What You Need to Do to Transfer a Car Title

To transfer a car title in California, you complete a form called the process for Title or Registration (REG 343), sign it in front of a notary public, and submit it to the California Department of Motor Vehicles (DMV) along with the current title, a bill of sale, and proof of smog certification. The DMV processes the transfer and mails you a new title in the buyer's name. The whole process takes about two to three weeks from the date the DMV receives your documents.

The exact steps depend on whether you are the seller transferring ownership to someone else, or the buyer receiving ownership. Both parties have separate responsibilities, and missing a step can delay the transfer or create legal problems later.

Key Takeaways

  • The seller must sign the title in the designated area, have the signature notarized, and provide a bill of sale showing the sale price and date.
  • The buyer must submit the signed title, bill of sale, and a completed REG 343 form to the DMV within 10 days of purchase to avoid penalties.
  • California requires a smog certification for most vehicles before the title can transfer, unless the car is brand new or exempt.
  • The DMV charges a title transfer fee that varies based on the vehicle's value, typically between $15 and $250.
  • Both the seller and buyer should keep copies of all documents for their records, and the seller should not sign the title until the buyer is ready to submit it.

What the Seller Must Do Before Handing Over the Title

As the seller, you need to sign the back of the title in the area marked "Signature(s) of Registered Owner(s)." Do not sign it until you are certain the buyer is ready to submit the paperwork to the DMV. Once you sign, the title is no longer valid in your name, and if the buyer does not complete the transfer, you could face liability if the car is involved in an accident or crime.

After you sign the title, you must have your signature notarized. You can get a notary at most banks, the DMV office itself, or a notary public service. The notary will verify your identity and witness your signature. This costs between $5 and $15 depending on the notary.

You also need to provide the buyer with a bill of sale. California does not have a required form, but you can use the Notice of Transfer and Release of Liability (REG 138) or write a straightforward document that includes the vehicle identification number (VIN), the sale price, the date of sale, and both your signatures. The bill of sale proves the transaction took place and at what price, which the buyer will need for the DMV.

Getting a Smog Certification

California requires a smog certification for most vehicles before the title can transfer. The car must pass an emissions test at a Bureau of Automotive Repair (BAR) certified smog station. You can find certified stations on the California Air Resources Board website or by searching "smog check near me."

The smog test costs between $30 and $70 and takes about 30 minutes. If the car passes, the station gives you a certificate with a reference number. If it fails, you must repair the vehicle and retest. Some vehicles are exempt from smog certification: cars less than four model years old, electric vehicles, and vehicles with a gross vehicle weight rating over 14,000 pounds.

The smog certificate is valid for 30 days, so time the test close to when the buyer will submit the paperwork to the DMV. The buyer will need the reference number from the smog certificate to complete the transfer.

What the Buyer Must Submit to the DMV

The buyer has 10 days from the purchase date to submit the transfer documents to the DMV. Waiting longer can result in penalties and late fees. The buyer needs to submit:

  • The original title, signed and notarized by the seller
  • A completed process for Title or Registration (REG 343), signed by the buyer
  • The bill of sale showing the sale price and date
  • The smog certification reference number or proof of exemption
  • Proof of California vehicle insurance
  • Payment for the title transfer fee

The buyer can submit these documents in person at a DMV office, by mail, or through an authorized third party such as a car dealership or a DMV-authorized service. If submitting by mail, send the documents to the DMV office that covers the buyer's county of residence. Include a check or money order for the transfer fee.

Understanding the Title Transfer Fee

The DMV charges a fee to transfer the title. The amount depends on the vehicle's value as determined by the DMV's valuation schedule. For vehicles valued under $5,000, the fee is typically $15 to $50. For vehicles valued between $5,000 and $20,000, the fee ranges from $50 to $150. For vehicles over $20,000, the fee can reach $250 or more.

The buyer pays this fee when submitting the transfer documents. If the buyer is financing the vehicle, the lender may handle the title transfer and fee as part of the loan process. If the buyer is paying cash, they are responsible for paying the fee directly to the DMV.

Some buyers and sellers use a third-party service to handle the transfer. These services charge an additional fee, usually between $50 and $200, but they handle all the paperwork and submission on behalf of both parties.

What Happens After You Submit the Documents

Once the DMV receives the complete transfer packet, they process it and mail a new title to the buyer's address within two to three weeks. During this time, the buyer can legally drive the car with proof of insurance and the bill of sale, but they should not register the vehicle for parking or other purposes until the new title arrives.

If the DMV finds an error or missing document, they will mail a notice to the buyer asking for corrections. This delays the transfer by another week or two. Common mistakes include a missing notary signature, an incomplete REG 343 form, or a missing smog certificate reference number.

Once the new title arrives, the buyer's name appears as the registered owner. The seller's liability for the vehicle ends on the date the DMV receives the transfer documents, not when the new title arrives. This is why the seller should keep a copy of the submitted documents as proof of the transfer date.

Special Situations: Loans, Gifts, and Out-of-State Titles

If the car has a loan against it, the lender's name appears on the title as a lienholder. The seller cannot transfer the title until the loan is paid off. The seller must contact the lender and request a lien release, which is a document stating the loan is satisfied. The lender mails this to the seller, and the seller includes it with the title when transferring to the buyer.

If the car is a gift, the buyer still completes the same transfer process, but the bill of sale shows a sale price of $0. The DMV may assess a gift tax based on the vehicle's value, which varies by county. The buyer should check with their local county assessor's office to confirm the tax amount.

If the title is from another state, the buyer must first obtain a California title. This requires submitting the out-of-state title, proof of California residency, proof of insurance, and the smog certificate to the DMV. The DMV issues a California title, and the buyer then follows the standard transfer process.

Frequently Asked Questions

Can I transfer a title if the seller is deceased?

No, not through the standard process. The title must transfer through the seller's estate, which requires a court order or probate documents. The executor or administrator of the estate must submit these documents along with the title to the DMV. This process takes several months and may require a lawyer.

What if I lose the title before I can transfer it?

You can request a duplicate title from the DMV by completing a REG 227 form and paying a $4 fee. The DMV mails the duplicate within two to three weeks. You can then proceed with the transfer using the duplicate title.

Do I need to register the car before transferring the title?

No. The title transfer and vehicle registration are separate processes. You transfer the title first, and once the new title arrives, you can register the vehicle if you plan to drive it regularly. Registration is required only if you want to obtain license plates.

How long does the buyer have to transfer the title after purchase?

The buyer has 10 days from the purchase date. If the transfer is not submitted within 10 days, the DMV charges a late fee of $50 to $100 in addition to the regular transfer fee. The seller may also face liability if the vehicle is used illegally during this period.

Can a third party handle the title transfer for me?

Yes. A DMV-authorized service, car dealership, or attorney can submit the transfer documents on your behalf. You must sign a power of attorney form authorizing them to act for you. These services typically charge $50 to $200 for handling the transfer.