buying used car from private seller in MICH | FerrariChat

buying used car from private seller in MICH

Discussion in 'North Central - USA (MI, IN, OH, KY, WV)' started by Webby, Oct 22, 2009.

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  1. Webby

    Webby F1 Veteran

    Sep 12, 2004
    6,821
    I won't say what it is, don't want to jinx anything :) But it's nothing special.
    I am a resident of Ohio, but I go to college in Indiana, and the seller is in Michigan.
    I'm paying cash for the full value of the car.


    What exactly do you have to do when buying a used car from a private seller?
    How do I transfer the title officially?
    When do I have to pay the tax for it?
    How long do I have before I have to get insurance?
    Do I keep the license plate the previous owner had? When do I get a new one?
    Is there anything else I have to do with the seller or at the DMV?

    Thanks in advance! Thought I'd ask here in case it differs from state to state
     
  2. alum04org

    alum04org F1 Rookie
    Silver Subscribed

    Apr 23, 2009
    4,123
    Plymouth, MI
    What exactly do you have to do when buying a used car from a private seller? A: Protect yourself! Be certain the MI title is held free and clear (no liens). Compare the info on the title to the seller (same name? Ask to view their driver license and record their MI driver license number). VIN on title match VIN on vehicle's instrument panel and driver door opening? Clear MI titles (recently issued) are green, have a serrated edge at top of document, a purple colored control number on the lower right corner (i.e. G58996703), and a bar code below the control number. Older titles may differ.

    How do I transfer the title officially? A: After your MI seller signs off the MI title to you, you may also wish to draw up a bill of sale for your info/records. Then you simply take the MI title in to your local OH BMV registrar to apply for OH title. NOTE: OH used to require a physical inspection of any vehicle coming into the state from another state. This could be done by a police officer/hwy patrol/select car dealer. I did not research this, so I am not certain if this requirement still exists!

    When do I have to pay the tax for it? A: Upon "cashing in" the MI title/making application for OH title/registering your new car.

    How long do I have before I have to get insurance? A: A prudent person would place coverage on his/her new vehicle prior to picking it up - even if towing/flatbedding it home.

    Do I keep the license plate the previous owner had? A: He/she *may* let you (not sure on legality of this) drive the vehicle to OH on their MI plate, but you need to research this issue at OH BMV's website, etc. In MI, plate DOES NOT remain with vehicle after sale.

    When do I get a new one? A: See answer above.

    Is there anything else I have to do with the seller or at the DMV? A: Think I covered it already - hope this helps you.
     
  3. Webby

    Webby F1 Veteran

    Sep 12, 2004
    6,821
    Thank you! Since I live in Indiana for 2/3 of the year, is it possible to get it registered in Indy? Or does it have to be in Ohio?
     
  4. alum04org

    alum04org F1 Rookie
    Silver Subscribed

    Apr 23, 2009
    4,123
    Plymouth, MI
    Webby that prolly depends on which state you hold a driver license in... usually required to establish "legal" residency, and the IN BMV may request other (i.e. utility bills/voter registration card/bank acc't info).
     
  5. docmirror

    docmirror Formula Junior

    May 6, 2004
    781
    Ft Worth TX
    Only thing I can add is that your insurance typically has a 'casual' coverage for cars that you buy or borrow. It will cover you for 2 weeks or a month until you add it to your policy. Not all policies are the same, but this is a general rider for my Allstate, and I had it on a policy from State Farm as well.
     
  6. Webby

    Webby F1 Veteran

    Sep 12, 2004
    6,821
    #6 Webby, Oct 22, 2009
    Last edited: Oct 22, 2009
    Thank you both!

    So it seems like this is what I have to do:
    1- go to Michigan, hand over the cash, get the title from them in the presence of a notary
    2- leave the car in Michigan, go to Ohio, get the new title in my name and pay sales tax and register plates.
    3- get insurance
    4- go back to Michigan, this time drive the car back to Ohio and get it inspected

    Seems like an awful lot of driving and I wouldn't to pay them and leave the car with them, title or no title.
    OR. In step 1, can I get temporary plates from the Michigan BMV, and drive the car to Indy?

