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The bottom line: Vermont requires a signed vehicle title and Form VT-005 for every private sale. That one form handles both the bill of sale and odometer disclosure at the same time.
You sign over the title, complete VT-005 with the buyer, and remove your plates before they drive away. The buyer handles registration, taxes, and getting a new title after that.
Key Takeaways
- Title notarization: Vermont does not require it. Just sign in blue or black ink, exactly as your name appears on the title.
- Missing title: A replacement costs $35 and can be applied for online through the Vermont DMV. Processing typically takes 1 to 2 weeks.
- Bill of sale: Required for all private sales in Vermont. Use Form VT-005, which also covers the odometer disclosure in a single document.
- License plates: They stay with you, not the car. Remove them before the buyer drives away.
- Release of liability: Vermont has no separate release form. Completing Form VT-005 and removing your plates serves as your release of liability. Keep your signed copy as proof.
- Older vehicles: If your car was registered in Vermont before July 2024 without a title, you can sell it using your registration certificate plus Form VT-005. The buyer receives a title when they register the car.
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Step-by-Step Process for Vermont
Step 1: Prepare Your Vermont Paperwork
Documents you’ll need:
- Vehicle title – Must be in your name and clear of liens
- Valid Vermont driver’s license – Names must match exactly
- Form VT-005 – Vermont’s official bill of sale and odometer disclosure statement (complete at the time of sale)
- Lien release documentation – If you still owe money on the car
If your title is missing:
You’ll need to get a replacement first. Apply online through the Vermont DMV or visit a local DMV office in person with your ID and $35. Processing typically takes 1 to 2 weeks by mail. In-person visits at a DMV office may be faster.
If your car is older and has no title:
Vermont required titles for vehicles 15 years old or newer for many years. Under the law change that took effect July 1, 2024, any vehicle that changes ownership now results in the new owner receiving a title upon registration. If you own an older car that was registered without a title under the old rules, you can still sell it. Provide the buyer with your current registration certificate and a completed Form VT-005. The buyer gets a title from the DMV when they register the car in their name.
If you still owe money on the car:
Your lender holds the title until the loan is paid off. Contact them to get the title released before the sale. Once you pay off the loan, the lender either signs off on the back of the title or releases an electronic lien to the Vermont DMV, which then issues you a clean title. If you owe more than the car’s worth, you’ll need to pay the difference.
Learn more: How to Sell a Financed Car?
Name matching requirement:
Check your title carefully. The name on your driver’s license must match the name on the title exactly. If you got married or changed your name, bring documentation showing the name change to the DMV before completing the sale.
Step 2: Prepare Your Car
Clean your car inside and out, gather maintenance records, and run a VIN check to get the best price and build buyer confidence.
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Step 3: Price Your Car
Learn more: Best Free Car Valuation Tools
Step 4: Advertise Your Car
Facebook Marketplace works best in Vermont, especially in Burlington, South Burlington, and Montpelier where buyer activity is highest. Cars.com and Autotrader are good for reaching buyers statewide and from neighboring New Hampshire, New York, and Massachusetts.
Vermont’s winters make AWD vehicles especially popular locally, so Subarus and trucks tend to attract more local interest than in most states. Peddle or Wheelzy will buy your old or damaged car directly, and Carvana will give you competitive offers if you have a newer car.
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Step 5: Meet with Buyers Safely
Always meet at public places like bank parking lots during daylight hours.
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Step 6: Handle Payment and Negotiate
Cash for cars under $5,000, cashier’s check (verify at bank), or meet at buyer’s bank for wire transfer.
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Step 7: Complete the Vermont Title Transfer
The assignment of ownership section is on the back of your Vermont title. Fill in the buyer’s full name and address, the date of the sale, the purchase price, and the current odometer reading. Odometer disclosure is required for vehicles 20 years old and newer.
Use blue or black ink only. Any corrections, cross-outs, or use of white-out will void the title entirely. If you make a mistake, apply for a duplicate title before completing the sale.
All owners listed on the title must sign. If the title shows two names joined by “AND,” every listed owner must sign. If the title shows “OR,” any one of the owners can sign to complete the transfer.
The buyer will also sign the odometer certification section on the title. Once both parties sign, hand the original title to the buyer. They take it to a Vermont DMV office along with Form VT-005 and a completed Registration, Tax, and Title Application (Form VD-119) to register the car and get a new title in their name.
The buyer pays a 6% purchase and use tax at registration, calculated on whichever is higher: your sale price or the J.D. Power clean trade-in value. The buyer must also get a safety inspection within 15 days of registration if the car doesn’t have a current Vermont inspection sticker.
Step 8: Sign Bill of Sale (Required)
Vermont requires a bill of sale for all private vehicle sales. Use the official Form VT-005, which is Vermont’s combined bill of sale and odometer disclosure statement. You cannot substitute a generic bill of sale for this form.
Form VT-005 requires the vehicle’s make, model, year, body type, color, and VIN. It also requires the odometer reading, the sale date and price, and complete signatures from both buyer and seller. No notarization is needed.
Both parties must sign the form. Make two copies: one for you and one for the buyer. Keep yours in a safe place, since it’s also your proof that you’re no longer responsible for the vehicle.
Learn more: What is Bill of Sale for a Car? (Seller Guide + Templates)
Step 9: Handle Vermont License Plates and Registration
Remove your license plates before the buyer drives away. In Vermont, plates belong to you (the owner), not the car.
You can transfer the plates to another vehicle you own, or return them to a Vermont DMV office. Don’t leave your plates on a sold vehicle. You stay liable for any violations recorded against your plates until you transfer or return them.
