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Bill of sale

Reviewed by Clausery editors · · 3 min read

A written record of a private sale: who sold what, to whom, for how much, on what date, whether it is sold "as-is", and with signatures from both sides. Used for vehicles, equipment, trailers, boats and personal property.

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A bill of sale proves ownership transferred from seller to buyer on a specific date for a specific price. Many DMVs/tax authorities require one to register a vehicle, and it is the seller's proof the sale happened (useful if the buyer gets tickets or abandons the vehicle later).

For real estate use a deed; for large business assets have a lawyer review. For cars, motorcycles, boats, trailers, equipment, furniture, livestock or firearms (where legal), this template is the standard receipt-and-transfer record.

What to include#

  • Buyer and seller. Full legal names, addresses and (for vehicles) driver-licence numbers of both parties.
  • Property being sold. Detailed description — for a vehicle: year, make, model, VIN, odometer reading, colour, licence plate. For equipment: serial number and condition.
  • Purchase price and payment. Sale price in words and figures, payment method (cash, cheque, bank transfer, trade-in), and any deposit paid.
  • As-is and warranties. Most private sales are "as-is, where-is" with no warranties; state that clearly so the seller is not on the hook for later defects.
  • Signatures and date. Both buyer and seller sign and date; some jurisdictions also require a witness or notary. Each keeps an original copy.

How to fill it in#

  1. Step 1: Gather the details

    Year, make, model, VIN/serial, odometer reading, condition, price and the buyer's full name/address/licence.

  2. Step 2: Disclose known defects

    In most jurisdictions you must disclose known major defects on a vehicle; failing to do so can make the sale voidable.

  3. Step 3: State as-is clearly

    Confirm the sale is as-is with no warranties unless you are explicitly giving one.

  4. Step 4: Sign at exchange

    Both parties sign the bill of sale when money and keys change hands; buyer gets the signed original for registration.

  5. Step 5: Notify the DMV/tax office

    Seller files a release of liability; buyer registers the vehicle and pays sales tax using the bill of sale as proof of price.

Questions

Do I need a bill of sale?

For vehicles many US states and countries require one for registration. For private sales of valuable property it is strong evidence of transfer even where not legally required.

Does it prove ownership?

It proves the sale happened, but for titled property (vehicles, real estate, boats) the title document is the actual proof of ownership — the bill of sale supports the title transfer.

Is an as-is clause bulletproof?

It goes a long way, but you cannot "as-is" your way out of fraud, hidden damage you knew about, or misrepresentation. Disclose known problems.

Can I use it for a gift?

Yes — write "gift" as the purchase price and note $0 or "gift". Some DMVs have a separate gift affidavit; check locally.

Do I need it notarised?

Some US states require a notary for vehicle bills of sale. Private sales of general property typically do not.

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These are general templates, not legal or tax advice. Have anything unusual reviewed for your jurisdiction.

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