How To: Buy or Sell a Car On Facebook Marketplace

While this works on Facebook Marketplace, it also works the same way on Craigslist, from a friend, or anyone else that isn't a dealership. This is written as advice to the buyer, but conversely acts as advice to a seller, so it should equally advise both sides. I created a quick summary at the bottom to help you walk through everything before you leave to pick up or sell your car.

First, you'll want to do your research. Browse through the specs, options, paint colors, cool mods, and really get to know the car before you buy it. That way, you know what you're getting into, and in any buying and selling situation, the one with the most information wins every single time. You can figure this stuff out easily by checking out my articles on these topics:

• RSX Buying and Selling Guides

Once you've picked out what you want to look for, browse Facebook Marketplace, Craigslist, and Facebook Groups related to the RSX to see what's available on the market. 

Usually, sellers list their car above the price that they actually want to sell it for, so keep that in mind when you're shopping. You can generally talk a seller down to this price, or below it by knowing what you're looking at. At some point, you will reach an agreement or move on if it looks like too much work for the price.

Bill of Sale

Example Bill of Sale

If the sale is made and you're happy with the car, the seller is going to sign the bill of sale that you brought, just to have more paperwork identifying the car as yours. For the buyer, it proves ownership going forward. For the seller, it can protect against liability claims surrounding the item after the sale. It benefits both of you to have a bill of sale. You can print one out ahead of time. Here's a link to one you can fill out yourself pretty easily.

• Bill of Sale

Cash

You should have the amount of cash the seller is expecting stored in a hidden (not obvious) location in the locked car you got to the sale location in. If you negotiated well, you'll be giving them a little bit less of it. Count out the money and double check it. The seller should also check the amount of money to make sure it's correct. As a seller, I would only take cash. There are apps today that allow the exchange of payment, but there's too much chance for me that someone might try to rip me off on these. If you're buying a friend's car, maybe one of the apps like Venmo or Zelle would be okay, but I would stay far away from them in most cases. There's too many scams going around and it's too much money to not care about.

Title

Sample of What the Title Will Look Like

They're going to have the vehicle title with them. If they don't have a title for the vehicle, it may as well not be theirs. Since the closing of the Vermont loophole, it doesn't make sense to buy a vehicle without a title. Do not do it, or it can be repossessed from you and you will not get your money back.

All current owners of the car must sign the title for it to be properly transferred. They'll fill out the odometer number at which the vehicle was transferred. 

As far as writing a sale price, some previous owners will offer to break the law and write a lower number to reduce the sales tax you'll pay. I recommend writing the actual number you bought the car for. If the number is too low, the state will come up with its' own valuation sometimes. It's not worth it, just pay the sales tax if it exists in your state.

License Plates

Previous owners might tell you that you can keep their old license plates. This is a bad idea for the seller. If the buyer buys the car and gets caught speeding, or commit a crime with the license plates registered to you, it can be a problem for you as a seller. As a buyer, it's just illegal. Get a trip permit, which allows you to drive home with your new car without license plates. It's usually around $5 and worth it to avoid unwanted police interactions.

After you've given the previous owner back their license plates, you've exchanged contact information if you want to give them the option to buy it back in the future, or keep track of your build, and you've exchanged money for a title and both signed the bill of sale, you're almost done. 

Insurance

California Example; Different States Look a Bit Different

Call your insurance company and let them know you just bought a car and want to insure it immediately and add it to your plan. This is normally a pretty easy call, and they will soon after send you proof of insurance in the mail to keep in the car, along with a bill for adding the car to your plan. If you have an app for your car insurance, you'll have proof of insurance very quickly accessible for your drive home. Don't skip this step, you'll usually have to pay a big fee for driving without insurance.

Department of Motor Vehicles (DMV)

When you get home, go to the DMV with the title and bill of sale to pay taxes and finish getting the title transferred and grab your license plates.

Summary Checklist

1. Do research and choose what you want to shop for.
2. Find several good potential options and get info from the owners.
3. Choose one that you'd like to own, and set up a meeting somewhere public with the owner.
4. Go to your bank and get the amount of money that the listing asks for out, and put it somewhere safe where you won't forget it. Do this a couple days before you meet and not on the weekend.
5. Print out a trip permit with the vehicle's information plugged into it. You might need to ask the previous owner for the VIN (which you should ask for anyway when looking into a car you're serious about owning).
6. Print out a Bill of Sale and prospective purchaser's trip permit and bring them with you.
7. Ask a friend to come with you to pick up the car. 2 pairs of eyes are better than one, it's a fun bonding experience, and you need someone to drive you there so you can drive your new car home if you end up buying it.
8. Meet up with the seller and check the car out. Make sure you leave the money in the locked car.
9. If you like it and it looks good and you reach an agreement, the seller will sign over the title and you'll bring the money to them to count.
10. Both of you sign the bill of sale for extra protection for both of you.
11. Call your insurance company and get the new car on your insurance plan.
12. Tape the bill of sale to your rear window if you can. Otherwise keep it up front with you.
13. Drive home.
14. Schedule an appointment or visit your local DMV to get the title transferred to you officially.
15. Go to the DMV with the title and the bill of sale. They'll give you a new title, vehicle registration, and license plates. They'll ask you to pay property tax on your vehicle and for the plates and registration.
16. If the car is from out of state and your state requires inspections, you'll need to have the vehicle inspected in your state to be fully legal.
17. Once you have your own license plates, registration, title, proof of insurance, and you've paid your taxes and fees at the DMV, you now own the car and can drive it on public roads.

Congratulations on buying or selling your RSX! Check out some more stuff on my website if you want to do some preventative maintenance or fix issues you found on inspection, or maybe even decide on mods you want to do. Enjoy your new RSX!