How to buy a car out of state?

[Damage Inc]

I'm looking at an M across the country. I plan to buy sight unseen. I will have a PPI done, the car is still under warranty, etc. The buyer I trust, and everything checks out.

Here's the issue.

He has a lien on the car, so does not have the title in hand. I plan to pay to have the car shipped. I'm paying cash.

So how do I pay off the car, get the title sent to me, and have the car show up with no risk?

If this isnt possible, I'll keep looking.

I was thinking maybe I can have the local dealer where he bought the car handle the transaction? I "trust" the dealer. Maybe I would even fly in to drive the car, check it out, and do the transaction in person.

Ideas?

[Oaktree]

Originally Posted by MojorisinM3

I'm looking at an M across the country. I plan to buy sight unseen. I will have a PPI done, the car is still under warranty, etc. The buyer I trust, and everything checks out.

Here's the issue.

He has a lien on the car, so does not have the title in hand. I plan to pay to have the car shipped. I'm paying cash.

So how do I pay off the car, get the title sent to me, and have the car show up with no risk?

If this isnt possible, I'll keep looking.

I was thinking maybe I can have the local dealer where he bought the car handle the transaction? I "trust" the dealer. Maybe I would even fly in to drive the car, check it out, and do the transaction in person.

Ideas?

You pay the bank or who he has the lien with. Arrange with them to send the lien release to you. Shouldn't be too hard. He has the title, it just has the bank on it. You will take the title and Leon release to title in your state.

[tibra1]

I bought out of state and had the car shipped to me..I flew out..inspected the car and closed the deal all in one day..my advice DO NOT buy this car sight unseen..

[Darth One]

Originally Posted by tibra1

I bought out of state and had the car shipped to me..I flew out..inspected the car and closed the deal all in one day..my advice DO NOT buy this car sight unseen..

this. have the PPI done before you fly out, and if all checks out, fly out and look at the car yourself, and if all goes well seal the deal.

then have the car shipped. this is what I did except that I elected to drive the car home myself

[Talk2meg00se]

you really need to speak with the title holder.

don't give this guy a cent until you speak whichever bank that is holding title and confirm the steps of the process.

[Wanna Race?]

i sold cars out of state for 2 years. a few pieces of advice:

- As mentioned above, call the lien holder and verify everything. They can put you on file on the account. Your going to pay them and pay him any balance, he will give them permission to get you the lien release and or the title (depends if you/him are in a title holding state).

- I would spend 150 and higher a title company that does all of this for you. You can call https://www.interstatetitlesolutions.com/main/index.cfm. This will protect you and the title

- Have him take the car to a BMW dealer locally (you find it and set this up), get a hold of an SA, pay 100 to have the car looked over with the CPO inspection (it is the most detailed) and when you buy it have the car taken there and picked up by the shipping company from the dealer. You can also ask the SA for the BMW service history referred to as DCS sheet, everything you will ever need on the car is in this document.

- in the meantime, have as many pictures as possible sent over to you, i mean like 50.

GOOD LUCK!

[von_zoom]

No matter how much you trust people, there are a lot of different folks involved. I assume you are paying a likely large amount, so I would go look at the car, resolve all legal details to your satifaction, and elliminate any up stream problems. Auto titles can be tricky, and back and forth by mail to resolve any problems can be difficult. You may wish to ask your state exactly what and how to handle the paper work so that there will be no problem when you go for tags, etc.
vz

[Bpark1977]

I work in the auto sales industry. There are many pitfalls to what your proposing. Do your due diligence and don't leave anything to chance. Get everything in writing, notarized if necessary. Talk to EVERYONE involved, the seller, dealer where it's to be inspected, the tech who actually does the PPI, the bank holding the lien, the transport company that's gonna ship your car, some references from said transport company, and anyone else involved. There are numerous title and lien release forms available online from your respective DMV.

GOOD LUCK

[MDyDinanM]

Here is how I bought my 2008 e60 M5 from out of state:

searched auto trader for the car I wanted with the right color/options, etc. Found one in Scottsdale, AZ.

Solicited help from m5board for any members in AZ to check the car out. Found a member willing to help.

Checked the Car's history with CarFax, ran the VIN through my local service center to check service history, ALL was good.

Had local AZ member take the car for a test drive and a PPI at a trusted local Indy in his area. I compensated him for his time. All was good.

I dealt with the dealer over the phone and email. I mailed a check overnight to them. They waited for the funds to clear before releasing the car. I coordinated with them to have a trusted covered transport company to pick up the car and transport it from AZ to VA. I paid an initial deposit to the car transport company, then the remainder upon arrival.

All this was done without me EVER SEEING THE CAR first hand. I took a risk, but it all worked out in the end.

