Selling your used car will go much more smoothly if you take the time to familiarize yourself with the Texas Department of Motor Vehicles (DMV) requirements for title transfers.

Transferring Titles When Selling Used Cars

Titles are required to show legal ownership of a vehicle, so completing the title transfer process is an important step in selling used cars. When you sell your vehicle, you should provide the buyer with:

• The car title, including the date of sale and a correct odometer reading.
• A signed title application, clearly stating the price he or she has paid for the vehicle.
• A bill of sale.
• The Texas vehicle registration receipt.
• Any supporting documents that are required during the sell car and title transfer processes, such as a lien release or power of attorney forms.

The buyer may also request a record of the date of the vehicle sale; your name and address; and the VIN, make, and model of the vehicle they are purchasing. Keep in mind that many buyers will order a Vehicle History Report (VHR) as well.

It is a good idea to accompany the buyer of your vehicle to the county tax office in order complete the title transfer. This will help ensure that all the correct paperwork has been filled out and identify any potential legal problems associated with the sale of the vehicle.

If you are unable to accompany the buyer to the county tax office, you should submit a vehicle transfer notification within 30 days of the sale. This document provides you with legal protection in the event the buyer of your vehicle fails to complete the title transfer process in a timely fashion.

Keep Your Used Car's License Plates

When you sell your vehicle, you should keep your license plates and remove your registration sticker from the vehicle. If you're purchasing a vehicle of the same class and your plates are less than seven years old, you can have them transferred to the car you purchase as a replacement. The TX DMV charges a $5 fee to transfer the plates, however.