Can I Sell a Car with Expired Registration in California

You can legally sell a car with expired registration in California, but the buyer must handle re-registration and pay all back fees. While the DMV doesn’t require current registration to transfer ownership, practical challenges like smog checks and title transfers may arise. Planning ahead and being transparent with buyers ensures a smoother, faster sale.

So, you’ve got a car sitting in your driveway—maybe it’s been unused for months, or perhaps you just forgot to renew the registration. Now you’re thinking about selling it. But here’s the big question: Can I sell a car with expired registration in California?

The short answer? Yes—you absolutely can. But like most things involving the California DMV, it’s not quite as simple as handing over the keys and walking away. While the law doesn’t prohibit selling a vehicle with lapsed registration, there are important steps, responsibilities, and potential pitfalls to navigate. Whether you’re selling privately or trading in at a dealership, understanding the rules will save you time, money, and headaches down the road.

In this guide, we’ll walk you through everything you need to know about selling a car with expired registration in the Golden State. From legal requirements to practical tips, we’ll cover how to protect yourself, what the buyer needs to do, and how to make the process as smooth as possible—even if your plates haven’t been valid for months.

Key Takeaways

• Expired registration doesn’t block a sale: California law allows you to sell a vehicle even if its registration has lapsed, as long as the title is valid and in your name.
• Buyer assumes registration costs: The new owner is responsible for renewing registration, paying late fees, and obtaining new license plates if needed.
• Smog certification may be required: Most vehicles need a current smog check before transfer, regardless of registration status—plan accordingly.
• Private sales require a Bill of Sale: Always complete a Bill of Sale (Form REG 135) to protect both parties and document the transaction.
• Release of liability is critical: File a Notice of Transfer and Release of Liability (Form REG 138) online within 5 days to avoid future fines or liability.
• Dealerships may refuse expired reg vehicles: Some dealers won’t accept trade-ins or consignments with expired registration due to administrative hurdles.
• Plan ahead for smoother transactions: Renewing registration or at least ensuring the title is clean can increase buyer confidence and sale speed.

Understanding California’s Registration Laws

Before diving into the sale process, it’s important to understand how vehicle registration works in California. Every vehicle operated on public roads must be registered with the California Department of Motor Vehicles (DMV) and display current license plates. Registration typically lasts one or two years, depending on when you renewed and whether you chose a one- or two-year term.

When registration expires, you’re no longer legally allowed to drive the vehicle on public roads—unless it’s being towed or transported. However, expiration doesn’t automatically invalidate your ownership or your ability to sell the car. The DMV treats registration and ownership as separate issues. You can still hold a valid title (proof of ownership) even if your registration has lapsed.

That said, driving an unregistered vehicle—even to a buyer’s location—can result in fines, citations, or even having your car impounded. So while the sale itself is legal, moving the vehicle requires careful planning.

What Happens When Registration Expires?

Once your registration expires, you’ll start receiving renewal notices from the DMV. If you ignore them, late fees begin accruing—typically $30 after 30 days, then increasing over time. After six months, your vehicle may be flagged as “non-operational” in the DMV system, which can affect how it’s processed during a sale.

If your car has been parked for a long time, you might also face issues with emissions testing. Most vehicles over four years old require a smog check every two years, and that check must be current at the time of transfer—even if the registration is expired.

Can You Drive an Unregistered Car to Sell It?

This is a common concern. The answer is generally no—you cannot legally drive an unregistered vehicle on public roads, even to meet a buyer. However, there are exceptions:

– You can tow the vehicle using a licensed tow truck or trailer.
– If the car is still insured and you have a valid registration sticker (even if expired), some local law enforcement may allow short-distance movement—but this is risky and not guaranteed.
– In rare cases, you might qualify for a “one-time” permit from the DMV to move the vehicle, but this requires paperwork and approval.

The safest and most legal option? Have the buyer arrange for pickup via trailer or tow, or meet at a neutral location like a DMV office or inspection station.

Legal Requirements for Selling a Car in California

Selling a car in California—registered or not—comes with specific legal obligations. These rules are designed to protect both sellers and buyers, prevent fraud, and ensure proper transfer of ownership.

Valid Title Is Essential

The most important document in any car sale is the title. In California, the title must be in your name, signed correctly, and free of liens (unless the lienholder agrees to release it at sale). If your registration is expired but the title is clean and current, you’re in good shape.