    * edit: one more thing. When I get the title from them, does it have to be in the county they live in? Or anywhere in Michigan?
     
  7. TheMac

    TheMac Formula Junior

    Sep 5, 2009
    452
    Alberta
    Full Name:
    Jon Mac
    Webby, you should be able to get temporary MI plates and drive the car to IN. Temp plates are good for 30 days. Call your insurance company to see if you have the temporary rider; I have IN insurance with State Farm and they make such a rider standard. You can insure the car without the title, as long as they have the VIN. If you are registering in IN, the inspection can take place at the BMV (you only need a state police inspection if the VIN is not visible to a BMV agent standing over the windshield on the driver's side). Don't know if OH has the same rule or not, but it's worth a phone call or a visit to the OH BMV website.
     
  8. TheMac

    TheMac Formula Junior

    Sep 5, 2009
    452
    Alberta
    Full Name:
    Jon Mac
    When you get the title from them in the presence of the notary, it doesn't matter what county you're in.
     
  9. alum04org

    alum04org F1 Rookie
    Silver Subscribed

    Apr 23, 2009
    4,123
    Plymouth, MI
    #9 alum04org, Oct 22, 2009
    Last edited: Oct 22, 2009
    https://www.oplates.com/faq/BrowseFAQ.asp?SiteID={850A7CAF-5FBE-11D5-A9F6-00105CAB1F06}&LanguageID={850A7CB0-5FBE-11D5-A9F6-00105CAB1F06}&FAQID={C5920D13-45EB-4571-B990-08A0AAEB6040}

    Hey Webby -should NOT be that complicated!

    One trip to MI should suffice. No notary is required for title transfer here in MI. Question I have for you is: can you drive your purchase back into the Buckeye or Hoosier on "NO" plates - i.e. directly to your primary residence. And then, do the paper.

    To garner a temp MI tag, you would need to run your deal through a MI dealer, or visit the MI SOS for an "In-Transit" permit. Try MI.gov/sos or similar. hth.
     
  10. Veedub00

    Veedub00 F1 Rookie
    Owner Silver Subscribed

    Jun 30, 2006
    4,887
    Troy, Michigan
    Full Name:
    James
    in michigan there is a small time limit when you can drive your new purchase without plates. You just need the signed title with you.
     
  11. velocedog

    velocedog Karting

    Jun 6, 2007
    119
    Michigan
    Full Name:
    Jack
    Michigan law is that you can drive the car home by the most direct route without a plate after you buy it. You must have proof of insurance - most insurance companies do cover you on a new purchase for a few days as a courtesy with your existing policy, and will fax/e-mail the cert.
     
  12. Lotus241

    Lotus241 Karting

    Jan 23, 2008
    101
    Ohio / China
    Full Name:
    Ray
    I believe Ohio has a temp-transit tag that can purchased - cant find a link to it at the moment but i have seen it listed.

    Is all i have done it he past when buying in Michigan is

    Call ahead and place insurance on the car with my insurer

    review title to insure it clear with no liens listed, Pay / get signed over title with purchase amount. If you want to do a bill of sale do that to.

    Swap my plate from one of my other cars onto the new car ( Not sure this 100% legit ) A temporary tag would be though.

    Drive it home and to a Ohio car dealer, pay 5 bucks for the out of state vehicle verfication ( this is nothing more then them comparing the vin on the Michigan title to the car.

    Take the title, and dealer form to the DMV title agency, pay notary fee ~ 20bucks ,pay sales tax ~ 7% of purchase which you will in this case, pay title fee ~ 35 buck , then get a new Ohio title. If you bought from a dealer chances are you would pay Michgan sales tax and would just show the DMV the reciept indicating tax paid. Ohio would then waive the sales tax.

