Buying a Vehicle in Florida

Proof of Ownership

When purchasing a car, buyers should ensure that they ask the seller to provide proof of ownership in the form of a title.

Since 1923, most vehicle titles in Florida have been in electronic format, making it convenient for buyers to confirm ownership using the FLHSMV Motor Vehicle Information Check system.

To verify ownership, simply enter the title number of a vehicle in the system and pay any required fees.

If the seller does not possess a valid title, whether electronic or paper, buyers should contact a local motor vehicle service center for specific instructions on how to proceed.

Vehicle Identification Number (VIN) Check

In Florida, a VIN check is a critical step when buying a vehicle. By conducting a VIN check, individuals can access vehicle history reports.

By obtaining a vehicle history report, buyers can gain insight into the vehicle's overall condition and identify potential red flags. This includes ensuring that the car does not have a salvage title, which indicates it has been severely damaged or deemed a total loss by an insurance company.

Additionally, the report can highlight any open recalls needing attention and reassure that the vehicle has not been involved in significant accidents.

To perform a VIN check in Florida, enter the VIN of the vehicle in the Motor Vehicle Information Check system of the FLHSMV and pay any associated fees.

Odometer Reading

Paying attention to the odometer reading is crucial when purchasing a car in Florida. The state requires an odometer disclosure on the title, and buyers must provide the reading when applying for the title.

Buyers are advised to utilize the FLHSMV Motor Vehicle Information Check system to verify the accuracy of the odometer reading and protect themselves from odometer fraud.

Note that both the buyer and the seller must acknowledge the odometer disclosure during the title transaction. This ensures that both parties are aware of and in agreement with the recorded odometer reading.

Ownership Transfer

FLHSMV strongly advises buyers and sellers to conduct ownership transfer transactions at a motor vehicle service center to protect both parties involved.

In the case of a paper title, the owner must complete the Transfer of Title by Seller section on the front of the title certificate.

On the other hand, the buyer must fill out an Application for Certificate of Title form, attach it to the title, and submit the documents to a motor vehicle service center to initiate the transfer of ownership.

For electronically held titles, the seller and buyer must visit a local motor vehicle service center together. There, they must complete the Motor Vehicle Title Reassignment Supplement or the Reassignment Document for an Electronic Certificate of Title forms and provide the necessary disclosure of the odometer reading.

During this process, the buyer and seller must be present and have valid photo identification.

Financed Vehicle Purchase

If the vehicle was purchased with a loan, FLHSMV will issue a title reflecting the lien. Once the buyer has fully paid off the loan, the lien holder must mark the lien as "satisfied" and submit a Satisfaction of Lien notice to the department within ten days.

License Plates and Registrations

During a vehicle sale, the seller is responsible for removing the license plate from the vehicle. However, they can transfer the plate to a new or replacement car if they wish to do so.

Buyers seeking a license plate must register their vehicle for the first time at a motor vehicle service center, paying the required fees and taxes during the process.

If the buyer already has a valid license plate, they can transfer it to the newly acquired vehicle.

Personalized and specialty license plates are also available in Florida for an additional fee, which allows buyers to add a unique touch to their vehicle.

The operator must have the registration certificate with them while driving the vehicle. This document acts as evidence of registration and must be kept in the car at all times during its use.

Note that most vehicle owners in the state must renew their registrations within 90 days before their birthday. However, there may be exceptions to this rule, which will be specified on the registration certificate.

Buyer's Guide

The Federal Trade Commission mandates that dealers must provide a Buyer's Guide for every used car they sell and display it prominently.

The guide provides essential information such as:

• Information on the car's mechanical and electrical systems, including potential issues to watch for
• The suggestion to obtain a vehicle history report
• Whether the vehicle is sold "as is" or with a warranty
• The percentage of repair costs that the dealer will cover under the warranty
• The recommendation to get a pre-purchase inspection from a mechanic
• The provision of a Spanish Buyer’s Guide if the sale is conducted in Spanish
• The dealer's contact information and the contact for complaints
• The importance of getting all promises in writing
• The reminder that verbal promises can be challenging to enforce

Buyers are advised to keep this guide as a reference after the sale. It serves as a valuable resource, summarizing critical information about the vehicle's condition, warranty, and recommended steps for a satisfactory purchase experience.

Warranty

Used vehicles are not required to have a warranty, unlike new cars that come with a manufacturer's warranty. However, federal law mandates that all dealers display a Buyer's Guide on each vehicle they sell. This guide informs buyers whether the car is being sold with a warranty or "as-is" without any warranty.

Buyers should pay close attention to warranties, including the details in the fine print, and keep copies of all signed documents for reference. Remember, warranties and agreements are only valid in writing and signed by all parties involved.

If there is a valid warranty, buyers can refer to the Magnuson-Moss Warranty Act, which governs consumer product warranties. This federal law requires warrantors of consumer products to provide consumers with detailed information regarding warranty coverage.

Understanding the Contract

Buyers should carefully read and comprehend the purchase contract before signing it. It is a common misconception among consumers that they have a three-day cooling-off period to cancel the contract. However, under Florida law, there is no such provision.

The purchase contract must include the following information:

• Warranty status of if the vehicle is purchased with a warranty or "as-is"
• The expected date of vehicle handover
• Cost breakdown
• Other written conditions or promises mentioned in the contract

Signing the Contract

When buying a car from a licensed dealership in Florida, buyers must follow certain steps when signing the contract. First and foremost, buyers should never sign any blank forms.

Then, they should ensure they receive copies of all signed paperwork at the time it's prepared, including:

• Motor vehicle purchase contract
• Window disclosure labels or buyer’s guide
• Odometer statement
• Warranty or service agreement, if applicable
• Insurance contract
• Finance contract, if applicable
• Other signed documents

Buyers should also be cautious when placing a deposit on a vehicle. If a deposit is made and the buyer decides not to proceed with the purchase, they may risk losing the deposit unless the receipt or contract specifies that it is refundable.

Additionally, contracts are often contingent on credit approval. Suppose the lending institution denies the credit application. In that case, the dealer may process the application with another lender at a higher interest rate, so buyers need to understand all terms and get them in writing.

Tag and Title

When buying a car in Florida, buyers should understand the tag and title transfer process. A licensed dealer must apply for a tag and title within 30 days, providing the buyer with a temporary paper tag during this period.

If there are issues with receiving the tag and title, buyers should file the Consumer Complaint Form.

Florida law mandates that all registered vehicles in the state be insured. Without proof of insurance, the dealer cannot finalize the title and transfer the registration to the buyer.

Sales Tax

Florida imposes a state sales tax of 6% on the vehicle's purchase price. Depending on the county where the car is registered, local sales tax rates may also apply.

However, non-resident purchasers may qualify for a partial exemption by completing the Affidavit for Partial Exemption or Form DR-123 at the time of sale.

Registration Fee

The registration fee for a vehicle in Florida depends on factors such as the vehicle's weight, type, and class code. However, the fee is $225 for the initial registration, while replacing a license plate costs $28.

Title Transfer Fee

The fee for transferring the title of the vehicle in Florida is $75.25.

Vehicle Inspection Fee

If the vehicle is purchased from a private seller, re-inspection may be required, costing $20.

Lien Recording Fee

If the vehicle has a loan on it, a fee of $2 in Florida may be charged for recording the lien on the title.