When the car arrived, I went to the DMV and showed them to bill of sale. Paid the registration fees, tax, etc. Got my plates and off I went on my merry way. I didn't have to show the title b/c I financed some of the cost through my bank. All I did was show the bill of sale, registration, state inspection, etc. I even got a letter from my bank stating as such.

That is how i did it.

[Talk2meg00se]

Originally Posted by mdyaman

Here is how I bought my 2008 e60 M5 from out of state:

searched auto trader for the car I wanted with the right color/options, etc. Found one in Scottsdale, AZ.

Solicited help from m5board for any members in AZ to check the car out. Found a member willing to help.

Checked the Car's history with CarFax, ran the VIN through my local service center to check service history, ALL was good.

Had local AZ member take the car for a test drive and a PPI at a trusted local Indy in his area. I compensated him for his time. All was good.

I dealt with the dealer over the phone and email. I mailed a check overnight to them. They waited for the funds to clear before releasing the car. I coordinated with them to have a trusted covered transport company to pick up the car and transport it from AZ to VA. I paid an initial deposit to the car transport company, then the remainder upon arrival.

All this was done without me EVER SEEING THE CAR first hand. I took a risk, but it all worked out in the end.

When the car arrived, I went to the DMV and showed them to bill of sale. Paid the registration fees, tax, etc. Got my plates and off I went on my merry way. I didn't have to show the title b/c I financed some of the cost through my bank. All I did was show the bill of sale, registration, state inspection, etc. I even got a letter from my bank stating as such.

That is how i did it.

Haha that's funny, I also fished mine out of AZ. Great place to buy a 2nd hand car. No salt / no snow / no used car tax (my parents are there so I was able to swing AZ plates).

Though I was able to get an amazing deal on a car with only 7,000 mi., the entire process was STRESSFUL AS HELL. No matter what you do, you will end up, at some point, trusting a stranger with a ton of money. I don't know if it was worth it. I think that maybe next time around I'll just pay the premium at the dealer.

[M3Dreams]

Originally Posted by mdyaman

Here is how I bought my 2008 e60 M5 from out of state:

searched auto trader for the car I wanted with the right color/options, etc. Found one in Scottsdale, AZ.

Solicited help from m5board for any members in AZ to check the car out. Found a member willing to help.

Checked the Car's history with CarFax, ran the VIN through my local service center to check service history, ALL was good.

Had local AZ member take the car for a test drive and a PPI at a trusted local Indy in his area. I compensated him for his time. All was good.

I dealt with the dealer over the phone and email. I mailed a check overnight to them. They waited for the funds to clear before releasing the car. I coordinated with them to have a trusted covered transport company to pick up the car and transport it from AZ to VA. I paid an initial deposit to the car transport company, then the remainder upon arrival.

All this was done without me EVER SEEING THE CAR first hand. I took a risk, but it all worked out in the end.

When the car arrived, I went to the DMV and showed them to bill of sale. Paid the registration fees, tax, etc. Got my plates and off I went on my merry way. I didn't have to show the title b/c I financed some of the cost through my bank. All I did was show the bill of sale, registration, state inspection, etc. I even got a letter from my bank stating as such.

That is how i did it.

^^^ this, except I did not solicit a board members help, nor a PPI. I trusted a renowned Maryland dealer, lots of photos, CarFax, DCS Sheets, and my own research in the previous owner. In the end, it was stressful and risky, and a first time for me buying a car sight unseen. However, I saved 18K from sticker for a car that had 4k miles, and sat in someone's garage for 11 months like a queen.

[jphughan]

A co-worker of mine just sold his M6 to an out of state buyer; he still owed money on it. Since the buyer didn't have a lot of time to be down here to check the car, he asked my co-worker to get a PPI done at the local BMW dealer prior to his arrival and send the results. They were fine, so the buyer flew down from NY to inspect the car, decided he wanted it, and gave my co-worker the cold, hard cash in exchange for the car, which he decided to drive home. My co-worker immediately went to the local DMV to release liability for the car in case anything happened, sent the payoff cash to BMW FS, got the title in the mail, and sent it right off to the buyer in NYC.

Seemed to work out fine. The car and cash were exchanged at the same time so there was never a time when a single party had both cash and car, and my co-worker didn't have liability for anything the buyer did with the car after purchasing it but prior to re-registering it. I suppose if you have an unscrupulous seller in this scenario who didn't pay off the car and mail the title, the buyer could end up with a headache, but I don't really see what the seller would have to gain by doing that.

[Hansel]

I sold my nsx to a guy from out of state a few years back.

He flew in, i picked him up at the airport. He had a cashiers check from his bank, we went to my local bank to verify it was good and have it wired to my out if state bank (USAA) which had the lien on the title. He verified the lien payoff amount with USAA before this .

