Trailers and titles... What do I do and Where do I even start????

Hi,
I am in the market for a smaller bumper horse trailer (2-3 horse). I plan on buying used from friends or friends of friends. However I have NO idea how to do so legally, what titles and tags are about, or how to find out more information. I have read up on DMV website, not all too helpful.
So my questions are 1) How does the title work? How do I get it transferred to my name? 2) Will a good ol bill of sale with witnesses suffice? Can I live without a title? 3) I will be moving out of state in 6 months (destination unknown). How do I stay legal?

I know that these are a lot of questions, and pretty basic, but anything helps. Thank you in advance!

TM

Titles, plates, registration are state dependent.

You need to find out what your state requires with respect to trailers, sale transfers, etc…

I currently live full time in Alabama but I could make an argument that Kentucky is my home /residence. Trailer will be used much more in AL.

The Alabama DMV website I found was completely, utterly useless.

In TX, you sign the title over to the new owner, that then sends it to Austin to be recorded and you get a new title with you listed as the owner.

For the license, you go sign for a license plate to a court house, where you pay a fee/tax for that license, to be repeated once a year.
You may be able to do that thru the mail also.

You can go ask your court house tax office about what you have to do in your state and how to transfer the license to another state.

To be legal in TX, you may not have a title I think, but you do need a license plate.

With a new trailer, you get a certificate of origin from the builder of the trailer, that you send in to get the title, something many owners don’t do, so you may buy a trailer just with that paper.
It is better to get a real title in your name when you buy a trailer, not as apt to be false like the certificate of origin from a dealer can be, that anyone may print one.

Alabama Trailers

All trailers manufactured as model year 1990 or newer, collapsible camping trailers, utility trailers, and truck trailers, must be registered. The process is the same as for car registration.
You will need:
Appropriate auto insurance coverage.
Your AL driver’s license.
To have your trailer inspected.
Title certificate, if applicable.
If you don’t have your title certificate, see our Replacing a Lost Title in Alabama page.
To pay the registration fees. See “Fees to Register Special Vehicles in AL” below.
Once you’ve registered your trailer, you may be able to complete your renewals online.
Fees to Register Special Vehicles in AL

Depending on the type of vehicle you have, the Alabama MVD will charge you the following registration fees (based on yearly rates):
Motorcycles: $15.
Motorhomes: $23 to $500 (depending on gross weight of vehicle).
If your motor home weighs over 42,000 lbs., your fees may be higher.
Trailers: $12 to $60 (depending on the type of trailer).
Custom-built cars:
Title: $15.
Inspection: $75.

In PA the “appropriate auto insurance” applies to the tow vehicle, not the trailer.

In PA we can use a “tag and title shop” who does all this (except the inspection)

Yes, we too have to show proof of insurance lately, insurance on your driving vehicle, to do any business that involves titles or licenses or inspections.

They are trying to catch drivers without the mandatory insurance, I think.

Don’t forget you will have to pay taxes when you register your trailer. We have ever had an inspection when we registered a horse trailer (we’ve done it 3 times in AL). In the past they didn’t require tags on livestock trailers but get the tag, you will need it for hauling out of state.

Some counties do not require inspection so check for the country you are in.
Example:

Utility trailers that are designed for pulling behind an automobile or pickup truck remain subject to State Law requirements for registration by the payment of license fees and ad valorem taxes. (Code of Alabama, 1975, 40-12-252). Exemptions for title and tag requirements are limited to the following: [B]
[LIST=1]

  • Boat Trailers
  • Farm Trailers: Trailers used exclusively for transporting farm products to and from market or for transporting the personal property of the farmer for his own use on the farm.
  • Equipment Trailers: Trailers with permanent mounted equipment such as a crane or well-drilling equipment. Trailer is not equipped for hauling supplies.
  • Beginning July 1, 2009, utility trailers designed for pulling behind an automobile or pickup truck are exempt from the title law. Such trailers remain subject to registration fees and taxes.
  • Beginning January 1, 2012, semi-trailers, gooseneck trailers, recreational trailers and manufactured homes over 20 model years old are exempt from the title law. Currently all 1995 and prior year model trailers are exempt. Such trailers remain subject to registration fees and taxes. [/LIST] [/B] [B] U[/B]tility trailers required for registration include, but are not limited to, open trailer for commercial equipment or personal mowers or golf carts, horse trailer, enclosed auto transporter and tow dolly.A sample of the supporting documents for registration or registration transfer for utility trailers is listed below: [h=3][B]NEW OR [/B][B] USED UTILITY TRAILER [/B][B] TAG REGISTRATION[/B] [/h]
    • Manufacturer's Statement of Origin or Most Recent Certificate of Title, if available
    • Bill of Sale From Seller to New Buyer (Seller must provide make, model year and VIN as displayed on trailer)
    • Current Alabama Tag Registration In Seller's Name
    • No Visual Inspection Is Required
  • Okay I think it is becoming clearer. So when I buy this trailer, I obtain the trailer, I send the title in to the county clerk to change the name to my name, and then I buy tags. And there may or may not be a vehicle inspection. And if I buy the trailer out of state does this all still hold true?

    [QUOTE=tikkamasala;8869383]
    Okay I think it is becoming clearer. So when I buy this trailer, I obtain the trailer, I send the title in to the county clerk to change the name to my name, and then I buy tags. And there may or may not be a vehicle inspection. And if I buy the trailer out of state does this all still hold true?[/QUOTE]

    In most places the DMV doesn’t care where the title comes from as long as it is official and properly executed (signed, dated, etc.). In some places the Title also functions as a Bill of Sale. The primary DMV motivation is the collection of taxes and fees. Once that’s done a new title will be issued along with a plate and registration certificate.

