Buying a bike from an owner

[Mich]

I’m getting close to pulling the trigger on a used bike and have a few questions about the process.

Most sellers want “cash in hand” to test ride, fair enough but is it customary to give them the sale amount of just a deposit? If so what is fair, insurance deductible?

For the DMV I think all they need is a pink slip signed over, correct? Should I also get a bill of sale and if so, do I need to give the DMV a copy or is it for my records only?

The bike I’m interested in is a 1 hr drive from me, is it at all customary to ask the seller to deliver if I provide a return trip? Or perhaps make the exchange at a Bart Station?

I have insurance coverage lined up with my carrier but am waiting till I actually buy to start it up. If I am not able to reach my agent when I purchase, do I have to get home without coverage? Any tricks here?

Any advice from this sage group is appreciated.

Thanks,

Mich

 

[banshee01]

I always request the sale amount in hand. They drop it they bought it. The person will most likely want the sale price amount

Pink slip only with 2 signatures on it from them as long as there is no lien on the title or registration. One for the release and one for the odometer

Customary to ride it home but some sellers might go the extra mile

Check with your insurance but they might have a grace period to cover a new vehicle. Btw this is 2022 you can get insurance instantly online now without an agent

What bike are you buying?

 

[davidji]

I’m getting close to pulling the trigger on a used bike and have a few questions about the process.

Most sellers want “cash in hand” to test ride, fair enough but is it customary to give them the sale amount of just a deposit?

I've never given either. I have accepted it though when selling.

If you do hand over cash, make sure seller has the title to the bike and in their name (check their ID). If the bank holds the title, you wouldn't pay the seller to purchase the bike, you'd pay the bank (maybe a bit to both). So don't give seller your money pre-sale either.

 

[NoTraffic]

Cash on hand: I've been both a seller/buyer and have provided/expected the full sale amount for the test ride. Negotiating final sale price is a whole different ball game afterwards. Every seller is different, personally when I give a test ride, I have a pre-printed form that indicates the potential buyer agrees to purchasing the bike should there be any accident and is provided the pink slip immediately while the cash is retained.

Insurance: Most of the large insurance firms can provide you a quote in advance esp. provided the VIN. At times, I have just activated the quote that they gave me after purchase.

Transportation: All up to buyer/seller situations. Majority of the time, buyer meets seller for convenience and to prevent frustration over semi-interested tire kickers.

Good luck with your hunt.

 

[Yakko Warner]

The bike I’m interested in is a 1 hr drive from me, is it at all customary to ask the seller to deliver if I provide a return trip?

You can transport the bike in a van, pickup, or trailer. You can rent a trailer from Uhaul.

 

[musiclucho]

Sellers and buyers are different. I like to talk first to get to know the person a little bit and then go into business but that is my style. For DMV purposes you don’t need other document than the pink slip with two of the seller signatures. I like to take a picture of their ID and offer mine just in case. Not a big deal. For insurance purposes…you should be able to call your insurance and get insurance within 5 mins after the purchase. Nowadays, insurances have apps so you can insure your vehicle within minutes.
I use Geico and my bikes are under the same policy number so I can add or subtract bikes within seconds.

 

[musiclucho]

You can transport the bike in a van, pickup, or trailer. You can rent a trailer from Uhaul.

Absolutely! Last week I rent an “in town” motorcycle trailer and it cost me only 16 dollars (with taxes) for the whole day.

 

[Blankpage]

Are you legally allowed to keep cash someone hands you over for a test ride if they crash the bike and later say they’re not interested in buying?

 

[Jammer]

Are you legally allowed to keep cash someone hands you over for a test ride if they crash the bike and later say they’re not interested in buying?

Yes. As long as it is in writing and signed by both parties, it becomes a contract.

Not a lawyer, but watch enough Judge Judy to know about putting all the details in writing with signatures.

 

[berth]

Are you legally allowed to keep cash someone hands you over for a test ride if they crash the bike and later say they’re not interested in buying?

You sold them the bike. It's a question now about a return policy, the sale is done.

 

[garyr1]

As others suggested, I always talk to the seller quite a bit ahead of time, to get to know them and their experience as a biker, in order to understand their context for selling. Often this will provide insight into the legitimacy of their story and character. This helps me decide if I really want to do business with this person. I've found most bikers are honest ,but sometimes the story or seller sounds sketchy and I pass.

Whenever I sell a bike, I use a note I created that states they are buying the bike with vehicle and buyer identifying info, buyer and seller signature, time and date of purchase, price paid and form of payment received. This becomes their receipt for the payment.

It includes a statement that they have one hour from the time of purchase during which they can return the bike for a full refund if no damage noted. This means there is no misunderstanding about who is liable if anything goes wrong.

Make sure all the paperwork and VIN are correct and present.

When buying, if I'm serious and the potential deal is very attractive, and I can't find a willing co-driver, I'll check ahead to see if I can rent a one-way MC trailer for transporting it home.

Gary

 

[cheez]

My technique is a bit overkill but I like it.

