How To Sell a Car in Nebraska

Selling a car in Nebraska is governed by state rules administered by the Nebraska Department of Motor Vehicles, which cover title ownership transfer, sales paperwork, tax reporting, and registration requirements. When individuals sell a vehicle privately, they must confirm they own the car, ensure any loans against it are paid off, and make sure the buyer receives a new title within 30 days.

What You Need To Know Before Selling a Car in Nebraska

Title Law and Ownership Requirements

Under Nebraska Revised Statute Section 60-139, a title certificate is required for all cars, trucks, and motorcycles used on Nebraska roads, with some exceptions. Only the person whose name appears on the title can legally sell the vehicle. If two or more people own the car and their names on the title are connected by "AND," then every owner must sign to approve the sale. If the names are connected by "OR" or "With Rights Of Survivorship," then only one owner needs to sign.

Vehicles Exempt From Title Requirements

Certain types of vehicles do not require Nebraska titles. These include vehicles owned by military personnel or business people who live outside Nebraska and already have titles from another state. Farm tractors, snowmobiles, pedal-powered mopeds, older ATVs and UTVs from before certain years, farm equipment, vehicles that do not run on roads, such as golf carts and riding mowers, bicycles powered only by people, and light trailers weighing 9,000 pounds or less do not need titles. Some farm equipment and trailers can have optional titles if the owner wants one.

Satisfying an Existing Lien

If a bank or lender has a claim recorded on the vehicle’s title, the lienholder must release the lien before the vehicle can be sold. For lienholders participating in Nebraska's Electronic Lien and Title (ELT) program, the lienholder releases the lien electronically. For nonparticipating lienholders, the lienholder must complete a Non-Participating Lender Lien Release form and submit it directly to a Nebraska county treasurer's office. Alternatively, a dated, signed, and notarized lien release letter on the lienholder's business letterhead may be accepted in lieu of a signature on the title document. The seller should obtain proof that the lien has been released before completing the sale.

Inspection, VIN Verification, or Emissions Requirements

When a car is brought into Nebraska from another state, it must go through an identification check to verify that the vehicle identification number (VIN) on the car matches the VIN on the title and to record the mileage. Local law enforcement or county sheriff offices do this check using the Nebraska Vehicle Inspection Form (NSP455). The completed check form is good for 90 days. Cars that already have Nebraska titles do not need this check for private sales.

Nebraska does not require a general safety inspection or emissions testing for private vehicle sales or registration of vehicles already titled in Nebraska. No statewide vehicle safety inspection program applies to passenger vehicles sold between private parties.

Documents Required To Sell a Car in Nebraska

Certificate of Title

The existing certificate of title is the primary document establishing legal ownership. The seller must complete the back of the title by writing in the buyer's full name and address, the date of the sale, the sale price, and the mileage for cars made in 2011 or later. All owners whose names appear on the title must sign the seller's section on the back, and their signatures must match exactly how their names are printed on the front of the title. The buyer must sign in to the buyer's section.

Under Nebraska Revised Statute Section 60-1417, the title constitutes a written instrument of sale and satisfies Nebraska's written documentation requirement for vehicle sales. No correction fluid, erasures, or alterations are permitted; the title must be completed in blue or black ink only.

Bill of Sale

While Nebraska does not require a separate bill of sale document if Form 6 — Nebraska Sales/Use Tax and Tire Fee Statement for Motor Vehicle and Trailer Sales is completed, a bill of sale is recommended for private transactions to create an independent record of the sale.

Under Statute 60-1417, a bill of sale must contain the seller's name, buyer's name, year and model of vehicle, vehicle identification number, cash sale price, amount of down payment, trade-in details if applicable, whether the sale is as-is or subject to warranty, and the signatures of both parties. The seller and buyer should each retain a signed copy of the bill of sale.

Odometer Disclosure Statement

For vehicles manufactured in 2011 or later, odometer disclosure must be recorded on the title or on a separate Odometer Disclosure Statement if the title is not available. The seller must enter the current mileage on the certificate of title in the Odometer Reading section at the time of sale. Odometer disclosure is not required for vehicles manufactured in 2010 or earlier. The seller certifies the accuracy of the reading or indicates if a discrepancy exists between the actual mileage and the odometer display.

