Michigan Title Transfer

By Javier Marín, Editor·Last reviewed September 2026·How we check this

When a vehicle changes ownership in Michigan, the buyer and seller complete a title transfer at any Michigan SOS branch. The state requires the transaction to be filed within 15 days of the sale. Late filing brings a $15 penalty plus the standard fees.

Seller's responsibilities

The seller must:

Sign and date the assignment block on the back of the Michigan title.
Complete the odometer disclosure on the title for vehicles under 20 years old (federally required).
Provide a bill of sale, if one is not printed on the title, listing buyer name, sale price, vehicle VIN, and date.
Remove the license plate (Michigan plates stay with the owner) and either transfer to a replacement vehicle or surrender at SOS.
Notify the insurance carrier within 14 days that the vehicle has been sold.

Buyer's responsibilities

The buyer must:

Take the assigned title to a Michigan SOS branch within 15 days.
Complete form TR-11L (Application for Michigan Vehicle Title).
Pay 6% sales tax on the purchase price (less the $9,000 trade-in cap if applicable).
Pay the $15 title fee.
Provide valid Michigan license or state ID and proof of Michigan address.
Show proof of Michigan no-fault insurance to register the vehicle at the same visit.

Title fees

$15 — standard Michigan title fee (with or without lien).
$5 — instant title issuance fee (optional same-day printing at branches that offer it).
$15 — late filing penalty (after 15 days from sale).

The Michigan title fee is among the lowest in the country — $15 covers no-lien and lien titles equally. Many other states use a tiered fee structure; Michigan does not.

Odometer disclosure

Federal law requires odometer disclosure at every transfer of a vehicle less than 20 years old as of the model year. The disclosure prints on the back of the Michigan title. The seller writes the current mileage at sale, signs the disclosure, and the buyer countersigns. False odometer disclosure is a felony in Michigan under MCL 257.233a.

Lien releases

If the seller's vehicle had a lien recorded on the title, the seller must obtain a lien release from the financial institution before transferring the title. The lien release can be a separate document on the lender's letterhead or, more commonly, a signature directly on the title. Michigan's Electronic Lien and Title (ELT) system allows lenders to release liens electronically; the title prints when the loan is paid off.

Out-of-state title transfers

A buyer who purchases a vehicle out-of-state and brings it to Michigan for titling pays Michigan use tax of 6% (less any out-of-state tax already paid, if the other state's rate is lower). The out-of-state title is surrendered to Michigan SOS, which issues a Michigan title in the buyer's name. The vehicle requires a VIN inspection at SOS or by a Michigan-licensed dealer before titling. See Michigan vehicle registration.

Family transfers and gifts

Vehicle transfers between immediate family members (spouse, parent/child, grandparent/grandchild, sibling, or step-equivalent) are exempt from sales tax in Michigan when the transfer is documented as a gift. The buyer completes form TR-128 (Affidavit of Vehicle Sale Between Family Members) at SOS and presents the assigned title. The $15 title fee still applies.

Inheritance transfers

Inherited vehicles transfer using a death certificate, the original title (if available), and one of:

A small-estate certification under MCL 700.3982 (for estates under $25,000) on form PC 598.
A probate court order for larger estates.
Surviving-spouse affidavit if the title was held jointly with right of survivorship.

Michigan SOS issues the new title in the heir's name without sales tax for direct family inheritance.

Salvage and rebuilt titles

Michigan SOS issues a Salvage Title when an insurer declares a vehicle a total loss. After the vehicle is repaired, an inspection at a designated SOS-authorized inspection station can re-title the vehicle as Rebuilt. The rebuilt designation appears permanently on the title and reduces resale value materially.

Instant title

Michigan SOS branches that offer instant title issuance can print the title on the spot for an additional $5 fee. Instant titles are useful for buyers who need to transfer the vehicle to another buyer quickly or who require the title as proof of ownership for an out-of-state move. Standard titles are mailed within 14 days.

Once the title is processed, Michigan SOS issues either an instant title (with the $5 surcharge) or a mailed title within 14 days. The buyer leaves the branch with a temporary registration and a confirmation receipt for the title application. See Michigan duplicate title if the original is later lost.