If you’ve lost the title, you’ll need to apply for a duplicate using Form REG 227 before listing the car. This process takes a few weeks, so plan ahead.

Bill of Sale (Form REG 135)

While not always required by the DMV, a Bill of Sale is strongly recommended for private transactions. This document records the sale price, date, vehicle details (VIN, make, model, year), and both parties’ information. It serves as proof of the transaction and can help resolve disputes later.

You can download Form REG 135 from the DMV website or create your own, as long as it includes all key details. Both buyer and seller should keep a copy.

Release of Liability (Form REG 138)

This is perhaps the most critical step for sellers. Within five days of selling your car, you must submit a Notice of Transfer and Release of Liability online at the DMV website. This form tells the state that you’re no longer responsible for the vehicle—meaning you won’t be liable for parking tickets, toll violations, or accidents caused by the new owner.

Failing to file this form can result in continued fines and legal headaches, even after the sale. It’s free, takes just a few minutes, and is absolutely essential.

Smog Certification Requirements

Here’s where expired registration can complicate things. In California, most vehicles must pass a smog check before ownership can be transferred—unless the vehicle is less than four years old or falls under specific exemptions (like diesel vehicles from 1997 or earlier).

Even if your registration is expired, the smog certificate must be current (issued within 90 days of the sale). If your car hasn’t been smogged recently, you’ll need to get it tested before listing—or clearly disclose that the buyer will need to handle it.

Some sellers choose to get the smog check done themselves to make the car more attractive to buyers. Others sell “as-is” and let the buyer manage it. Either way, transparency is key.

Selling to a Private Buyer vs. a Dealership

Your experience will differ significantly depending on whether you sell privately or trade in at a dealership. Each option has pros and cons, especially when dealing with expired registration.

Private Sale: More Control, More Responsibility

Selling privately usually yields a higher sale price than trading in. You set the price, negotiate directly with buyers, and avoid dealer fees. However, you’re also responsible for all paperwork, marketing, and logistics.

When selling privately with expired registration:

– Clearly state in your ad that registration is expired and the buyer will need to renew it.
– Emphasize that the title is clean and the car is in good condition (if true).
– Be prepared to explain why the registration lapsed (e.g., car was stored, not driven).
– Offer to meet at a DMV office or smog station to facilitate the transfer.

Many private buyers are willing to purchase unregistered vehicles—especially if they’re getting a good deal. Just make sure they understand their responsibilities.

Trade-In or Consignment at a Dealership

Dealerships have their own policies regarding expired registration. Some will accept trade-ins with lapsed registration, especially if the car is newer or in high demand. Others may refuse outright due to the extra paperwork and potential liability.

If you’re trading in:

– Call ahead to confirm the dealer’s policy.
– Bring all available documents: title, registration (even if expired), maintenance records.
– Be ready to explain the car’s condition and why registration expired.
– Understand that the dealer may deduct late fees or re-registration costs from your trade-in value.

Consignment (where the dealer sells the car for you) is less common and often requires current registration. Most dealers won’t take on the risk of selling an unregistered vehicle unless they’re confident it will sell quickly.

Selling to a Junkyard or Scrap Yard

If your car isn’t running or is severely damaged, you might consider selling it for parts or scrap. Many junkyards will accept vehicles with expired registration—and some don’t even require a title, though they may pay less.

In these cases:

– Remove all personal items first.
– Cancel your insurance immediately after sale.
– Provide as much documentation as possible to increase the payout.
– Confirm how the vehicle will be transported (most junkyards offer free towing).

This option is best for end-of-life vehicles where re-registering isn’t practical.

Practical Tips for a Smooth Sale

Selling a car with expired registration doesn’t have to be stressful. With the right preparation, you can close the deal quickly and avoid common mistakes.

Renew Registration (If Possible)

If your car is in good condition and you’re able to renew registration easily, doing so before listing can significantly boost buyer confidence. A current registration shows the car is roadworthy and legally compliant.

To renew:

– Pay all back fees and penalties online or at a DMV office.
– Complete a smog check if required.
– Receive new stickers and plates (if needed).

Even if you don’t plan to drive the car, having current registration makes the sale more attractive and reduces buyer hesitation.

