The property you’re buying or selling usually determines the specific forms you’ll require, though knowing how to write a bill of sale is almost always essential. In this post, we’ll highlight different types of property and the paperwork necessary for a safe transaction.

Real Estate

Real estate sales don’t use a bill of sale but instead require a special purchase agreement. This fulfills broadly the same purpose but usually has the following additions:

• A full description of the property and its accompanying land
• Disclosures of any hazardous materials (such as lead-based paint)
• Details of any appliances or fixtures also included in the sale
• Information on the buyer’s mortgage or other financing arrangements
• Details of the property’s fixed closing and possession dates

Once you work out the details, you must both sign a warranty or quitclaim deed. Either is legally binding, but a quitclaim deed cannot guarantee the seller’s right to sell the property, so you must only use it with someone you trust.

Vehicles

In addition to a standard bill of sale, you or the seller must provide the car’s vehicle identification number (VIN). This 17-character code lets buyers see a vehicle’s history – and even if it has any outstanding liens.

You must also provide or seek an accurate odometer reading, though this is generally part of the bill of sale. An odometer reading doesn’t tell the car’s full story; no buyer should hold its reading against the sale. However, providing it is still a requirement.

A vehicle’s maintenance records could also make or break a sale. They’re optional, but refusing to provide them is suspicious. If you’re a buyer, this could leave you wondering if there’s an issue with the car they’re hiding.

Firearms

Your firearm bill of sale must include the gun’s model, caliber, and serial number. It should also highlight any customizations, such as metal engravings.

However, depending on your state, you’ll have more requirements to fulfill and extra documents to complete. For example, in Illinois, a seller must procure a firearms owner’s identification card and present it to law enforcement.

In addition, many states and territories require a background check – even for a private sale. You usually must go through a licensed dealer to get this. However, in Hawaii, a seller must directly guarantee that the buyer has a firearms permit.

Jewelry

Jewelry and other expensive, valuable property require a thorough bill of sale. However, it’s also best to secure a detailed valuation report. As the seller, this justifies your asking price – and as a buyer, this proves the other side isn’t shortchanging you.

A valuation report gives both sides of the transaction details on the following:

• The item’s general condition
• Metal type and purity
• Gemstone grading (color, clarity, and cut)
• The item’s carat weight

It also gives you a certificate proving the item’s authenticity.

A valuation could massively affect the jewelry’s price. If its value is much lower than expected, a buyer can negotiate a lower rate. Alternatively, a seller might discover the item is worth notably more than their current price.

Livestock

A livestock bill of sale needs detailed information about the animals in question, such as their:

• Species
• Age
• Weight
• Sex
• Health conditions
• Identifying marks (i.e., brands or tattoos)

You should always be as specific as possible when describing each animal. If, for example, you plan on selling cattle with breathing problems, the buyer has to know. Otherwise, this could void the sale.

When selling or buying livestock, you should also get a certificate of veterinary inspection from a registered veterinarian. This proves the animals are free from communicable diseases and fully eligible for interstate transport.

Tips for Writing a Bill of Sale

Almost every type of private transaction benefits from a robust bill of sale. The better this is, the more likely it is to stand up in court – and the better it can protect you from the other party acting unscrupulously. Here are our tips for putting these documents together:

• Use an online document template. These already have everything you need for the type of property you’re selling, such as space for a car’s VIN.
• Make sure the property description is accurate and covers all defects. Any discrepancies could void the sale or leave you without what you paid for.
• Get witnesses and a notary public to sign the bill. Even if this isn’t necessary, it gives the document extra legal backing.
• Specify if the item is as-is, meaning without any warranties. However, you must still give the buyer a clear idea of the property’s condition.

When signing the bill, make sure to meet in a public place for extra security.

Final Thoughts

The right paperwork proves your jewelry’s value, shows your car’s pristine history, and more. To ensure you get a form that doesn’t disappoint, opt for documents from a specialized template website where possible.