    You’ll be required to personally appear at a DMV office (unless AL is different from other states).

    You said something that can get you in trouble. Your “legal residence” is the place where you are and presently intend to remain. You cannot have two “legal residences.” You can be away from your legal residence for extended, temporary reasons. Military personnel often are and have whole body of law that applies to them. Construction workers, utility workers, temporary contract workers, etc. often fall into this category. But everybody has to be somewhere!!! :slight_smile: Where are you registered to vote? To whom do you pay state income tax (KY and AL both have them). Where is your driver’s license from? All of these are indicia of legal residence. Pick a spot and put as many of them as you can in that spot.

    js has done a good job telling you what you need to do. Go forth and do well!!! :slight_smile:

    G.

    [QUOTE=Guilherme;8869427]
    In most places the DMV doesn’t care where the title comes from as long as it is official and properly executed (signed, dated, etc.). In some places the Title also functions as a Bill of Sale. The primary DMV motivation is the collection of taxes and fees. Once that’s done a new title will be issued along with a plate and registration certificate.

    You’ll be required to personally appear at a DMV office (unless AL is different from other states).

    You said something that can get you in trouble. Your “legal residence” is the place where you are and presently intend to remain. You cannot have two “legal residences.” You can be away from your legal residence for extended, temporary reasons. Military personnel often are and have whole body of law that applies to them. Construction workers, utility workers, temporary contract workers, etc. often fall into this category. But everybody has to be somewhere!!! :slight_smile: Where are you registered to vote? To whom do you pay state income tax (KY and AL both have them). Where is your driver’s license from? All of these are indicia of legal residence. Pick a spot and put as many of them as you can in that spot.

    js has done a good job telling you what you need to do. Go forth and do well!!! :slight_smile:

    G.[/QUOTE]

    Just going to chime in as one of the hats I wear at my job is Title Clerk.

    Absolutely, positively get a bill of sale that lists the exact amount you paid! Even in states where the MCO (manufacturer’s certificate of origin)/Title can serve as a BOS, if you do not have documentation of what you paid the DMV can use the blue book value of the trailer based on the MCO/Title - that amount may be higher than what you really paid, and as G pointed out you will have to pay taxes based on that amount.

    Also in regards to your legal residence, when dealing with the DMV it is always helpful to have all of your sales documentation (MCO/Title, BOS etc.) match exactly what is on your driver’s license. For example, if your license is issued to Tika M. Sala that is what your sales docs should say too. And yes the address will have to match as well, so you will need to register your trailer in the state that you hold a license.

    Dotting i’s and crossing t’s ahead of time will prevent many headaches and possible return trips to your helpful DMV office :cool:

    [QUOTE=tikkamasala;8869383]
    Okay I think it is becoming clearer. So when I buy this trailer, I obtain the trailer, I send the title in to the county clerk to change the name to my name, and then I buy tags. And there may or may not be a vehicle inspection. And if I buy the trailer out of state does this all still hold true?[/QUOTE]

    How the title is handled for renaming you as the owner also varies by state. In PA, that’s handled by the same folks who do the registration since the title is issued back out by the state, not a county resource, in the new owner’s name along with the new registration. I use AAA to do this kind of work because I’m a long-time member. The procedure may be different in AL.

    in NC titles are done like so: step 1 buy trailer, step 2 get title, step 3 go to local tag office and fill out required forms (make sure title is filled out correctly, and have your drivers license and proof of insurance, bill of sale and money to pay for taxes, tag other fees and cash for notary if required) step 4 tag office will send off title to state and give you a plate. step 5 put plate on trailer and wait for title to come back (takes a few weeks)

    Okay, I think this is all making more sense. I may go ahead and register it in Ky, as technically I file all my government stuff there. Will I need to return to Ky to get all this done or can I do it by mail?
    Everyone, thank you SO MUCH for your input. This has clarified a lot.

    [QUOTE=tikkamasala;8869798]
    Okay, I think this is all making more sense. I may go ahead and register it in Ky, as technically I file all my government stuff there. Will I need to return to Ky to get all this done or can I do it by mail?
    Everyone, thank you SO MUCH for your input. This has clarified a lot.[/QUOTE]

    Do you have a residence in KY, and more importantly is your driver’s license KY issued with your legal KY address? You will need to go to the tag office in person, and they will want to see your license. This is why I advise to make sure all of the sales paperwork matches your driver’s license. It will make the process so much easier.

    [QUOTE=tikkamasala;8869798]
    Okay, I think this is all making more sense. I may go ahead and register it in Ky, as technically I file all my government stuff there. Will I need to return to Ky to get all this done or can I do it by mail?
    Everyone, thank you SO MUCH for your input. This has clarified a lot.[/QUOTE]

    Only the KY DMV can answer this question for you. IME the answer will be “yes” but I’m a living fossil and maybe things have changed in this day of “electronic stuff.” :wink:

    Cell phone min. are cheap. Use them to save on expensive shoe leather and gasoline!!! :slight_smile:

    Good luck as you go forward.

    G.

    I will give them (Ky DMV) a call in the upcoming days. Alas government phone calls are the worst, but it shall be done. Thanks everyone!