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When buying from a private seller, you must obtain the original Certificate of Title. The seller needs to sign the back of the title in the "Assignment of Title" section, including the date and odometer reading. Ensure the seller's name matches the name on the front of the title. If there is a lienholder listed, the seller must provide a lien release letter from the lender stating the loan has been paid in full.
Yes, a Bill of Sale is required. It doesn't need to be a complex legal document, but it must include the date of sale, the purchase price, the names and addresses of the buyer and seller, and a description of the vehicle (VIN, make, model, year). Both parties must sign it. The RMV will need this to process your registration.
You do not pay sales tax to the seller; you pay it to the RMV. The Massachusetts sales tax rate is 6.25%. Crucially, the tax is calculated based on the higher of two amounts: the actual purchase price written on the Bill of Sale OR the NADA (National Automobile Dealers Association) trade-in value of the vehicle. If you got a "great deal" below book value, be prepared to pay tax on the book value instead.
When buying from a private seller, you must obtain the original Certificate of Title. The seller needs to sign the back of the title in the "Assignment of Title" section, including the date and odometer reading. Ensure the seller's name matches the name on the front of the title. If there is a lienholder listed, the seller must provide a lien release letter from the lender stating the loan has been paid in full.
Yes, Massachusetts has a unique "Lemon Aid" Law that applies to private sales. If you buy a car and it fails the safety or emissions inspection within seven days of the date of sale, and the estimated cost of repairs exceeds 10% of the purchase price, you may be able to void the sale and return the car for a refund. To be protected, you must get the car inspected immediately after registering it.
Master the Art of Private Car Sales in Massachusetts: Essential Tips and Resources.
View Massachusetts Guide
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