Tips on Buying a Car from a Different Province

Tips on Buying a Car from a Different Province

BY Justin Pritchard |

For various reasons, you might want to buy a new or used vehicle in a province that’s not the province you live in. Maybe the price was too good to pass up, or you found the exact or rare combination of things you wanted in your car. Buying a car out of province might cause added stress, require additional paperwork, or result in some added questions or concerns.

Luckily, you’re totally allowed to buy a vehicle in any province you like, even if you don’t live there. Buying a car in your own province is usually the way to go, but if that’s not a possibility for the car you’re after or the situation you’re in, read on for some tips we have on buying a car from another province.

Local Requirements

When buying a new car, you’ll need to plate it, register it, and pay the sales taxes in the province where you live, regardless of the province where you bought the car. In this sense, the car is connected to you and to your province. Typically, you’ll need to have the car insured before much (or any) of the above can happen.

If you have multiple residences or regularly split your time between multiple provinces, you’ll probably need to register, plate, and pay taxes on the vehicle, based on the province listed on your driver’s licence.

Find the Right Dealer

Some dealerships will track down and obtain a new vehicle for you, even if it’s located in a different province. Other dealerships will not.

Some dealers trade vehicles amongst themselves, even between provinces, and others don’t. This varies widely by make, model, dealership, and the provinces in question. If you’re considering buying from another province, be sure to assess how it will work in your specific situation and locale.

Here’s one real-life example, highlighting one specific situation.

I recently decided to buy a new Volkswagen, but I wanted a very specifically equipped model. No unit with these options was, at the time, available at any dealership in Ontario, though numerous dealers in other provinces had exactly what I was looking for in stock.

In my situation, the local dealership in Sudbury (as well as several other Ontario dealerships I contacted), advised that they could not obtain the specific vehicle I was after in a timely fashion, even though this vehicle was physically available in Quebec, several hundred kilometres away.

I didn’t care where my new vehicle came from, but the Ontario dealers I was in contact with did care. This is one example of why a shopper may be tempted to go out of province to buy.

In my specific case, I special-ordered my vehicle from the local dealership, and waited seven weeks for it to arrive. The other option, which would have seen my new VW in the driveway much sooner, was to spend time, money, and energy driving to Quebec, buying there, and bringing the vehicle home somehow.

Note that some Canadian dealerships are happy to serve out-of-province shoppers and even have a reputation for being specialists in doing so. Other dealers, not so much. Translation? If you think you’ll be buying from another province, be sure to do your homework first. Call a dealership and chat to a salesperson. They do, after all, like selling cars.

Get Ready to Provide Additional Information

If you buy a new vehicle from a province you don’t live in, you’ll likely have to provide some additional information as part of the process of registering, plating, and paying the sales tax in your province.

This varies from province to province, but be prepared to show proof of insurance, an out-of-province ownership or title, a complete bill of sale, and more.

If the vehicle is from another country, or was (or remains) a commercial vehicle, additional information (including a certification of the vehicle’s weight versus manufacturer specification) may also be required.

There are no standard rules or regulations across all provinces, so be sure to check with your province’s transportation authority for the full scoop.

In-Transit Permit / Check Your Insurance

If you’re buying a new car in one province and driving it home to another, you may receive an in-transit permit, which allows you to take the vehicle directly back to your home province for registration and sales tax payment.

You’ll need to have your insurance sorted out before obtaining this permit. Since you can’t insure something you don’t own, you’ll also need to have completed the sale of the vehicle before getting the insurance coverage. Start by buying the vehicle, then obtain the insurance for it, and finally, get yourself that in-transit permit, if applicable.

Used Cars

If you buy a used car from another province, there may be further work required including the need to have the vehicle inspected and certified as per the safety standards in your own province, and more.

Added Costs

If you buy a vehicle from another province, you may incur higher costs for its purchase. For instance, if a local dealer obtains a vehicle on your behalf from an out-of-province dealer, they’ll incur vehicle shipping costs, which will likely be passed on to you.

If you buy a car in one province but live in another, you’ll also have to transfer the title and registration over to the province you live in. Usually, this has to happen within one to four weeks of your purchase (check the specifics for your province), and may involve additional fees and costs.

Sales Tax

If buying an out-of-province car, you’ll also have to pay the sales tax relative to the province you live in. Some dealers that specialize in out-of-province sales will handle this for you, but others will not.

One new car sales representative in Ontario told us, “We don’t see a lot of out-of-province purchases, though they do happen. It can be a hassle, however. If you buy a car from me but live in another province, you’d have to pay the Ontario sales tax here, and then go through a process to get that refunded once you return home, and pay the sales tax there instead.”

Consider the Pros and Cons

There are numerous reasons a shopper may want or need to buy a vehicle from a different province than the one they live in. With the right dealership involved and a little extra legwork on your part to re-register the vehicle and refund or repay the sales tax in the appropriate locale, the extra hassle should be manageable.

In other cases, buying out of province may not prove worth the extra effort, time, energy, and costs.

Maybe the vehicle you’re looking for is available for $2,200 cheaper just one province away, but the cost of travel and lodging to pick it up and get it home will eat up that savings quickly.

As this can be a time-consuming process, shoppers who may find the need to buy out of province are typically best to make early contact with the dealer of their choice and ask lots of questions as early as possible.

READ MORE ARTICLES BY Justin Pritchard is an automotive journalist, consultant, TV presenter, and photographer based in Sudbury, Ontario.

