Transferring a car title is a crucial process that changes legal ownership from the vehicle seller to the buyer. While both parties have tasks to complete, the purchaser is responsible for submitting the title transfer documentation to their state’s Department of Motor Vehicles (DMV).
Keep reading to learn how to transfer a car title and the steps the seller and buyer must take for private vehicle sales.
What Is a Car Title?
A car title is a state-issued document indicating the legal owner’s name, purchase date, and the lienholder if the owner used an auto loan to buy the vehicle. It also shows the car’s vehicle identification number (VIN), year, make and model, and the odometer reading at the time of sale.
What Is an Electronic Car Title?
An electronic title is a car title that exists only in digital form. As with a paper title, a digital car title or electronic car title is a legal document of vehicle ownership. Where available, these digital documents provide state DMVs with more efficiency and faster processing of ownership records.
Car Title Transfer
Car dealerships handle the details of title transfers when you buy vehicles from them. Similarly, a benefit of using Autotrader’s Private Seller Exchange for a vehicle purchase is having the logistics of transferring the car title taken care of.
However, the car title transfer for a private peer-to-peer sale will require some effort from you to complete and submit the paperwork. Wondering how to transfer a car title to a family member? It’s usually a similar process as a regular title change, and some states waive fees when transferring to immediate family members.
Steps to Transfer Car Title
The rules and documents for transferring a car title vary from state to state. When buying across state lines, follow the regulations for car title transfer of the state where you will register the vehicle.
Here is a general overview of the procedure for how to transfer a car title.
Get the title. The seller must have the car title before transferring ownership to the buyer. If lost, you can apply for a replacement through the state DMV. If there’s an outstanding loan, work with the lender to pay it off and obtain the title.
Obtain bill of sale. The buyer should get a bill of sale to accompany the title transfer process when buying a used car. Ensure it lists the buyer’s and seller’s names, sale date, purchase price, vehicle mileage, and damage disclosure.
Complete the title assignment section. Fill out the necessary information about the car’s sale in the appropriate section of the certificate, typically on the back of the title. Details on the transfer form include:
- Names of the buyer and seller
- Signatures
- Notary’s signature, if required
- Sale date
- Sale price
- Vehicle identification number (VIN)
- Odometer reading (some states require a separate form for this)
Verify the title information. The buyer must ensure names, dates, VIN, and odometer mileage are accurate. Search the VIN on the DMV website to verify the vehicle has no liens.
Apply for a new title at the DMV. Go to your local DMV with the completed and signed title, driver’s license, proof of insurance, bill of sale, and other documentation your state requires. You’ll pay a transfer fee, which varies by state, and surrender the old title. If applicable, you might pay sales tax at this time.
Car Title Transfer Deadline
A 30-day deadline for applying to transfer a car title is typical, but it varies by state. Take care of your title change promptly because you may face penalties if the transfer is late.
Chris, I have vanity plates and would like to keep them. Do I just take them when I hand the car over? I live in California.
Thanks for reading, Myriam. The personalized California license plate belong to the plate owner and not the vehicle, so you should remove your personalized plate from the car when you sell it. When the new owner registers the car, they will receive new plates with the registration. Meanwhile, you can fill out a Special Interest License Plate Application (REG 17) form and indicate that you want to use the plate on another vehicle or hang onto it for future use.
If I purchase a vehicle in North Carolina (where they have highway use tax) but I live in South Carolina and must pay the 7% tax there, how does that work out in the end?
Hi Josh. Thanks for reading. Where you buy the car doesn’t matter much — any taxes are paid to the state where you register the car. Here’s an Autotrader article about taxes when buying a car.
Hi Chris,
I want to purchase a car in Nevada from a friend. She inherited the car and has clear title. I live in California and am a registered driver in California. What, if any, obstacles I may face? I plan on flying down and driving it back. Do I just complete the vehicle transfer of title with her in Nevada and then register it when I get to California? From what I understand I can’t get pre approved for a loan for a car in another state, so I’ll have to get a personal loan or pay cash. Thank you for your reply.
Hi Jeanne. Thanks for reading. You summed it up. You’ll transfer the title as soon as you take possession of the car in Nevada, add it to your insurance policy, and keep an accurate bill of sale. Within 10 days of getting back to California, you’ll need to complete an emissions inspection and the DMV paperwork needed to register the vehicle in California. The biggest obstacle might be the expense of all the fees DMV collects! As for the loan, preapproval shouldn’t be necessary because you know the specific car you’re buying. Instead, the challenge might be that some lenders make used car loans only for those from franchise dealerships and restrict private party purchases. Check with your local credit union when shopping for a loan.
my sister passed away and left me her car. It’s paid for. I just received a Duplicate of Title. I am giving it to my daughter. What documents do i need to go to MV to change the title to her
Hi Theresa. Requirements vary by state. In general, you’ll file an affidavit attesting to the family relationship and complete ownership transfer forms. There might be fees involved, but most states waive taxes for transferring to immediate family members. The forms you need are likely available on the website of your state’s DMV or Secretary of State.
