Motor Vehicle Bill of Sale (10+ Free Forms & Templates)

Motor Vehicle Bill of Sale

A vehicle bill of sale refers to a legally binding document which transfers a car’s ownership from one person to another. It specifies the details of the transaction, but it varies in content depending on the place of the sale. However, it serves as proof of vehicle ownership and makes an outstanding personal record.

A car bill of sale is usually regulated by the state where the transaction takes place. Some states offer a specific vehicle bill of sale that should be used during the selling process. That means that you will need to review the local and state websites to ensure your vehicle bill of sale is complying with all bylaws and laws as well. It should also be dated and signed by both parties. Depending on the state, you might also require notarizing a vehicle bill of sale.

Components of a Vehicle Bill of Sale

Passing a car from one party to another is not a complicated process. However, it should go through the official legal pathways. The particulars of what should consist of a vehicle bill of sale vary from one state to another. For example, some states require a notary public to notarize a bill of sale form for a vehicle. Others might require the reading of the odometer to be recorded. Ensure that you check your state or local website for details. Here are some of the main elements of a car bill of sale.

Seller and buyer details

This section includes all the names of the sellers and buyers because there can be more than one seller or buyer at times. That is usually common among married couples who place both their names on a car. You should also include the street addresses of both parties and other relevant information as well. The sellers should also identify themselves as the owners and explicitly outline that they are transferring the property in question to the buyer.


For the vehicle bill of sale to be considered legal, you should have official witnesses. This section must include the full names and street addresses of the vehicle bill of sale’s witnesses.

Property description

This section includes all relevant vehicle information, including model, make vehicle identification number, seller registration number, year, and physical details like color, odometer reading, and condition. If the title of the car has been applied for previously, this should also be specified as well.

Location of the property

This part of the motor vehicle bill of sale shows the location of the property being sold. Generally, this includes only the basic location information such as county, city, state, and zip code.


If the car is under warranty, you should include all the documents about the coverage of the warranty. If the vehicle has no warranty, ensure that you include a clause in the agreement that makes it clear that the buyers will assume responsibility for all damages and repairs.


This clause stipulates that the transferred vehicle has been inspected by the buyer and that the seller renounces any warranty when it comes to the condition of the property. Hence, the vehicle bill of sale form affirms that the buyer is knowingly purchasing the car in its present condition during the sale.

Sales tax

This part will outline how sales tax will eventually affect the price of the vehicle. The sales tax can either be added to the buying price or included in the prices.

Vehicle identification number (VIN)

A vehicle identification number is typically a serial number for any automobile. It’s 17 characters long and is a combination of alphabets and numbers. Each digit or character has a unique purpose. It displays the uniqueness and heritage of a vehicle and can be utilized to track guarantee, warranty claims, registrations, insurance coverage, thefts, and recalls.


If you are trading in one property for another, then the trade-in agreement will certify the present value of every property to ensure that both parties are getting the right value for that form of exchange.

Prices and payment information

This section should specify the buying price the purchaser will pay for the vehicle, the payment method, payment schedule, and the amount due, including the date that payment is due and the number of installments. Options of payment methods include personal check, cash, certified check, or money order, among others.


This section of the vehicle bill sale is used to ascertain whether the property is being sold as a gift to the buyer. If it’s sold as a gift, this should be specified in the document, and the relationship between the parties should also be declared. However, you should note that it will include some tax requirements for that calendar year, as well.


The signatures should appear at the end of the document and follow a declaration showing the agreement of both parties to the terms of the property sale, verifying that the information found in the bill of sale form is under penalty of falsification. It should include all the signatures of the sellers, buyers, and witnesses beside their printed full names and the date the vehicle bill of sale will be signed as well.

Free Bill of Sale Forms

Bill of Sale Sample Form 01

Bill of Sale Sample Form 02

Bill of Sale Sample Form 03

Bill of Sale Sample Form 04

Car Bill of Sale Sample Form 01

Car Bill of Sale Sample Form 02

Motor Vehicle Bill of Sale Sample Form 01

Motor Vehicle Bill of Sale Sample Form 02

Motorcycle Bill of Sale Sample Form

Used Car Bill of Sale Sample Form

Bill of Sale Sample Form 05

Motor Vehicle Bill of Sale Sample Form 03

Bill of Sale vs. Title Transfer

Although a vehicle bill of sale is a crucial part of the selling process, it doesn’t prove ownership of the vehicle in any way. However, a title transfer proves ownership of a car and finalizes the whole transaction. Therefore, to complete the sale process, you should transfer the title right away. A legally binding vehicle bill of sale makes the lives of the sellers and buyers pretty easier.

Protection a vehicle bill of sale provides

A vehicle bill of sale transfers or assigns the buyer the rights to the vehicle in question. When dealing with used vehicles, having this document will be of great assistance in the sale process. A car bill of sale might serve as one of the essential papers that enable a buyer to prove ownership, especially when you are trying to get car insurance.

If any issues arise later, the vehicle bill of sale will help the buyer or the seller to prove their case. Besides, the document serves as proof that the buyer has bought the vehicle and owns it. Moreover, you need the document for taxation and accounting purposes.

To prevent frauds, you should ensure that the used vehicle should is registered with a bill of sale form, using verified and correct information and also completed in all respects. If the seller refuses to document the sale in vehicle bill of sale, avoid making any deal with them or try to convince them for the same. In conclusion, a vehicle bill of sale makes selling and buying of used vehicles more professional, comfortable, and reliable and should be considered.

Related Posts