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Colorado Car Bill of Sale Requirements

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Reviewed against state DMV requirementsLast reviewed: April 20266 min readEditorial policy

Colorado private car sale checklist.

Colorado Car bill of sale requirements checklist

  1. Seller and buyer full legal names and addresses
  2. Sale date and agreed sale price
  3. Car year, make, model, and VIN (Vehicle Identification Number)
  4. Odometer reading at time of sale (federal disclosure required for most motor vehicles)
  5. Signatures of both buyer and seller

If you want to generate a printable Colorado car bill of sale, you can create one here.

Generate Colorado car Bill of Sale

Does Colorado require a bill of sale for a car?

Yes, Colorado requires a bill of sale for all private-party car transfers. The signed document is needed to complete title transfer at the DMV. Both buyer and seller should keep a copy for at least five years after the sale.

What are the fees for a car title transfer in Colorado?

The Colorado title transfer fee is $7.2. The state charges 2.9% sales tax on the sale price. Notarization is not required for most car bills of sale in Colorado.

Colorado Car transfer fees and requirements

In Colorado, the title transfer fee is $7.2 and registration costs $50 - $100+ based on vehicle weight and age. Car sales are subject to 2.9% state plus local taxes; ownership tax based on age. Colorado does not require notarization for private-party car transfers. Emission testing is required in Colorado — verify the car passes before completing the sale.

  • Emissions testing required in Denver metro and northern Front Range
  • Ownership tax calculated based on vehicle taxable value
  • VIN verification required for out-of-state vehicles

Official Colorado bill of sale form

The official Colorado bill of sale form is DR 2173 (Bill of Sale for a Motor Vehicle). BillOfSaleNow generates a document that meets all Colorado requirements and can be used in place of the official form.

Colorado sales tax on car purchases

Colorado has a 2.9% state sales tax rate. 2.9% state plus county/city taxes (total 3–10%). Private-party car sales in Colorado are subject to sales tax. Sales tax applies; ownership tax also assessed based on vehicle age. The title transfer fee is $7.

Car market data and safety information

The most common car makes in private-party sales are Toyota, Honda, Ford, Chevrolet, Nissan. Average private-party car prices range from $5,000–$25,000. The average NCAP safety rating for recent car models is 4.2 out of 5 stars. Cars average 3.1 NHTSA recalls per model across categories including Airbags (Takata), Power Train, Fuel System.

Safety checkpoints for buying a used car

Before completing a car bill of sale in Colorado, verify these safety items:

  • Verify airbag recall status (Takata recall affected 67M+ vehicles)
  • Check tire age — tires over 6 years old degrade regardless of tread depth
  • Confirm brake pad thickness and rotor condition
  • Test all seatbelts for proper retraction and latching

Car insurance and depreciation in Colorado

Liability insurance required in 49 states (New Hampshire is the exception). Average annual premium: $1,600–$2,200. Cars lose approximately 20% of value in the first year and 60% over five years. Japanese brands retain value best. Peak season for private car sales is spring (march–may) when tax refunds boost demand, with an average of 21 days on market.

Car registration and titling

Cars are classified as "Passenger vehicle" for registration purposes. Standard passenger cars weigh 2,500–4,500 lbs; no special weight-class registration required. Federal odometer disclosure is required for cars under 20 years old.

Car title transfer rules

Standard passenger vehicle title transfer requires a signed title, bill of sale, and odometer disclosure statement. Both buyer and seller must sign the title assignment. A clean certificate of title signed by the registered owner is the primary transfer document. Some states issue electronic titles that must be converted to paper before a private sale.

Odometer disclosure for car sales

Federal law (49 CFR 580) requires an odometer disclosure for passenger cars less than 20 years old at the time of transfer. The seller must certify the reading is accurate or indicate if the odometer has been tampered with or exceeds its mechanical limits.

  • Applicable law: 49 CFR Part 580 — Odometer Disclosure Requirements

Required disclosures for car sales in Colorado

When selling a car in Colorado, the following disclosures apply:

  • Salvage or rebuilt title status must be disclosed to the buyer before sale.
  • Lemon law buyback history must be disclosed in states that track branded titles.
  • Emission compliance status may affect registration in states with inspection programs.

Colorado bill of sale statistics

BillOfSaleNow has generated 1,683 bill of sale documents for Colorado transactions, with 45 generated this month alone. The most popular vehicle type is car.

FAQ

Does Colorado require a bill of sale for a car?

Colorado sellers should keep a signed bill of sale for private car transfers.

What should be included on a Colorado car bill of sale?

Seller and buyer names, sale date, sale price, vehicle details, VIN or HIN, and signatures for both parties.

Is a bill of sale legally binding in Colorado?

A signed bill of sale documents the private transaction and helps prove the transfer date for records.

What are the Colorado fees for a car transfer?

Title transfer fee: $7.2. Registration: $50 - $100+ based on vehicle weight and age. Sales tax: 2.9% state plus local taxes; ownership tax based on age. Notarization is not required.

What are the most common car makes in private sales?

The top car makes are Toyota, Honda, Ford, Chevrolet, Nissan. Average prices: $5,000–$25,000.

Informational purposes only. This content is provided for informational purposes only and is not legal advice. Laws vary by state and individual circumstances differ. Consult a licensed attorney for jurisdiction-specific guidance on vehicle transfers, title requirements, or related legal matters.