    Then go to the Ohio Registration agency ( some are in the same building as titles ) then pay the registration plate fees ~ 44 dollars

    I have no emission testing in my area so if you do chances are you will have an additional step before receving your registration
     
  13. ddemuro

    ddemuro Formula 3

    Nov 16, 2006
    2,129
    San Diego
    Full Name:
    Doug
    Yes, all states do. You may have to go to the DMV for this.

    Webby, if you are an undergraduate student, you should title the car where you have your permanent residence. If you consider that to be Indiana, fine. The vast majority of college students consider that to be their home state, including me. I go to college in Georgia and have Colorado license plates on my car, as is legally allowed for undergraduate students in Georgia.

    Plus, the new Indiana plate is so ugly it will ruin the look of whatever car you put it on!!
     
  14. Indy430

    Indy430 Karting

    Dec 5, 2007
    210
    Indianapolis
    Full Name:
    RJ
    #14 Indy430, Oct 23, 2009
    Last edited by a moderator: Sep 7, 2017
    I have a sneaking suspicion he might like this one..... :)
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  15. ZUL8TR

    ZUL8TR Formula 3

    Feb 12, 2008
    1,354
    Fishers, IN
    Webby...Decide if OH or IN will be your home state. The rest is simple stuff.

    Review MI BMV site for their requirements for buying and taking out-of-state. Give an office a call with add'l quesitons.
    Review OH/IN BMV site for their requirements, Give an office a call with add'l questions.

    I purchased a truck in GA, registered it there, drove it to CO with old plates still on, got a ticket, registered in CO. No problems.

    I purchased my Z in SC, drove it to Indy with SC temp plate, about a month or so later registered it in IN. No problems.

    Only state that is seriously difficult is Calif when living in state and buying used from out of state. Tons of hoops they like to throw at you.

    Do what the others said about verifying VIN and title, pay and take it home.

    BTW...about time you got a car!!!!
     
  16. FF8929

    FF8929 Formula Junior

    Apr 12, 2008
    799
    Livonia, Michigan
    Full Name:
    Fred Flynn

    True, but I believe that the "casual" insurance is only for damage to the other people and/or car. It would not cover damage to YOUR car.
    Best ck with your agent.
     
  17. Webby

    Webby F1 Veteran

    Sep 12, 2004
    6,821
    #17 Webby, Oct 23, 2009
    Last edited by a moderator: Sep 7, 2017
    Thank you all!!!!
    I did as you said and verified the VIN and drove it back to Indy with no plate without any trouble. Need to register it in Ohio, pay tax, get it inspected, etc. but I know what to do from here thanks to you guys. Here she is

    1994 Camaro V6, 5-speed manual, T-tops, Flowmaster exhaust, and fluffy pink headliner! A little rough around the edges but it'll do for now
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  18. TheMac

    TheMac Formula Junior

    Sep 5, 2009
    452
    Alberta
    Full Name:
    Jon Mac
    Webby,

    Looks to me like a fun car to have in college, work on a bit here and there, and drive around to all the great car events in the region. My first car was a 1965 Buick Riviera and I still think it's one of the top five cars I've ever owned. I hope you're happy with your purchase and that you enjoy your new purchase to the fullest. Congratulations and have fun with your Camaro. I get back to SB from time to time. If you want to see my 3.2 Mondial when I come back, just let me know and I'll tell you the next time I'm planning to drive in.

    Mac
     
  19. Tony K

    Tony K Formula 3

    Jun 7, 2006
    1,769
    Toledo, Ohio
    Full Name:
    Tony K.
    Hi Webby,

    Not sure if it was mentioned above, but if you have sold your old car, you can just put its plate on the new car for 30 days just like a temp tag until you get the title transferred. But you have to have sold the old car.
     
  20. ZUL8TR

    ZUL8TR Formula 3

    Feb 12, 2008
    1,354
    Fishers, IN
    Are you planning on keeping the Fluffy Pink Headliner???
     
  21. Webby

    Webby F1 Veteran

    Sep 12, 2004
    6,821
    Thanks Mac! Please do let me know if you're ever around

    Thanks Tony, it was my first car so I didn't have an old plate.

    Mark: of course I am :)
     

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