Disclose Everything Upfront

Honesty builds trust. In your listing, clearly state:

– The registration expiration date.
– Whether a smog check is current.
– Why the car wasn’t driven (e.g., moved out of state, mechanical issues).
– Any known mechanical problems.

Buyers appreciate transparency and are more likely to move forward if they feel informed.

Prepare All Documents in Advance

Gather and organize these key items before listing:

– Vehicle title (signed correctly).
– Bill of Sale (Form REG 135).
– Smog certificate (if available).
– Maintenance and repair records.
– Release of Liability confirmation (after sale).

Having everything ready speeds up the process and reduces back-and-forth with buyers.

Set a Fair Price

Use tools like Kelley Blue Book (KBB) or Edmunds to determine a fair market value. Adjust your price based on:

– Vehicle condition.
– Mileage.
– Registration status (expired registration may lower value slightly).
– Demand for the make and model.

Be prepared to negotiate, but don’t undervalue your car just because registration lapsed.

Meet Safely and Legally

When meeting potential buyers:

– Choose a public, well-lit location (e.g., DMV, police station, mall parking lot).
– Bring a friend or family member for safety.
– Never hand over the car until payment is secured (cash, cashier’s check, or verified electronic transfer).
– Avoid test drives unless you’re confident the buyer is insured and licensed.

If the car can’t be driven, arrange for a tow or trailer pickup.

Common Mistakes to Avoid

Even experienced sellers make errors when dealing with expired registration. Here are some pitfalls to watch out for:

Failing to File Release of Liability

This is the #1 mistake sellers make. Without filing Form REG 138, you remain legally tied to the vehicle. If the new owner gets a parking ticket or causes an accident, you could be held responsible—even months after the sale.

Not Getting a Smog Check

If your car requires a smog check and you skip it, the buyer may back out or demand a lower price. Worse, they might report you for selling a non-compliant vehicle.

Selling Without a Valid Title

Never sell a car without a properly signed title. If you’ve lost it, order a duplicate immediately. Selling without a title is illegal and can result in fines.

Ignoring Late Fees

While the buyer pays re-registration costs, excessive late fees (e.g., over $200) can scare off buyers. Consider paying a portion yourself or factoring it into the price.

Driving the Car Illegally

Don’t risk driving an unregistered vehicle to meet a buyer. The fine for driving without valid registration can be over $200—plus you could lose your license if caught repeatedly.

Conclusion

So, can you sell a car with expired registration in California? Absolutely—yes. The law allows it, and many people do it successfully every day. But success depends on preparation, honesty, and following the right steps.

Start by ensuring your title is valid and your paperwork is in order. Be transparent with buyers about the registration status and any related costs. File your Release of Liability promptly. And consider renewing registration or getting a smog check if it makes sense for your situation.

Whether you’re selling privately, trading in, or scrapping the vehicle, knowing your rights and responsibilities will help you avoid legal trouble and get the best possible outcome. Remember: expired registration doesn’t mean expired value. With the right approach, your car can still find a new home—and you can walk away with peace of mind.

Frequently Asked Questions

Can I sell my car in California if the registration is expired?

Yes, you can legally sell a car with expired registration in California as long as you have a valid title in your name. The buyer will be responsible for renewing the registration and paying any late fees.

Does the buyer have to pay for expired registration fees?

Yes, the new owner is responsible for all registration renewal costs, including late fees and penalties. These fees are not your responsibility once the sale is complete and you’ve filed a Release of Liability.

Do I need a smog check to sell a car with expired registration?

Most vehicles over four years old require a current smog check before transfer, even if registration is expired. Check your vehicle’s eligibility on the DMV website or get a smog test to avoid delays.

Can I drive my unregistered car to sell it?

No, you cannot legally drive an unregistered vehicle on public roads. Arrange for the buyer to pick it up via trailer or tow, or meet at a DMV office for the transfer.

What happens if I don’t file a Release of Liability after selling my car?

If you fail to submit Form REG 138 within five days of the sale, you may remain liable for parking tickets, toll violations, or accidents involving the vehicle—even after it’s sold.

Will a dealership accept a trade-in with expired registration?

Some dealerships will accept trade-ins with expired registration, but policies vary. Call ahead to confirm, and be prepared to explain the car’s condition and registration history.