by Andrew Rohrlich
When you buy a car in a private sale, registering it is a little different than buying it from a dealership. Understanding how to register a car purchased from a private seller and the difference between owning a car and registering it can save you time and money. While ownership title transfer and vehicle registration processes are similar, there are a few key differences of which to be aware.
Ownership of a car is evidenced by having the title in your name. The title is a document proving you are a vehicle's legal owner. The title also contains information about the car, such as its make, model, and VIN number.
On the other hand, car registration is a process by which your vehicle is added to the state's database of registered vehicles. When you register your car, you will receive a registration card and license plates.
This article will examine the process and documents needed for registering a vehicle after purchasing it from a private seller.
Vehicle Registration vs. Title: How Do They Differ?
As we've mentioned, ownership and registration are two different things. So, what's the difference between the two?
The title of a vehicle is a physical document that serves as evidence of ownership. The title also includes identifying information about the car and is signed by the previous owner. Some technical information, such as the vehicle's gross weight and license plate number, is also included on the title.
When you buy a car from a private seller, you must transfer ownership into your name. Title transfers can be completed by filling out a few forms and visiting your local DMV office.
In contrast, registration is an administrative process. When you register a vehicle, your car is added to the state's database of registered vehicles. You will receive a registration card and license plates for your car. The registration card includes the vehicle's make, model, and VIN (Vehicle Identification Number).
It's important to note that you cannot register a car without first transferring the title into your name. In other words, you must have the title before registering the vehicle. To register your car, you must submit additional documents and pay a fee.
Depending on your state's requirements, you will also need to renew your registration yearly or every few years. Registration allows you to drive your car legally on public roads, so maintaining current registration is essential.
Now that we've examined the difference between vehicle registration and title, let's look at the process of registering a car after purchasing it from private parties.
Registration Documents That Vary State-By-State
You will need to submit a few documents to register your car. These documents vary by region, so you'll need to complete a little research to find out what paperwork you'll need to provide in your state.
Car Title Certificate
The car title certificate is the document that proves you are the legal owner of the vehicle. It includes information such as the car's make, model, and VIN number. For certain older cars, the latest registration may be necessary to prove ownership. To transfer the title into your name, you must fill out a form and visit your local DMV office.
An emissions clearance is a document that proves your car meets the state's emission standards. You must have your vehicle inspected at a DMV-approved inspection station to get an emissions clearance. An emission certificate is usually valid for two years. However, depending on the state, newer vehicles are typically exempt from car emissions testing.
A safety inspection is a document that proves your car meets the state's safety standards. Again, you will need to take your vehicle to a DMV-approved inspection station to get a safety inspection. Safety inspections include a visual inspection of the car's brakes, lights, and other safety features. These inspections are generally valid for one year.
A VIN inspection is a document that proves your car's identification number matches the number on the title certificate. To confirm your car's VIN, you must take it to a DMV-approved inspection station. The inspector will verify the VIN on the vehicle matches the one on the title certificate. A VIN inspection ensures that the car you are registering is the same car that was inspected.
Other Registration Documents That Might Be Needed
In addition to the documents listed above, you may need to submit the following forms and documents when registering your car. These documents vary from state to state, so check with your local DMV office.
A Bill of Sale (If Applicable)
A bill of sale is a document that proves you bought the car from a private seller. As a type of private car sales receipt, the bill of sale should include the buyer's name, address, and signature and the seller's name, address, and signature.
Most states require that the bill of sale be notarized for it to be considered legal. A notary public can sign and stamp the document to make it official. This document should also include the date of sale, purchase price, and vehicle information such as the make, model, VIN, and odometer reading.
A Lien Release (If Applicable)
A lien release is a document that proves there are no outstanding loans on the car. For example, if you are buying a car from a private seller, and there is an outstanding loan on the vehicle, the lien holder or lender must sign a lien release form for you to register the car.
While a lien release is not always required, getting one from the lender is a good idea to avoid any issues from private party car sales.
Registering Classic, Vintage, and Specialty Cars
Registering specialty cars, such as classic or vintage cars, comes with its own set of rules and regulations. In most cases, you must submit additional documentation, such as an appraisal, to register your car.
These cars have special enrollments or designations in different states, so you'll need to verify what is required in your state before applying to register the vehicle.
To be registered, some vehicles may also require additional inspections, such as a smog test. Classic and vintage cars are often also eligible for special license plates. By registering your car as a classic or vintage vehicle, you may be able to avoid paying certain taxes and fees.
To register your car as a specialty vehicle, you will first need to know what qualifies as a classic or vintage car, including:
- Age of vehicle. For example, to be considered a classic car by the DMV, your vehicle must usually be at least 20 years old. On the other hand, antique cars are usually at least 45 years old.
- Limited edition or rare vehicles. These vehicles are typically limited in production, making them more valuable. Proof of rarity may be required, such as a letter from the manufacturer.
- Modified vehicles. Modified vehicles are those that have been changed from their original design. To be registered as a classic or vintage car, your vehicle's modifications must not jeopardize its safety.
It's important to note that specialty vehicles may be subject to certain driving restrictions. Many states have laws limiting how often classic and vintage cars can be driven and for what purposes. For example, some states only allow these vehicles to be driven during certain times, like car shows or events.
Specialty vehicles may also require specific types of insurance. For example, classic car insurance typically covers a vehicle for its agreed-upon value rather than its market value or purchase price. This type of insurance is designed to protect classic and vintage cars from depreciation.
If you're planning on registering your car as a classic or vintage vehicle, check with your local DMV office to find out what documentation and fees are required.
This article was written by Andrew Rohrlich. As a brand and product marketing expert, Andrew Rohrlich has crafted products, experiences and communications for household names like Gap and for multiple automotive technology businesses. For nearly a decade Andrew has studied automotive retail in depth from a customer point of view and aggregated the industry’s best research, thought leadership and know how to provide credible and important information to auto shoppers and sellers.