The Most Expensive U.S. States to Own a Car
America runs on wheels. Much of the country’s infrastructure prioritizes vehicle use, making driving essential for accessing economic, social, and recreational opportunities nationwide. The vast majority of Americans consider car ownership a necessity for daily life. According to the Pew Research Center, 78% of workers aged 16 and older drive a vehicle to get to work, and only 1 in 10 Americans rarely or never drive a car.
While cars provide access, they also impose a financial burden that continues to deepen. As of 2025, the average cost of a new car has surpassed $50,000, and since January 2020, the cost of owning a car has risen a tire-screeching 40.59%. As with most car cost statistics, these figures vary substantially across states.
To help determine which states are the most and least expensive for car ownership, the team at Grease Monkey has conducted an original, data-driven study. This research includes datasets on average car payments, insurance rates, used-car prices, and more, providing a clear view of car ownership costs by region. You can read the full methodology below.
What Is the Most Expensive State to Own a Car
According to our multi-factor index, California ranks as the most expensive state to own a car. Why is car ownership so expensive in California? Several key factors contribute to the high costs of car ownership in California, particularly maintenance costs. The state has the highest car repair premiums, which are 12.17% above the national average. Additionally, California has the second-highest mechanic labor rates and the third-highest costs associated with road conditions.
Other factors that increase car ownership costs in California include high gas prices, substantial average monthly car payments, and significant registration fees based on vehicle value. The sales tax on vehicle purchases also adds to the overall cost. California is also among the ten states with the highest car insurance rates, further solidifying its reputation as the most expensive state for vehicle ownership.
What Is the Least Expensive State to Own a Car?
Vermont is the least expensive state to own a vehicle, scoring nearly 50 points lower than California. The Green Mountain State offers the lowest used-car prices, the third-lowest car insurance rates, the third-lowest car-repair premiums, and relatively low registration fees and sales taxes. Additionally, there are no vehicle property taxes, which further reduces annual car ownership costs. A Kelley Blue Book study found that Vermont scored 81.3 out of 100 for car-ownership affordability, the best in the nation and nearly eight points higher than the second-most affordable state.
Why It Matters to Grease Monkey
As the largest independent franchiser of automotive oil change centers in the nation, Grease Monkey has been dedicated to providing fast, affordable, and high-quality vehicle maintenance services since 1978. As we continue to expand, we recognize our responsibility to understand and provide value to our community. By providing original research on state-level costs of car ownership, we hope to spark discussion, raise awareness, and help readers make more informed transportation decisions.
Fortunately, regardless of where you live in the United States, there are ways to reduce costs associated with car ownership. Regular oil changes are one of the most essential maintenance tasks for protecting a vehicle’s longevity and performance; they not only keep the engine healthy but can also improve fuel economy. If there is a Grease Monkey location near you, be sure to check out our easily accessible coupons. Here are some additional resources from trusted sources on how to reduce car costs:
- 10 Ways to Save on Auto Expenses
- How to Reduce Your Car Expenses
- Nine Ways to Lower Your Auto Insurance Costs
Our Methodology
Our goal with this multifaceted analysis was to develop a comprehensive guide to the most and least expensive states for car ownership, at both the macro and micro levels. By including 15 datasets spanning the acquisition and proper documentation of a car through its operation and maintenance, we aim to enable readers to quickly reference state-level car costs and to examine specific datasets that may be more relevant to their needs.
In our study, states earned points based on the cost of car ownership, with higher scores indicating higher costs. For each category, the state identified as the most expensive received the maximum number of points, while other states were assigned adjusted points in relation to the most expensive state. For the car repair premiums category, states with premiums below the national average received a proportional point deduction.
