Best State To Buy An RV To Save Money 2026

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Last Updated on January 7, 2026 by Paul Clayton

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Best State to Buy an RV To Save Money

Key Takeaways

- Top Recommended States: Montana and Texas are highlighted as the best options, primarily due to favorable tax and registration laws.
- The “Price Justification” Rule: Traveling to another state to buy an RV is only worth the hassle for high-value purchases.
  - Small Savings: Saving 10% on a $4,000 RV ($400) may be offset by travel costs.
  - Large Savings: Saving 10% on a $300,000 luxury RV ($30,000) makes the trip highly profitable regardless of expenses.
- Registration vs. Purchase Location: It does not matter where you buy the RV; what matters is where you register it. You must typically register the vehicle in your state within 30 days, which triggers that state’s sales tax and fees.
- The Montana Tax Loophole: Montana is a premier choice due to its zero sales tax. It also allows out-of-state buyers to form an LLC to legally register their RV in that state, thereby avoiding sales tax even if they don’t live there.
- Residency Restrictions: While states such as Alaska, Delaware, New Hampshire, and Oregon do not have a sales tax, they generally require you to be a legal resident to register a vehicle in those states.
- Insurance Costs: Insurance rates vary wildly by location. Maine is cited as one of the most affordable states for RV insurance, while Michigan is among the most expensive (with premiums reaching up to $2,000).
- Longevity: A well-maintained RV can last 10 to 30 years or 200,000 to 300,000 miles, making initial tax savings a significant factor in long-term value.

When purchasing an RV, location can significantly impact the total cost. Through comparison and comprehensive analysis, this guide presents detailed information on the best state to buy an RV, providing potential buyers with valuable insights to make an informed decision.

Purchasing a used RV is the same as getting a new vehicle. You will need to negotiate with the dealer for a better deal, and once you purchase it, you will be subject to sales tax. This is common ground for any purchase; it is nothing special.

However, RVs are becoming pricier by the day, and outdoor enthusiasts are constantly looking for a good, affordable alternative that will save them a couple of dollars on other expenses.

Frequently Asked Questions

Why is Montana considered the best state for buying an RV?

Montana is the top choice because it has zero sales tax. Additionally, the state allows out-of-state buyers to register their RV under a Montana-based LLC. This “loophole” allows you to avoid your home state’s high sales tax, saving you tens of thousands of dollars on luxury or high-end models.

Is it worth traveling to another state to buy a cheaper used RV?

It depends on the RV’s price. The article suggests that if you are buying a $4,000 RV, a 10% savings ($400) might be offset by travel and registration costs. However, for an RV priced at $100,000 or more, the savings (often $10,000+) far outweigh the hassle and travel expenses.

If I buy an RV in a tax-free state, can I avoid paying tax in my home state?

Generally, no. Most states require you to register your RV in your home state within 30 days of purchase. When you register, you are typically required to pay local sales tax and registration fees and meet insurance requirements, regardless of where the purchase took place.

Which states have the most affordable insurance for RVs?

Insurance rates vary significantly by state due to different regulations. According to the article, Maine is currently the least expensive state for RV insurance, while Michigan is among the priciest, with premiums sometimes reaching $2,000.

Can I register my RV in a state like Oregon or Alaska if I don’t live there?

While states like Oregon, Alaska, Delaware, and New Hampshire have no general sales tax, they usually require you to be a legal resident to register a vehicle there. Unlike Montana, these states often view out-of-state registration attempts as tax evasion and do not permit outsiders to use a false state address.

State	Sales Tax	Annual Registration Fee	Personal Property Tax	Key Advantage
Montana	0%	$217 (Age-based)	$0	Permanent plates for RVs 11+ years old.
South Dakota	4% (Excise)	$150 – $400 (Weight-based)	$0	Most popular for “full-timers” (easy domicile).
Texas	6.25%	$50.75 – $932 (Weight-based)	$0	Robust RV support network and community.
Florida	6%	$14.50 – $47.50	$0	Very low annual fees and no income tax.
Oregon	0%	$126 – $300 (2-year cycle)	$0	Zero sales tax, but requires residency.

Now imagine you could do that simply by driving a few hours to another state where you can find the lowest RV prices without compromising quality. Depending on where you live, the probabilities of this possibility differ in some factors.

In this article, we will discuss which state is the best to purchase an RV and the differences between states when buying an RV. Keep on reading.

To quickly answer the question of the best state to buy an RV, I would look at Montana and Texas, with Montana being my first choice. The reasons are sales and registration tax, which we’ll discuss below.

What Is The Best State to Buy an RV?

With thorough market research, up-to-date trend knowledge, and effective price comparisons, it is possible to secure a good deal.

Whether you are a US citizen is not relevant in this context. After all, our goal is to determine whether traveling to another city to secure a better deal on a purchase is feasible.

As a US citizen, this might not be your greatest venture if you buy a very affordable used RV. However, if you are considering an RV priced at 100k or more, driving to another city could be one of the best ways to save.

For non-US citizens, however, where is the best place to buy an RV for a better and cheaper price? After all, you will spend a few months here traveling and don’t want to invest much money. That’s why sometimes traveling to different cities could be the right decision for you.

Now, let’s think about it: is it worth the hassle?

