Ova

What is needed to sell a car in California?

Published in California Car Sale 5 mins read

Selling a car in California requires a clear understanding of the necessary documentation and legal steps to ensure a smooth and compliant transfer of ownership. The primary requirements involve specific DMV forms, a valid smog certification, an accurate odometer reading, and the vehicle's title.

Essential Documents and Steps for Selling Your Car

To successfully sell your vehicle in California, you'll need to gather and complete several critical items. Failing to complete these steps can lead to legal complications or future liability.

1. Complete DMV Transfer Forms

The seller is responsible for formally notifying the California Department of Motor Vehicles (DMV) about the sale. This protects you from future liability related to the vehicle, such as parking tickets, accidents, or registration fees, once it's no longer in your possession.

  • Release of Liability (REG 138): This is a crucial document that the seller must complete and submit to the DMV within 5 days of selling the vehicle. It officially informs the state that you are no longer the owner. You can complete this online through the California DMV website.
  • Notice of Transfer: While often referred to separately, submitting the Release of Liability (REG 138) serves as your official "Notice of Transfer" to the DMV, fulfilling this requirement from the seller's perspective. The buyer will handle the full transfer of ownership at the DMV.

2. Obtain a Smog Certification

In most cases, the seller is responsible for providing the buyer with a valid smog certification. This certificate verifies that the vehicle's emissions meet California's environmental standards.

  • Validity: The smog certificate must be issued within 90 days of the sale date.
  • Exemptions:
    • Vehicles manufactured before 1976.
    • Electric vehicles.
    • Gasoline-powered vehicles manufactured eight model years or less prior to the current year (unless specifically selected for audit).
    • Diesel-powered vehicles from 1998 and newer with a gross vehicle weight rating (GVWR) of 14,000 pounds or less.
    • Motorcycles.
    • Trailers.
  • Finding a Station: You can find a STAR smog check station on the California Bureau of Automotive Repair (BAR) website.

3. Provide an Accurate Odometer Reading

The vehicle's odometer reading is essential for accurate title transfer and fraud prevention.

  • Requirement: The seller must disclose the vehicle's mileage on the title (pink slip) or on a separate Vehicle/Vessel Transfer and Reassignment Form (REG 262).
  • Exemptions: Vehicles that are 10 years old or older are typically exempt from odometer disclosure requirements.
  • Accuracy: It is critical to ensure the reading is accurate at the time of sale.

4. Vehicle Title (Pink Slip)

The vehicle's title is the most important document for proving ownership and transferring it legally.

  • Signature: The seller must sign the vehicle's title in the designated area to transfer ownership to the buyer. If there are multiple registered owners, all listed owners may need to sign.
  • Lienholders: If there is an outstanding loan on the vehicle, the title will have a lienholder listed. You will need to satisfy the loan, and the lienholder will then send a lien release, allowing the title to be signed over to the buyer.

5. Bill of Sale

While not always legally required by the DMV for private sales, a bill of sale is highly recommended as a detailed record of the transaction for both the buyer and the seller.

  • Content: A comprehensive bill of sale should include:
    • Date of sale.
    • Full names and addresses of both buyer and seller.
    • Vehicle make, model, year, and Vehicle Identification Number (VIN).
    • Final sale price.
    • Odometer reading at the time of sale.
    • Signatures of both parties.
  • Proof of Purchase: It serves as crucial proof of purchase and can be a reference if any disputes arise.

General Requirements and Best Practices

Beyond the legal necessities, some general practices can streamline the selling process and build trust with potential buyers.

  • Maintenance Records: While not legally required, providing a history of maintenance and repairs can reassure buyers about the car's condition.
  • Keys and Manuals: Ensure you hand over all sets of keys and the owner's manual.
  • Clean Title: Verify your title is clear of any liens or judgments before listing your car for sale.

Summary of Key Seller Responsibilities

For quick reference, here's a table outlining the seller's primary responsibilities:

Requirement Seller's Action Notes
Release of Liability (REG 138) Complete and submit online or by mail within 5 days of sale. Protects seller from future liability.
Smog Certification Provide buyer with a valid certificate issued within 90 days of sale. Seller's responsibility unless specific exemptions apply or agreed otherwise.
Odometer Reading Disclosure Accurately record mileage on the title or REG 262 form. Required for most vehicles less than 10 years old.
Vehicle Title (Pink Slip) Sign over the title to the buyer. Ensure all owners sign; clear any liens beforehand.
Bill of Sale (Recommended) Create and sign a detailed document with the buyer. Provides a written record of the transaction.

By diligently following these steps, you can ensure a legally compliant and smooth sale of your car in California.