5 ms·

No, there is no law anywhere in the US prohibiting you from selling a used car in a private transaction.

travbrack 8y ago
It's illegal in my state to sell a car for the purpose of making a profit as an individual without a dealer license, and there's a limit of 4 per year. https://dor.wa.gov/get-form-or-publication/publications-subject/tax-topics/buying-and-selling-vehicles-without-auto-dealers-license https://dor.wa.gov/get-form-or-publication/publications-subj...
- deleted 8y ago
  [deleted]
- Teever 8y ago
  Wait, are you saying that private used car sale is illegal in your state?
  - travbrack 8y ago
    No, private car sales are legal as long as the seller isn't trying to make a profit off the car.
    - Teever 8y ago
      Like if they try and sell it for more than they paid for it? What if they end up selling it for more than it is estimated to be worth in something like blue book? Is that considered profit?
      - travbrack 8y ago
        Yeah.
    - exolymph 8y ago
      That seems like an insane restriction on what you can do with your private property. What are they trying to protect against? People peddling lemons? There must be a better way.
      - travbrack 8y ago
        I think what happened was auto dealerships successfully lobbied the state congress to raise the barrier to entry so they had less competition from private sellers.
blhack 8y ago
Not true. There is a limit to the number of times you can sell a car per year before you get a dealers license. (I have several companies in this space)
astura 8y ago
It's only a "private transaction" if you aren't doing it for the intention of making a profit. (depending on exact laws). Unless the laws in their state are solely based on volume, they are almost certainly acting as a dealer, which requires a dealer license and a bunch more legal requirements. In most states once someone buys a car with the intention of reselling it rather than using it, they automatically become a dealer.

It's illegal in my state to sell a car for the purpose of making a profit as an individual without a dealer license, and there's a limit of 4 per year. https://dor.wa.gov/get-form-or-publication/publications-subject/tax-topics/buying-and-selling-vehicles-without-auto-dealers-license https://dor.wa.gov/get-form-or-publication/publications-subj...

deleted 8y ago
[deleted]
Teever 8y ago
Wait, are you saying that private used car sale is illegal in your state?
- travbrack 8y ago
  No, private car sales are legal as long as the seller isn't trying to make a profit off the car.
  - Teever 8y ago
    Like if they try and sell it for more than they paid for it? What if they end up selling it for more than it is estimated to be worth in something like blue book? Is that considered profit?
    - travbrack 8y ago
      Yeah.
  - exolymph 8y ago
    That seems like an insane restriction on what you can do with your private property. What are they trying to protect against? People peddling lemons? There must be a better way.
    - travbrack 8y ago
      I think what happened was auto dealerships successfully lobbied the state congress to raise the barrier to entry so they had less competition from private sellers.

blhack 8y ago

Not true. There is a limit to the number of times you can sell a car per year before you get a dealers license. (I have several companies in this space)

astura 8y ago

It's only a "private transaction" if you aren't doing it for the intention of making a profit. (depending on exact laws). Unless the laws in their state are solely based on volume, they are almost certainly acting as a dealer, which requires a dealer license and a bunch more legal requirements. In most states once someone buys a car with the intention of reselling it rather than using it, they automatically become a dealer.