Selling a vehicle in New York requires adherence to specific state regulations, as outlined in the New York State Department of Motor Vehicles (NYS DMV) guidelines for a valid transaction. The seller must compile all relevant documentation, including the vehicle's title, maintenance records, and any inspection reports generated during the pre-sale inspection process.
The specific laws and regulations governing the sale of a vehicle in New York can be found in the New York State Vehicle and Traffic Law, particularly in sections relating to the transfer of ownership, title certificates, and odometer disclosure requirements. These laws protect both parties by identifying any potential mechanical issues before the sale is finalized.
Non-compliance with these regulations can have serious consequences. Therefore, a thorough understanding and adherence to these regulations are essential for a successful and legally compliant vehicle sale.
Legal Requirements Before Selling a Vehicle in New York
Before selling a vehicle in New York State, sellers must understand and fulfill several legal obligations established by the New York State DMV, including:
Title Preparation
Before selling a vehicle in New York State, the seller must prepare the title for transfer to the buyer.
The seller must locate the original NYS Certificate of Title (MV-999). If the title is damaged, lost, or stolen, the seller must obtain a duplicate title by submitting an Application for Duplicate Certificate of Title (MV-902) at a motor vehicle office or online through the NYS DMV Replace Title Certificate portal. The fee for a duplicate title is $20.
Further, in-person applications require proof of identity and current address. In contrast, applications mailed to the DMV Title Bureau can include photocopies of identification, proof of address, and payment to the Commissioner of Motor Vehicles.
Once a duplicate title is issued, the original and previous duplicates become invalid and cannot be used for vehicle transfers.
Safety Inspection
Selling a vehicle registered in New York State requires a valid inspection sticker from a DMV-licensed inspection station. If the car passes, they will receive a report as proof of compliance. If the vehicle fails, the necessary repairs must be made, and a re-inspection is required before the sale can proceed.
This inspection must be completed before the ownership transfer and within 12 months of the previous inspection. It will cover various safety aspects of the vehicle outlined in the New York State Vehicle Safety/Emissions Inspection Program for Cars and Light Trucks (C-50) brochure.
Inspection Sticker
Upon passing inspection, a valid sticker will be issued.
If the inspection sticker becomes detached, the seller can reattach it using clear tape or a minimal amount of clear adhesive as long as it remains removable for future inspections.
In cases where the sticker is damaged beyond reattachment, the seller has two options. The seller can have the vehicle re-inspected or request a replacement by completing and mailing the Request for Replacement Inspection Sticker (VS-118) form, available as a PDF, to the address provided on the form.
Inspection Documentation
The DMV maintains records of all emissions inspections; proof of a passing inspection is necessary for registration renewal. If the seller has concerns about the inspection process or the inspection station, they can file a Vehicle Safety Complaint Report (VS-35) to this address:
Complaint Unit
Bureau of Consumer & Facility Services
Department of Motor Vehicles
P.O. Box 2700-ESP, Albany, NY 12220-0700
To file an electronic complaint:
- Download form VS-35 from the DMV website.
- Complete the form and gather any supporting documentation.
- Email the completed form and supporting documents to CSR@dmv.ny.gov.
Additional information on fees and inspection groups is available in the Inspection Groups and Fee Chart (VS-77) on the NYS DMV portal.
Emissions Testing
The seller must ensure the vehicle meets the state's emissions standards through an inspection, typically conducted at the same time as the annual safety inspection. The specific type of emissions inspection required depends on the vehicle's model year, fuel type, and weight.
Types of Emissions Inspections:
- On-Board Diagnostics Generation II checks engine light and diagnostic system on 1996+ gas and 1997+ diesel vehicles under 8,501 lbs.
- Low Enhanced inspection confirms emissions control devices on vehicles not requiring OBDII.
- Smoke Opacity test measures exhaust emissions on diesel vehicles over 8,500 lbs in the N.Y. Metro Area.
Additionally, diesel vehicles in New York must adhere to specific emission testing requirements before completing a sale. These requirements vary based on the vehicle's weight and registration location:
Diesel Vehicles Registered Within the Diesel Emissions Metropolitan Area (DEMA)
All non-exempt diesel vehicles with a maximum gross weight over 8,500 lbs, registered in New York City, Suffolk County, Nassau County, Westchester County, or Rockland County must undergo an annual diesel emissions inspection. This inspection must coincide with the annual safety inspection. There are no exemptions based on model year.
To determine if a specific vehicle is exempt, sellers can refer to section 79.2(h) of the NYS DMV Inspection Regulations (CR-79).
The annual diesel emissions inspection costs $25 in addition to the safety inspection fee.
Both odometer and safety inspections must be conducted at a DMV-licensed inspection station equipped to test diesel emissions. Sellers can utilize the Find a DMV-regulated business service to locate the nearest qualified station.
