expensive in this state.
In addition, to increased cost and standards due to various regulations Maryland's used local car adverts and classifieds are full of vehicles with weather related damage such as excessive corrosion and storm damage. Keeping in mind the fact that Maryland is no stranger to severe weather, harsh winters and hot summers coupled with the fact that most vehicles spend majority of their life outside decreases the vehicle's normal lifespan.
Maryland preowned vehicles are also more likely to have been involved in some sort of previous collision as the states has an above average accident rate. In 2023 Maryland had average of 155,555 car accident each year, according to Trollinger Law. This means that the used car market in this state is full of vehicles with previous hidden collision damage. While not all cars involved in a previous collision are bad, it highly depends on the quality of the repair so, generally the best option is to avoid the guesswork and try to find a vehicle without any prior collision event history.
In order to ensure you make an informed and confident used car purchase, it is crucial to obtain a vehicle history report and conduct a pre-purchase inspection.
Here's why these steps are essential:
A vehicle history report in Maryland provides a comprehensive overview of a car's past, including important details that can significantly impact its value and reliability. The report may contain details not disclosed by the seller. Here are some key reasons why a vehicle history report is crucial:
All that is required to get a vehicle history report in Maryland is a Vehicle Identification Number or VIN for short. The VIN must be made of 17-characters and can be found on vehicle's body as well as interior dash panel and inside the driver's side door jamb. Once you have located your VIN simply enter it into any one of the search boxes located on the VinCheckUp.com website to get started.
A pre-purchase inspection by a certified mechanic is another critical step in the car-buying process. This process cannot be supplemented by just getting a vehicle history report and here's why:
Having the vehicle thoroughly inspected by a professional and researching the vehicle's past using a vehicle history report in Maryland service such as VinCheckUp.com can give you peace of mind and confidence in your purchase by helping you avoid unknowingly buying a vehicle with hidden issues.
Growing Population
with over 6 million people currently living in MD
5 million+
registered vehicle in MD
1 in 5 cars for sale in MD
has had a previous accident
2 million+
vehicles sold in MD annually
Conducting a simple VIN check before purchasing a vehicle is a crucial move that may help you avoid potential problems and future expenses. Taking this step may give you the opportunity to:
In today's market, transparency is everything. By checking the VIN, you equip yourself with the knowledge to make an informed choice, safeguarding your investment and ensuring you drive away with confidence.
