Buying or Selling a Car in NSW: What Documents Do You Need?

Educational

Oct 05th, 2020

Buying or Selling a Car in NSW: What Documents Do You Need?

Whether you want to buy or sell a car, the process can be quite an exciting one. The buyer is about to invest in a vehicle that they'll call their own. Meanwhile, the seller lets go of something that's been a big part of their life for some time. So, the process isn't as easy as exchanging cash for a set of car keys. Instead, there is a fair bit of paperwork involved for both the buyer and the seller.

When it comes to a person wanting to buy or sell a car in Australia, the government regulates the process. That means that local state governments decide how you should go about performing this transaction, and there may be a difference when selling a car in NSW or QLD.

What will this article cover?

In this article, we'll go through what documents are needed if you buy or sell a car in New South Wales, Australia. Bear in mind that when it comes to registering the sale, some records are required in their original form, while a certified copy might suffice for others. The documents that we'll cover include:

  1. Registration document
  2. Dealer warranty form
  3. Sales contract or Proof of Purchase
  4. Notice of Disposal
  5. Additional documents

What records do you need to prepare or look for when buying or selling a car?

Registration Document (the original document)

Firstly, the seller needs to have an original copy of the vehicle’s registration document. Simply put, this is to confirm that the seller actually owns the car that they’re selling to the buyer. Other than the registration certificate, a renewal notice or any equivalent kind of registration document is also acceptable.

As a car owner, you should always make sure to keep your car’s registration documents somewhere safe. You need to keep it handy whenever you need to prove ownership of a vehicle, and especially when you’re about to sell it to another person.

As a buyer, always take a close look at the registration document. Make sure that the car’s actual owner is the one trying to sell it to you. Then, look closer to make sure that the registration numbers on the certificate match the car that you’re planning to buy.

Although the odds are low, there is nevertheless a small possibility that someone might try to sell you a car that isn’t theirs, with a registration certificate that doesn’t match the vehicle they’re showing you. So, be vigilant, and do your homework.

Dealer Warranty Form (a certified copy)

Next, there also needs to be a dealer warranty form. If the seller doesn’t have the original document, then a certified true copy will suffice. The purpose of this document is to show the warranty status of the car.

As a buyer, this is a vital document to see with your own two eyes (don't just take the seller's word for it!). Firstly, this document will tell you if the original warranty still covers your vehicle, and for how long. If the car is indeed still under warranty, then you'll want to know what the terms of that warranty are. That way, you won't end up unknowingly doing something that might violate the provisions in there.

Sales Contract or Proof of Purchase (the original document)

In New South Wales, the seller of a vehicle must also have the original copy of their sales contract or proof of purchase. Of course, the NSW government is the one that set this requirement. Still, a buyer will benefit from seeing this document as well.

A proof of purchase document will show every necessary detail of the vehicle. That includes the original value of the car, as well as things like the engine size, trim levels, security features, and more! That’s important so that a buyer can do their due diligence and understand what they’re buying. Plus, it also allows them to compare the current state of the car (and whatever modifications it has) with how the car was when it first rolled off the dealer’s lot.

Indirectly, this document will also show a buyer if a seller is being honest with them or not.

Notice of Disposal (the original document)

Lastly, there’s the Notice of Disposal. It is a document that the seller needs to fill up and sign to notify NSW Roads & Maritime Services that they’ve sold off the car and transferred it to a new owner. Typically, this document can be obtained online, by post, or in-person at a registry or service centre.

As a seller, the Notice of Disposal is essential so that the government doesn’t hold you liable for any parking or driving offences committed by the new owner. You see that until this document is processed, the former owner’s name will still appear as the person responsible for this vehicle.

If you’re a buyer, this document will give you peace of mind knowing that the previous owner has formally let go or ‘disposed’ of the vehicle, and it now belongs entirety to you.

Additional Documents

The documents mentioned above are a mandatory requirement. However, there are some additional documents that you can choose to show to the buyer as well if you want to. One example is the car's maintenance record. With this record, a potential or actual buyer will be able to know how well you've maintained the vehicle. When you're selling a car, sharing the maintenance record is a great way to show the potential buyer that the vehicle is worth the money and persuade them to buy it.

However, that maintenance record is also beneficial to the actual buyer. With it, the buyer can figure out which car parts you've recently replaced or fixed, and which ones might need their attention soon. That way, there are no surprises for the new buyer as they enjoy the car they’ve bought from you.

Where should you go to buy or sell used cars and car parts in Sydney?

To check out cars or car parts that are for sale in New South Wales or the rest of Australia, check out Carpart.com.au! This high-traffic website is the perfect place to look for used cars to buy directly from the owners or for used auto parts from wreckers. You may also request for new and used car parts through its auto parts finder to find parts quick.

Not only that, Carpart.com.au is a great place to learn more about maintaining your car, sourcing parts, the latest about motoring events, and the automotive industry in the country. Follow us and be a part of this vibrant auto community in Australia!


By Ray Hasbollah