Selling a non-running car can be a bit more complicated than selling a car that is in good working condition. Not only do you have to worry about finding a buyer who is willing to take on a car that needs repairs, but you also need to be prepared with the proper paperwork to make the sale legal and official. In this blog post, we'll go over the paperwork that you'll need to have in order to sell a non-running car.
The most important piece of paperwork that you'll need to have when selling a non-running car is the title. The title is a legal document that proves that you own the car and have the right to sell it. If you don't have the title, you won't be able to legally sell the car.
If you've lost the title or never received one, you'll need to apply for a duplicate title. This process can vary depending on your state, but generally you'll need to fill out a form and submit it along with a fee. You may also need to provide proof of ownership, such as a bill of sale or registration.
Bill of Sale
A bill of sale is a document that serves as a record of the sale and transfer of ownership of the car. It should include the names and addresses of the buyer and seller, the make and model of the car, the sale price, and the date of the sale.
A bill of sale is not legally required in all states, but it's a good idea to have one anyway. It can serve as evidence of the sale in case there are any disputes or legal issues that arise later on.
Vehicle History Report
A vehicle history report is a document that provides information about a car's past. It can include details about the car's ownership, accidents, repairs, and other important events.
While a vehicle history report is not required by law, it can be helpful to have one when selling a non-running car. It can provide potential buyers with information about the car's condition and help them make an informed decision about whether or not to purchase it.
If you're selling a non-running car, it's a good idea to have repair estimates from a mechanic. These estimates can help potential buyers understand what it will cost to get the car running again, and can also help you set a fair price for the car.
If the car is still under warranty, you'll need to provide the buyer with information about the remaining coverage. This can include the expiration date of the warranty, as well as any exclusions or limitations.
You'll also need to provide the buyer with proof of registration for the car. This can include the registration card, as well as any stickers or tags that may be required in your state.
If you have insurance on the car, you'll need to provide proof of coverage to the buyer. This can include a copy of the insurance policy or a letter from the insurance company.
In some states, you may be required to have a safety inspection before you can sell a non-running car. This inspection is intended to ensure that the car is safe to drive, and can include checks on the brakes, lights, and other critical systems.
Depending on your state, you may also be required to have a smog check before you can sell a non-running car. A smog check is a test that measures the level of emissions produced by a car, and is designed to help reduce air pollution.
If you have a lien on the car (meaning that you still owe money on it), you'll need to provide the buyer with a lien release. This document states that the lienholder (usually a bank or financial institution) no longer has a claim on the car, and that the car is now owned free and clear.
Odometer Disclosure Statement
If you're selling a car that is less than 10 years old and has less than 16,000 miles on it, you'll need to provide the buyer with an odometer disclosure statement. This statement verifies the mileage on the car and is required by federal law.
Power of Attorney
If you're unable to sign the title or other paperwork in person, you may need to provide the buyer with a power of attorney. This document gives someone else the authority to sign on your behalf.
Release of Liability
In some states, you'll need to provide the buyer with a release of liability form. This form transfers ownership of the car to the buyer and releases you from any responsibility for the car's actions after the sale.
Depending on your state, you may be required to provide the buyer with a disclosure statement. This statement should include any known issues or problems with the car, as well as any repairs or modifications that have been made.
Selling a non-running car can be a bit more complicated than selling a car that is in good working condition, but it can be done. By having the proper paperwork and being prepared for the process, you can make the sale go smoothly and avoid any legal issues.