Here is the car cost data we included and the respective points:
- Average Monthly Car Paymenti (30 Points)
- Average Monthly Cost of Minimum Insurance Coverageii (25 Points)
- Auto Insurance Expenditures as Percentage of Median Household Incomeiii (20 Points)
- Regular Gas Price Averagesiv (15 Points)
- New Car Loan Rates (APR)v (10 Points)
- Used Car Loan Rates (APR)5 (10 Points)
- Average Used Car Pricevi (15 Points)
- Average Mechanic Labor Ratevii (10 Points)
- Car Repair Premiums (% Above/Below Average)viii (10 Points)
- Road Condition-Related Costs by Stateix (10 Points)
- Average Miles Driven per Year per Capitax (5 Points)
- Sales Tax on $25,000 Car9 (10 Points)
- Average Registration Feesxi (5 Points)
- Average Documentation Fees11 (5 Points)
- Vehicle Property Taxesxii (5 Points)
U.S. States Ranked by Vehicle Ownership Expenses
| # | State | Avg. Monthly Car Payment | Avg. Monthly Auto Insurance Payment | Auto Insurance % of Income | gas Prices | New Car Rates | Used Car Rates | Avg. Used Car Price by State | Avg. Hourly Mechanic Labor Rate | Car Repair Premiums | Road Condition-Related Costs | Avg. Annual Miles Driven per Capita | Sales Tax on $25K Car | Avg. Registration Fees | Avg. Doc. Fees | Vehicle Property Taxes | Total |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 | California | $687 | $76 | 1.28% | $4.24 | 6.01% | 10.06% | $35,759 | $271.10 | 12.17% | $799 | 8,008 | $2,206 | $524 | $85 | $187 | 133.80 |
| 2 | Florida | $672 | $88 | 2.46% | $2.75 | 6.93% | 10.40% | $34,519 | $253.55 | 8.13% | $425 | 11,105 | $1,75 | $297 | $999 | $0 | 131.80 |
| 3 | Nevasda | $695 | $90 | 1.97% | $3.37 | 5.24% | 11.28% | $34,859 | $259.68 | 6.11% | $558 | 8,947 | $2,057 | $49 | $499 | $504 | 130.79 |
| 4 | Louisisana | $726 | $91 | 2.62% | $2.46 | 6.75% | 11.00% | $35,893 | $239.32 | -5.75% | $667 | 11,929 | $2,388 | $64 | $425 | $29 | 130.48 |
| 5 | New York | $616 | $148 | 2.05% | $3.02 | 5.77% | 9.72% | $33,246 | $251.36 | -4.27% | $625 | 5,944 | $2,131 | $146 | $175 | $0 | 127.88 |
| 6 | Arizona | $682 | $71 | 1.51% | $3.00 | 6.65% | 10.56% | $34,413 | $250.14 | 5.32% | $614 | 10,529 | $2,092 | $564 | $564 | $482 | 127.31 |
| 7 | New Jersey | $621 | $118 | 1.54% | $2.80 | 5.46% | 10.22% | $33,936 | $261.11 | 5.61% | $713 | 8,398 | $1,650 | $271 | $695 | $0 | 126.07 |
| 8 | Mississippi | $694 | $44 | 2.15% | $2.45 | 7.25% | 12.47% | $34,130 | $242.36 | -8.54% | $637 | 13,827 | $1,767 | $719 | $425 | $992 | 123.87 |
| 9 | Georgia | $697 | $87 | 2.06% | $2.69 | 7.74% | 11.90% | $36,016 | $262.37 | -2.72% | $375 | 11,794 | $1,851 | $20 | $599 | $0 | 123.83 |
| 10 | Texas | $777 | $65 | 1.67% | $2.42 | 6.90% | 11.00% | $35,061 | $251.67 | 0.40% | $709 | 10,305 | $2,049 | $74 | $150 | $0 | 122.13 |
| 11 | Maryland | $655 | $92 | 1.23% | $2.86 | 5.84% | 9.88% | $33,377 | $257.77 | 7.99% | $637 | 9,285 | $1,500 | $187 | $499 | $0 | 119.66 |
| 12 | South Carolina | $639 | $56 | 1.82% | $2.57 | 6.98% | 11.55% | $35,015 | $249.08 | 0.89% | $564 | 11,877 | $1,859 | $40 | $400 | $725 | 119.10 |
| 13 | Colorado | $657 | $48 | 1.40% | $2.41 | 5.53% | 9.40% | $35,269 | $268.48 | 3.46% | $651 | 9,466 | $1,946 | $595 | $699 | $512 | 117.64 |
