When you buy or sell a vehicle, you need a Bill of Sale. The Bill of Sale serves as a legal receipt from the buyer to the seller documenting both the change in ownership and the purchase price. The State of Colorado has some legal specific requirements about what a Bill of Sale must contain.
The following information should appear on the Colorado Bill of Sale Form:
– Name of the seller.
– Complete address of the seller.
– Name of the buyer.
– Complete address of the buyer.
– Complete vehicle description, including Vehicle Identification Number (VIN), make, model, year.
– Vehicle odometer reading at the time of sale.
– The price paid.
– Date of sale.
– Signature of both the seller and the buyer.
As a seller you should provide the following items to the buyer: the Colorado Certificate of Title, if there is more than one owner named on the front of the Certificate of Title, all owners must print and sign their name as seller and enter purchase price and date. The Seller keeps license plates. These should be removed from the vehicle after the sale.
The seller should complete odometer disclosure reading and indicator information on the Certificate of Title or it may be disclosed on the DR2173 Motor Vehicle Bill of Sale form which can be purchased through Standard Register at 303-860-8000.
An emissions inspection certificate is required if the buyer lives in an emissions area.
If the title has been branded “Rebuilt from Salvage”, the seller must complete the Rebuilt from Salvage Disclosure. If reason for Salvage is unknown, a vehicle record search must be completed to determine the reason the vehicle was salvaged.
As a buyer you should check Motor Vehicle Verification System to confirm that the vehicle has not been reported stolen, check National Motor Vehicle Title Information System (please note there is a fee for this service) to research vehicle history and check National Insurance Crime Bureau to confirm vehicle has not been declared a total loss.
After that the buyer should go to the county motor vehicle office, in the county in which buyer lives, to obtain a temporary permit. The buyer must present documents received from the seller, proof of insurance, as well as secure and verifiable identification to the clerk to obtain the temporary permit.
For After Hours Purchase C.R.S. 42-3-115(2)(b), C.R.S. 42-6-113 a buyer of a vehicle may operate a vehicle on the highway prior to registering the vehicle when the buyer has purchased the motor vehicle within the last 36 hours from a person who is not a licensed motor vehicle dealer, the vehicle was purchased either on a Saturday, on a Sunday, on a legal holiday, or between 5p.m. and 8 a.m. or the vehicle is being driven from the place where the seller stored the vehicle to the place where the buyer intends to store the vehicle.
The buyer must carry in the vehicle a Colorado Bill of Sale that identifies the vehicle by year, make and VIN and shows the time and date of sale and is signed by both the buyer and the seller and proof of insurance.
For more information go to Colorado Department of Revenue – Division of Motor Vehicles
Colorado Department of Revenue – Division of Motor Vehicles its mission is to provide excellent identification, driver, and motor vehicle services to help make Colorado a safe place to live, work, and play.