How to Buy a Car From an Out-of-State Owner

An out-of-state vehicle may be a good deal, but transferring title and registration between owners and states at the same time can get a little tricky. When you make your purchase, have a checklist ready to ensure you get everything you need from the car's previous owner before departing. Otherwise, you may be running back across state lines to take care of the paperwork and arrangements needed to complete a vehicle registration in your state.

Instructions

1

Research the emissions standards for both your state and the state in which you intend to purchase your vehicle to see if they are compatible. California, for example, has its own specific and strict emissions standards that a car from out of state won't meet. Ask the seller about the emissions standards on the vehicle to see if it's compatible with your state's requirements. If not, you will need mechanical work on the car before you can register it.

2

Verify that any liens on the car's title have been successfully removed before completing your transaction and taking possession of the car. Although a few states such as Connecticut allow an out-of-state car to change registration and ownership using a valid vehicle registration, many including California and Pennsylvania require a lien-free title with proof of lien satisfaction when a lien existed.

3

Record the sale using a receipt or bill of sale signed by the car's previous owner. Include the sale price and odometer reading. If you and the seller agreed on any warranty provisions, such as the ability to return the car within a week if you're not satisfied, make sure that's also on the bill of sale.

4

Ask the seller to sign the car over to you in front of a notary public. Titles have a line for naming a new owner along with signature and date lines. Have the owner use these. Although not all states require the title sign-off to be notarized, notary certification can help fend off concerns about fraud, theft and legitimacy of the title.

5

Obtain proof of sales tax if you paid out-of-state sales taxes. Some states tax incoming vehicles unless the owner already paid sales tax in another state. Dealers and smaller auto sales companies always charge tax and issue proof. However, if you are buying from a private party, you may not be paying taxes, in which case you may be subject to additional fees and taxes when registering your car.

6

Pay with a cashier's check or money order so that you have proof of payment. This provides additional proof of ownership in case your state's department of motor vehicles has questions or concerns.