How to Buy a Car From a Private Seller or Owner
Each state has different requirements for transferring vehicle ownership. Your state might require certain documents in the transfer process, such as a signed vehicle title from the car's owner, notarized signatures, a bill of sale and a lien release. Before you pay a private seller for a vehicle, learn your state's transfer rules and ensure the vehicle is in good condition.
Other People Are Reading
Instructions
-
-
1
Determine the vehicle's value at appraisal guide websites to ensure you pay a fair price. Websites such as Edmunds.com and Kelley Blue Book offer private sale values based on a vehicle's year, make, model, level, condition and mileage.
-
2
Arrange for the seller to bring the vehicle to a mechanic for a complete inspection. Because there isn't a warranty requirement for private vehicle sales or a cooling-off period for car purchases, you must ensure the vehicle is in acceptable and safe condition before you purchase it. If the car needs repairs, ask the seller to decrease the repair costs from the selling price.
-
-
3
Ask to view the vehicle's title. Ensure the title doesn't list a lien holder. If it does, confirm that the seller can provide you with an original lien release, a requirement in most states to transfer ownership. Ask the seller for identification to make sure you're purchasing the vehicle from the titled owner.
-
4
Secure payment for the purchase. Get pre-approved before you set out to shop if you plan to take out a loan. If you're borrowing money from an auto loan provider, submit the vehicle's information to secure your loan terms.
-
5
Pay the seller. If you're providing a bank check, note the correct spelling of the seller's name. Obtain a bank check or cash for the vehicle's purchase price.
-
6
Call your state's motor vehicle department or visit its website to determine which forms are required to transfer vehicle ownership. Print the forms from the motor vehicle website or pick them up from a local office.
-
7
Pay the seller. Obtain a properly signed title and have the seller sign any additional forms if your state requires it. Some states require an emissions certificate or other vehicle documents, so make sure you get your state's required documents and an original lien release to avoid issues when transferring ownership.
-
1
Tips & Warnings
If the vehicle's seller can't provide you with a lien release, title or other state required forms, do not pay for the car. Wait for the seller to obtain the necessary paperwork before completing your purchase.
