Delaware Bill of Sale Form – Download Free Template
While the Delaware bill of sale is not always mandatory, having one on hand could prevent future disputes arising from ownership issues, delayed registration, or being held liable for a vehicle you no longer own.
What is the Delaware Bill of Sale?
The bill of sale is a document used to document the transaction process when buying or selling a vehicle or vessel as proof of ownership transfer, which can be useful in several situations, such as registering a vehicle under the buyer’s name.
Although Delaware doesn’t require a bill of sale, you should ensure you have one, especially if you bought a vehicle from a private seller. If the title is lost or missing, this document can help confirm ownership; thus, the bill of sale clarifies the sale price, which can be useful for tax purposes.
Why Do You Need a Delaware Bill of Sale?
A bill of sale is more than just a receipt; it’s proof of a transaction between the seller and the buyer. Here’s why both parties should have the bill of sale.
For Seller
- Proof of Ownership Transfer: This document serves as undeniable proof that the seller no longer owns the vehicle, preventing disputes or false claims down the line.
- Protection from Future Liability: If the buyer fails to register the vehicle, any fines, accidents, or legal issues could still be linked to the seller. A bill of sale helps prevent unwanted responsibility.
- Useful for Tax Reporting: Sellers may need to report the sale for tax purposes, and having a Bill of Sale ensures accurate financial records for personal or business use.
- Avoids Legal Troubles: A Bill of Sale provides legal protection if the vehicle is misused after the sale, proving that the seller is no longer associated with the vehicle.
For Buyers
- Required for Registration: Many states, including Delaware, require a bill of sale to transfer ownership and register the vehicle under the buyer’s name.
- Resolves Title Issues: If there are problems with the title, such as a missing or improperly signed document, a bill of sale can serve as supporting evidence to correct registration issues.
- Confirms Transaction Details: A bill of sale records critical information like the sale date, purchase price, and both parties’ details, ensuring that everything is documented clearly.
- Prevents Ownership Disputes: With a signed bill of sale, the buyer has proof of purchase, eliminating confusion over legal ownership and protecting their rights in case of future claims.
The Types of Delaware Bill of Sale
Common types of Delaware bills of sale include the vehicle bills of sale for private or dealer sales, boat bills of sale, and firearm bills of sale, which are used to make a document of the ownership transfer.
Every type of bill of sale must include specific important details about the item that is being sold, for example, its identification number (VIN or HIN), the description, the price, and also the details of the seller and buyer.
Vehicle bill of sale
- Private party sale: This is used when a vehicle is sold between two individuals.
- Dealer sale: This is used when purchasing from a dealership business, which is the one that will give the bill of sale.
- “As-is” sale: This is a specific type of vehicle sale where no warranties are being offered.
Other types
- Delaware boat bill of sale: This is used to document the boat transfer, which includes its Hull Identification Number (HIN), and this is a requirement for the process of registration.
- Firearm bill of sale: This is needed for the transfer of firearms in Delaware.
What Does the Delaware Bill of Sale Contain?
A Delaware bill of sale includes key details about the transaction, ensuring both parties have a written record of the sale. Here’s what you will find on a bill of sale:
- Buyer and seller details: Full names, addresses, and contact information
- Vehicle details: Make, model, year, VIN (Vehicle Identification Number), and color
- Sale date: The exact date the transfer took place
- Purchase price: The agreed amount paid for the vehicle, trailer, or boat
- Odometer reading: Required for vehicles under 10 years old
Registering a Vehicle in Delaware
To register your vehicle, you must first complete two important steps before visiting a Delaware Division of Motor Vehicles (DMV) office.
Before Visiting the DMV
- Get Delaware Auto Insurance: Obtain proof of liability insurance that meets all of Delaware’s minimum coverage requirements.
- Pass Vehicle Inspection: You must have your vehicle inspected and pass both the safety and emissions tests. You will receive a pass certificate.
- Complete Title Application: Fill out the official Certificate of Title application (Form MV-212).
- Gather Required Documents: Collect the following:
- Your out-of-state title (if applicable).
- Proof of your Delaware driver’s license, OR two proofs of Delaware residency (e.g., utility bills, lease agreement).
- Proof of insurance and the inspection certificate.
At the DMV
- Go to the DMV: Visit a Delaware DMV office.
- Submit Paperwork: Present all your completed forms and required documents.
- Pay All Fees: Be prepared to pay the required fees, including the title fee, registration fees, and the document fee (which is 4.25% of the vehicle’s value).
- Receive Registration: The DMV will process your registration and issue you license plates and a registration sticker. Your new title will be mailed to you later.
Delaware VIN Check – Verify Vehicle History Before You Buy
If you plan to buy a used vehicle in California, make sure you check the VIN and secure the vehicle history report to examine the vehicle’s specifications and its records, like accidents, auctions, or recalls.
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!
Frequently Asked Questions About Delaware Bill of Sale
How do you transfer an ownership title in Delaware?
To complete a title transfer in Delaware, you need the current title, a completed title application, a bill of sale, a lien release (if applicable), and valid identification for both the buyer and seller. Ensure all documents are accurate to avoid any issues during the transfer.
What makes a bill of sale legally binding?
A bill of sale is legally binding when it includes essential details like buyer and seller information, transaction date, item description, sale price, signatures, and, if required, notarization. It serves as proof of ownership transfer and protects both parties.
Do both parties need to be present to get a car title notarized?
Neither parties don’t needs to be present for a notarization. You can notarize the person’s signature with you, and the other person can have their signature notarized at a different time.
Do you need a bill of sale in Delaware?
Some states require a bill of sale for a private vehicle transaction. Delaware does not require a bill of sale, but it’s always recommended to get a copy of the bill of sale.
Do you need to notarize the bill of sale in Delaware?
No, a Delaware Bill of Sale usually does not need to be notarized for private car or boat sales. However, some people still choose not to notarize it for extra safety. In most private vehicle sales, the main documents needed to transfer ownership are the vehicle title and the Seller’s Report of Sale.
