Buying Used RV that have a note (title not clear)

[daniel.r.rowe@me.com]

We are looking at used RV's and asking any advise if we were to buy one that the note is not paid off, how to handle? Pretty uncomfortable paying the purchase price and not immediately getting the title. thanks, Dan

[Judge]

You should not purchase any vehicle that does not have a clear title.

If it is at a dealer, the dealer should be making sure the lien has cleared and they have the title in hand before the sale.

If it is a private party, they should obtain the necessary funds on their own to pay off the loan and obtain the title before your purchase the unit.

You want to make sure the title is clear and in hand because there could be other entities that placed a lien on an asset to fulfill a tax debt, legal settlement, etc.

[Bob Denman]

Yup!

https://www.thorforums.com/forums/at...1&d=1597582932

[daniel.r.rowe@me.com]

Thanks Judge

[ducksface]

https://www.thorforums.com/forums/sh...3&postcount=27

Above is how we easily did it 2,500 miles from our home town Bank.
It happens on maybe 50 percent of all private sales.
It happens on 80 percent of trade in at car dealerships, maybe 90 percent.
It has well established logical steps to take. In some instances, it's just going to chase Bank(insert where you have a local bank with your lien) if that's where the lien is and resolving the lien in 20 or so minutes.
It really ain't a worrying thing. It's a trust and caution thing.

As great incentive
AZ does have sales tax on a private party sale.
11.5 percent in my town.
A 4 buck burger costs you 4.45

I'm not sure if that translates directly to the vehicle purchase.
$67k for my 24.1 was a lot of tax to not have paid. It amounts to a free towed if you want it to amount that way.

AZ charges license based on msrp not purchase price. That was a screwin....

[Elite Washington]

Originally Posted by ducksface

https://www.thorforums.com/forums/sh...3&postcount=27

This is how we easily did it.
It happens on maybe 50 percent of all private sales.
It happens on 80 percent of trade in at car dealerships, maybe 90 percent.
It has well established logical steps to take. In some instances, it's just going to chase Bank(insert where you have a local bank with your lien) if that's where the lien is and resolving the lien in 20 or so minutes.
It really ain't a worrying thing. It's a trust and caution thing.

Yeah it’s not really much different, A lot of times you can get a release of lien right there at the bank. Just make sure the selling party has everything set up first otherwise it takes forever. I work for a bank it’s a pain in the butt if someone just drops in and they haven’t gotten the payoff amount already and some of the paperwork started.

[ducksface]

Originally Posted by Elite Washington

Yeah it’s not really much different, A lot of times you can get a release of lien right there at the bank. Just make sure the selling party has everything set up first otherwise it takes forever. I work for a bank it’s a pain in the butt if someone just drops in and they haven’t gotten the payoff amount already and some of the paperwork started.

Thanks for the expert/professional reality.

This is a subject mostly shrouded in myth and stories from a dads uncles brother in 1967.

You've cleared it for all who will put professional word over family stories.

[BC1]

I'm right smack in the middle of this scenario now as the buyer. I've done it before with cars but I don't think the previous RVs I bought had one. I know it works differently depending on which state you are in but in NY you get a lien release letter together with the title (that shows the lienholder on it) and you bring both to DMV and register in your name. The seller in my case did not use a local bank unfortunately so now we are waiting for their bank to send the lien release. I have given them full funds for the RV and they wired the money to their bank but I have the title signed over to me in my possession. They still have the RV at their house and I have one set of keys. I don't really see it as a risk but I'm comfortable with these particular sellers and their honesty so far. When I had a lien on a prior I was selling my loan was through a local bank so I just went in and got the lien release on the spot. This seller used a national bank without any branch in our area so we are at their mercy as to when they get it sent out. I just hope I get it and get it registered before my maiden voyage on the 31st. To complicate things the DMV offices in my county in NY are not processing new registrations in person.

[BC1]

Also, you can check with DMV to see if any other liens are recorded on their end (I just did that).

