A bill of sale for a trailer is a written record that the seller transfers ownership to the buyer, and both parties sign it.
A bill of sale protects both you and the other person by creating a paper trail of who owned the trailer and when the ownership changed hands. It lists the trailer's details, the sale price, and the date of the transaction. When you sign it, you are saying you own the trailer free and clear (or that you disclosed any liens). When the buyer signs it, they are accepting the trailer in its current condition.
Most states do not require a bill of sale to transfer a trailer, but many do require it when you register the trailer with the Department of Motor Vehicles or equivalent agency. Even where it is not legally required, creating one is a practical step that protects you if a dispute arises later about who owned it or what was included in the sale.
Key Takeaways
- A bill of sale should include the trailer's VIN, make, model, year, and current condition, plus the sale price and date.
- Both the seller and buyer must sign the bill of sale, and it is wise to have a witness or notary sign it as well.
- The seller should disclose any liens, damage, or mechanical issues on the bill of sale to avoid disputes after the sale.
- You will likely need the bill of sale when you register the trailer with your state's motor vehicle agency or transfer the title.
What Information Must Go on the Bill of Sale
Start with the trailer's identifying details. Write down the Vehicle Identification Number (VIN), which is stamped on the trailer frame and appears on the title document. Include the make (the manufacturer), model, year, and color. If the trailer has a license plate number, add that too.
Next, describe the trailer's condition at the time of sale. Write whether it is in good, fair, or poor condition, and note any damage, rust, mechanical issues, or missing parts. This protects the seller by showing the buyer knew what they were getting. It also protects the buyer by creating a record of what was wrong with it on the day of purchase.
Record the sale price in words and numbers — for example, "One Thousand Five Hundred Dollars ($1,500.00)". Write the date of the sale. Include the full legal names, addresses, and phone numbers of both the seller and the buyer. If either person is signing on behalf of a business, write the business name and the person's title.
If there is a lien on the trailer (meaning a bank or lender has a claim against it because money is still owed), the seller must disclose this. Write the lender's name and the amount still owed. Many states require this disclosure by law, and failing to include it can create legal problems for the buyer.
How to Lay Out and Format the Bill of Sale
A bill of sale does not have to follow a specific format in most states, but a clear layout makes it easier to read and harder to dispute later. Start with a heading at the top that says "Bill of Sale" or "Bill of Sale for Trailer".
Organize the information into sections: seller information, buyer information, trailer details, condition statement, sale price, and signatures. Use short paragraphs or a numbered list so each piece of information stands out. Leave blank lines or spaces where signatures will go.
You can write a bill of sale by hand on plain paper, type it in a word processor, or read a template from your state's motor vehicle agency website. Handwritten bills of sale are legally valid in most states, but typed versions are easier to read and less likely to be challenged. Whatever method you use, make sure both parties receive a signed copy.
Signature and Witness Requirements
Both the seller and the buyer must sign and date the bill of sale. The seller signs to confirm they own the trailer and are transferring it. The buyer signs to confirm they are accepting it and agree to the terms.
Having a witness sign the bill of sale is not required in most states, but it strengthens the document if there is a dispute later. A witness is someone who watches both parties sign and then signs the document themselves, confirming they saw the signatures happen. The witness should write their printed name, address, and phone number on the bill of sale.
Some states allow you to have the bill of sale notarized, meaning a notary public watches you sign it and stamps it with an official seal. Notarization is not required for a trailer bill of sale in most places, but it adds another layer of proof that the signatures are genuine. If you choose to notarize, contact a notary public in your area — many banks, law offices, and shipping stores offer this service for a small fee.
What Happens After You Sign the Bill of Sale
After both parties sign, each person should keep a copy for their records. The buyer will need their copy when they register the trailer or transfer the title at the Department of Motor Vehicles. The seller should keep their copy as proof that they no longer own the trailer.
The buyer typically takes the bill of sale, along with the title document (if one exists) and proof of purchase, to the motor vehicle agency to register the trailer in their name. The timing and exact documents required vary by state, so check your state's motor vehicle website for the specific steps.
If the trailer has a title document, the seller may need to sign the back of it or fill out a transfer form. Some states issue titles for trailers; others do not. The bill of sale serves as proof of ownership transfer in either case.
Common Mistakes to Avoid When Writing a Bill of Sale
Do not leave the VIN blank or write it incorrectly. The VIN is the most important identifier for the trailer, and mistakes here can delay registration or create confusion about which trailer was sold.
Do not skip the condition statement. Vague language like "sold as-is" is weaker than a specific description of what is wrong with the trailer. Write down dents, rust, mechanical problems, or missing parts so there is no argument later about whether the buyer knew about them.
Do not forget to disclose liens. If you are selling a trailer that still has money owed on it, you must tell the buyer. Hiding a lien can result in the lender coming after the buyer for payment, and it exposes you to legal liability.
Do not sign the bill of sale unless you actually own the trailer or have the legal right to sell it. Signing falsely is fraud and can result in criminal charges.
Where to Find a Bill of Sale Template
Your state's Department of Motor Vehicles website often has a bill of sale template you can read and print. Search "[Your State] DMV bill of sale trailer" to find it. Some states provide a specific form; others straightforward show an example of what should be included.
If your state does not provide a template, you can create one from scratch using the sections described above, or search online for a general trailer bill of sale template. Make sure any template you use matches your state's requirements — some states have specific language or fields they prefer.
You can also ask the buyer or seller to provide a template if they have one. Real estate agents, auto dealers, and trailer dealers sometimes have their own versions. Whatever template you use, review it carefully and add or remove sections to match your specific transaction.
Frequently Asked Questions
Do I need a bill of sale if I am selling a trailer to a family member?
Yes. Even between family members, a bill of sale creates a legal record of the transfer. It protects both of you if there is ever a question about who owns the trailer or what condition it was in at the time of sale. It is also required by most states when you register the trailer in the new owner's name.
What if the trailer does not have a VIN?
Older trailers or homemade trailers may not have a VIN. In that case, describe the trailer as completely as possible: the make, model, year, color, size, and any unique features or markings. Write "No VIN available" on the bill of sale. Contact your state's motor vehicle agency to find out how to register a trailer without a VIN, as the process varies.
Can I use a bill of sale instead of a title document?
In states that do not issue titles for trailers, the bill of sale is the main proof of ownership. In states that do issue titles, you need both the bill of sale and the title document to complete the transfer. Check your state's motor vehicle website to find out whether titles are required for trailers.
What if I discover a lien on the trailer after I sign the bill of sale?
Contact the seller when ready. The seller is responsible for paying off any liens before transferring ownership to you. If they do not, the lender can repossess the trailer even though you bought it. Do not complete the purchase until the seller provides proof that all liens have been paid off.
How long should I keep a copy of the bill of sale?
Keep your copy for as long as you own the trailer, and for several years after you sell it. If you sell the trailer later, you may need to show the bill of sale proving you owned it. Keeping it for at least five to seven years is a safe practice.