Yes, you can technically sell a car with an expired registration tag. The act of selling the vehicle itself is not illegal. However, the critical legal issue is driving the car on public roads with an expired tag, which can result in tickets and fines. The key is to transfer ownership without illegally operating the vehicle.
Your best and safest option is to sell the car "as-is" to a private buyer who understands the situation or to a dealership. A dealership will typically handle the registration renewal themselves and deduct any associated fees from your final sale price. For a private sale, full transparency is essential. You must disclose the expired registration to the potential buyer. The transaction should be completed at a DMV office or a secure location where the vehicle does not need to be driven by you post-sale.
The process involves signing over the title and completing a bill of sale. The new owner is then responsible for registering the car in their name and paying all back fees and penalties, which can include prorated registration fees and late penalties that accumulate over time. These fees vary by state but must be cleared before new tags are issued. To avoid complications, arrange for the buyer to tow the car or complete the paperwork at a location where the car is already parked, like your home.
| Consideration | Private Sale to Individual | Sale to Dealership/Car Buying Service |
|---|
| Legal Responsibility for Back Fees | Transfers to the new owner upon title transfer. | Typically absorbed by the dealership; cost deducted from your offer. |
| Test Drives | Risky and generally not recommended. | Handled by the dealership on their own liability. |
| Best Method for Transfer | Complete sale at DMV or have buyer arrange towing. | Drive directly to the dealership (short, riskier trip) or use their pickup service. |
| Impact on Sale Price | Likely lower, as buyer factors in cost and hassle of renewal. | Offer will be lower than for a car with current registration. |
| Simplicity & Safety | Moderate complexity; requires careful planning. | Highest simplicity; they manage all paperwork and liabilities. |
