How to Sell a Car Privately in Alabama
Selling your car yourself in Alabama comes down to a signed title, the right paperwork, and a few steps people often miss. This guide summarizes what the Alabama Department of Revenue, Motor Vehicle Division and state law say, so you and the buyer can finish the transfer cleanly.
Transferring the title
- If the owner names on the title are joined by 'or', only one owner has to sign, and if they are joined by 'and', both must sign. revenue.alabama.gov
- Owners must sign and date the title application, and an undated signature can get the application rejected. revenue.alabama.gov
- The buyer applies for the new title through a designated agent such as a county license plate issuing official, a licensed dealer, or an Alabama bank or credit union. revenue.alabama.gov
- The buyer must hand in the outstanding title along with documents supporting the transfer. revenue.alabama.gov
- The title application fee is $15 for a motor vehicle, and agents and counties may add their own fees. revenue.alabama.gov
Notarization
- Alabama does not require the assignment of a title to be notarized. revenue.alabama.gov
Odometer disclosure
- For a transfer with a certificate of title, the mileage must be certified, and the mileage on the buyer's title application must exactly match the mileage written on the title assignment. revenue.alabama.gov
License plates
- License plates are to be removed by the registrant when the vehicle is sold or disposed of. revenue.alabama.gov
- The department says a plate may be movable to another vehicle the owner acquires, and the plate issuing office can confirm how. revenue.alabama.gov
Inspections and emissions
- An inspection by the licensing official or a deputy is required each time ownership changes, along with ownership documents such as a bill of sale. revenue.alabama.gov
- Emissions testing is not required for registration. revenue.alabama.gov
Taxes and fees the buyer pays
- For a private sale the seller does not collect tax, and the buyer pays state and local use tax when registering the vehicle in their home county. revenue.alabama.gov
- The guide states the state tax on automotive vehicles is 2 percent of the gross proceeds, plus any local taxes. revenue.alabama.gov
- A buyer must register the vehicle within 20 calendar days of acquiring it to avoid penalty or interest. revenue.alabama.gov
- The vehicle must have Alabama liability insurance before it can be registered. revenue.alabama.gov
Easy-to-miss rules in this state
- The buyer needs a physical Alabama address on the title application, and a P.O. Box can be used only as a mailing address when no lienholder is listed. revenue.alabama.gov
- The fine for not showing proof of current registration is a minimum of $50. revenue.alabama.gov
Frequently asked questions
Do I need a notary to sell a car in Alabama?
Alabama does not require the assignment of a title to be notarized.
Is an odometer disclosure required when selling a car in Alabama?
For a transfer with a certificate of title, the mileage must be certified, and the mileage on the buyer's title application must exactly match the mileage written on the title assignment.
What happens to the license plates when I sell my car in Alabama?
License plates are to be removed by the registrant when the vehicle is sold or disposed of. The department says a plate may be movable to another vehicle the owner acquires, and the plate issuing office can confirm how.
Official Alabama resources
- Alabama DOR: Titles FAQs
- Alabama DOR: Title Applications FAQs
- Alabama DOR: Registration FAQs
- Alabama DOR: Plates after a sale
- Alabama DOR: Automotive sales, use and lease tax guide
Next steps
Once you know the rules, create a free listing and print a QR code sign for the car window. For the general process, see our step-by-step private sale guide, the paperwork checklist, and how to get paid safely. Need paperwork? Use our free bill of sale generator.