Sales Tax and Tire Fee Statement

The Nebraska Sales/Use Tax and Tire Fee Statement (Form 6) must be completed for every car and trailer sale. This form records car information, the sale price, the sales tax amount, and the tire fee amount. Both the seller and the buyer must sign it, and it must accompany the title application the buyer sends to the county treasurer. Both parties should keep signed copies.

How To Transfer a Car Title in Nebraska

Step 1: Review the Title Before the Sale

The seller must verify that the certificate of title is valid and current and that the seller's name matches the name on the title document. If the title is lost or unavailable, the seller must request a duplicate title from the county treasurer in the county where the vehicle is registered. The seller should also verify that the title is clear of all liens and security interests by examining the front of the title document, where lien information is recorded.

Step 2: Complete the Title Assignment

The seller assigns the title to the buyer by completing the seller's section on the reverse of the certificate of title. The seller enters the buyer's full legal name and address, the date of sale, the purchase price, and the odometer reading for vehicles manufactured in 2011 or later. All owners listed on the title sign the seller's section with signatures matching their names on the face of the title.

Step 3: Prepare the Bill of Sale and Disclosure Paperwork

The seller and buyer jointly complete the Nebraska Sales/Use Tax and Tire Fee Statement (Form 6). This form needs information about the seller and buyer, the car details, the vehicle identification number, the model year, the sale price, and the sales tax amount. Both people must sign the form. If a separate bill of sale is used, both parties should complete and sign it. The Odometer Disclosure Statement should also be filled out for cars made in 2011 or later.

Step 4: Deliver the Documents to the Buyer

The seller delivers the following documents to the buyer at the time of sale: the original assigned certificate of title, a signed copy of the bill of sale (if prepared), the completed Nebraska Sales/Use Tax and Tire Fee Statement (Form 6), the Odometer Disclosure Statement (if applicable), and any lien release documentation. The seller must remove the license plates from the vehicle before the buyer takes possession. License plates are the seller's property and do not transfer with the vehicle.

Step 5: Buyer Submits Application Through a Local Office

The buyer must apply for a certificate of title at a county treasurer's office within 30 days of the purchase date. The buyer completes an Application for Certificate of Title and presents it, along with the assigned title, Form 6, proof of liability insurance, and payment of the $10 title fee, plus any applicable sales tax and tire fee. If the vehicle was titled outside of Nebraska, a vehicle inspection may be required. The county treasurer issues the new certificate of title in the buyer's name upon approval.

Title Transfer Fee Schedule in Nebraska

The county treasurer collects the title fee, inspection fee (if needed), sales tax, local taxes, tire fees, and motor vehicle tax when the buyer registers the car. The motor vehicle tax is based on the car's age and value and is paid annually until the car is 14 years old or older.

Sales Tax on Private Vehicle Sales

Nebraska imposes a state sales tax of 5.5% on all motor vehicle purchases under the Nebraska Revenue and Tax Code. Additional local sales taxes may apply depending on the municipality where the vehicle is registered, ranging from 0.5% to 2%. The buyer pays the applicable sales and use tax at the time of registration through completion of the Nebraska Sales/Use Tax and Tire Fee Statement (Form 6). The buyer also pays a $1 tire fee per tire on the vehicle collected at the time of registration. The buyer is responsible for all sales tax, local tax, and tire fee obligations.

What To Do After Selling Your Car in Nebraska

Remove License Plates

The seller must remove the license plates from the vehicle before the buyer takes possession. License plates belong to the seller and remain the seller's property. The seller may retain the plates for use on another vehicle or surrender them to the county treasurer's office. If the seller wishes to transfer the plates to a new vehicle, the seller must apply for reassignment at the county treasurer's office.

Notify the Insurance Provider

The seller should call the car insurance company to cancel the insurance on the car that was sold or transfer it to a different car. Keeping insurance on a car the seller no longer owns is not required and can cost extra. The insurance should be canceled on or after the day the title changes hands.

Retain Copies of All Sale Documents

The seller should keep copies of the bill of sale, the completed Nebraska Sales/Use Tax and Tire Fee Statement (Form 6), the mileage records, and papers showing that any loan was paid off. Keeping these documents can help prove the sale occurred or resolve any future problems related to the car.

Contact Information

Nebraska Department of Motor Vehicles
301 Centennial Mall South, Lincoln, NE 68509
Phone: (402) 471-3985
Official Website: Nebraska Department of Motor Vehicles