What is a Title Transfer?
A title transfer is the legal process of transferring the ownership of an asset, such as a vehicle or property, to another party. It provides proof of ownership while ensuring responsibility for that asset is in the right hands.
Without an updated title, you could experience negative consequences, such as ownership disputes or the inability to sell your asset at a later stage.
Read the rest of this article to learn about title transfers for vehicles and properties, such as the steps involved and when you require legal guidance from a lawyer.
How Do You Transfer a Title for a Vehicle?
If you’re selling your car, you’ll need to sign over its title to the buyer. You’ll require your original title, which is sourced from the Department of Motor Vehicles (DMV).
Once you have that document, you can legally transfer the vehicle title. Here are the steps to follow.
- Sign the title. Check that you’re listed as the owner. It’s advisable to sign the title in black or blue pen that’s clearer to see than other colors. Always check the vehicle’s information before signing the title so that there are no delays or issues with the transfer.
- Create a bill of sale. A bill of sale is required in some US states. It’s a document informing the DMV how much you had originally paid for the car, as this amount is used to determine sales taxes.
- The buyer will take the signed title to the DMV. This will register the vehicle in their name, effectively creating a new title.
The process of transferring a vehicle title can vary a bit depending on your situation. For example, when signing over a car title with a loan, the lender will transfer the car title to you after you’ve paid the final payment that’s owing. Usually, this is done automatically, but you can ask for the title to be sent to you by sending them a receipt showing that you’ve completed your payments.
On the other hand, if the car owner (seller) is deceased, their executor will have to apply for a new title. They will receive an ownership form that will go to the new car owner.
How Do You Transfer a Title for a Property?
For a property title transfer, the steps are a little different. The property seller will need to create a deed and file it with their county recording office. Here are the steps to follow.
Create a Deed
A property deed is a document that transfers ownership of a property from one party (the grantor) to another (the grantee), whether to a buyer of the property or a family member.
A deed needs to meet specific requirements in order to be legally valid:
- It must be in writing.
- The grantor and grantee must have the mental capacity to transfer or receive the property in question.
- Both parties must be correctly and clearly identified in the deed.
- The property description must be clear and specific.
- The deed requires the necessary legal language.
- The deed must be signed by the grantor and delivered to the grantee.
- The deed has to be notarized.
What are the Different Types of Deeds?
There are different types of deeds for property title transfers, depending on the situation.
- Quitclaim deed. This is when the owner’s interest is transferred to another party without any guarantee of the owner having full property rights.
- Warranty deed. This deed guarantees that the property title doesn’t have any liens or interests from other people. The buyer has full ownership rights of the property.
- Survivorship deed. The property is transferred to multiple property owners.
- Gift deed. The property is transferred as a gift, usually between family members or as a donation to a non-profit organization.
File the Deed
Once you have drafted your deed, you’ll file it with your county recorder so that the transfer is legal and public.
Update Records
After you’ve filed the deed, you will have to update all records so that the correct information is present, such as with your mortgage lender, HOA, or tax assessor.
How Can a Lawyer Help You with a Transfer Title?
If you don’t have a legal background, there are some things you might miss when completing a property transfer title. Hiring a lawyer can help you with the process.
- They’ll check for any old liens or easement issues on the property title that could hamper a title transfer.
- They’ll consider your situation and help you choose the type of deed that’s most suitable.
- They are skilled at drafting deeds so that they’re legally sound and valid.
- They know the filling process and will ensure it’s done correctly.
- They will help you with any concerns you might have before or during the process.
- They can help you with complex cases, such as if multiple owners are involved.
- In the case of a vehicle title transfer, a lawyer will be able to help you if the situation is complex, such as if the car owner is deceased or there are disputes.
When transferring a vehicle title, you might not require a lawyer for assistance, unless you’re dealing with a specific issue of concern. This includes if there’s missing information and/or ownership conflicts.
Do you need to find a lawyer for a transfer title?
If you’ve considered your situation and want to seek legal guidance for a title transfer, you can consult a lawyer on ContractsCounsel, an online legal network that connects clients to lawyers who have been vetted on the platform.
They will be able to advise you on the transfer title and help you through the process so that it goes smoothly without any issues.
