KKoumen Tools PRO

Bill of sale — the as-is record of a private sale.

Vehicle, boat, trailer or equipment. Fill it in, print it, both parties sign. Nothing leaves this tab.

Free today: 3/3 documents, first 2 units of detail filled in. All-Access removes both limits.

Nothing is uploaded. The form is assembled in this tab and printed by your own browser, which is also why the file has no watermark.

No document yet
—
Word—
Figures—
Clauses—

A bill of sale is a record, not a contract of sale for real property. Keep the signed original, hand a copy to the buyer, and keep the title transfer receipt from your state's motor vehicle office with it.

What a bill of sale has to prove

A bill of sale is a one-page record of a private transfer: who sold what to whom, on what date, for how much, and in what condition. That is all it is, and that is why it is short. It exists so that two strangers who will never speak again have an identical account of the transaction six months later, when one of them is standing at a counter with a clerk asking where the vehicle came from.

The document does two jobs at once. For the state it is evidence of the price paid — most motor vehicle offices charge sales or use tax on that figure, and several require the bill of sale itself to register a vehicle bought from a private party. For the parties it is evidence of condition. The clause that carries the second job is the as-is sentence, and it is the sentence most handwritten versions leave out.

What belongs on the form, and why

  1. Both full legal names, spelled as they appear on ID. A nickname on the bill of sale and a legal name on the title creates a mismatch that a clerk will send back. If the buyer is financing, the lender's name goes on as lienholder, not as buyer.
  2. The VIN, exactly 17 characters. This is the field that does the real work. Odometer fraud, cloned titles and stolen vehicle checks are all run against the VIN. A single transposed character means the record does not match the title database, and the correction has to be made by the person who signed it.
  3. The odometer reading, and whether it is actual. Federal rules require an odometer disclosure on vehicles under 20 model years old and under 16,000 lbs, and many states fold that statement into the bill of sale. Writing “actual mileage” when you do not know is a misrepresentation.
  4. The price in figures and in words. Words are the tie-breaker when a digit is ambiguous. $8,450 and “eight thousand four hundred fifty dollars” cannot be read as two different amounts.
  5. The lien statement. “None” is a meaningful answer. If a loan is still open, the buyer needs to know before they hand over cash, because the lender holds the title until it is paid.
  6. Both signatures and the date. Electronic signatures are valid for this purpose under the federal ESIGN Act and most state UETA statutes, but a printed page with wet ink is what a small-town title office expects, and it costs nothing to provide both.

A worked example: a 2016 CR-V, $8,450

Dana sells a 2016 Honda CR-V EX with 104,350 miles to Marcus for $8,450 in cash on 14 March. The title is clear, so the lien line reads “None”. The bill of sale lists the VIN as 5J6RM4H73GL012345, the price as $8,450 and “eight thousand four hundred fifty dollars”, the payment as cash, and one disclosed defect: a scuffed rear bumper. The as-is box is ticked, and a short note states that the buyer inspected the vehicle and accepts it in its present condition.

Two things happen next, and both need that page. Marcus takes it, with the signed title, to the county motor vehicle office, which charges tax on $8,450 and issues a new title in his name. Dana keeps a copy and files a notice of release of liability with the state the same week, which is what stops tickets and towing charges from following the plate back to her. If Marcus's transmission fails in April, the as-is clause is the difference between a conversation and a claim: he bought a nine-year-old vehicle with 104,350 miles for roughly a third of its original price, and the seller disclosed what she knew.

Now vary one field. Suppose Dana had written $4,000 to lower Marcus's tax. The state assesses tax on the higher of the stated price and its own value table, so the saving is usually zero; the real effect is that Marcus's only written record of what he paid now says $4,000, which is the number a court would use if he later sued over a misrepresented vehicle. Understating the price is the most common mistake on this form and it almost never pays.

Where these forms go wrong

How this compares with a dealer form

Dealers use state-approved buyer's orders that bundle financing terms, trade-in values, doc fees and arbitration clauses. A private sale has none of that, so a two-page dealer form mostly adds blanks you have to strike out. A one-page bill of sale with the VIN, odometer, price, lien statement and as-is sentence covers what a private transfer actually needs, and it is short enough that both parties read it before signing.

Questions

Does a bill of sale have to be notarized?

It depends on the state and on what the document is for. Several states require a notarized bill of sale to title a vehicle or to register a boat, while others accept a plain signed copy. Some states, Louisiana among them, require a notarized affidavit for a vehicle transfer. A notarized document is never rejected for being notarized, so if you cannot confirm the rule in time, notarize. The template has an optional notary block you can leave blank or print.

What does as-is mean on a bill of sale?

It means the buyer takes the property in its current condition, with every fault that exists now, and the seller is not promising that it works, that it will keep working, or that it is fit for any particular use. The phrase matters because of the implied warranty of merchantability, which a court can otherwise read into a sale by a dealer. As-is language does not cancel outright fraud: if the seller hides a known defect or rolls back the odometer, the clause will not save them.

Can I write a bill of sale myself?

Yes. A bill of sale is not a formal instrument in most states, and a handwritten page with the parties, the property, the price, the date and both signatures is enforceable. What a handwritten note usually misses is the details a clerk will ask for at the title office: the VIN, the odometer reading, the buyer's full legal name as it appears on their licence, and the lien statement. Filling those in takes two minutes and avoids a second trip.

Do I need a bill of sale to sell a car privately?

In most states the title is the transfer document, and the bill of sale is the supporting record of price and condition. The buyer usually needs it to register and to pay sales or use tax, and the seller needs a copy to show the vehicle left their name. Several states provide their own form and require it specifically. Keep a signed copy for at least as long as your state's statute of limitations on contract claims, which is typically three to six years.

What should I do if the buyer pays in cash?

Count it at a bank, not in a parking lot, and write the amount in both figures and words on the bill of sale. Note the payment method on the form. If the sale is over the threshold your bank reports, a cash deposit can trigger a currency transaction report, and a bill of sale showing a matching amount and date is the document that explains it.

Does the sale price on the form affect taxes?

Usually yes, because many states charge sales or use tax on the purchase price, with a minimum assessed value for vehicles. Writing a lower figure than you paid to reduce tax is a misrepresentation on a document the state collects, and it also caps what the buyer can claim if the sale goes wrong. Write the real number.

More contract tools

All legal tools →

Free: 3 documents a day, first 2 units of detail

All-Access removes the daily counter and fills in every field, on this tool and on every other file tool. One payment, no subscription.