How To Transfer a Car Title to a Family Member in North Dakota in 2026

A transfer of vehicle ownership between family members in North Dakota is handled through the North Dakota Department of Transportation Motor Vehicle Division. The state requires the ownership record to be updated through its title system, and the transfer must follow the procedures in Chapter 39-05.

In North Dakota, a family transfer may be processed as either a gift or a sale. That distinction matters because North Dakota applies different motor vehicle excise tax rules to taxable sales and to certain exempt gifts. For ordinary transfers, the transferor must deliver the endorsed title within 30 days after the purchase date, and the transferee must apply for a new title within 30 days after receiving the title.

What Does Transferring a Car Title to a Family Member in North Dakota Mean?

Transferring a car title to a family member in North Dakota means changing the legal owner of record in the state title files. The certificate of title is the state ownership document for the vehicle, and North Dakota law provides that the department may issue that certificate in paper or electronic form under N.D.C.C. § 39-05-09.

Until the reassignment is completed and the Motor Vehicle Division issues the new title record, the vehicle remains titled in the name of the current owner shown on the existing certificate. North Dakota law also states that the certificate remains valid for the life of the vehicle while it is owned or held by the original holder named on that certificate. For that reason, a family arrangement by itself does not change ownership; the endorsed title and application must be submitted through the state process.

Eligible Family Members for Title Transfers in North Dakota

North Dakota does not create a universal family-transfer category for all relatives. Instead, the state gives special excise-tax treatment only to certain gift transfers listed in the motor vehicle excise tax law. For a gift exemption, the qualifying relationships are the following:

• Husband and wife
• Parent and child
• Grandparent and grandchild
• Brothers and sisters

The statute also extends the exemption to a transfer into a trust when the trustor and beneficiary occupy one of those relationships.

Common family transactions still include other relatives, such as in-laws, stepparents, stepchildren, or other household members. Those transfers may still be completed through the regular title process, but they do not receive a special exemption unless they fall within a specific exemption recognized by state law. If the transfer is a true sale, North Dakota generally imposes the same 5% excise tax that applies to other private-party purchases.

How To Transfer a Car Title as a Gift to a Family Member in North Dakota

Step 1 — Confirm Title Status and Lien Status
The current owner should review the North Dakota title and confirm that all lien information is accurate. If a lien has been satisfied, the lienholder must complete a lien release before the transfer is processed.

Step 2 — Complete the Assignment on the Title
North Dakota law requires the transferor to endorse the assignment and warranty of title and enter the transferee's name. If the transfer is a gift, the selling price field should reflect the actual nature of the transaction as a gift, not a fabricated sale price. The endorsed title is the core ownership document for the transfer.

Step 3 — Complete the Title Application and Claim the Gift Exemption if It Applies
The recipient should complete the Application for Certificate of Title & Registration of a Vehicle (SFN 2872). That form includes a tax-exempt section for gifts from a spouse, parent, child, sibling, grandparent, or grandchild. The relationship should be identified exactly as required on the form.

Step 4 — Record Odometer and Damage Disclosures When Required
The instructions on SFN 2872 require an odometer reading for vehicles model year 2011 and newer. In addition, a covered vehicle that is less than nine model years old must include a Damage/Salvage Disclosure Statement (SFN 18609). The disclosure requirement applies to passenger cars, trucks, pickups, motorcycles, and motor homes; it does not apply to trailers, snowmobiles, or off-highway vehicles.

Step 5 — Remove the License Plates From the Vehicle
North Dakota's registration procedures require the owner to remove the plates when the vehicle is sold, traded, or otherwise transferred. After removal, the vehicle is treated as unlicensed until the recipient completes registration through the Motor Vehicle Division, as explained in the registration manual.

Step 6 — Prepare Supporting Paperwork
North Dakota does not treat a bill of sale as the legal substitute for an assigned title in an ordinary title transfer, but an official Private Party Vehicle Bill of Sale (SFN 62502) may still be useful for documenting the transfer date, vehicle condition, and qualifying gift relationship. For a gift, that form is generally optional but often helpful.

Step 7 — Submit the Transfer Within the Statutory Time Limits
The transferor must provide the endorsed title within 30 days after the purchase date, and the transferee must submit the title application and transfer fee within 30 days after receiving the title. Title work is handled through North Dakota title-issuing offices listed on the locations page.

How To Transfer a Car Title as a Sale to a Family Member in North Dakota

Step 1 — Complete the Assignment and Warranty of Title
For a sale between relatives, the transferor must endorse the title and identify the buyer. North Dakota law requires the transferee's name to be entered on the assignment, and the selling price must be stated if the transaction is a sale.

Step 2 — Document the Purchase Price
The buyer should complete SFN 2872, which includes the purchaser's certificate and tax calculation area. A separate SFN 62502 is also available for private-party sales and records the sale date, price, trade information, and condition notes. That form is especially useful when the reported selling price is below fair market value because it states that supporting information may be reviewed by the department.

