How to Buy a Used Car in New York

While some states require various notarized forms and documents for ownership transfers, the New York State Department of Motor Vehicles (NYS DMV) does not. Despite the notoriously high prices in New York, the two-year registration fee is lower-priced than most surrounding states. In addition, the New York State DMV charges taxes on the actual sale price of the vehicle you purchase, not the average selling price or presumed value. Dealerships will handle all DMV paperwork for you, if applicable.

Instructions

1

Shop for your car. Test drive different models and bring your final decision to a mechanic for inspection. Make sure that the Check Engine light is not illuminated in the vehicle's information center. If so, the vehicle will not pass New York State emissions testing.

2

Agree on a purchase price, but ask to see the vehicle's title before you proceed. New York does allow title transfers even if there is a lien listed on the title, meaning that money is still owed on the vehicle. The New York State DMV website warns that the vehicle can be repossessed from you even if you pay the seller.

3

Ask for a lien release, if there is a lienholder listed on the title, signified by the name of a bank on the front of the title. The lien release is an official bank document that states relevant vehicle information and that the loan is satisfied. It is also signed by a bank representative on bank letterhead.

4

Give the seller your payment after you've determined that the title is free of liens and confirmed that the vehicle is in good mechanical condition. Go to your local DMV office to obtain a Statement of Transaction or print it from the New York State DMV website to document the selling price, and have the seller sign it.

5

The seller must also sign and print their name on the back of the title in the Seller's section. If the vehicle is eight years old or newer, the seller must also fill out the damage disclosure statement, also on the back of the title. If the vehicle is 10 years old or newer, the seller must state what the odometer currently says in the space provided on the back of the title and check whether the odometer is accurate.

6

Return to the New York State DMV website to print the Vehicle Title/Registration Application, also known as the MV-82 form. Or, you can obtain the form at your DMV office. Fill out the form completely.

7

Call or visit your insurance agent to obtain proof of insurance. You cannot register a vehicle without providing proof of insurance.

8

Take your MV-82 form, title, lien release (if applicable), Statement of Transaction form, proof of insurance and New York State driver's license to a DMV office. Pay your title, tax and registration fees. Put your front and back license plates on the vehicle, put your registration in the lower left-hand side of the windshield and store your registration card and proof of insurance in your glove compartment before driving your car.