The vehicle will not be issued an inspection sticker until it successfully passes the safety and diesel emissions inspections. In the event of failure in either inspection, the seller has a 30-day window to have the vehicle re-inspected at the same station to avoid incurring additional fees.
Essential Vehicle Records
The New York State DMV maintains essential vehicle records that sellers should obtain. These records provide a comprehensive history of the vehicle and can be accessed online or by visiting a local DMV office.
The DMV's online Records Request Navigator allows sellers to conveniently request vehicle records. This portal guides sellers through the process, enabling them to provide the necessary information and documentation.
Vehicle Registration Record (Abstract)
This record contains essential vehicle registration details, including the current owner, plate number, vehicle identification number (VIN), and registration history.
To obtain this abstract, the seller needs the plate number or VIN. If these are unavailable, the seller can provide their name, date of birth, vehicle make, and year, along with a photocopy of their driver's license for verification.
Vehicle Title Record (Abstract)
The vehicle title record verifies the vehicle's ownership and lienholder information. To request this abstract, the seller needs the VIN. If the VIN is unknown, the DMV might locate the record using the registrant's name, date of birth, vehicle make, and year. A photocopy of the seller's driver's license is also required.
Seller's Driving Record
While not directly related to the vehicle, potential buyers may request the seller's driving record. This record details the seller's driving history, including accidents, violations, and license status.
The DMV offers three types of driving records: standard, commercial driver's license, and lifetime. Each type provides different levels of detail and can be obtained through the DMV's online portal or by mail.
Other Records
Sometimes, a seller may need to request records pertaining to another individual. This requires submitting a request through the DMV's Records Request Navigator and certifying a permissible use under the Driver's Privacy Protection Act (DPPA).
Should the seller wish to access another person's driving record, they may submit the Request for Driving Record Information (MV-15C) to the DMV office, adhering to the Freedom of Information Law guidelines.
Note that the DMV also maintains accident reports. While not mandatory for the sale of a vehicle, potential buyers could request these reports. The seller can proactively obtain accident reports involving the car they sell, as these records are kept for four years.
For assistance or inquiries, sellers can contact NY DMV Customer Help.
Selling a Vehicle with a Lien in New York
A vehicle seller with an existing lien must understand the title and lien status before proceeding with the sale. If the title has a lien, the seller needs a lien release from the lienholder.
Sellers can obtain status checks online by entering the VIN, model year, and make. The results will indicate the title issuance date and any existing liens, along with the lienholder's name and address. If a lien is not listed despite the seller fulfilling the necessary requirements, the lienholder should inform the DMV promptly through a Lienholder/Dealer Lien Inquiry (MV-910).
When selling a vehicle with a lien, removing the lien from the title certificate is unnecessary. The seller can provide the original title and the original lien release to the buyer.
However, if the seller wishes to obtain a lien-free title, they must mail the proof of lien satisfaction, the current title certificate, and a $20.00 payable to the Commissioner of Motor Vehicles to the address Lien Release NYS DMV Title Services 6 Empire State Plaza Albany, NY 12228-0331. The DMV will then send the lien-free title certificate within 60 to 90 days.
Additional Considerations for Dealers
New York State Vehicle and Traffic Law Section 2121(b) and Part 20 of the Commissioner's Regulations provide a process for vehicle dealers to obtain a lien-free title when a lienholder fails to provide the necessary paperwork promptly after the lien has been satisfied.
Suppose a dealer has arranged for the satisfaction of a lien on a vehicle intended for resale, but the lienholder needs to submit the lien release promptly. In that case, the dealer can request the DMV to issue a duplicate or new title certificate without the lien. This request must be submitted to the DMV Title Bureau.
Motor Vehicle Sales Tax in New York
The New York State sales tax rate for motor vehicles consists of the state rate (4%) and the local rate, which varies depending on the buyer's county of residence. In some areas, such as New York City, an additional Metropolitan Commuter Transportation District (MCTD) tax rate of 0.375% applies.
When selling a vehicle to a New York State automobile dealer, the seller must provide a Retail Certificate of Sale (MV-50) as proof of sale. If selling to an authorized out-of-state dealer, a completed Sales Tax Exemption (DTF-803) form is necessary. The dealer will be responsible for handling the sales tax payment.
For private sales, the seller and buyer must complete the Statement of Transaction (DTF-802) form. This form is then submitted to a DMV office, where the sales tax is calculated and collected based on the combined state and local rates. The DMV will issue a sales tax receipt upon payment.
If a vehicle is gifted or sold to a family member, the seller and buyer must still complete the DTF-802. This form can be used to claim a sales tax exemption for these specific types of transactions.
