A Michigan vehicle bill of sale is a written record of a private car sale that identifies the buyer, seller, vehicle, price, and date, and it supports the buyer’s title transfer at the Secretary of State. Michigan gives the buyer 15 days from the sale date to transfer the title, with a $15 late fee after that.1Michigan Department of State. Title Transfer and Vehicle Registration There is no state-issued form for a standard private sale, so what you write matters.
Is There an Official Michigan Form
No. Michigan does not publish an official bill of sale for standard private vehicle sales. The state’s TR-52L form exists, but it applies only to abandoned vehicles used by law enforcement, not to a regular sale between two people. Any written document works as long as it contains the right information, and a handwritten agreement on plain paper carries the same weight as a typed form.
What to Include
The document needs enough detail that a Secretary of State clerk, a tax auditor, or a judge could read it and know exactly what was sold, by whom, to whom, and on what terms. At minimum, cover the following.
- Full legal names and current mailing addresses for the buyer and seller. Driver’s license numbers are optional but add certainty.
- Vehicle identification number (VIN), make, model, year, and body style. Check the VIN against the dashboard plate and the existing title before writing it down.
- Odometer reading on the day of sale. Federal rules on the formal disclosure are covered below.
- Exact sale price in dollars. This figure sets the buyer’s use tax.
- Date of sale. This is the day the 15-day title transfer clock starts.
- Signatures of both parties, dated.
A short “sold as-is with no warranty” line is not required, but it protects the seller from later claims about the vehicle’s condition. If the buyer is paying in installments, spell out the schedule, the amount of each payment, and what happens if a payment is missed.
Odometer Disclosure
Federal law requires an odometer disclosure for most vehicle transfers, and the rules changed in 2021. Model year 2011 and newer vehicles require disclosure for the first 20 years of the vehicle’s life. Model year 2010 and older vehicles follow the earlier 10-year rule.2National Highway Traffic Safety Administration. Consumer Alert: Changes to Odometer Disclosure Requirements By 2026, that means every vehicle from model year 2011 forward needs a disclosure at sale.
The disclosure states the exact mileage and whether the seller believes that reading to be accurate. If the odometer has been replaced, is broken, or has rolled over, the seller must say so. Michigan records the reading on the title itself; if there is no space on the title, the buyer and seller complete a separate Odometer Mileage Statement available from the Secretary of State.1Michigan Department of State. Title Transfer and Vehicle Registration Vehicles outside the 20-year or 10-year windows, and vehicles with a gross weight rating over 16,000 pounds, are exempt from the disclosure requirement.3eCFR. 49 CFR Part 580 – Odometer Disclosure Requirements
Signing, Copies, and Notarization
Both parties should read every line before signing. An error in the VIN, price, or mileage is exactly the kind of mistake that shows up later at the counter or in a dispute. Each side keeps a signed copy. The buyer brings theirs to the Secretary of State; the seller keeps theirs as proof the vehicle changed hands on a specific date.
Michigan does not require notarization of a vehicle bill of sale. Getting it notarized adds a layer of verification that neither party can easily walk back later, and a Michigan notary can charge up to $10 per notarial act.4Michigan Department of State. Notary Services For a high-value car or a sale between strangers, that fee is cheap insurance.
Using the Bill of Sale at the Secretary of State
The buyer has 15 days from the sale date to transfer the title. Missing that window adds a $15 late fee to the standard costs.1Michigan Department of State. Title Transfer and Vehicle Registration Bring:
- The original title, signed by both buyer and seller. The seller can complete their portion in advance; they do not need to be at the office.
- Proof of Michigan No-Fault insurance. You cannot register a vehicle without active No-Fault coverage.5Michigan Department of State. Vehicle Titles
- Title and registration fees.
- Proof the lien has been released, if the seller had a loan on the vehicle. Acceptable proof includes a signed termination on the title, a “paid” stamp from the lender, or a separate letter from the lienholder identifying the VIN and confirming the lien is terminated.1Michigan Department of State. Title Transfer and Vehicle Registration
The bill of sale is not on the Secretary of State’s mandatory-documents list, but bring it anyway. It supports the price you declare for tax and gives you something to point to if any detail of the transaction is questioned.
Use Tax and Why the Price Line Matters
Michigan collects a 6% use tax on private vehicle sales, calculated from the purchase price the buyer declares. A $3,000 price produces $180 in use tax. This is where the bill of sale earns its keep, and it is also why the number has to be accurate. The Department of Treasury can scrutinize the declared price, and a lowball figure can lead to the state assessing tax on the vehicle’s fair market value instead.
Transfers Between Family Members
Michigan exempts vehicle transfers between certain family members from the 6% use tax. The covered relationships include spouse, parent, child (including adopted children), brother, sister, grandparent, grandchild, step-relatives (only if the marriage creating the step-relationship is still intact or ended by death), a broad set of in-laws, and legal guardians and wards with a certified guardianship letter.6Michigan Department of Treasury. Transfer to Relative7Michigan.gov. Internal Policy Directive 2015-1: Use Tax Exemption for Transfers of Certain Property to an In-Law
Even when the tax is waived, a bill of sale still makes sense. It fixes the date of transfer, notes the relationship, and shows whether the vehicle was a gift or sold at a reduced price. The 15-day title transfer deadline still applies.
Selling With an Outstanding Lien
If the seller still owes money on the car, the process gets more careful. A vehicle with a paper Michigan title can be transferred once the lien is terminated or the lienholder provides a letter authorizing the transfer. If the title is electronic, no transfer happens at all until the lienholder releases the lien.1Michigan Department of State. Title Transfer and Vehicle Registration
For the buyer, this is exactly the situation where a bill of sale matters most. If you are paying the seller and trusting them to pay off the loan, the document is your proof you held up your end. Safer still is closing the deal at the lienholder’s office or bank so the payoff and the title release happen at the same time. Do not hand over cash without a clear path to a clean title.
What the Seller Should Do Afterward
The seller’s job does not end when the keys change hands. Michigan expects sellers to report the sale to the Secretary of State, which protects the seller from liability if the buyer delays registration and picks up parking tickets or traffic violations in the meantime. Your signed copy of the bill of sale, together with your copy of the signed-over title, is your evidence that the vehicle left your hands on a specific date. Keep both for several years.