The Complete Guide to Creating a Bill of Sale for Your Car

When you’re selling your vehicle, one of the most important steps is creating proper documentation. A bill of sale for your car serves as official proof that the transaction occurred and captures all the essential details about both the vehicle and the sale terms. While not every state mandates this document, having one is highly recommended—it protects both you and the buyer by creating a clear written record that minimizes confusion and potential disputes down the road.

Understanding What Goes Into a Proper Bill of Sale

So what exactly should a bill of sale for your car contain? Think of it as a snapshot of the transaction that captures the who, what, when, and how much. Here are the critical components you’ll need to include:

The transaction date. Start by recording when the sale is taking place. This timestamp is crucial for legal documentation.

A detailed vehicle description. Include the car’s year, make, and model. You’ll also need to add the Vehicle Identification Number (VIN), the current mileage on the odometer, and the license plate number. These specific identifiers ensure there’s absolutely no confusion about which vehicle changed hands.

The agreed-upon sale price. Clearly state the amount the buyer is paying. If the vehicle is being transferred as a gift or partial gift, document that too—note whether it’s a full or partial gift and include any payment amount if partial compensation occurred.

Warranty details. In most private transactions, vehicles are sold “as is,” which means the buyer accepts the car in its current condition with no guarantees. If you and the buyer have a different arrangement, spell it out in the bill of sale.

Full identification of both parties. Include the complete names, mailing addresses, and signatures of both the seller and buyer. Include a statement above the signature line affirming that the information is accurate and true to the best of your knowledge—language similar to: “I declare under penalty of perjury that the statements herein are true and correct to the best of my knowledge and belief.”

Step-by-Step: How to Write and Complete Your Vehicle Bill of Sale

You have two main pathways. First, check whether your state’s motor vehicle department offers an official bill of sale form. Visit your state’s DMV website (most end in “.gov”) and search for their downloadable bill of sale template. For instance, California’s Department of Motor Vehicles maintains an official form on www.dmv.ca.gov that residents can download and complete. While you’re browsing the site, confirm whether your state requires the document to be notarized—some states mandate that a notary public stamp the bill of sale as additional legal verification.

If your state doesn’t provide an official form, you have alternatives. Numerous websites offer free bill of sale templates you can download and customize, or you can simply write one from scratch yourself. The key is ensuring you capture all the elements listed above in a clear, organized format.

Getting Your Bill of Sale Signed and Finalized

Once you’ve completed the bill of sale for your car—whether using an official state template, a downloadable form, or one you’ve created—both the buyer and seller must sign it. Each party should receive a copy for their records. This protects everyone involved: you have proof you sold the vehicle, and the buyer has documentation of their purchase. Keep your copy filed safely in case questions arise later about the transaction.

Taking the time to prepare a thorough bill of sale demonstrates professionalism and protects both parties. It transforms a simple handshake deal into a documented transaction, which is especially valuable if any misunderstandings occur after the sale is complete.