Prior to meeting buyer or seller (for any vehicle) I type up a basic bill of sale. Super basic, just says X person (seller) is selling $motorcycle (description) to Y person (buyer) for $price on $date. I print up two copies and bring with. If there is going to be a test ride of the bike, we both sign the bills of sale, they keep one, I keep one. Cash is handed over, and so is the unsigned title. If the test ride is successful and the buyer wants to buy, the title is signed, release slip detatched and completed, back of title filled out, etc. If not, cash and title are handed back over and the bills of sale torn up. If the bike is crashed, the seller has a bill of sale proving the bike was sold; if the seller backs out to try and keep money AND bike, the DMV will accept an unsigned title if accompanied by a signed bill of sale (in my experience, YMMV.)

Seems to work well. I should probably add language around the test ride and add a 1hr return window like Gary talks about but so far it's not been necessary, and I've bought/sold a half dozen bikes from private parties with this method.

Edit: I forgot to say that the name/address on the DL should match the name/address on the title and the bill of sale- always check the identity of the person claiming to own the title they're holding.

 

[ilikefood]

Whenever I sell a bike, I use a note I created that states they are buying the bike with vehicle and buyer identifying info, buyer and seller signature, time and date of purchase, price paid and form of payment received. This becomes their receipt for the payment.

It includes a statement that they have one hour from the time of purchase during which they can return the bike for a full refund if no damage noted. This means there is no misunderstanding about who is liable if anything goes wrong.

Make sure all the paperwork and VIN are correct and present.
Gary

Yup, I've done exactly this for a purchase (as a buyer), and it worked well. For a seller it definitely helps get around the tire kickers.

It all depends on the person you're dealing with, though, and how you feel about the seller and how the seller feels about you. I've bought and sold bikes across the spectrum, from the clear contract as above (which I think is the best option), to seller holding cash while I test ride, to a no-strings-attached test ride, to no test ride at all. I just bought a bike on Friday without a test ride, but it was a pretty new bike and clearly in good shape.

As a buyer, getting a read on the seller is just as important as inspecting the bike (if not more so).

 

[bobl]

So what happens if as you approach freeway speed, the chain breaks from a badly installed master link, lock rear wheel, and dumps you? Or if the bike just suddenly stops running and leaves you stranded, or the trans locks when you hit a gear. I guess you will then need to rely on the honesty of the seller.

 

[Maddevill]

You definitely want a Bill of Sale

Mad

 

[chrisweir.com]

So what happens if as you approach freeway speed, the chain breaks from a badly installed master link, lock rear wheel, and dumps you? Or if the bike just suddenly stops running and leaves you stranded, or the trans locks when you hit a gear. I guess you will then need to rely on the honesty of the seller.

You just bought a broken bike.

 

[Mich]

I always request the sale amount in hand. They drop it they bought it. The person will most likely want the sale price amount

Pink slip only with 2 signatures on it from them as long as there is no lien on the title or registration. One for the release and one for the odometer

Customary to ride it home but some sellers might go the extra mile

Check with your insurance but they might have a grace period to cover a new vehicle. Btw this is 2022 you can get insurance instantly online now without an agent

What bike are you buying?

Wow, thanks everyone for all the info this really helps!
I buying a Vstrom and really looking forward to some fun rides.

 

[Mich]

My technique is a bit overkill but I like it.

Prior to meeting buyer or seller (for any vehicle) I type up a basic bill of sale. Super basic, just says X person (seller) is selling $motorcycle (description) to Y person (buyer) for $price on $date. I print up two copies and bring with. If there is going to be a test ride of the bike, we both sign the bills of sale, they keep one, I keep one. Cash is handed over, and so is the unsigned title. If the test ride is successful and the buyer wants to buy, the title is signed, release slip detatched and completed, back of title filled out, etc. If not, cash and title are handed back over and the bills of sale torn up. If the bike is crashed, the seller has a bill of sale proving the bike was sold; if the seller backs out to try and keep money AND bike, the DMV will accept an unsigned title if accompanied by a signed bill of sale (in my experience, YMMV.)

Seems to work well. I should probably add language around the test ride and add a 1hr return window like Gary talks about but so far it's not been necessary, and I've bought/sold a half dozen bikes from private parties with this method.

Edit: I forgot to say that the name/address on the DL should match the name/address on the title and the bill of sale- always check the identity of the person claiming to own the title they're holding.

Thanks for all the details and the template bill of sale super helpful

 

[ScottRNelson]

Thanks for all the details and the template bill of sale super helpful

I always used this one: https://www.dmv.ca.gov/portal/file/bill-of-sale-reg-135-pdf/

It's the official government version.

And I've never handed over cash before taking a test ride and there have been very few sellers unwilling to let me ride a bike I was interested in. But usually I went to see the bike on another motorcycle, so it was obvious that I was a rider. But I can think of at least two Ducatis that I bought without a test ride at all, not counting any bikes that I've bought new.

 

[R3DS!X]

I always request the sale amount in hand. They drop it they bought it. The person will most likely want the sale price amount

P

Why would I pay normal sale price when the bike now has scratches and cracked fairing?!!?