Oregon Vehicle Bill of Sale

Is a bill of sale required to sell a car in Oregon?

Oregon does not require a bill of sale in all cases, but the DMV publishes an official Vehicle Bill of Sale form (Form 735-501) and recommends its use for every private-party transaction. A bill of sale is required if the title does not contain space for the purchase price or if the seller is not the owner on record. Even when not strictly required, a bill of sale provides both parties with a dated record of the transaction and protects the seller from post-sale liability.

Does an Oregon bill of sale need to be notarized?

No. Oregon does not require notarization of a vehicle bill of sale or the title assignment for standard private-party transfers. Both parties can sign the documents at their own convenience without a notary present.

Is there sales tax on a vehicle purchase in Oregon?

No. Oregon does not impose a general sales tax — on vehicles or anything else. Private-party vehicle sales between individuals generate no state or local sales tax obligation. This makes Oregon one of only a handful of states where the buyer owes no tax at all on a private vehicle purchase. Oregon does impose a 0.5% Vehicle Privilege Tax, but this applies only to new vehicle sales by dealers, not to private-party used vehicle transactions.

The main costs for the buyer are the title fee (which ranges from $101 to $192 depending on the vehicle's fuel efficiency rating) and registration fees. Oregon's tiered title fee structure charges higher fees for less fuel-efficient vehicles — a policy designed to offset lower fuel-tax revenue from efficient and electric vehicles.

How quickly must the buyer transfer the title?

The buyer must apply for a new title within 30 days of the sale date. A late title transfer fee of $25 applies after 30 days, increasing to $50 after 60 days. The buyer submits the signed title, the bill of sale (if applicable), an Application for Title and Registration (Form 735-226), and proof of insurance to the DMV. The seller must notify the DMV of the sale within 10 days using the DMV2U online portal (Form 735-6890).

Are emissions tests required?

Oregon requires emissions testing in the Portland metropolitan area and the Medford/Rogue Valley area. Vehicles registered in these regions must pass a Department of Environmental Quality (DEQ) emissions test before the DMV will complete the registration. The emissions test is separate from the title transfer but must be completed before the vehicle can be registered in an affected area.

What should the seller do after the sale?

The seller must notify the DMV of the sale within 10 days using the DMV2U online portal. This is a legal requirement and protects the seller from liability for violations committed by the buyer after the sale date. The seller may remove their license plates before selling — Oregon plates belong to the seller, not the vehicle. The seller should keep a signed copy of the bill of sale and the DMV notification confirmation for their records.

What if the vehicle has multiple owners?

If the vehicle is titled to more than one person, all owners on the title must sign the bill of sale. Use the "Add a co-seller" option on the form to add the second seller's name and address. Both sellers' names and signature lines will appear on the document. For electronic signing, each co-owner can sign on the same device in sequence, or the document can be passed from one device to another via QR code or shared link. Both buyers can likewise be named on the bill of sale using the "Add a co-buyer" option.