How to Write a Bill of Sale (Step-by-Step)

A bill of sale is a short, plain document that records a sale: who sold what, to whom, for how much, and when. Writing one is not complicated, but leaving out a key detail — a VIN, an odometer reading, a signature — is exactly what gets a document rejected at the DMV or disputed later. This guide walks through each part so yours is complete the first time.

If you’d rather not start from a blank page, our free bill of sale generator builds the whole document as you type, checks for missing fields, and tailors it to your state.

Step 1: Identify the buyer and the seller

Start with the two parties. Use full legal names exactly as they appear on each person’s government ID — not nicknames. A mismatch between the name on the bill of sale and the name on an ID or title is a common reason paperwork is questioned.

Include each party’s mailing address, and optionally a phone number. If a business is involved, use the registered business name.

Step 2: Describe the item precisely

The description has to be specific enough that the item can’t be confused with another. What you include depends on what you’re selling:

• A vehicle: year, make, model, color, body style, the 17-character VIN, and the exact odometer reading. See our vehicle bill of sale page for the full field list.
• A boat: make, model, length, and the 12-character Hull Identification Number (HIN), plus the motor and any trailer.
• A firearm: type, make, model, caliber, and the serial number.
• General property: a clear description, plus a serial number, make, or model if it has one, and the condition.

Write down identifiers exactly. A VIN that’s off by one character or a rounded odometer reading can invalidate the whole record.

Step 3: State the price and payment

Record the agreed sale price and how it was paid (cash, check, money order, or bank transfer). Write the real amount — understating the price to lower sales tax can be treated as fraud, and many states compare your figure to book value.

If the item is a gift, say so and note that there is no monetary consideration (or a nominal amount). Gifts can still trigger tax or a separate affidavit in some states.

Step 4: Add the date and any terms

Include the date of sale. Then state the conditions:

• “As-is”: Most private sales are sold “as-is,” meaning no warranty and the buyer accepts the item in its current condition. This protects the seller from claims about problems found later.
• Warranty: If you’re offering any guarantee, describe it clearly.
• Other terms: Included accessories, a deposit, or anything else the parties agreed to.

Step 5: Sign and make copies

Both the buyer and the seller sign and date the document. A few points that matter:

• Sign only after the sale is final — after money has changed hands.
• Check whether your state requires a notary. Most don’t, but Louisiana, Ohio, Pennsylvania, North Carolina, and Kentucky require the vehicle title transfer to be notarized. See when you need notarization and your state’s requirements.
• Make at least two signed copies — one for the buyer, one for the seller. For a vehicle or boat, make a third for the DMV.

A quick template

Here is the basic structure every bill of sale follows:

[Item] Bill of Sale Date: ____ Seller: [name, address] — Buyer: [name, address] Description: [year/make/model, VIN/serial, condition] Price: [amount] paid by [method] Terms: Sold AS-IS with no warranty. Signatures: Seller ____ Buyer ____

You can see fully completed versions for every category in our examples library, or skip the typing and use the generator — it produces a clean, state-aware document and a signing checklist in about three minutes.