Buying a Used Car from a Private Seller in Kentucky

Dana Marchlowitz

June 26, 2025

| Updated:

June 26, 2025

PrivateAuto streamlines the private car buying experience and makes it quick and safe. Keep reading to learn how to buy your dream car in the Bluegrass State, and how we make that daunting task easy and safe.
 
 

Should I Buy from a Dealership or a Private Seller?

Dealerships can be more convenient (before PrivateAuto, that is), while private-party cars offer better value.

The private-party purchase offers the following advantages:

1. You drive the deal on your terms. PrivateAuto allows you to make offers and negotiate the best deal directly with the seller.
2. Get a better price by cutting out the middleman and going straight to the source. Dealers must buy low and sell high to make a profit and keep the lights on.
3. Avoid fees. Vehicle dealers charge documentation fees that range from $50 to over $1,000.

Before PrivateAuto, dealers offered an escape from the messiness of the private-party sale. People were willing to pay fees and markups for that convenience. Now they don’t need to. We bring security and dealer-like convenience to the private-party car transaction

Our transactional marketplace gives you all the tools to drive the deal on your terms, including instant payments of up to $1 million with no transfer fees.
Find a car

Browse Car-Buying Websites

When searching for cars for sale in your area, there are a lot of different car-buying websites you can browse.


While these sites show you a lot of cars for sale, all of them lack transactional capability. We call them “meetingplaces” because they leave you to your own devices when it comes down to closing the deal.

We’re the world’s first and only fully transactional marketplace, offering self-service technological solutions for every stage of the deal.

Begin your car-buying journey today!

We have nothing against other listing sites. If you find your dream car on one of them, we’re happy for you. But we want you to have the transactional security and convenience that our users enjoy.

That’s why DealNow was created. DealNow is the easiest way to close your own vehicle deal, anytime. It’s the safe and simple way to avoid fraud, sign documents, and instantly transfer money, all in one app. Invite the seller to DealNow and fast-track your transaction.
 
Agree on a price

Negotiate the Price

You want to get the very best vehicle for your money, and we allow you to make offers on vehicles that you like. You never know if the vehicle’s owner is willing to negotiate their asking price and give you a deal until you try.

On other sites, you’d have to message the seller and bargain over price. PrivateAuto lets you make an offer with the click of a button. The seller can then accept, reject, or make a counteroffer.
 

Research the Vehicle

A smart buyer will try to find out as much as they can about the car they’re getting. The two best ways to learn about a vehicle’s background are:

1. Get a vehicle history report
2. Research the car’s title
 

Get a Vehicle History Report

Savvy car buyers know that a vehicle history report is mandatory when buying a used car. It covers ownership history and maintenance records, and gives you insight into how well the seller cared for the vehicle. We provide a vehicle history report for all premium listings.

Here are some reasons a vehicle history report gives you peace of mind.

1. You have visibility into any accidents or insurance claims.
2. You can see service records, major repairs, and other work.
3. You know how well the car has been cared for.

A vehicle history report can help you avoid buying a faulty vehicle.
 

Research the Title

Before meeting up for the test drive, it’s smart to do preliminary research on the car title.
You can use the National Insurance Crime Bureau website to research the title to protect yourself from car-buying fraud.

Sometimes sellers will attempt to mislead or outright deceive—they may try to pass off a salvage title as clean.

Title research will help you check for:

1. Reports of the car having been stolen.
2. An outstanding lien.
3. The car has been declared a total loss in an insurance claim.

Ask the seller for their legal name and the vehicle identification number (VIN) before the meetup. Run the title check, and save yourself the worry.
Take the car for a test drive

Arrange the Test Drive

At PrivateAuto, we let you arrange the test drive safely, easily, and conveniently, never revealing your personal information to the seller.

1. Our in-app scheduler lets you pick from the time slots the seller has chosen—no awkward back-and-forth conversations. You’ll also see the seller’s preferred meetup location.
2. You can opt to transact with verified sellers, which will help weed out those who prefer to operate in the shadows.

You’ll schedule the test drive in a matter of minutes without ever needing to contact the seller. It’s just one of the many ways we streamline the private car buying process.
Handle paperwork

Complete Kentucky Paperwork

Paperwork is a critical part of the transaction process. Here is the documentation you need in a Kentucky used car transaction:

1. Title
2. Bill of sale
 

Kentucky Certificate of Title

You and the seller need to fill out the official Kentucky certificate of title. You will need to complete the following information at the time of the sale with a notary present:

  • Odometer disclosure.
  • Date of sale.
  • Vehicle purchase price.
  • Seller’s hand-printed name, signature, and address (if there is more than one seller listed on the title, both sellers will need to sign).
  • Your hand-printed name and signature.

