DMV experts - Buy and sell a Porsche?

[bobswei]

I just purchased a 911 SC roller, from a towing company, that was left abandoned. So, that makes it a lien sale. I was going to part it out but after I got it home, thought it was too nice to tear apart. I hadn't transfered title to my name and now thinking selling the car. I know, in the past, a friend bought a car, never registered it and I bought it from him and I put it in my name. No problem. It's like I bought it from the original owner. Is it the same with a lien sale? Thanks

[Bob Kontak]

Lien Sales

Do you have a title or documentation that states the car has been sold to you?

Call the DMV. They can be pretty helpful but usually (in Ohio) the correct answer rate is low for slightly complex issues.

[bobswei]

I have a packet of paper showing all the steps the tow co. did to cover their bases plus a form that I fill out (still blank other than date and sale price) to take to DMV. My name is not on any of it. I believe I can hand this to the new (lucky) owner for them to, take to DMV, and wish them a nice day. Correct?
Thanks for the response.

[dad911]

Well, If I was buying the car from you I'd be more wiling/pay more for a clean title.

Even more so if you try to sell it out of state.

[bobswei]

No, the car absolutely has a "CLEAN TITLE". I've bought car in the past with messed up titles and I know how those work or I would not have bought this. My question (more clearly stated) was, do I need to put it in my name before I sell it? I don't think I do...... I've only had it a few weeks. It seems pointless to transfer it to me, then right away, to someone else....

[yelcab1]

It may be pointless to you, but to the next buyer, it is a risk that he may not take. Lien sale is not something that the average person runs into a lot, so I know I would not jump at it.

[Joe Bob]

It's called skipping a title. Illegal in CA. The seller should have notified the DMV of the buyer.

I would sell it out of state. YOU are liable for sales tax and smog......It will come back to screw you if it is sold in CA. Trust me.

Fix it and pay the freight or drag it to Oregon and sell it there.

[fanaudical]

Good luck getting a title in Oregon if you don't have clear title to begin with (especially with an out-of-state origin). I'm currently fighting that battle.

[WPOZZZ]

Originally Posted by bobswei

No, the car absolutely has a "CLEAN TITLE". I've bought car in the past with messed up titles and I know how those work or I would not have bought this. My question (more clearly stated) was, do I need to put it in my name before I sell it? I don't think I do...... I've only had it a few weeks. It seems pointless to transfer it to me, then right away, to someone else....

If I were to buy a car like this, I would prefer it to have a title instead of a Bill of Sale or other transfer devices. Why? Because it would be less of a hassle for me to get the car titled in my name in case all the is and ts are not dotted/crossed. Why wouldn't you want to transfer it into your name, anyway?

[yelcab1]

Originally Posted by WPOZZZ

If ..Why wouldn't you want to transfer it into your name, anyway?

My guess is the sales tax of 9% is due at title transfer and he is not wanting to do that.

[WPOZZZ]

Originally Posted by yelcab1

My guess is the sales tax of 9% is due at title transfer and he is not wanting to do that.

Geez, we only pay tax on cars bought from a dealer. Private sales are not taxed.

[pc100porsche]

Originally Posted by WPOZZZ

Geez, we only pay tax on cars bought from a dealer. Private sales are not taxed.

What other states operate like that ? ..... In TX you pay 6% on a predetermined value as per DMV computer listing regardless of price actually paid.

[pc100porsche]

Originally Posted by WPOZZZ

Geez, we only pay tax on cars bought from a dealer. Private sales are not taxed.

What other states operate like that ? .....

[bobswei]

Joe Bob, That's the answer I was looking for. Looks like a dmv visit for me. Yea, I didn't want to pay "more " fees since I'm not enjoying it and have 7 cars now, and the gov is sending me reg. renewal's all the time. And why are they collecting tax every time you buy a used car? They can collect tax many times for one item. Cash grab? I don't know. I'm just a dummy try to enjoy a hobby. Thanks for all the responses. Every one had a point worth noting.

[Joe Bob]

CA taxes EVERY sale.....

[timmy2]

What is this thing called sales tax?

[kodioneill]

Originally Posted by pc100porsche

What other states operate like that ? .....

Glorious New York.

[Bob Kontak]

Ohio taxes every transaction, net of trade-in. Used/new. Private party sale - Taxed.

Zero dollar transfer to family is ok if no lein on car. Zero dollar transfer to non family, both parties may be sent a confirmation request from Ohio where you and other party sign on the line saying it was free.

You sell that car for money, in theory, you pay income tax (everywhere, I believe) on the gain over your zero tax basis in the vehicle. Buyer pays sales tax.

FWIW, I don't think Alaska has sales tax on anything given oil revenues.

[Joe Bob]

No sales tax in Oregon.....

[bobswei]

Quick update: Trip to DMV yesterday and title is on the way, in my name. Surprisingly, DMV is not charging for envelope and postage. Yeah, California!!!