Colorado Bill of Sale Form – Download Free Template
Buying or selling a vehicle or vessel in Colorado may seem easy until unexpected issues arise. Without a Colorado bill of sale, you risk legal disputes, difficulties with ownership transfer, or even being held responsible for the vehicle or vessel after the sale. Avoid these with our free, downloadable bill of sale template.
What is the Colorado Bill of Sale?
A Colorado Bill of Sale is a legal document that proves the transfer of ownership between a buyer and a seller. It is mostly used for vehicles and includes important details such as the buyer’s and seller’s names, purchase price, and vehicle information like the VIN, year, and make.
For vehicle sales, the document must be signed by both parties and may need to be notarized or signed under penalty of perjury to be valid for title transfer or temporary registration. Having a completed bill of sale helps protect both sides and serves as official proof that the sale took place.
Why Do You Need a Colorado Bill of Sale?
A bill of sale is an important document for sellers and buyers, ensuring a smooth transfer of ownership and protecting against potential issues that might arise in the future.
For Seller
- Proof of Ownership: A bill of sale is written evidence that the vehicle, trailer, or boat was legally purchased. This is crucial if there are disputes or if the title is missing.
- Verification of Purchase Price: The bill of sale confirms the agreed sale price, which can be useful when paying taxes and fees based on the vehicle’s value.
- Protection Against Fraud: By listing key details such as the VIN, make, model, and sale date, a bill of sale helps prevent fraudulent transactions.
For Buyers
- Helps with Vehicle Registration: When registering a newly purchased vehicle in Arkansas, a bill of sale may be required, especially if the previous owner did not properly document the sale.
- Proof of ownership: A bill of sale confirms that the buyer legally owns the vehicle after purchase.
- Protection in disputes: It serves as evidence in case of disagreements over payment, ownership, or registration.
Bill of Sale Types in Colorado
In Colorado, there is only one main Bill of Sale form that can be used for different types of property, most often for vehicles. This document shows the transfer of ownership between a buyer and a seller and must include details such as both parties’ names, a description of the property, the sale price, and the date of sale.
For vehicles, it should also include the VIN, make, model, and year. A Bill of Sale for a motor vehicle in Colorado must be either notarized or signed under penalty of perjury to be valid.
Motor Vehicles
Used to transfer ownership of cars, motorcycles, trucks, and trailers for title and registration.
Animals
Acts as proof of ownership transfer for livestock or other animals.
Boats
Required for registering watercraft with Colorado Parks and Wildlife.
Other Personal Property
Helps document the sale of valuable items and provides a legal record of the transaction.
What Should Be Written on the Colorado Bill of Sale?
A Colorado bill of sale should have included these details to ensure the sale is properly documented.
- Buyer and seller information: Full names, addresses, and signatures
- Vehicle Description: Make, model, year, VIN, colour, and body type
- Sale date: The exact date the ownership was transferred
- Purchase price: The amount paid for the vehicle, trailer, or boat
- Odometer reading: Required for vehicles under 10 years old
- Notarization (if needed): Some transactions may require a notarized Bill of Sale
Although Colorado doesn’t always require a bill of sale, it’s strongly advised, especially for private vehicle sales, as it creates a legal record and protects both parties.
How to Register a Vehicle in Colorado?
You have two main options for registering a vehicle in Colorado: online or in person at your county motor vehicle office.
Required Documents for In-Person Registration
Before visiting the county motor vehicle office, gather all of these documents:
- Valid ID and Proof of Residency: Your identification and documentation proving your Colorado address.
- Vehicle Title: The title in your name (or a Manufacturer’s Statement of Origin for a new vehicle).
- Proof of Colorado Insurance: Valid, current insurance coverage.
- Emissions Test: A passing Colorado emissions test is required if you live in an applicable county.
- VIN Verification: A Vehicle Identification Number (VIN) verification is required if the vehicle is coming from out of state.
- Colorado Establishing Residency Form: This may be required for new residents.
- Odometer Reading: You must be prepared to provide the current odometer reading.
How to Register?
- In-Person: Schedule an appointment at your local county motor vehicle office. Bring all necessary documents and pay the required fees. Your new title will be mailed to you later (4–6 weeks).
- Online: Visit myDVH Colorado, select the “Vehicle Services” tab, and choose the option for first-time registration. Your plates, tags, and registration will be mailed to you within about 21 days.
Obtain the Necessary Documents
For private sales, ensure you have the following:
- A properly signed vehicle title
- A completed Bill of Sale (if required)
- Emissions test results (for applicable counties)
- Proof of insurance
- Payment for registration fees
Visit the DMV or Check with the Dealer
If you purchased from a dealer, they might handle registration. However, it’s best to confirm this during the purchase. For private sales, you must visit a Colorado DMV office or check online services for registration options.
Submit Payment and Complete the Registration
Pay the applicable fees based on your vehicle type, county, and registration duration. Once processed, you’ll receive your registration and license plates.
Vehicles purchased from a dealership usually have the registration handled by the dealer, but buyers should confirm this during the purchase. More details can be found on the Colorado DMV website.
Colorado VIN Check – Verify Vehicle History Before You Buy
Plan to buy a used vehicle? Be sure to check the VIN and get the report before you decide to purchase the vehicle. Check the specifications and the records, like auction, recalls, past usage, and more.
Mileage History
Title Brand
Ownership History
Warranty Status
Sales History
Salvage Title
Usage History
Repair Cost
Auction History
Hail Damage
Ownership Duration
Recalls History
Accident History
Flood Damage
Lien & Loans
Maintenance Schedule
Get a Vehicle Bill of Sale by State
Each state has its own requirements for an auto bill of sale. Click below to find the template for your state!
Colorado Bill of Sale FAQs
Is a bill of sale legally binding in Colorado?
Yes, a bill of sale is a legally binding document in Colorado that proves the transfer of ownership of personal property
Can someone back out a bill of sale?
Once a seller signs an “as-is” bill of sale, they can’t legally back out of the sale. The signed agreement is binding for both the buyer and the seller.
Does a Colorado bill of sale need to be notarized?
Colorado allows two types of bills of sale for vehicle transactions: a notarized version or one signed under penalty of perjury, both necessary for title transfer and temporary permits.
Does Colorado need a bill of sale?
Yes, when you buy a private vehicle in Colorado, it needs a bill of sale to record the transaction. Getting a bill of sale is also recommended when doing other transactions, like boats or real estate.
Can I obtain a title with the bill of sale only in Colorado?
No, the bill of sale by itself is not enough only for get a title in Colorado; you also need the title, which is properly signed by the seller, to finish the ownership transfer. But, if you buy a vehicle without a title document, there are specific processes you can follow, such as obtaining a bonded title or using other forms that are required to make a proof of ownership.Â
For private sales, the bill of sale is used for sales tax, together with the signed title, and for legal protection, it is recommended.
What must be written on a bill of sale in Colorado?
In Colorado, a bill of sale is required for the transfer of vehicle titles, and it needs the document to be notarized or signed under the penalty of perjury. It must include information about the buyer and also the seller, a description of the vehicle (this means the make, the model, the year, the VIN, and also the odometer reading), the price of the purchase, and the exact date. A bill of sale that is properly completed and signed is very necessary for the title transfer and for obtaining permits, which are temporary.