 

Kentucky Bill of Sale

While Kentucky doesn’t require a bill of sale, we recommend you always complete one with the seller. A bill of sale protects you by memorializing the VIN, the selling price, mileage, and the names and signatures of both parties. If the seller ever wants to contest the transaction or any part of it, you have their signature on a legal document with all of the terms and details to back you up.

PrivateAuto makes it easy with an official Kentucky bill of sale right in our app. You and the seller review the details, and then digitally sign the bill of sale after inspecting the car. No printing or scanning—simply sign electronically in the PrivateAuto mobile app. It’s stored in your PrivateAuto account as a reference, should you ever need it.
Pay the seller

Pay the Seller

When it comes time to pay the seller for their car, there aren’t a lot of great options—until now. Cash is inconvenient and risky, PayPal has fees, Venmo and Zelle have low transfer limits, and checks and wire transfers are slow and cumbersome.

We got fed up with how limited the existing payment methods are, so we created a better solution. We call it PrivateAuto Pay. Our users call it magic.

Here’s how the magic works:

1. Instantaneous transfers. Close the deal when you meet for the test drive.
2. No transfer fees.
3. Works 24 hours a day, 365 days a year. No coordinating around banker’s hours.
4. No exchange of contact or banking info.
5. Advanced encryption protects your data from hackers.
6. Skip inconvenient and costly third-party escrow services when you use our escrow-like safeguards.

You’ll never want to buy a car any other way.
Transfer ownership
Register the car
Get new license plates

Kentucky Title Transfer and Registration

After the title is signed over to you, you’ll go to the county clerk’s office to complete the title transfer process. At the same time, you’ll register the vehicle in your name, get new license plates, and pay your Kentucky sales tax owed.

Here’s what you’ll need to provide when you transfer the title at the county clerk’s office:

  • The Certificate of Title, signed over to you by the previous vehicle owner.
  • A completed Application For Kentucky Certificate Of Title Or Registration form
  • Lien information (if there is a lien holder on the title).
  • Proof of insurance.
  • Payment for Kentucky’s vehicle title transfer fee: $9.
  • Payment for Kentucky registration fee: $21.
  • Payment for Kentucky license plate fee: $21 for standard plates, more for specialty plates.
  • Payment for Kentucky vehicle sales tax: 6% of your vehicle’s purchase price
  • Valid ID, driver’s license, or other proof of identity.

Kentucky FAQ

Is emissions testing required in Kentucky?

Kentucky eliminated the requirement for smog certifications in 2005 when Governor Ernie Fletcher signed an emergency regulation, so emissions testing is no longer required.

Kentucky does offer some eco-friendly driver incentives. Drivers who are making an effort to reduce their vehicle emissions are eligible to receive a vehicle tax break.

Residents of Kentucky who own the following vehicle types are eligible for a tax break:

– Hybrids
– Electric cars
– Plug-in hybrids
– Alternative fuel vehicles
– Vehicles that run on diesel

In Kentucky, both parties do not necessarily have to be present for a title transfer, but both parties should be present to ensure all documentation has been properly processed.

Kentucky is not a no-notary state in a private-party car transaction.

Registering a vehicle in Kentucky costs $21. To apply for a Kentucky license plate, you must have a valid Kentucky vehicle registration card from the Kentucky clerk’s office. To make things more efficient, you will be able to transfer ownership and register your vehicle at the same time.

You will need to submit the following documents to your local DMV office:

– Photo ID
– Current original proof of Kentucky insurance effective date within 45 days​
– A completed application for a Kentucky certificate of title or registration
– Payment for the registration fee: $21
– Payment for usage taxes or sales taxes as applicable

If you lost your original title or have a damaged title, you should apply for a duplicate vehicle title by submitting the following documentation and payment to your county clerk’s office:

1. A completed application for a Kentucky certificate of title or registration
2. The title number or license plate of the vehicle
3. Your valid driver’s license or photo ID
4. Payment for the replacement title fee and the notary fee: $8

The Kentucky Transportation Cabinet prints the title the following work day and mails the title to you. Duplicate titles cannot be picked up on a walk-through basis.

Your auto insurance must meet Kentucky’s minimum requirements:

– Bodily injury liability for $25,000 per person
– Property damage liability for $50,000 per accident
– Personal injury protection (PIP) for $10,000 per person

These are the minimum requirements, but you can add more to your policy, like comprehensive or collision coverage, or increase your liability coverage. Your insurance card must be kept in the vehicle at all times.

Helpful Resources

Dana Marchlowitz

Contributing Author

Dana is a seasoned executive with a strong background in startups and product management. Currently serving as the Chief Product Officer for PrivateAuto, Dana brings a wealth of knowledge and expertise to the role….