Maryland Vehicle Title Transfer for Private Sales: Complete Checklist

Selling a car privately in Maryland has a few more moving parts than some neighboring states — mainly the excise tax and the notarization rules for your bill of sale. None of it is complicated once you know the order of operations: clear any lien, complete the title assignment, fill out the right bill of sale, and get the buyer through MVA titling within 30 days.

Step 1: Confirm Your Title Is Lien-Free

If a lender is listed on your Maryland title, they have to release their interest before you can sell. In practice that means either:

• Paying off the loan and getting a lien release from your lender, or
• If the lienholder is a bank, credit union, or finance company, they typically file the release electronically with the MVA directly.
• If the lien was with a private individual (not a financial institution), Maryland requires a notarized lien release letter — a Maryland Security Interest Filing, or a letter on the lienholder's letterhead with the required details.

Start this early. A missing or delayed lien release is the single biggest thing that stalls a Maryland private sale.

Step 2: Complete the Assignment of Ownership

On the back of the Maryland title, both you and the buyer sign and date the assignment of ownership section, and you record the odometer reading at the time of sale. Don't cross out or white-out anything on the title — a damaged or altered title can require a duplicate before the buyer can retitle the car.

Step 3: Fill Out a Maryland Bill of Sale

A bill of sale documents the VIN, sale price, date, and both parties' names and addresses. According to the Maryland MVA, it must be notarized if any of the following apply:

• The vehicle is 7 years old or newer, or
• The agreed sale price is at least $500 less than the vehicle's book value in the National Publication of Used Car Values, or
• The buyer wants their excise tax calculated on the actual sale price instead of book value.

If none of those apply, an unnotarized signed bill of sale may be sufficient — but check current requirements on the MVA site, since these thresholds can change.

Step 4: Understand the 6.5% Excise Tax

Maryland charges an excise tax at titling — as of this writing, 6.5% of the vehicle's value from the National Publication of Used Car Values (its "book value"), following a rate increase from 6% effective July 1, 2025. If you provide a notarized bill of sale showing a lower price, the buyer can generally be taxed on that price instead of book value, which is one of the main reasons sellers and buyers choose to notarize even when it isn't strictly required. Confirm the current rate and minimum on the Maryland MVA's excise tax page — this is a tax rate, and tax rates change.

Step 5: Get It Titled Within 30 Days

The buyer takes the signed title, bill of sale, and payment for excise tax and title fees to an MVA branch or an authorized tag & title service. Maryland requires all title documents, excise tax, and fees within 30 days of the vehicle's delivery date — miss that window and a late fine applies, and the vehicle can't be titled until the fine is paid. A valid Maryland Safety Inspection Certificate (generally valid up to 90 days from issue) is also required to title the car.

Step 6: Return Your Plates and Time Your Insurance Right

Two Maryland-specific details that trip people up:

• Plates stay with you, not the car. Remove your plates before the buyer takes possession — don't let them drive off with your plates on the vehicle. You can transfer them to another vehicle you own, or return them to the MVA.
• Don't cancel your insurance before returning your plates. Canceling insurance while your plates are still registered to you can trigger a fine in Maryland. Return the plates first, then cancel or transfer coverage.

Keep your plate return receipt, a copy of the completed title (front and back), and the bill of sale — these protect you if a question comes up after the sale.

Frequently Asked Questions

Does the buyer or seller pay Maryland's excise tax on a used car?

The buyer pays Maryland's excise tax when they retitle the vehicle in their name. It's calculated as 6.5% of the vehicle's book value in the National Publication of Used Car Values, unless a notarized bill of sale documents a lower price.

Do I need to notarize a Maryland bill of sale for a private car sale?

It depends. Maryland requires notarization if the vehicle is 7 years old or newer, if the agreed sale price is at least $500 below the book value, or if the buyer wants the excise tax calculated on the sale price rather than book value. Otherwise a signed, unnotarized bill of sale may be accepted — confirm with the Maryland MVA for your specific situation.

Can I keep my license plates after selling my car in Maryland?

You can transfer them to another vehicle you own, but you cannot leave them on the car you're selling. Maryland requires you to remove your plates before the buyer takes possession and return them to the MVA if you're not transferring them.

How long does a Maryland buyer have to title the car after a private sale?

Title documents, excise tax, and fees are due to the Maryland MVA within 30 days of the vehicle's delivery date. Late submissions trigger a fine, and the vehicle can't be titled until that fine is paid.

Next Steps

• What Is a Private Car Sale?
• How to Sell a Car Privately in Virginia
• How to Avoid Scams When Selling Privately