Buying a Used Car from a Private Seller in Hawaii

You're smart if you’re looking to buy a private-party used car. Car dealers charge fees and markups, which you can avoid when you buy directly from an individual. Let’s walk through the entire transaction process for the state of Hawaii.

When you purchase a car from a private seller, there are more details to manage. Luckily, we make the process much easier with easy transactional infrastructure, including fee-free, instant payments up to $1M. Keep reading to see the steps you’ll need to take—and how PrivateAuto helps.

The first thing you need to do is find a car to buy. Based on your budget, requirements, and other factors, you probably have a good idea of what you’re looking for. It’s time to find it.

Most people go online to find their next used vehicle. Here are some of the online car-buying websites available to you:

a. Local classifieds.
b. National classifieds such as Craigslist and OfferUp.

We’re the best place to buy a car because we offer full transactional functionality, unlike other "meetingplaces" that don’t do much beyond connecting a buyer and a seller.

PrivateAuto is the only transactional marketplace that offers self-serve technology solutions for every part of the deal, from first contact all the way through making payment. If you’d like to see how easy private buying can be with PrivateAuto, browse our wide selection of used vehicles for sale and start the car buying process.

We don’t hate other listing sites. Some have more private-party car inventory than we do (we’re still young and gaining traction), but we offer the transactional security and convenience that other sites simply do not.

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.

Obviously, you want to get the very best car for how much money you have. PrivateAuto allows you to make offers on cars you like with ease. You never know if the owner will accept less than their initial sale price until you try.

Other websites require you to message the seller and have a potentially awkward exchange. PrivateAuto lets you make an offer with the click of a button. The seller can then accept, reject, or submit a counteroffer.

Savvy buyers know that doing a background check on the car. The two best ways to learn about a vehicle’s background are with a vehicle history report and researching the car’s title.

Before you move forward with a vehicle purchase, do some research on the vehicle title.

The National Insurance Crime Bureau website allows you to research the title of any car. You might just avoid being the next victim of some car scam.

Good title research will help you check for the following:

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

Ask the seller for their full name and the vehicle identification number (VIN). Run the title check, and have one less thing to worry about.

A vehicle history report is always a good idea when buying a used car. It covers ownership history and maintenance records and shows how well the seller cared for their car.

We provide a vehicle history report for all of our premium listings.

Here are some reasons a vehicle history report helps you have one less thing to worry about.

1. You are aware of any accidents or insurance claims.
2. You know how well the car has been cared for.
3. You can see service records, major repairs, and other work that has been done.

Unless you’re purchasing a car long-distance, you’re going to want to test-drive it yourself. PrivateAuto lets you arrange the test drive in a safe, easy, and convenient manner that protects your personal information.

1. Our in-app scheduler allows you to 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 choose to transact with verified sellers, which helps to weed out scammers and crooks who want to conceal their identity.

You’ve test-driven the car and you’re ready to buy. It’s time to handle the paperwork.

Here are the key documents involved in a private-party vehicle transaction in the state of Hawaii.

1. Certificate of title
2. Safety inspection
3. Bill of sale

A Hawaii certificate of title will require both you and the seller to complete the following information at the time of the sale:

To register a car in Hawaii, you need to pass an annual safety inspection. For most passenger vehicles or trucks, that means visiting an authorized shop to obtain a valid certificate.

Independent repair shops as well as larger chains like Jiffy Lube perform Hawaii safety inspections. These usually cost around $25.

The state of Hawaii doesn't require you to complete a bill of sale when you buy a used car in the state. Still, you should have one regardless, as it protects you by memorializing the terms of the sale, 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.

We make it easy with an official Hawaii bill of sale in the PrivateAuto app. You and the seller review the details and then digitally sign after inspecting the car. No printing or scanning is needed. It’s stored in your PrivateAuto account as a reference, should you ever need it.

There weren't many great options to pay for a car until PrivateAuto arrived on the scene. Cash is inconvenient and risky, PayPal has fees, Venmo and Zelle have low transfer limits, and checks and wire transfers are slow and unwieldy.

We got tired of the limitations associated with existing payment methods, so we created PrivateAuto Pay. Here’s how it works:

1. No transfer fees.
2. Instantaneous transfers. Close the deal when you meet for the test drive.
3. Works 24 hours a day, 365 days a year. No coordinating around bank hours.
4. No exchange of contact or banking info.
5. Enjoy escrow-like safeguards without the expense and hassle of an actual escrow service.

You’ll never want to buy a car any other way.

After the seller signs the title over, you’ll go to your local Hawaii DMV 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 the associated Hawaii sales tax.

Here’s what you’ll need to provide when you visit your local office:


Read our complete guide to a Hawaii title transfer for more info on the subject.