One of the most important things to do after buying a used car, have it insured at least to your state's minimum car insurance requirements. Most states (except Virginia and New Hampshire) require you to have car insurance to drive, but insurance is also important because:
Buying A Used Car In Massachusetts Private Party
State sales tax requirements for purchasing a used vehicle vary. For example, some states have no sales tax requirement if purchased from a private seller. Or, in some states, car sales tax is calculated after the value of a trade-in car is subtracted from the sale price.
It's easy to get caught off guard with the deadlines, paperwork and fees involved with purchasing a used vehicle. Instead, work through this checklist of what to do after buying a used car and you'll stay on top of all the paperwork, fees and other obligations post-purchase.
Massachusetts's Used Car Lemon Law provides consumer protection for those who purchase used cars in the state of Massachusetts. The law covers both used car dealers and private party sales. Additional protection is available under the Massachusetts Lemon Aid Law. Under this law, a buyer can void the purchase of a motor vehicle if the vehicle fails to pass a state inspection within seven days of the purchase and the failed inspection required repair costs of more than 10% of the vehicle's purchase price to pass inspection. The defects cannot be a result of abusive or negligent operation of the motor vehicle or an accident or damage that occurred after the sale.
Another potential reason to consider an out-of-state car purchase revolves around the fact that some vehicles are popular in one market while they are less popular in another. This means you might be able to buy a model with four-wheel drive (4WD) in the Sunbelt cheaper than you could buy it in the Rockies. And this potential opportunity, unlike the first, applies equally to used vehicles. You might discover with an Internet search that a particular five-year-old sports car you crave is much cheaper in another state than it is in your local area. You might also believe that buying a car out of state is a way to steer around state and local taxes, which could potentially save you some money, but as you'll see, that is unlikely.
With that in mind, it is wise to be confident that buying a vehicle from out of state will be a better move for you than purchasing a vehicle from a local dealer or a private party in your state. If you live in a big urban area in a populous state, the odds are you'll be able to find a car that meets your expectations without venturing outside the state boundaries. That being the case, you would have to save quite a bit of money to justify the extra steps involved in buying it out of state.
Scams are also a complication of buying a car long-distance. Fraud involving vehicle sales is a significant and growing problem. If a classified listing for a used car appears to offer the vehicle at an unbelievable bargain price, you are well-advised to believe the listing might be the front for a scam. You send money with the expectation that the car will be delivered to you, and you never hear from the seller/scam artist again.
If you are buying the vehicle from a dealer, the dealer will likely help you with the details, like paying the sales tax to the proper authorities and getting the registration and titling completed. But if you are buying from a private party, it is all on you.
As you consider these issues, keep in mind that buying the car from a private party will be different from purchasing it at a dealership, which can answer registry questions and provide the necessary paperwork. When you buy from a private party, you have to deal with these issues on your own.
There's a bit more to keep track of when buying a used car from a private party. The seller should give you a signed title so you can prove you are the new owner. Depending on the laws of your state, you may also need to apply for a temporary registration so you can drive the used car home and complete the registration. Once you're back in your home state, the DMV may need to give the car a safety inspection to ensure that the brake lights, seat belts and other important items are in working condition.
Because of car depreciation, purchasing a 3-year-old vehicle for significantly less than the same model new is possible. At a time when consumers pay an average of $48,300 for a new car, buying used can mean significant savings.
When buying used, we encourage Certified Pre-Owned (CPO) vehicles. CPO cars go through a rigorous examination process by a dealership and must meet certain parameters for things like their condition. Certified cars are backed by warranties. Before selling, dealerships service and detail vehicle inside and out. The idea is that a CPO car looks and performs as well or almost as good as a brand new one.
If you like to haggle, by all means, you can try. But also be respectful and understand nobody wants a complete lowball offer, especially in this tighter market for older, used cars. If you hate dealing, you might be more comfortable buying from a dealer whose prices are pretty much set.