Hello Chris: I want to sell a vehicle but still owe money to the loan company… I figure that when the buyer pays for it I would immediately pay off the loan and sign over the title…..is that possible to do and if so how shou
ld i go about it ?
Thanks for reading, Susan. Your hunch is correct: You’ll need to take proceeds from selling your car (or use your savings) and pay off the loan. The lender will send you the vehicle’s clean title, and you’ll then sign it over to the person buying your car. The processing time varies depending on the lender, but you can expect it to take two weeks or a month. While you’re waiting for it, the bank can send you a letter saying that the loan is satisfied and also send a lien release to your DMV. Your credit union or bank handles these situations daily, and it will be able to explain the details and answer questions specific to your situation.
Hello thanks.at possible to do and if so how would i go about it ??
I live in MN and I’m selling my car to a buyer in Utah. He plans on having his car shipped from my home to his. So how do I (we) handle the transfer of title? I do have the title since it is paid off.
Thanks for reading, Jon. When you receive the buyer’s money, you need to sign the back of the car’s title. The seller will then sign the title and take it to the DMV in Utah to register the vehicle in their name. Remember to remove the license plates when the carrier picks up the car you sold.
I live in New York State. I’m transferring a title from myself to my daughter. The title has our old address. On the back of the title it asks for the sellers address, should I put my new current address in New York or my old address in New York? Thank you
Hi Thomas. Thanks for reading. Assuming that you kept your address current for the vehicle’s annual registration, you should use your current address when transferring the title.
I am in Alaska and my car title is with a friend in Georgia. I did not sign the title, will I need to get a the title back and sign it to transfer it to her?
Hi Steve. Thanks for reading. If you sold (or gifted) the car to your friend in Georgia, you will need to sign the title to officially transfer ownership to her.
Hi there, Can I buy and register a new car from dealer in Montana, (it has zero sales tax) and drive/ship car to Indiana and change registration to Indiana with in 30 days. Do I still need to pay sales tax when registering in Indiana as it was registered in Montana. Kindly mention ?
Thanks for reading, Abby. It’s not easy to avoid paying a tax on vehicle, and unless you get an incredible deal from another state, it’s easier to buy your car from a local dealer. You pay tax where the car is registered. If the registration changes to another state, you’ll pay (or get a credit for) any difference in tax collected at the time of purchase. So, if you buy a car in a state that has a tax less than 7%, you’ll pay the difference when you switch to Indiana. If you buy in a state and pay 5% tax, you’ll pay Indiana 2% when you transfer registration. If you buy it in Montana, you’ll then need to pay the full 7% Indiana tax when you transfer. That money is an out-of-pocket expense for you. However, if you finance your car purchase in your home state of Indiana with an auto loan, you likely can include the sales tax and other fees in the loan amount instead of directly paying the BMV. Additionally, you should factor in the expense of driving or shipping the car from Montana to Indiana.
My boyfriend’s brother wants to give us a car for free .Does my boyfriend’s brother need to go to a notary to get a bill of sale.We live out of state and we don’t own a car.He is going to ship it to us.We live in FL and he lives in Pa.
Thanks for reading, Lynne. Requirements vary by state, so be sure to check with your local motor vehicle office for what’s needed. It’s not likely that your boyfriend’s brother will need to have anything notarized. Assuming that there isn’t a lien on the car, your boyfriend’s brother should draft a bill of sale (even if it’s for $1) that includes the VIN and mileage, and sign the title over to your boyfriend. Meanwhile, your boyfriend will need to get insurance coverage for the car before it’s shipped. When it arrives in Florida, you’ll get a VIN check and maybe an emissions or safety inspection, and visit the motor vehicle office to register the vehicle.
How does one transfer a car title from a deceased unmarried individual that left no will, power of attorney or estate? Such as a deceased adult child?
Thanks for reading, Mark. Generally, a state’s probate court decides what happens to a person’s belongings when they die without a will. Every situation is different, and state laws vary, but the court will distribute the property based on its established intestate succession laws. Each state also has a procedure for transferring ownership from the deceased person to the inheritor, which involves more paperwork than a typical title transfer. Your state DMV can tell you what documentation is required to title a vehicle inherited or purchased from an estate.
How do I transfer title on a used car bought in Canada
Thanks for reading, Jack. Transferring a car’s title from Canada takes more legwork than a local sale or an interstate transfer, primarily because of U.S. Customs and Border Protection requirements. In very broad and general terms, here’s how to do it. First, you’ll need to be sure the vehicle meets U.S. DOT safety requirements and the EPA’s emission standards. Then, you’ll need start working on completing various forms declaring the vehicle meets that criteria. After those documents are reviewed and stamped, and you pay the necessary fees and taxes to cross the border. From there, you can visit your DMV with the documentation and additional title and registration forms the local agency requires.