Car Bill of Sale: What It Is, What to Include, and Why It Matters

A bill of sale is a simple document that most private car transactions need and most buyers forget about until something goes wrong. It’s not a title — it doesn’t prove ownership. It’s a receipt of the transaction itself: who sold what to whom, for how much, on what date.

That distinction matters. In a dispute about an “as-is” claim, an odometer reading, or a sale that happened between family members, the bill of sale is often the only documentation that proves what was agreed. This is part of the Used Car Buying Guide.

What a Bill of Sale Is (and Isn’t)

A bill of sale documents the terms of a vehicle transaction between two private parties. It records the sale price, the condition agreed to, and the identities of both buyer and seller.

What it is:

• Proof that a transaction occurred on a specific date at a specific price
• Documentation that the car was sold “as-is” (or with exceptions, if noted)
• Your protection if the seller later claims the car was stolen, or claims you never paid
• Required by some states for registration without a title

What it is not:

• A vehicle title or proof of ownership
• A substitute for completing a title transfer
• A guarantee of the car’s condition beyond what’s written on it
• A legally binding warranty unless it explicitly contains one

In most private party transactions, the bill of sale and the signed-over title travel together. The bill of sale proves the deal happened; the title transfer proves ownership changed hands.

Do You Actually Need a Bill of Sale?

It depends on your state and your situation.

States that require a bill of sale for registration: Several states — including California, Louisiana, Maryland, Montana, Nebraska, New Hampshire, Vermont, and West Virginia — require a bill of sale as part of the vehicle registration process, especially when no title exists or when the sale price affects the tax calculation.

Situations where a bill of sale is strongly recommended even if not required:

• Any private party transaction (not a dealership)
• Sales between friends or family members
• Any vehicle where the title is missing or delayed
• High-value transactions where the sale price needs documentation
• Vehicles being registered in a state that calculates sales tax based on the declared purchase price

Even when not legally required, a bill of sale costs nothing and takes five minutes to write. The downside of not having one — especially if the seller disputes the terms later, or if a government agency asks for proof of purchase — is significant.

What to Include

A legally useful bill of sale needs enough detail to be unambiguous. At minimum, include:

Vehicle information:

• Year, make, model, and body style
• VIN (17-character Vehicle Identification Number)
• Color
• Odometer reading at the time of sale

Transaction information:

• Sale price (in words and numerals)
• Date of sale
• Whether the vehicle is sold “as-is” or with specific representations (e.g., “seller warrants the engine starts and runs”)
• Payment method (cash, cashier’s check, etc.)

Party information:

• Full legal name of seller
• Seller’s address
• Full legal name of buyer
• Buyer’s address

Signatures:

• Seller’s signature
• Buyer’s signature
• Date of each signature
• Notarization (required in some states — see below)

The odometer disclosure is worth emphasizing: federal law requires the seller to disclose the mileage at the time of sale for vehicles under 10 years old. The bill of sale is a good place to capture this in writing even if the title itself also has an odometer disclosure section.

When Notarization Is Required

Most states do not require a notarized bill of sale for a routine private party transaction. States that do require notarization (or a dealer affidavit) in certain situations include Louisiana, Montana, Nebraska, New Hampshire, and West Virginia.

Notarization becomes more important when:

• The vehicle has a branded or reconstructed title
• The sale occurs across state lines and the buyer is registering in a state with stricter documentation requirements
• The vehicle is worth enough that future disputes are genuinely plausible

When in doubt, notarization costs $5–$15 at most banks, UPS stores, or shipping centers. It’s a minor insurance policy.

“As-Is” Language

Most private party car sales are “as-is,” meaning the buyer accepts the vehicle in its current condition with no guarantee about what might break after the sale. The phrase “as-is” on a bill of sale is your documentation that this was the agreement.

Without written “as-is” language, a buyer could theoretically argue they were promised a working vehicle — or that the seller represented certain features that turned out not to exist. In practice, courts are skeptical of such claims without evidence, but the bill of sale removes any ambiguity.

If the seller makes specific representations about the vehicle (“transmission was rebuilt 10,000 miles ago,” “AC was recharged last month”), you can include those in the bill of sale too. This protects the buyer if those claims turn out to be false.

A Note on Bill of Sale vs. Title

Some buyers, particularly when purchasing from out of state or when a title is delayed in the mail, try to use a bill of sale as a temporary substitute for a title. In most states, this does not work for registration — a bill of sale establishes that a transaction occurred but does not transfer legal title to the vehicle.

The only exception is in states that issue a “certificate of ownership” or allow registration via bill of sale when the vehicle is very old (pre-1970 in many states) or when the title never existed. Check your state DMV’s requirements before assuming a bill of sale alone is sufficient.

For a full walkthrough of the title transfer process, see the title transfer guide.

State-Specific Forms

Several states have official bill of sale forms available through the DMV. Using the state’s official form is recommended when it exists — it’s pre-formatted to include all required fields for that state’s registration process.

States with official DMV bill of sale forms or requirements include:

• California — DMV REG 135
• Texas — Form VTR-203
• Florida — HSMV 82050
• New York — MV-912
• Virginia — VSA 4

For states without an official form, a simple written document meeting the requirements above is legally sufficient. Keep a signed copy — both buyer and seller should have one.

Frequently Asked Questions

Is a bill of sale required to sell a car? Not in most states for the transaction itself, but several states require one to complete vehicle registration. It’s strongly recommended for all private party transactions regardless of whether it’s legally required.

Can I write a bill of sale by hand? Yes. A handwritten bill of sale is legally valid as long as it includes the required information and is signed by both parties. Typed versions are easier to read and keep, but there is no legal requirement for a specific format.

Does a bill of sale transfer ownership of the vehicle? No. A bill of sale documents the transaction. Ownership transfers through a signed title. Both documents are typically needed to complete a title transfer at the DMV.

What if the seller won’t sign a bill of sale? A seller who refuses to sign a bill of sale is a red flag. It may indicate they don’t actually own the vehicle, the car has outstanding liens, or the seller is trying to avoid creating a paper trail. Before purchasing any vehicle, run a Bumper VIN check to verify the title is clean and the ownership history is clear.

Does a bill of sale need to be notarized? Not in most states for a routine private party transaction. States that do require notarization in certain circumstances include Louisiana, Montana, Nebraska, New Hampshire, and West Virginia. When in doubt, notarization costs $5–$15 at most banks and shipping stores — a small price for extra legal protection.

What does “as-is” mean on a bill of sale? “As-is” means the buyer accepts the vehicle in its current condition with no guarantee about what may break after the sale. Including explicit “as-is” language in the bill of sale documents that both parties agreed to this — it protects the seller from claims that the vehicle was misrepresented, and confirms the buyer understood what they were purchasing.

How long should I keep a bill of sale? Indefinitely. Store it with your other vehicle documents. It may be needed for future title questions, insurance disputes, or proof of purchase price if you’re ever audited on a sales tax calculation.

For the complete paperwork checklist covering everything you’ll need at the DMV after purchasing a used car, see the car buying paperwork checklist.

Run a Bumper VIN Check — Verify Title, Ownership & History Before You Buy →

Part of Used Car Buying Guide — The Used Car Buyer’s Ally

*Check your specific state requirements for the most accurate and up to date requirements. Requirements can vary by state.