The best place to buy a used car is at a reputable car dealership. Dealerships make it easier for the purchaser than a private party seller unless you know the person selling the vehicle. However, expect to pay more when you do. Get started on Kelley Blue Book and our sister site Autotrader and search used car listings. You can filter the results to match your exact wants and needs. You will find cars in your desired search radius.
Private Party Sales:In addition to the Lemon Aid Law requirements, a private party who sells a consumer a used vehicle must tell the buyer about any known use or safety defects. If the buyer discovers a defect which impairs the safety or substantially impairs the use of the vehicle, and can prove the seller knew about it, then the buyer can return the vehicle within 30 days of purchase. Private parties are bound by this law, regardless of the age or selling price of the vehicle.
If you are buying the car from a private party, keep your plates and go to any DMV branch location with proof of insurance, your bill of sale, the title (which must be signed over to you by the previous owner), and the car's previous registration. You will need to fill out forms to register and title the car and transfer your plates to your recently purchased vehicle.
Five-day temporary plates are issued to Rhode Island residents who have purchased a 2001 vehicle or newer from a private party or an out-of-state dealer, provided the vehicle has an out-of-state title and requires a VIN inspection. You must present a bill of sale, the out-of-state title, your current Rhode Island license or current out-of-state license with proof of residency and insurance information.
If you are buying the car from a dealership, they may offer a service to register and title the vehicle for you. The dealer must provide you with the MSO (Manufactuturers' Statement of Origin), bill of sale and RI Dealer Tax Form. If the vehicle was purchased from an out-of-state dealer, a RI Sales Tax form must be used.
The Massachusetts Lemon Law covers both new and used cars. New cars, motorcycles, vans, and trucks purchased a licensed dealer are eligible if they have at least one significant defect discovered and have repairs attempted within one year or 15,000 miles of purchase. Used vehicles are covered by the Lemon Law if they were sold by a Massachusetts dealer or private party, cost at least $700 (for dealer sales), and had fewer than 125,000 miles when purchased (for dealer sales).
According to the Massachusetts lemon law, a private party seller is not required to make repairs to any vehicle that has already been sold. This is different than the law for car dealerships, which are required to repair defects that affect the use of the vehicle or the safety of its occupants.
An alternative to buying from a dealer is buying from an individual. You may see ads in newspapers, on bulletin boards, or on a car. Buying a car from a private party is very different from buying a car from a dealer.
The Used Vehicle Warranty Law protects consumers who buy used vehicles from a dealer or private party in Massachusetts. { M.G.L. c. 90 Â7N 1/4)The law requires dealers to provide consumers with a written warranty against defects that impair the vehicle's use or safety, and requires private parties to disclose any known use or safety defects.
The Used Vehicle Warranty Law applies differently to a vehicle purchased from a private party than it does if purchased from a dealer. Under the law, a dealer is anyone who sells four or more vehicles in a 12 month period.
The Used Vehicle Warranty Law requires private party sellers to inform buyers about any and all known defects which impair the safety or substantially impair the use of the vehicle. The law applies to all private party sales regardless of sales price or mileage. If you discover a defect that impairs the vehicle's safety or substantially impairs the use, and can prove that the seller knew about the defect but failed to disclose it, you may cancel the sale within thirty days of purchase. The seller must refund the amount you paid for the vehicle, less 15 cents per mile of use.
When a person buys a used vehicle from a dealer, they are protected by state and federal consumer protection laws because the dealer is a business. However, when a person buys a vehicle from a private seller, the vehicle is sold "as is," meaning without warranty, unless otherwise noted in a contract signed by the seller and the buyer.
The steps for registering a vehicle with the Massachusetts Registry of Motor Vehicles vary depending on whether the vehicle was purchased from a dealer, or if it was purchased from a private seller or gifted/transferred from a private party.
Asking about the condition of the vehicle is a great question to ask when buying a used car. If there are pictures available to view, make note of them so that you can access any damage should you decide to see it in person.
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