For further information on sales tax regulations, sellers can refer to the New York State Department of Taxation and Finance website or Tax Bulletin ST-825 (TB-ST-825).
Legal Requirements After Selling a Vehicle in New York
Understanding the legal requirements during and after a vehicle sale in New York is crucial for facilitating a smooth transfer of ownership and avoiding future complications. Here are the key points to note:
Odometer and Damage Disclosure Statement
When selling a vehicle in New York, the seller must disclose specific information about the vehicle's odometer reading and any damage history.
To do this, sellers must sign the damage disclosure statement on the back of the title certificate or attach a completed Odometer and Damage Disclosure Statement (MV-103). This statement must be complied with to provide the buyer with transparency regarding the vehicle's damage history.
For Salvaged Vehicles
Adhering to these disclosure requirements is crucial, especially for salvaged vehicles. Failure to do so could result in the inability to register or title the vehicle, effectively preventing its sale.
The seller should note that the NY DMV will not register or grant title to a salvaged vehicle without a completed salvage disclosure statement. Vehicles branded or identified as "Rebuilt Salvage" will be examined for stolen parts before registering or titling the vehicle.
Bill of Sale
The seller acknowledges that a bill of sale is a legal requirement in New York State to record the transfer of vehicle ownership to the buyer. The bill of sale is essential for the buyer to register the vehicle and obtain a title certificate in their name.
The seller is responsible for providing a completed bill of sale to the buyer. The New York State DMV provides a standard Vehicle Bill of Sale (MV-912) form that can be used. The form must include specific details, such as:
- The year and make of the vehicle
- The VIN
- The date of the sale
- The purchase price
- The printed names and signatures of both the buyer and the seller
If the vehicle is being transferred as a gift, this must be indicated on the bill of sale, with the purchase price listed as '$0'. In addition, DTF-802 must be filled out, indicating that the vehicle was a gift.
Note that the bill of sale is not the sole proof of ownership. It must be submitted to the DMV along with other required documents, such as the title certificate and proof of insurance.
Ownership Transfer
After selling a vehicle in New York, the seller must transfer ownership to the buyer to meet the state's legal requirements. The specific process varies depending on the vehicle type and model year.
Cars, Trucks, and Motorcycles (Model Year 1973 or Newer):
The seller must provide the buyer with the original New York State Certificate of Title or other acceptable proof of ownership from another state. To transfer ownership, the seller must record the buyer's name and sign the transfer section on the proof of ownership.
This section may require notarization depending on the state that issued the title. Additionally, the seller must complete and sign an MV-912 form. If the vehicle was a gift, Section 6 on Page 2 of DTF-802 must also be signed.
Cars, Trucks, and Motorcycles (Model Year 1972 or Older):
The acceptable proof of ownership for older vehicles is either a New York State Transferable Registration or acceptable proof from another state. The seller must sign the back of the transferable registration and provide a bill of sale.
In all cases, the seller must verify that the information on the proof of ownership is accurate and unaltered. If the seller has a title certificate that was previously transferred to them, they cannot use that title to transfer ownership again. Instead, they must apply for a new title certificate before transferring ownership to the buyer.
License Plate Removal
After selling a vehicle in New York, the seller must surrender the New York State vehicle plates to the DMV. This can be done by mail or in person at a DMV office.
To surrender by mail, the seller should confirm their current address with the DMV. Then, they should remove the vehicle's license plates and any registration or inspection stickers.
Furthermore, the seller needs to complete the Plate Surrender Application (PD-7) form and mail it along with the plates to the NYS DMV. The postmark date serves as the official surrender date.
Alternatively, the seller can visit a DMV office, bring the removed plates and the completed PD-7 form, and pay a $1 processing fee.
For personalized plates, the seller has several options:
- Replacing old or damaged plates
- Replacing them with the Excelsior style
- Getting different personalized or picture plates
- Transferring them to a new vehicle
- Storing them at a DMV office
Whether a refund is due upon surrendering the plates depends on various factors. For more details, the seller should refer to the DMV's information on registration refunds for surrendered plates.
How To Notify the New York DMV of the Sold Car?
Upon selling a vehicle, the seller must promptly notify the New York State DMV to release themselves from future liability associated with the vehicle. This notification process involves specific forms and procedures.
The seller must complete and submit Form DTF-802 to the New York State DTF. This form records the transaction and aids in calculating and collecting sales tax. The seller must also accurately complete the seller sections on the back of the title certificate.
Additionally, the seller and buyer must sign a bill of sale, even if the vehicle is a gift. This document provides proof of the transaction and protects both parties.
The completed Form DTF-802 can be submitted to any New York State DMV office or mailed directly to the NYS DTF. The processing time may vary, so it is recommended that documentation be submitted promptly to avoid any delays.