Your “out-the-door” price when buying a car is the absolute total cost you’ll pay to drive your new car off the lot. This sums up a variety of additional costs, including tax, title, licence fees, and more, and can really add up if you’re not expecting them. Learn more about the meaning of “TTL” when it comes to car buying and how to stay ahead of your out the door price.
Most car buyers start their car shopping experience by looking at the manufacturer’s suggested retail price for the vehicle, or MSRP. This number is important, but it doesn’t represent the additional costs that come with purchasing a new vehicle.
So what is the out the door price when buying a car? Additional fees that will affect your total cost include tax, title, and license fees, but may also include fees for:
Basically, anytime you opt for a non-standard feature or protection, this is adding to your total out the door price, so it’s important to make sure you’re choosing options that make sense for you and your budget. The higher the out the door price, the bigger the loan amount and the more you will pay in interest over time.
Higher trims and upgraded technology are optional, but tax, title, and licence fees are not. What are these costs for? They are often rolled into the abbreviation “TTL” meaning tax, title, and licence. In car buying, these are costs associated with registering the car in your name and are unavoidable.
Can you roll TTL into your auto loan? It can be possible, but keep in mind that it will increase your loan amount, and therefore the amount of interest you’ll pay over time.
If you need help calculating your out the door price and factoring in TTL, Green Light Auto Credit can help! We’ll guide you through the process so there are no surprises and you can bring home a great car on budget. Get started when you apply for financing today!