How to Sell a Car Privately
How to Sell a Car Privately — Step by Step
- 1
Set your price
Use KBB and Carfax comps to establish fair market value. Price 5-10% above your walk-away number to leave room for negotiation without pricing yourself out of the market.
- 2
Gather your paperwork
Collect a clean title (no open liens), valid government-issued ID, maintenance records, and a current odometer reading. Missing documents are the #1 reason private sales stall.
- 3
Run a VIN history report
Buyers expect it. A VIN report reveals prior accidents, odometer rollbacks, salvage titles, and open recalls. Include it with your listing to justify your asking price and prevent post-test-drive cancellations.
- 4
Advertise the vehicle
Take photos in good lighting from multiple angles. List all options, mileage, and maintenance history. State "as-is, private sale" clearly to set buyer expectations and reduce liability.
- 5
Screen buyers
Allow test drives only with a valid license on file. Meet in a public location — a busy parking lot or bank. Never hand over the title or keys until payment has fully cleared.
- 6
Complete a bill of sale
Both buyer and seller must sign. Record the VIN, agreed sale price, odometer reading, and sale date. Keep a signed copy in your records for at least 5 years.
- 7
Sign over the title
The seller signs the back of the title and fills in the buyer's name, sale price, and date. Some states require notarization — check your state DMV's requirements before the meeting.
- 8
Notify the DMV
File a release-of-liability form with your state DMV within 5 business days of the sale. Remove your plates — most states require it. This step protects you from future tickets or incidents tied to the vehicle.
Documents Needed to Sell a Car Privately
- ✓Vehicle title (clean, no liens)
- ✓Signed bill of sale (BillOfSaleNow generates this)
- ✓Odometer disclosure (required federally for vehicles under 10 years old)
- ✓VIN history report (Premium — buyers often ask for this)
- ✓Lien release letter (if vehicle had a loan, now paid off)
- ✓Release-of-liability form (submit to DMV after sale)
Include a VIN History Report — Sell Faster, For More
Buyers who receive a VIN report offer 8-12% more and are 3x less likely to back out after the test drive. BillOfSaleNow's Premium plan ($19) bundles the VIN history report with your signed bill of sale.
Frequently Asked Questions
Do I need a notary to sell a car privately?▾
Most states do not require notarization for private car bill of sale transactions. However, Louisiana, Maryland, Montana, Nebraska, New Hampshire, West Virginia, and Wyoming require notarization of the bill of sale or title assignment. Check your state's DMV requirements — BillOfSaleNow's Complete plan ($29) includes notary guidance for all 8 required states.
What if the buyer won't transfer the title after I sell?▾
File a release-of-liability form with your state DMV immediately after the sale. This protects you from parking tickets, accidents, and registration violations that occur after the transfer date. Most states allow online submission. Keep a copy of the signed bill of sale as your timestamped proof of the sale date.
Can I sell a car privately if it still has a loan?▾
Yes, but you must pay off the loan and receive a lien release before transferring the title to the buyer. Contact your lender to get a payoff quote and lien release letter. Most private sellers coordinate the payoff at the time of sale — the buyer pays the lender directly, and the lender releases the title.