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Before you buy, use the Texas Department of Motor Vehicles (TxDMV) online Title Check service. You can enter the Vehicle Identification Number (VIN) to view the title's history. This free tool reveals if the title has been "branded" as salvaged, rebuilt, or flood-damaged. Verifying this information helps ensure the seller is the legal owner and protects you from potential issues.
While most personal vehicles in Texas no longer need an annual safety inspection as of 2025, an emissions test is still mandatory in the city of Dallas. This is because Dallas is located in a county that requires emissions testing. The rule applies to most gasoline-powered vehicles between 2 and 24 years old. You will need proof of a passing emissions test to register the car.
When purchasing a vehicle from a private party in Dallas, you are required to pay a 6.25% motor vehicle sales tax. This tax is based on either the price you paid or the vehicle's standard presumptive value, whichever is greater. You will also pay a title transfer fee and a registration fee when you visit a local Dallas County Tax Office to complete the transaction.
Although Texas state law doesn't mandate a bill of sale, getting one is a smart move for any private car purchase in Dallas. This document serves as your official receipt and provides legal protection. It should clearly state the date, sale price, vehicle details (year, make, model, VIN), and include the printed names and signatures of both you and the seller.
In Texas, license plates remain with the seller. The seller must remove their plates from the car before you drive it away. When you register the vehicle in your name at the tax office, you will be issued a new set of plates. For their own protection, the seller should submit a Vehicle Transfer Notification to the TxDMV to release their liability.
If the title indicates an active lien, the seller has not fully paid off their car loan. You cannot transfer ownership until the seller pays the remaining balance and the lender provides a lien release letter. Always confirm you have the original title and the official lien release document before finalizing the purchase to avoid any complications.