Buying a car in NJ before moving to California for grad school — registration, taxes, and insurance questions
I'm currently a senior student in New Jersey, graduating in May 2027. I'm planning to move to California for a 1.5–2 year master's program.
I really need a car right now, so I'm considering buying a used Japanese SUV (probably a Toyota RAV4, Honda CR-V, or Mazda CX-5) in NJ. However, I'm concerned about the extra costs and paperwork involved in bringing it to California.
Here's my timeline:
- October 2026: Buy a used car in NJ, pay the 6.625% NJ sales tax, and register and insure it in NJ.
- Late May 2027: Graduate and drive the car from NJ to California.
- June–July 2027: Leave the car in a private storage facility in California while I return to China for the summer. The car won't be driven during this time.
- August 2027: Return to the US, officially move into an apartment in California, and start grad school. I'll be living there for approximately 1.5–2 years.
I currently have a valid NJ driver's license.
I have a few questions:
1. California's 20-day registration rule
I understand that new California residents generally need to register their out-of-state vehicles within 20 days.
However, I'll only be bringing my car to California in May to put it in storage. I won't actually move into an apartment or begin living in California until August.
Would I be able to wait until August to register the car, or would the 20-day requirement start when the car physically enters California in May?
2. California use tax
If I already paid 6.625% sales tax when purchasing the car in NJ, would I have to pay additional California use tax when registering it?
I've read about California's 12-month rule and the possibility of receiving credit for taxes paid to another state.
Has anyone been through this process or successfully qualified for a use tax exemption?
3. Actual registration costs
For anyone who has transferred an out-of-state vehicle to California, how much did you end up paying in total?
I'm particularly interested in registration fees, title fees, smog checks, and any other unexpected costs.
4. Insurance and storage
Has anyone driven their car from the East Coast to California when moving for school or work?
How did you handle insurance during the transition, especially if the car was going to be stored and not driven for a couple of months?
5. Is buying in NJ now worth it?
My biggest dilemma is whether I should buy a car in NJ now and bring it to California next year, or wait until I move to California and buy one there.
I'm not too concerned about the normal cost of using the car in NJ over the next several months, since I genuinely need it right now. I'm mainly trying to figure out how much extra I'll spend because of the interstate move.
I'd really appreciate any advice or personal experiences, especially from people who have dealt with California DMV or moved from another state for grad school.
Thanks in advance!