We filled out the bill of sale and the shipper took the car with the bill of sale. my bank(the lienholder) released the title to him and he received it via fed ex.

Pretty simple overall.

If he didnt come in person, my bank would've dealt directly with his bank and i'd release the car to the shipper i suppose when my bank verified the funds. I'd imagine a third party like a dealer may hold the car during that period if it was arranged to release to shipper.

[Dolittle]

Have him sign a bill of sale and both of you sign this:

I, [seller name], Seller of the [year] [color] BMW M3 (VIN_____) ("Vehicle"), guarantee and assure the Buyer, [your name], that:

(1) the current loan held by [] will be paid in full by [];

(2) [name of lien holder] is the only current lien on the car and there are no other current liens on the Vehicle;

(3) The title is free and clear of any liens, encumbrances, restrictions or limitations and that Vehicle been used as collateral by the Seller in any other transaction; and

(4) In the event that the title is not clear and free, the Seller guarantees that he will do what is necessary to clear title in favor of the Buyer and indemnify the Buyer for any and all expenses that the Buyer incurs in clearing title to said Vehicle.

Both of you need to sign and date this. Its legally binding.

[Mr. ///M3 RD]

If I was the OP I would look elsewhere sounds fishy to me.

[Veegie]

Originally Posted by Talk2meg00se

Haha that's funny, I also fished mine out of AZ. Great place to buy a 2nd hand car. No salt / no snow / no used car tax (my parents are there so I was able to swing AZ plates).

Though I was able to get an amazing deal on a car with only 7,000 mi., the entire process was STRESSFUL AS HELL. No matter what you do, you will end up, at some point, trusting a stranger with a ton of money. I don't know if it was worth it. I think that maybe next time around I'll just pay the premium at the dealer.

So crazy. My first M3 arrives next week from AZ too!

[m3buckeye]

Originally Posted by Wanna Race?

- Have him take the car to a BMW dealer locally (you find it and set this up), get a hold of an SA, pay 100 to have the car looked over with the CPO inspection (it is the most detailed) and when you buy it have the car taken there and picked up by the shipping company from the dealer. You can also ask the SA for the BMW service history referred to as DCS sheet, everything you will ever need on the car is in this document.

$100? Not quite. More like $275 to do it right.

[oliviasappa]

$100 does sound awfully low.

[6spdg37s]

you can use a company like www.escrow.com They are a middle man and will hold the title and all the cash until everything transfers. what sucks is they take a percentage of the money as a service fee. but perhaps spending lets say 1000 extra to not get screwed out of 50k could be very worth it .

[SeaMonkey]

So I have aggreed to buy an E92 in NY (I am in MA) an hopefully contribute more to the board. Car is CPO'd, having PPI done next week. Car has a lien from BMW Fin Servces. BNW Fin. says it takes about a week to turn around the title release if i fedex them a certified check. My question is about this week-long period where the seller doesnt have the $ and i dont have the title.

I would like to drive it home, but, insurance says i need a title as does the registry. If i leave the car for a week, then the seller has "my" car to drive around?

Any thoughts would be really appreciated...Thanks !

[whats77inaname]

Originally Posted by SeaMonkey

So I have aggreed to buy an E92 in NY (I am in MA) an hopefully contribute more to the board. Car is CPO'd, having PPI done next week. Car has a lien from BMW Fin Servces. BNW Fin. says it takes about a week to turn around the title release if i fedex them a certified check. My question is about this week-long period where the seller doesnt have the $ and i dont have the title.

I would like to drive it home, but, insurance says i need a title as does the registry. If i leave the car for a week, then the seller has "my" car to drive around?

Any thoughts would be really appreciated...Thanks !

Is the car @ the dealership? If not, after the PPI, why are they involved, i.e., why are they holding the car?

BTW, have someone take a pic of the odo *IMMEDIATELY* so you can keep track of how many miles are put on the car between now and pickup. And out of the many vehicles I've picked up out of state, I've *never* had to have the title in hand before insuring it. I called the day before I was drive it home, and had the policy go into effect the following day. What ins. co are you using?

[SeaMonkey]

Car is not at a dealer, car is owned by an individual. PPI will be at a dealer, then back to seller. Insurance co. is liberty mutual, may have been given bad info by the kid who picked up the phone.

I have found out that MA law allows you to use current plates for 7 days on the new vehicle.

I will travel to NY after the PPI to look over the car, including mileage, before handing over the check (made out to the lienholder).

So assuming all goes well, i would like to take the car with me...but it takes a week for the title to be sent from the lienholder.

Just reading Oaktree's post above...if true and i can get title, with current lienholder, that sounds good...but what then proves ownership ? bill of sale ??