Tips on Buying Cars: Selling my car with a Lien, registration issue, lien holder


Question
Hello Jeremy,

I am trying to sell my 2009 BMW which has a lien on it and a payoff amount of $33,000.
I don't have the money to pay the lien off, and I know the lien needs to be payed before I can get the title from the lien holder.
The buyer is flying in to pick up the car so this has to be done in one meeting.
Here is my issue:
If the buyer gives me the money to pay the lien so I can get the title which I would then mail to the buyer, the buyer will need to take the car with them because they can not just pay me $33k, and leave without a car and without a title.
For the buyer to take the car with them, the car needs to be registered under their name.
For the car to be registered under their name, they need to show proof of ownership, AND they also need the title of the vehicle!
So there is a dilemma here since we can not get the title without paying the lien, and the lien can not be paid by the buyer and the buyer not have the lien nor the car.
How can we resolve this?
It is mostly a registration issue since the buyer will not be able to take the car even if they pay the lien that day.

Thank you,
Rudin

Answer
Rudin,

Thanks for your question.  This is a common question.  What needs to happen, is that you need to draw up a bill of sale or purchase agreement stating the terms of the sale.  You both will need to go to the local DMV and get a temporary registration.  This will only be valid for a period of time so that you can get all of the financial arrangements figured out, and payoff the existing lien.  What I would do, because every state is different, is call you local DMV office and ask them the procedures, and they will be able to walk you thru it and tell you exactly what you need to do.

Hope this helps.

Thanks - JB