Transferring a car title in California can be daunting if you do not know how to do it properly or are not informed enough about the steps. If you skip a step or two or do not have the required paperwork, you could incur extra fees, delays, or even legal trouble.
Whether gifting a car, getting an inheritance, or just making things official, knowing the proper steps makes handling the car title transfer process easier. Here’s everything you need to know about transferring a car title to a family member, especially when you reside in California.
Why Do You Need a Vehicle History Report Before Transferring a Car Title?
Many people assume that if they’re transferring a car to a family member, there’s no need to check its history. However, in reality, issues like unpaid loans, past damages, or odometer fraud can still exist.
A vehicle history report provides key details, including past ownership, title status, and lien/loan records. This helps the new owner avoid surprises—because your uncle might still have an unpaid loan on that car!
Steps to Transfer the Car Title to a Family Member in California
Transferring a car title among family members in California might seem simple, but missing even one step can cause delays or legal issues. Many assume that transferring car titles among family members is more manageable than regular car transfer titles, and the California DMV has clear rules for transferring a car title between family titles.
Here’s how you transfer a car title to a family member in California.
Get the Application Form
To begin the title transfer, the current owner must apply for a replacement or transfer title by completing Form REG 227. You can get the form on the California DMV’s website. Once completed, it must be submitted to the California DMV along with any required supporting documents.
Fill out the Transfer Title Form
Transferring a vehicle title to a family member in California follows a process outlined by the California DMV. One key requirement is Form REG 262, which records details like the vehicle identification number (VIN) and the parties’ names. This form is not available online as it is printed on security paper. To request a copy by mail, please call the DMV at 1-800-777-0133. Remember to write down the information using ink, not pencil.
Additional paperwork may be needed if the transfer is a gift or inheritance. The Statement of Facts (Form REG 256) helps explain the nature of the transfer and ensures it is properly documented, especially for cases where no sale is involved.
Check the Smog Requirement
A smog check is an emission test the California DMV requires to ensure a vehicle meets environmental standards. In some cases, checking the smog is required, especially when the car was manufactured in 1975 or later or was bought outside of the United States. The seller or previous owner must present the smog inspection certificate that is still valid during the title transfer process.
Submit the Application
The documents can be submitted online and offline, depending on the situation. If you want to apply personally at the California DMV office, bring all the documents to avoid hassle.
How Much Does it Cost to Transfer a Car Title in California?
Transferring a title cost in California involves several fees that need to be paid. Here are the snippets of the required fee you have to pay:
- Title Transfer Fee: the fee is typically $15. This applies to all kinds of title transfer
- Use Tax: The use tax is not required if the vehicle was given as a gift. For other transfers, the tax amount depends on the sale price or fair market value, with possible exemptions for family transfers.
- Vehicle License Fee: Applies if only the vehicle costs more than $15.000
- Smog Certification Fee: This fee applies only if the car is manufactured in 1975 or later. The smog compliance certificate ranges from $20 to $70, depending on the test station.
Make sure you understand the cost to avoid overbudgeting the title car transfer process. We advise you to ensure with the California DMV as the fees might change periodically.
Avoid These Mistakes for a Smooth Title Transfer
Many people make common mistakes when transferring the car title to a family member. Avoid these mistakes to ensure a hassle-free transfer title process.
Missing Required Forms
Make sure to always complete with the Form 262 (title transfer form). If you fail to submit the form, you will face delays in your title transfer process.
Forgetting Additional Paperwork
If the transfer is a gift or inheritance, include the Statement of Facts (Form REG 256) to clarify the details. Missing this form may lead to complications.
Overlooking Smog Certification
Vehicles made in 1975 or later generally require a valid smog certificate, but some family transfers may be exempt based on DMV regulations. Failure to provide one can slow down the transfer.
Misjudging Fees
Be aware of costs like the title transfer fee, use tax, and the Vehicle License Fee for cars valued over $15,000 to avoid unexpected expenses.
Submitting an Incomplete Application
Ensure every section of the form is correctly filled out. Inaccurate or missing information can cause unnecessary delays.
Delaying Submission
Turn in all required documents promptly, as delays can result in longer processing times and added complications.
Avoiding these mistakes makes the title transfer process much more efficient and stress-free.
No Stress, No Mess: Wrapping Up Your Title Transfer
Transferring a car title to a family member can be daunting if you do not know how to navigate the process. Preparing the correct documents in advance helps prevent common mistakes that could slow the transfer.
Whether the vehicle is a gift or an inheritance, knowing about possible fee exemptions can help reduce costs. Ensuring all forms are correctly filled out and submitted on time is essential for a hassle-free title transfer.