Driving on the Shoulder

No Driving on Shoulder SignOur highways are not for the exclusive use of motor vehicles. Bicycles, pedestrians, equestrians and others may be expected to use their fair share of the highway as well. In fact, in some ways the shoulder of the road could be considered to be their domain and not that of the driver.

The shoulder of the highway is the area to the right of the solid white line at the right side of the roadway, or the part of the highway to the right of the pavement if that solid white line is not present. The roadway is between the center of the highway and the shoulder.

Drivers must drive on the roadway, not the shoulder. Passing on the right off of the roadway and driving on the shoulder to allow others to pass are common violations of this rule.

Many drivers regularly fail to confine the path of their vehicle to the roadway, particularly in curves, putting both themselves and those on the shoulder at risk. This can be easy to identify when the inside of a corner is kept free of gravel or the shoulder line is worn away in comparison to nearby straight roadway.

Bicycle riders are required to ride as near as is practical to the right side of the highway, but not on the sidewalk or off of the pavement. This most often means that cyclists will be found on the paved shoulder of the road.

Pedestrians must not walk on the roadway if there is a sidewalk present. If they choose not to use the sidewalk when only one side of the road has one, walking on the shoulder opposite is acceptable.

Horses and horse drawn vehicles are required to use the roadway just like the drivers of cars and trucks. Riders may choose to use the shoulder to yield the right of way to faster motor vehicles in the same fashion that a slow driver would.

Just as a child learns to colour properly by staying within the lines, so must the driver. Staying between the lines is a required skill that will serve you and other highway users well during your driving career. It will also save wear and tear on the lines themselves, leaving them easy to see as a guide for others.

Reference Links:

Higher prices for gas, auto insurance and mortgage payments fuelled inflation in Canada

The excerpted article was written by Wolf Depner | Victoria News

Higher gasoline prices, car insurance payments and mortgage rates were the biggest drivers of inflation during the last 12 months.

According to Statistics Canada, national inflation rose 2.4 per cent in January 2020 compared to January 2019. Provincially, British Columbians saw inflation rise 2.3 per cent during the same period, as one of four provinces with inflation rates below the national rate. Alberta and Prince Edward Island with spikes of three per cent each led the provinces with rates above the national figure.

Higher gasoline prices were the biggest contributor to inflation, as gas prices were 11.2 per cent higher in January 2020 than in January 2019, when the world experienced excessive supply. Geo-strategic events, however, pushed oil prices up. This development is far from abstract for local drivers, as Greater Victoria recorded the highest gas prices in all of Canada Tuesday.

Insurance premiums for passenger vehicles rose 8.4 per cent in January 2020 compared to the same period last year, while mortgage payments rose 5.3 per cent. Fresh vegetables, a traditional source of inflation during the winter months, rose five per cent in price, largely because of severe weather in the United States impacting crops.

On the other end of the spectrum, phone services, traveller accommodation, and tutition fees dropped by 7.1, 4.8 and 3.6 per cent per cent.

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Driving has gotten more expensive in Alberta: Insurance, fuel & fee increases

Matthew Black CTV News Edmonton

EDMONTON — Albertans are paying more to drive their vehicles compared to a year ago, including increases in the cost of insurance, fuel, and licensing and registration fees, according to newly released StatsCan numbers.

StatsCan says the cost of passenger vehicle insurance premiums rose by 7.6 per cent last month, the largest monthly increase since November 2002.

The numbers also show premiums in Alberta have increased by 17.8 per cent on a year-over-year basis.
“A significant share of private passenger vehicle insurers in this province submitted applications to increase rates following the removal of a rate cap,” reads the report.

Fuel prices rose in Alberta as well last month, up 0.9 per cent from December 2019, according to the report. Alberta gas prices were up 6.6 per cent over the same month last year.
The federal carbon tax was introduced in Alberta on Jan. 1, 2020.The report also details a 14.4 per cent increase in other vehicle operating expenses in Alberta compared to a year ago.

“This was due, in part, to increases in service fees, including fees for drivers’ licences and passenger vehicle registration, introduced in the 2019-2020 provincial budget,” reads the report.
The 2019 Alberta budget raised motor vehicle registration fees by $9.20, up to $93.65.

In reponse, the province attributed rising gas prices as likely being due to the Jan. 1 roll out of the federal carbon tax, a levy Alberta continues to fight in court.
“We are ensuring that key services Albertans need are properly funded and more accurately reflect the costs of delivering them, including achieving modernizations such as online service delivery, which Albertans are asking for,” a government spokesperson wrote in an email to CTV News.

In late August, the province scrapped a five per cent cap on auto insurance rate increases implemented by the prior New Democrat government.
In December, Finance Minister Travis Toews introduced a new committee to advise on potential reforms to the province’s insurance system.
“This issue is such a significant issue that touches every Albertan,” Toews said. “To assemble a very credible, experienced committee like this, I believe we will be best-informed to make decisions around automobile insurance.”

Today, the Opposition NDP called the increases “very concerning” and called on the government to immediately reinstate the five per cent cap.
“In my office we have heard many, many stories from my constituents and Albertans … worried about people who are unable to afford these increased costs,” said New Democrat MLA Jon Carson.

The data was included in StatsCan’s monthly Consumer Price Index report which tracks changes in the average price for commonly purchased goods like groceries and haircuts.
Across Canada, the cost of gasoline and insurance premiums combined to result in a nearly 20 per cent increase in the CPI.

New ICBC regime increases care costs, but cuts drivers’ ability to sue for pain and suffering

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