| 14 | Alabama | $674 | $47 | 1.63% | $2.52 | 7.43% | 11.86% | $34,206 | $249.75 | -2.72% | $434 | 14,388 | $2,312 | $393 | $489 | $200 | 117.44 |
| 15 | Hawaii | $658 | $34 | 1.00% | $4.42 | 7.11% | 12.21% | $32,381 | $244.49 | 11.89% | $818 | 7,171 | $1,111 | $78 | $395 | $0 | 117.05 |
| 16 | Connecticut | $580 | $91 | 1.54% | $2.90 | 5.18% | 8.66% | $32,991 | $281.53 | -5.89% | $711 | 8,459 | $1,588 | $180 | $599 | $605 | 114.52 |
| 17 | New Mexico | $728 | $38 | 1.67% | $2.64 | 8.07% | 11.31% | $35,189 | $246.71 | -10.34% | $767 | 13,303 | $1,929 | $60 | $339 | $0 | 113.77 |
| 18 | Virginia | $638 | $63 | 1.08% | $2.73 | 6.13% | 10.27% | $33,724 | $257.92 | 1.96% | $517 | 10,164 | $1,438 | $36 | $799 | $1,139 | 113.38 |
| 19 | Rhode Islanmd | $549 | $76 | 1.90% | $2.85 | 5.22% | 9.25% | $32,789 | $255.32 | -1.71% | $845 | 6,893 | $1,750 | $58 | $399 | $0 | 112.89 |
| 20 | Missouri | $620 | $55 | 1.46% | $2.43 | 6.60% | 9.93% | $33,596 | $232.36 | -5.57% | $743 | 13,132 | $2,083 | $57 | $565 | $727 | 112.68 |
| 21 | Arkansass | $699 | $42 | 1.74% | $2.37 | 7.21% | 11.07% | $36,343 | $234.51 | -11.13% | $671 | 12,984 | $2,364 | $28 | $129 | $293 | 112.42 |
| 22 | Washington | $652 | $49 | 1.17% | $3.81 | 5.26% | 7.95% | $36,119 | $36,119 | 3.37% | $659 | 7,761 | $2,215 | $73 | $199 | $0 | 112.34 |
| 23 | Oklahoma | $690 | $47 | 1.49% | $2.26 | 6.84% | 10.54% | $35,509 | $231.96 | 1.29% | $394 | 11,557 | $2,246 | $100 | $599 | $0 | 111.99 |
| 24 | Michigan | $562 | $75 | 2.03% | $2.86 | 5.65% | 9.62% | $33,597 | $211.26 | -2.76% | $644 | 9,753 | $1,500 | $128 | $260 | $172 | 111.60 |
| 25 | North Carolina | $639 | $48 | 1.26% | $2.86 | 6.56% | 10.53% | $34,725 | $257.96 | -1.93% | $500 | 11,711 | $1,746 | $370 | $699 | $319 | 111.19 |
| 26 | Delaware | $618 | $91 | 1.83% | $2.84 | 6.21% | 10.45% | $32,924 | $248.74 | -5.36% | $456 | 9,816 | $0 | $45 | $2,114 | $0 | 110.52 |
| 27 | Illinois | $637 | $56 | 1.16% | $2.93 | 6.08% | 10.81% | $35,217 | $238.34 | -1.96% | $609 | 8,029 | $2,205 | $151 | $347 | $0 | 109.98 |
| 28 | Utah | $612 | $69 | 1.09% | $2.65 | 5.79% | 8.04% | $34,580 | $258.72 | 0.69% | $709 | 10,571 | $1,798 | $57 | $299 | $0 | 108.50 |
| 29 | Massachusetts | $571 | $54 | 1.35% | $2.93 | 5.22% | 9.25% | $33,232 | $253.37 | 2.02% | $620 | 8,641 | $1,563 | $60 | $459 | $646 | 108.24 |
| 30 | Tennessee | $657 | $43 | 1.40% | $2.46 | 6.49% | 10.59% | $34,658 | $252.31 | 1.21% | $209 | 12,069 | $2,387 | $29 | $499 | $0 | 107.86 |
| 31 | West Virginia | $671 | $47 | 1.96% | $2.77 | 6.17% | 11.10% | $33,761 | $240.23 | -18.97% | $726 | 8,899 | $1,636 | $52 | $250 | $476 | 106.68 |
| 32 | Kentuc ky | $618 | $61 | 1.62% | $2.55 | 6.54% | 10.91% | $34,176 | $238.55 | -8.19% | $444 | 10,873 | $1,500 | $26 | $450 | $414 | 106.45 |
| 33 | Kansas | $640 | $50 | 1.07% | $2.41 | 5.85% | 10.06% | $35,323 | $227.57 | -5.75% | $509 | 10,834 | $2,164 | $80 | $499 | $568 | 105.27 |
| 34 | Minnesota | $604 | $60 | 1.11% | $2.59 | 4.74% | 8.73% | $33,758 | $231.66 | -2.00% | $543 | 10,172 | $1,872 | $69 | $125 | $452 | 103.11 |
| 35 | Indiana | $604 | $37 | 1.09% | $2.71 | 5.93% | 10.30% | $32,936 | $221.30 | -2.91% | $638 | 12,557 | $1,750 | $38 | $199 | $350 | $350 |
| 36 | Ohio | $585 | $42 | 1.24% | $2.78 | 6.54% | 10.96% | $32,267 | $217.69 | -4.42% | $506 | 9,596 | $1,811 | $31 | $250 | $0 | 99.85 |
