Paperwork When Buying a Car in New Jersey
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When you buy a vehicle from a private seller, he or she will give you a signed-off title, which you'll also need to sign. Make sure the information on the title is correct before you sign it.
Take the title to your local MVC agency to transfer the title and register the car in your name. You'll need to show proof of insurance, the signed-off title, and a sales tax form.
You'll be required to pay 7% sales tax, unless the vehicle is exempt. Your transfer fee will be $20.
If you buy through a dealer, they will process the paperwork (usually for a fee).
It isn't necessary have the vehicle registered. However, the MVC states that buyer of the vehicle holds responsibility for getting the car registered after purchase.
You cannot buy or sell a vehicle without a title. In this case, the current owner must obtain a duplicate title before selling the vehicle.
Though not mandatory, a bill of sale is a wise document to keep on file. It serves as your proof of purchase and protects you against any possible down-the-road discrepancies. If needed, you can easily download a copy of this form from our Bill of Sale page.
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