Step 3 — Obtain Any Required Lien Release
If a lien remains shown on the title, the lienholder must sign off before the title can be transferred free of that encumbrance. North Dakota provides the official SFN 2876 for that purpose.

Step 4 — Complete Required Disclosures
An odometer reading is required on vehicles model year 2011 and newer under the current NDDOT application instructions. If the vehicle is in a category covered by North Dakota's body-damage disclosure law and is less than nine model years old, SFN 18609 must accompany the title work.

Step 5 — Remove the Existing Plates
North Dakota requires the seller to remove the license plates at the time of transfer. The buyer may not continue operating under the seller's registration. Registration in the buyer's name must be completed before the vehicle is lawfully registered for use.

Step 6 — Submit Title and Registration Paperwork on Time
The buyer must apply for the new title within 30 days after receiving the endorsed title. North Dakota title services are offered at title-issuing branches and contracted offices identified by NDDOT.

Step 7 — Pay Title, Registration, and Tax Charges
A family sale is treated as a taxable purchase unless a specific statutory exemption applies. For a sale, the state generally collects 5% motor vehicle excise tax on the purchase price when the title application is filed. Registration fees are determined by the vehicle class, age, and weight.

What Documents Are Needed To Transfer a Car Title to a Family Member in North Dakota

Required for All Transfers

• North Dakota certificate of title — The existing title must be properly assigned by the transferor to the new owner as required by N.D.C.C. § 39-05-17. This is the primary proof that ownership is being reassigned.
• Application for Certificate of Title & Registration of a Vehicle (SFN 2872) — The state's title application is used to apply for the new title and, if applicable, registration. It includes owner information, vehicle details, purchaser certification, tax information, and exemption claims.
• Odometer disclosure — NDDOT's SFN 2872 instructions require an odometer reading for vehicles model year 2011 and newer. The mileage statement must be completed accurately when the transfer falls within that requirement.

Additional Documents for Sale Transfers

• Private Party Vehicle Bill of Sale (SFN 62502) — The official bill of sale records the VIN, year, make, model, sale date, selling price, seller and buyer information, and condition notes. It is useful for documenting the transaction and supporting the reported purchase price.
• Purchase-price and trade documentation — If the transaction includes a trade-in or an unusually low stated price, the Motor Vehicle Division may request further support because the official bill of sale notes that vehicle condition and related circumstances are subject to review.

Documents Required in Specific Circumstances

• Release of Lien by Legal Owner (SFN 2876) — A recorded lien must be cleared through the official lien release form before a clear title can be issued.
• Damage/Salvage Disclosure Statement (SFN 18609) — This damage disclosure form is required for passenger cars, trucks, pickups, motorcycles, and motor homes that are less than nine model years old.
• Statement of Error, Correction, or Alteration (SFN 2964) — If the buyer name, sale date, selling price, odometer reading, or another entry on the title has been written incorrectly or altered, the correction form must be used. This form is notarized, and North Dakota's standard title transfer paperwork is not generally notarized unless a correction or alteration statement is required.
• Proof of ownership when the assigned title cannot be obtained — In unusual cases where a properly assigned title is unavailable, North Dakota allows an application based on satisfactory proof of ownership under N.D.C.C. § 39-05-20.

How To Transfer a Car Title to a Family Member Online in North Dakota

A standard transfer of title from one family member to another cannot be completed entirely online in North Dakota. The transaction still depends on a properly assigned certificate of title and a signed application for a new title. For that reason, a private-party family transfer remains a paper-based title transaction handled through the Motor Vehicle Division.

Family members complete the title assignment and the state application, then submit the paperwork through a North Dakota title office. NDDOT identifies the title-issuing offices on its branch directory. Registration renewals and related online tools may still be available after the ownership record has been updated.

What's the Cost To Transfer a Car Title to a Family Member in North Dakota?

North Dakota's state title fee is low, but the total amount due may increase if registration fees, branch fees, or the motor vehicle excise tax apply.

For passenger cars, the 2026 state registration fee schedule is based on the vehicle's year first registered and weight. On the 12-month passenger fee schedule, passenger registration fees range from $49 to $274. North Dakota also adds an annual road-use fee of $120 for electric passenger vehicles and $50 for plug-in hybrid passenger vehicles.

North Dakota does not give a blanket tax exemption to all family transfers. A qualifying gift between a spouse, parent, and child, grandparent and grandchild, or siblings is exempt from motor vehicle excise tax, but a sale between relatives is generally taxable under the motor vehicle excise tax statute.

Contact Information

North Dakota Department of Transportation Motor Vehicle Division
608 E Boulevard Ave, Bismarck, ND 58505-0780
Phone: (701) 328-2725
Official Website: North Dakota Department of Transportation Motor Vehicle Division