| 37 | Pennsylvania | $587 | $45 | 1.33% | $3.04 | 5.45% | 9.23% | $33,097 | $244.67 | -6.62% | $620 | 7,700 | $1,584 | $39 | $449 | $0 | 99.72 |
| 38 | Wyoming | $723 | $22 | 1.11% | $2.51 | 6.10% | 9.60% | $41,405 | $246.61 | -18.82% | $295 | 16,501 | $1,340 | $616 | $500 | $517 | 99.5 |
| 39 | Nebraska | $624 | $44 | 1.05% | $2.52 | 5.24% | 8.81% | $35,064 | $227.12 | -7.94% | $461 | 10,846 | $1,737 | $83 | $299 | $660 | 98.43 |
| 40 | North Dakota | $687 | $33 | 1.00% | $2.55 | 6.32% | 11.31% | $37,773 | $218.96 | -13.76% | $410 | 12,702 | $1,744 | $123 | $299 | $0 | 97.04 |
| 41 | Alaska | $679 | $42 | 1.20% | $3.53 | 6.50% | 10.16% | $40,462 | $238.39 | -15.88% | $402 | 7,659 | $440 | $245 | $299 | $0 | 96.73 |
| 42 | Iowa | $618 | $28 | 1.00% | $2.37 | 5.66% | 10.77% | $35,750 | $214.00 | -6.91% | $336 | 10,423 | $1,736 | $333 | $180 | $287 | 95.24 |
| 43 | Oregon | $583 | $70 | 1.16% | $3.37 | 5.56% | 8.66% | $35,556 | $254.32 | -6.09% | $256 | 8,689 | $0 | $169 | $250 | $0 | 94.58 |
| 44 | Idaho | $638 | $32 | 0.96% | $2.80 | 5.54% | 8.35% | $37,092 | $245.21 | -7.79% | $394 | 10,722 | $1,506 | $126 | $399 | $0 | 94.49 |
| 45 | Wisconsin | $589 | $38 | 1.08% | $2.40 | 5.55% | 9.99% | $34,018 | $222.16 | -5.94% | $547 | 11,410 | $1,357 | $85 | $299 | $0 | 94.44 |
| 46 | South Dakota | $631 | $31 | 1.04% | $2.56 | 6.04% | 9.13% | $37,192 | $230.37 | -16.30% | $562 | 11,667 | $1,599 | $122 | $200 | $0 | 92.30 |
| 47 | Maine | $594 | $35 | 1.00% | $2.92 | 5.41% | 8.72% | $33,758 | $213.90 | -15.20% | $543 | 10,928 | $1,375 | $40 | $499 | $689 | 91.88 |
| 48 | Montana | $637 | $34 | 1.30% | $2.78 | 5.71% | 9.31% | $38,943 | $242.56 | -16.89% | $472 | 12,636 | $0 | $237 | $299 | $325 | 91.23 |
| 49 | New Hampshire | $585 | $39 | 0.96% | $2.86 | 5.41% | 9.06% | $31,833 | $239.41 | -4.25% | $476 | 9,811 | $0 | $51 | $375 | $517 | 90.08 |
| 50 | Vermont | $595 | $29 | 1.03% | $3.02 | 5.59% | 8.27% | $31,445 | $247.30 | -18.49% | $517 | 11,153 | $1,574 | $78 | $200 | $0 | 87.07 |
Sources:
Quartz (via Experian): https://qz.com/average-car-payment-by-state
Bankrate: https://www.bankrate.com/insurance/car/states/#average-car-insurance-cost-by-state
Insurance Information Institute: https://www.iii.org/fact-statistic/facts-statistics-auto-insurance
AAA: https://gasprices.aaa.com/state-gas-price-averages
Edmund’s: https://www.edmunds.com/car-loan-apr-interest-rate/
iSeeCars: https://www.iseecars.com/used-car-prices-by-state-study iSeeCars analyzed over 1.9 million used-car sales of 1- to 5-year-old cars from December 2021 to 2022.
AAA: https://www.aaa.com/autorepair/articles/average-mechanic-labor-rate-repair-costs-in-your-state-2026
NetCredit: https://www.netcredit.com/blog/car-repair-costs-by-state/ NetCredit analyzed local cost estimates for 10 common car repairs on a 2021 Honda Accord across the 258 most populous cities, then averaged them by state.
Insurance.com: https://www.insurance.com/total-cost-of-ownership
Kelly Blue Book: https://www.kbb.com/car-advice/average-miles-driven-per-year/
CarEdge: https://caredge.com/guides/cheapest-state-to-buy-a-car
WalletHub: https://wallethub.com/edu/states-with-the-highest-and-lowest-property-taxes/11585
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