The buyer gets new plates when they register the car.
Learn more: How to Remove License Plates Safely?
Step 10: Submit the Release of Liability
Vermont has no separate release of liability form and no online portal for reporting a sale. Your release of liability happens through two actions you’ve already completed: signing Form VT-005 and removing your plates.
Do both immediately when you complete the sale. Keep your signed copy of Form VT-005 in a safe place. That document is your proof that you transferred ownership and are no longer responsible for the vehicle.
Step 11: Cancel Insurance
Cancel your insurance only after the title transfer is complete.
Learn more: When to Cancel Car Insurance After Selling a Car?
Vermont DMV Resources
State Resources:
Phone Support:
- Vermont DMV: (802) 828-2000
For a full list of every state DMV, visit our list of all 50 state DMV websites.
Vermont Fees and Costs
| What You Pay? | Cost | When? |
|---|---|---|
| Duplicate title (if needed) | $35 | Before sale |
| Lien payoff (if applicable) | Loan balance | Before sale |
| Everything else | $0 | Buyer pays |
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Frequently Asked Questions
How long does the buyer have to transfer the title after we complete the sale?
Vermont doesn’t set a fixed number of days for the buyer to register the vehicle after a private sale. The buyer must register before operating the car on public roads. Driving an unregistered vehicle is illegal in Vermont.
In practice, buyers typically complete registration within a few weeks of purchase. They’ll need to visit a Vermont DMV office with the signed title, Form VT-005, and a completed Form VD-119 to get registered and titled in their name.
Do I need to get the title notarized when I sign it over in Vermont?
No, Vermont doesn’t require title notarization. The title assignment itself never needs a notary. Sign the assignment section on the back of the title in blue or black ink, exactly as your name appears on the front.
When is a bill of sale required in Vermont?
Vermont requires a bill of sale for all private vehicle sales. You must use Form VT-005, which is the state’s official combined bill of sale and odometer disclosure statement. A generic or handwritten bill of sale doesn’t satisfy this requirement.
Both you and the buyer must sign Form VT-005. No notarization is required. Keep a copy for your records after the sale.
Can I sell my car if I still owe money on it in Vermont?
Yes, but you need to coordinate the lien release with your lender. Vermont lenders typically either sign off on the back of the title after payoff or release an electronic lien to the DMV, which then issues you a clean title. You can’t sign over a title that still shows an active lien.
If you owe more than the car’s worth, you’ll need to pay the difference out of pocket before or at the time of sale.
My car was inherited. What additional Vermont forms do I need?
The process depends on how the vehicle was owned. If it was jointly owned by spouses with rights of survivorship, the surviving owner can transfer the title with a copy of the death certificate. For vehicles that go through probate, the estate executor can sign the title using their court-issued letters testamentary.
Vermont has a Death Informational Bulletin on the DMV website that covers every ownership scenario in detail. Contact the Vermont DMV at (802) 828-2000 for guidance on your specific situation before proceeding.
Both my spouse and I are on the Vermont title. Do we both need to sign?
It depends on how the title is worded. If your names are joined by “AND,” all listed owners must sign the assignment section. If your names are joined by “OR,” any one owner can sign to complete the transfer.
Check the front of your title carefully before the sale. If both names are required and one owner can’t be present, you may need a Power of Attorney. Contact the Vermont DMV for guidance on that process.
What if I make a mistake on the Vermont title?
Don’t try to fix it yourself with white-out or cross-outs. Any correction on a Vermont title voids it completely. You’ll need to apply for a duplicate title using Form VT-004 and pay the $35 fee before you can complete the sale.
You can apply for a duplicate title online or visit a Vermont DMV office in person. Processing takes 1 to 2 weeks by mail.
The buyer is from out of state. Does Vermont require anything special?
Your obligations as the seller are the same regardless of where the buyer lives. Sign over the title, complete Form VT-005 together, and remove your plates. Hand the buyer the signed original title and their copy of VT-005.
The buyer handles registration in their home state using Vermont’s paperwork. Most states will accept the Vermont title and bill of sale to complete the transfer. The buyer’s state DMV will walk them through any additional steps required on their end.
Do Vermont license plates transfer to the buyer?
No, Vermont license plates stay with you (the seller). Remove them before the buyer drives away. You’re responsible for any violations recorded against your plates until you transfer or return them.
You can transfer your plates to another vehicle you own or return them to a Vermont DMV office. The buyer gets new plates when they complete their registration.
Do I need to file a release of liability after selling my car in Vermont?
Vermont has no separate release of liability form and no online portal for reporting a sale. Your release of liability is completed through two steps you’re already taking: signing Form VT-005 with the buyer and removing your plates immediately after the sale.
Keep your signed copy of Form VT-005 as your proof of transfer. It shows the date of sale, the buyer’s information, and the final price. That document protects you if any issues come up after the car leaves your hands.
How do I sell a junk car in Vermont?
The paperwork requirements are the same as any other Vermont sale. You need a clear title (or registration certificate for older exempt vehicles) and a completed Form VT-005. Remove your plates before the tow truck or buyer drives away.
Online junk car buyers like Peddle and Wheelzy handle most of the paperwork for you and include free towing. They operate in Vermont and can typically pick up within a day or two of accepting their offer.
Article Update History
This article was updated to reflect Vermont's current title laws under Act 165, including the correct $35 duplicate title fee and the removal of emissions testing as a seller requirement.
Originally posted and shared with our readers.