[BC1]

Learned something new today - Seller's bank said it would be at least 10 days to get original Lien Release sent out and received (no local branches of that bank anywhere w/in many states of us). That didn't work for me as I have 2 trips planned. I went online to NY DMV site & came across where you can put in the VIN # & see the liens. It showed my bank as the Lienholder (not the sellers) which meant seller's bank electronically notified NY DMV of the release. I learned I can register the vehicle w/out the lien release in hand (knowing it was safe because NY DMV showed it paid off on their end). Only downside is the new title I get in the mail will have both liens on it so when I get original release from seller I just submit paperwork for a new title w/out that lien.

[Bob Denman]

Well that sounds like some good news...

[CTRvs666]

Originally Posted by Judge

You should not purchase any vehicle that does not have a clear title.

If it is at a dealer, the dealer should be making sure the lien has cleared and they have the title in hand before the sale.

If it is a private party, they should obtain the necessary funds on their own to pay off the loan and obtain the title before your purchase the unit.

You want to make sure the title is clear and in hand because there could be other entities that placed a lien on an asset to fulfill a tax debt, legal settlement, etc.

That is not realistic. I just sold an 2017 5th Wheel for $41k and it had a balance of $28k. I got a 15 day pay-off and then went with the new buyer to her bank, they deducted the payoff, and paid me the difference. In about 5 days i was notified that my unit had been paid off. I would say most of the newer users have a balance when financing. I could not afford to drop $28K and clear the title, plus I didn't need to.

Now if the buyer would have handed me $41K and hoped I would pay the loan off, they would be foolish. So Just make sure you take care of the details, and your bank will be more than happy to guide you through.

The people that bought mine had been all over trying to find one as nice at a dealership and couldn't find one. So don't be afraid to purchase a private seller unit with a loan balance on it.

[Bob Denman]

Go to the buyer's bank, and have them sort out the money...
BRILLIANT!

[Blanco05]

Well Im currently selling my 2015 Thor Miramar 34.2 (advertising on this forum) with a balance due the bank. After speaking to my bank they advised that they would walk me and the potential buyer through the process. Starts with paying off the balance from the buyers bank via secured electronic funds the bank then begins the process of processing the lien release and the title assignment. Seems like a semi painless process and one that if completed through the proper banking channels will result in a financially safe endeavor for both parties

[BC1]

My buying from private party with lien on title has just been completed. It went fine. I think if you are smart and safe and you are working with legit financial institutions it should generally be ok. It took a little extra time and legwork on both my and seller's part but I would have paid much more through a dealer and I was not able to find the unit I wanted so for me it was the best choice.

[Blanco05]

From ur mouth to Gods ears. I pray when i find a buyer it goes as smoothly. As u said, if done correctly and with proper institutions all should work out. Congrats on ur purchase.

-Carlos

[gregolas]

Originally Posted by daniel.r.rowe@me.com

We are looking at used RV's and asking any advise if we were to buy one that the note is not paid off, how to handle? Pretty uncomfortable paying the purchase price and not immediately getting the title. thanks, Dan

We just completed a purchase of a travel trailer with the same situation the seller completed a bill of sale and we had some trust with the seller, we wrote the check And took possession of the travel trailerand they use the sale proceeds to pay off the loan we then met with the seller at the MVD office to complete the transfer of title paperwork.

No issues

[Bob Denman]

Originally Posted by BC1

My buying from private party with lien on title has just been completed. It went fine. I think if you are smart and safe and you are working with legit financial institutions it should generally be ok. It took a little extra time and legwork on both my and seller's part but I would have paid much more through a dealer and I was not able to find the unit I wanted so for me it was the best choice.

Congratultions!

[Thorace1]

If your still looking I have a 2018 newmar model 3924 with about 4300 miles. Gas ford triton v 10. I bought it new and currently unable to travel. Traveled for less than a year planning to live int it. The unit has a washer and driver . Also has a satellite in motion on the roof. Wishing for someone to assume payments and the loan is transferable. Warranty is still in effective. The back has a drop deck for A patio with a mini kitchen and tv. The unit has five TVs . I am located in Shawnee Oklahoma. I have extended warranties on the unit. If enterested please advise. Thanks

[KellyKendallShields]

It's OK to buy it so title is not clear. However, go with them to the bank to watch them pay off the vehicle and get paperwork from the bank.