States that Require a Bill of Sale for Buying/Selling Cars

January 27, 2012

Buying or selling a car can be as simple as posting an advertisement in the newspaper, answering inquiries, and striking a deal, but most transactions should include a bill of car sale. Selling or buying a car is different in each of the 50 states of the country because of bill of car sale. Not every state requires a buyer or seller of a vehicle to have a DMV bill of sale, but some do. This makes the process a little bit tougher to complete in three quick steps. Less than half of the 50 states in the country require a bill of sale form when buying or selling a vehicle, so be sure to check with your local DMV agency prior to making an agreement.

The states that have bill of sale requirements include the following:

  • Alabama
  • Arkansas
  • Colorado
  • Connecticut
  • Hawaii
  • Idaho
  • Maine
  • Nebraska
  • New York
  • Ohio
  • Rhode Island
  • South Dakota
  • Vermont
  • Washington
  • West Virginia
  • Wyoming

The District of Columbia does not require a bill of sale for buying or selling a motor vehicle. Most bill of sale forms are available for free through your local DMV agencies or on their websites where you can download them and print free of charge. If, for some reason, your local DMV does not offer a free bill of sale form, you can find various versions of the form on the Internet from other vehicle sites. Even if your state does not require a bill of sale for buying or selling a vehicle, you should still have one drafted for your own records. This helps you keep track of the date of sale, the price, and the odometer reading when the transaction took place.

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