MI
Michigan Vehicle Cost Guide 2026
Michigan has a 6% sales tax on vehicle purchases, with no county or local taxes added. Registration fees are based on the vehicle’s base MSRP and model year, so new and luxury cars pay significantly more than older models. Michigan has historically had the highest average auto insurance rates in the U.S. due to its no-fault system, though 2019 reforms have lowered the average somewhat. EVs pay a $135 annual surcharge on registration.
State Sales Tax
6.00%
Vehicle purchases
Avg. Annual Insurance
$2,610
Full coverage
EV Tax Credit
Varies
State-level
Registration Fee
$113
Annual
DMV / Registration Fees
| Title Transfer | $15 |
| License Plate Fee | $5 |
| Registration (Base) | $113 |
Insurance Requirements
No-Fault State: Yes
Inspection Required: No
Minimum Coverage:
Bodily Injury: $250,000 per person (PIP medical)
Property Damage: $10,000
Uninsured Motorist: Required
Ownership costs for popular models in Michigan
Every purchase in Michigan carries a 6.00% state sales tax, about $2,610/yr average insurance, and a 6.39% typical new-car loan APR. Open any model below to see its pre-filled 5-year cost of ownership tuned to Michigan.
Calculate Your Costs
Use our auto loan calculator with Michigan tax rates to estimate your total vehicle costs.
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