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Bill of sale - out of state purchase

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Old Jul 24, 2009 | 02:33 PM
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Default Bill of sale - out of state purchase

When buying a car out of state, will a generic bill of sale work in your home state?

I plan on using his plates to get back to my home state, so the bill of sale will release him should a ticket be issued to the plates. The bill of sale should also protect me to get back to my home state ... correct?

He also does not have the title in hand, but should this be a problem?

Thanks!
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Old Jul 27, 2009 | 06:42 AM
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i would've thought the "bill of sale" determined the terms of the purchase. use of somebody else's plates for yourself means you are driving a newly purchased unregistered and uninsured vehicle. saying to a cop, "i just bought this, these out of state plates aren't mine, i don't have insurance" sounds a bit off. bill of sale without title in that situation looks like you're driving a stolen vehicle. if i was the seller i wouldn't give anybody anything (it puts risk/liability on the seller). i'd require the buyer to get his own plates/insurance (if you got ticket it's on your license but an accident will be against his insurance). but, that's me. if a seller will trust an out of state buyer that he just met that's his prerogative.
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Old Jul 27, 2009 | 07:22 AM
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when i bought my first s2000. i flew from fl to ohio to pick up the car. i got insurance on the car for 14 days whenever i buy a car from state farm so i was covered. i just got a notorized bill of sale from the seller and used his plate to go back home. its not a biggie only problem is making sure he sends you the title. my seller paid off the bank after i paid him and i couldnt get ahold of him for almost a month. finally i was getting ready to go back to ohio and his dad got involved and had him send me the title. be careful you can get into a big mess this way.
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Old Jul 27, 2009 | 06:02 PM
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I suppose it depends on the state where you live and the state that you buy the car in. I recently bought an S2000 from an individual in Arizona but live in Colorado. I was able to print a temporary (three business day) license in AZ for $1.00. Using the sellers license plate is probably not going to be a problem. Upon registering my car in CO, the clerk filled out a Bill-of-Sale for me and had me sign it. No Prob. A bill of sell just says that you exchanged money for the car. I had the title, signed and notarized, proof of insurance, etc.

If there is any way that you can get the title in hand, do it! The bill of sale doesn't say much except that money was exchanged, the Title is about the transfer of ownership. (Please bear in mind that I'm no lawyer). The best thing is to research both states.

Cheers,
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Old Jul 27, 2009 | 08:38 PM
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I personally would not purchase a car from an individiual that does not have the title. If he somehow refuses to give up the title then you could be in a mess of trouble. Not something I'd want to deal with personally.

I only looked at ones that were paid for and had title in hand.
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Old Jul 28, 2009 | 05:17 AM
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Originally Posted by baffula,Jul 24 2009, 02:33 PM
When buying a car out of state, will a generic bill of sale work in your home state?
Not all states have the same laws. Better check with your state and the seller's state.
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Old Jul 28, 2009 | 05:58 AM
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^^

+! on the above.
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Old Jul 28, 2009 | 10:51 AM
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Not sure about your state, but if you strictly follow the letter of the law in PA, the seller's existing plate can't legally be used by the new owner, whether the buyer lives in state or not.

Ideally, the private buying process should go like this:
-- the seller has the title in hand.
-- you pay the seller for the car.
-- you both go to a local auto tags provider where the title is signed over to you.
-- since you live in another state, the auto tags provider gives you a temporary tag (generally valid for 30 days) so you can drive the car home.
-- you take the title with you to an auto tags provider or DMV in your state, register the car, get your plate, pay any sales tax, etc.

That's how it worked when I sold a car to an out-of-state buyer a couple years ago, but I had the title in hand. Until you have the title, I don't think any DMV or auto tags place would be able to do any of the above because technically you don't own the car.

As others have said, I'd get info from the DMV in your state, in the seller's state, and from your insurance agent to make sure you don't have any problems with the transaction. I'd guess the technically correct method would be that you pay the seller for the car now, but wait to take delivery until he gets the title and can sign it over to you Title in hand really makes things much easier and safer.

Whatever the case, I'd suggest doing some research to make sure you don't get burned. Good luck with the purchase
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