The answer to this question depends on several factors that we discuss later in this article. But the first step in asking yourself this question is to identify what you want.

Are you fully embarking on an RV lifestyle? Is it doable for you to move to another state just because of the tax benefits offered in that one? Are the travel costs between your home city and the hosting city high? All these questions will alter your decision-making. This is, of course, aside from some important differences.

One thing to keep in mind is that the price deal should justify the hassle you will go through. If it does not justify it, it is not worth it. If we can say, you can save 10% simply by purchasing a used RV in a different state.

You can save $400 by buying a $4k RV. 400 dollars is good money, but once travel costs and other expenses start to add up, it’s not enough. However, if you were to buy a $300k luxury RV, then we are talking about $30k savings. This is good money, regardless of travel costs.

What factors can differentiate the sale from one state to another?

When it comes to buying an RV, there are several differences that you should keep in mind:

sales tax
Registration fees
Insurance regulations

How does this whole process of buying an RV take place?

Whether you buy the RV in your state or not doesn’t matter. Why? You must register the RV purchase in your state within a month.

This also includes registration fees, insurance requirements, and sales taxes. Registration fees can be much lower in other states, prompting you to consider whether you want to move there. Again, this depends on your objectives, as noted above.

Registration Fees

The RV you purchased must be registered and licensed. This is one of the key steps when buying a new vehicle. That vehicle will carry that license plate, which gives some identity.

While some states make the entire registration process hassle-free, others have registration requirements that must be followed and may incur additional costs.

We have two types of registration fees:

Direct Registration Fees:

You will need a valid U.S. address and a driver’s license to pay the direct registration fees. Fees are typically based on your RV’s value. While some states will calculate the value to set a fair price, others won’t and will give you a flat valuation fee.

However, you can check the vehicle registration fees online or via a legally registered document.

Indirect registration fees.

Your RV may need to undergo inspections to qualify for the indirect registration fees. These inspections could cover the safety of your RV, its emissions, and other areas. This might not happen in every state, but depending on which state you are in, you can be faced with this. It can also be either regular or simply for a one-time procedure.

The Laws about RV Sales Tax

After you have paid your registration fees, you will need to account for sales tax. The sales tax depends on which state you have licensed your RV, not from where you bought it, but from where you registered it.

It can be either your home state or a state you recently moved to. Many RV owners make false statements about their registration addresses, writing down different addresses from their actual ones. While this is possible, some states allow people to register their RVs under state regulations, while others don’t.

For example, Montana State permits out-of-state RV owners to register their RVs because they do not incur sales tax. This is a great deal for some RV owners, as it will help them avoid paying sales tax.

Click here to read where I can park my RV for free: ten options

Nevertheless, other states will not allow such a procedure even though they don’t have a general sales tax. For them, it is state evasion, and it is not permissible to allow outsiders to register their RVs under a false state address.

These states are New Hampshire, Oregon, Alaska, and Delaware. To register your RV in the states mentioned, you must be legally residing there.

Other states, such as California, Minnesota, Massachusetts, and Iowa, impose a sales tax on RVs purchased in another state and entering their state. These laws enable states to collect tax revenue and RV registration fees.

Now that general sales tax exists in 45 states out of 50, you can’t avoid sales tax in any way. You can’t simply avoid paying taxes because you will be followed by Tax officials anywhere you go, especially now that they have your registration documents.

The only way is to transfer to another state with a lower sales tax than your current state. However, you can only decide if you know you won’t incur significant moving costs.

Insurance-wise:

The insurance varies by state. There are three kinds of obligatory insurance you should keep in mind:

Bodily injury liability per accident; in this case, the insurance will go for all the people who were injured during the accident
Property damage liability: In this case, the insurance will be paid for the property that was damaged during the accident
Bodily injury liability per person: In this case, the insurance will be paid for the person injured during an accident

Michigan is among the priciest states for RV insurance, with premiums reaching up to $2k, while Maine is the least expensive.

How many years will an RV last?

The lifespan of an RV depends on several factors, most notably the level of care and maintenance it receives. A well-maintained RV lasts 10 to 30 years or runs for approximately 200,000 to 300,000 miles. The answer to the question, “How many years will an RV last?” is unclear.

Various factors, such as exposure to harsh weather, infrequent use, and poor maintenance, can significantly reduce an RV’s service life. To maximize your RV’s lifespan, it’s vital to adhere to regular service schedules, keep it clean, and properly store it when not in use. This way, you can enjoy your RV for many years or miles.

Final Thoughts

Several states offer notable advantages for identifying the best place to buy an RV and save money. Montana is a state potential RV buyers should consider because it has no sales tax, which provides consumers with notable savings. Texas, for instance, is an attractive choice for RV buyers due to its lucrative savings opportunities and a vast selection of RVs.

Florida’s competitive RV market also fosters savings, offering a broad range of options to suit different tastes and budgets. Arizona adds to the list with its savings-rich RV parks. Oregon is a standout for its no-sales-tax policy and a competitive market that promotes affordability.

Nevada and Washington are attractive options due to their lack of an income tax, which can help reduce long-term costs. Lastly, California stands out with a diverse and competitive RV market. Each state offers unique savings opportunities, making it a top consideration for individuals seeking the best state to buy an RV.

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