Sudsy

Does anyone know about flipping a used car in NJ ? Insurance and legal stuff

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My wife's cousin wants to give my (new) mechanic son a 07 Saab with 130,000 miles on it. They were going to scrap it but it still runs, just needs a power steering pump, something he's more than capable of dealing with. He claims he can fix it up and sell it for between $1000 and $2000

He needs to get it home.

 

We'll put it on our insurance, only $45 a month, but he's saying he's not going to pay to register it just to drive it the 7 miles to our house

This has become a large battle as we're afraid that Geico won't honor the liability insurance if something happens and the car isn't registered.

Been trying to find this information ( penalties for driving an insured but unregistered car ) Be damned if I can find anything

 

Also, the car is being given to him so how do the taxes work ? Based on book value or on a bill of sale which I could have her write up for say $50

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What's the status of the title? Until the title is changes, it's not your car -- or your son's car. 

 

Once the title is signed, though, you (or he) is responsible for insuring it. 

 

This could all be solved, by the way, by paying to tow the vehicle the 7 miles. The mandatory-insurance law does not apply to vehicles getting towed. 

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And once it's on your property, you're not legally obligated to insure it, either -- you are only required to do so to drive it on a public roadway. So if you tow it to your driveway, and it doesn't leave there, you're not legally obligated to carry insurance on it. 

If you drive it on a public road, you do have to have insurance. 

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If he's going to sell it it's safe to assume the buyer will want to test drive it.

In the last few minutes he's agreed to our terms - now the big question is the cost of transferring title

The NJ DMV page really sucks

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Sudsy---sales tax exemption

 

 

Exemption #6 - Vehicle was a gift (see Special Conditions, below)
Important note: The titled owner (seller) must enter "gift" as the sale price on the New Jersey title. If the information on the title appears to be changed or altered, additional documentation may be required by the Motor Vehicle Commission. Visit the NJ Divison of Taxation website for details on motor vehicle casual sales notices.

Special Conditions
        • If the vehicle is a gift, the sale price must be noted as "GIFT". If the information appears to be changed or altered, additional documentation may be required by the Motor Vehicle Commission.
        • If you are a disabled vet and received funds from the Veterans Administration to purchase a car, you are not subject to tax
        • If you are a bank, leasing company, insurance company or other financial institution and take the title for reasons of repossession, insurance loss or lien addition, you don’t have to pay sales tax unless the vehicle is held by the organization for its own use. A sales tax-satisfied stamp is required with the appropriate exemption number
        • If you bought a used mobile home, you do not have to pay sales tax. This exemption does not apply to used travel trailers, campers, or recreational
 
 
 
 
 

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I just got an expired reg ticket in Tinton Falls, cost 54$  They can also impound the car if they want but the cop didn't.  Last year my old lady got the expired ticket and impounded car cause she has a mouth on her.

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When I bought my truck, I had the title in hand. Drove the truck from Toms River to my house in Matawan, before I registered. I had the seller write the bill up for $500 instead of the $3500 I paid. I think the gift thing gets truck with the tax. I then registered it the following week and the tax on $500. Have them write the bill for $100. 

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