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The most important document is the Certificate of Title (often called the pink slip), which is the legal proof of ownership. Never buy a vehicle without seeing the original title. Ensure the seller’s name on their driver’s license matches the name printed on the title. If the names do not match, or if the seller says they will "mail it later," do not proceed with the sale.
Most of our vehicles include a KarReport Vehicle History Report that provides details about the title type. Check for any "branded" titles, which indicate the vehicle was previously salvaged, flooded, or rebuilt. You may also purchase a KarReport through our platform to learn more about the vehicle’s full history.
While requirements vary slightly by state, it is always best practice to have a Bill of Sale. Even if your state DMV does not strictly require it for title transfer, it serves as your official receipt and legal proof of purchase. It should include the date of sale, purchase price, VIN, vehicle make and model, and the signatures of both buyer and seller.
In most states, you do not pay sales tax to the private seller. Instead, you pay the applicable state and local sales tax directly to your state DMV or tax office when registering the vehicle and transferring the title. The tax is typically calculated based on the purchase price or the vehicle’s fair market value.
Yes, absolutely. Private party sales are typically "as-is," meaning there is no warranty. Once you purchase the vehicle, any mechanical issues become your responsibility. Always arrange a pre-purchase inspection at a trusted repair shop. This small upfront cost can save you thousands of dollars in future repairs.
Avoid carrying large amounts of cash or using untraceable wire transfers. The safest payment method is usually a cashier’s check issued by your bank. For added security, meet the seller at a local bank branch to complete the transaction.
In most states, license plates remain with the seller or must be surrendered to the DMV upon sale. You generally cannot legally drive using the seller’s plates. Check your local laws; many states require obtaining a temporary operating permit (transit tag) before driving the vehicle home.
Yes. You must have valid auto insurance before driving on public roads. If you already have insurance, your policy may temporarily extend coverage to a new vehicle for a short grace period (typically 7–30 days). However, always confirm this with your insurance provider before driving.
After completing the purchase, your immediate next steps are: Insure it — ensure your insurance policy is active; Register it — visit your local DMV or tag office to pay taxes, transfer the title, and obtain license plates; Inspect it — complete any required safety or emissions inspections so registration can be finalized.