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Free Vehicle Purchase Agreement: Use it Today!

When buying or selling a vehicle, it is crucial to have a comprehensive and legally binding purchase agreement in place. An agreement ensures the protection of both parties involved and facilitates a seamless transfer of ownership. 

This free vehicle purchase agreement template simplifies the process of a car purchase or sale. This document includes all necessary information about the buyer and seller and specifics about the purchase while ensuring everyone’s rights are upheld according to the law.

What is a Vehicle Purchase Agreement?

To successfully navigate through a car sale transaction – whether you’re buying or selling – it becomes imperative that you establish specific details with a vehicle purchase agreement. 

Pertinent information would encompass aspects such as price point, condition of the vehicle being sold or bought, and payment stipulations. That’s why this sales contract is a crucial tool that can aid in ensuring clarity. As its name suggests, this legally recognized document,a a car purchase agreement, serves as an outline denoting all pertinent terms and conditions regulating this vehicular sale. 

Ultimately, this ensures both parties – namely the buyer and seller– possess complete knowledge of the required conditions to further cement their compatibility in a vehicle purchase. 

This comprehensive sales contract document includes everything from the car’s make, model, VIN, and mileage, to the purchase price, payment method, and any agreed-upon terms. It’s essentially the “rule book” of the car sale, protecting both parties’ interests and minimizing potential disputes.

Why a Car Sale Contract is Essential

You may wonder if a car purchase agreement contract is necessary. The answer is a resounding yes. This contract is essential because it provides legal protection for the buyer and the seller, defining the transaction terms and reducing the risk of miscommunication or disagreements on the vehicle purchase later.

For sellers, a vehicle sales agreement helps ensure they receive the agreed-upon payment in full and on time. It also clarifies that the vehicle is being sold “as is,” which can help prevent future complaints or legal action from the buyer related to the car’s condition.

The agreement provides proof of ownership for buyers, which is critical for vehicle registration. It also outlines the vehicle’s condition at the time of sale, helping protect the buyer from purchasing a car with undisclosed defects or problems.

In essence, a car purchase agreement is not just a piece of paperwork; it’s a safety net that ensures the car buying or selling process is transparent, fair, and legally binding for all parties involved.

DISCLAIMER: We are not lawyers or a law firm and we do not provide legal, business or tax advice. We recommend you consult a lawyer or other appropriate professional before using any templates or agreements from this website.

What to Include in a Vehicle Purchase Agreement

Crafting a well-detailed car purchase agreement is not just an administrative procedure. It’s akin to building a car: you must ensure every component fits perfectly to ensure a smooth journey and avoid breakdowns further down the road.

Like the intricacies of an engine, the specifics in the agreement are the gears that keep the transaction running smoothly. Each section is integral to the agreement and is pivotal in securing a hassle-free, transparent transaction that protects all parties involved.

Personal Details

To start, the agreement should include the personal details of the buyer and the seller. This includes full names, physical addresses, and contact information such as phone numbers and email addresses. The document effectively identifies the involved parties by including these critical details, establishing an unequivocal understanding of who’s who in the agreement.

This is essential for enforcing the contract in case of any disputes and allows for clear lines of communication between the parties. It’s worth repeating: accuracy here is paramount – any errors, even something as simple as a misspelled name, could invalidate your agreement or cause problems down the line. 

Vehicle Details

Next, the agreement should include a comprehensive breakdown of the vehicle details. This should cover everything, including the following:

  • Make
  • Model
  • Year
  • Color, 
  • VIN (Vehicle Identification Number)
  • Current mileage 
  • Overall condition of the car

The VIN is like the vehicle’s unique DNA strand. It’s a 17-character code offering crucial information about the car, such as its history, manufacturer, where it was built, and even specific vehicle features. You can typically find the VIN etched into the driver’s side of the dashboard or on the door post when you open the driver’s side door.

It’s wise to include even more details about the vehicle. These details might encompass any modifications, significant damages, or defects. If there are any outstanding recalls on the car, these should be noted. A complete rundown of the car’s service history can also be beneficial. 

The more transparent and comprehensive you are about the vehicle’s condition, the less likely you will encounter disputes after the sale. This transparency fosters trust and assures the buyer that no hidden surprises are lurking under the hood.

Purchase Price & Fees

An explicit statement of the total purchase price is another crucial element in your agreement and should go beyond the vehicle’s sticker price. It should encompass any applicable taxes, licensing fees, or registration costs that may arise. If there are any dealer fees or delivery charges, these need to be clearly outlined. By itemizing these components, the buyer gets a clear picture of the total cost of acquiring the vehicle.

The method of payment is also a vital part of this section. Will it be a lump sum, installments, or a mix of cash and trade-in? Perhaps a money order or bank transfer? Clarifying this aspect removes ambiguity and sets clear expectations on both sides of the transaction.

Financing Terms

If the buyer intends to finance the vehicle, the agreement must state the terms of this arrangement clearly. This includes the down payment, monthly payment amount, annual interest rate, the total amount financed, and the financing duration.

This part of the car purchase agreement is essentially a roadmap of the buyer’s repayment journey. Clearly stating the financing terms offers protection for both parties by setting concrete expectations and avoiding any potential confusion or disputes.


The buyer and seller must sign and date the agreement to make it legally binding. This is where Signaturely comes into the picture. The platform lets you securely sign your car purchase agreement digitally, making the vehicle purchase contract process a breeze—no need for tedious paperwork or scheduling meetings to sign documents. Signaturely ensures your agreement is signed, sealed, and delivered in the most efficient way possible.

Download our free example
Vehicle Purchase Template

We’ve got your back here at Signaturely, and we’re ready to help make stress-free agreements a reality. Forget the confusing paperwork and overwhelming legal jargon – get easy, breezy agreement templates for your customers in minutes with our free template.

Click that download button now and get those wheels spinning!

How to Write a Car Sale Contract

Creating a comprehensive car sales contract or vehicle purchase agreement might seem intimidating initially, but with a systematic approach, it doesn’t have to be a Herculean task. One of the easiest ways to compose a car sale agreement is to start with a template. Templates provide a solid foundation and include all the essential sections, such as buyer and seller details, vehicle information, and payment details.

While using a template, you should modify elements that suit your unique transaction needs. This may include additional clauses related to warranty, dispute resolution, or the inclusion of any “as is” statement.

Remember to keep the language clear, straightforward, and precise. Avoid ambiguous terms or complex legalese that could create confusion. The aim is to craft a document that leaves no room for misinterpretation.

FAQs About a Vehicle Purchase Agreement

Having a few questions while drafting or signing a car purchase agreement is natural. Below are answers to a few common ones.

How do I write a sales agreement for a car?

In brief, detail the buyer and seller’s information, describe the vehicle being sold, list the sale price and payment method, include any warranties or “as is’”statements, and have all parties sign and date the agreement.

How legally binding is a purchase agreement?

Once the buyer and seller sign the agreement, it becomes a legally binding contract with signatures. This means both parties are obligated to fulfill their responsibilities as outlined in the document.

How do you write a good purchase agreement?

The key to a good purchase agreement lies in the details. Ensure all critical information is accurate and complete, use clear language, and include all necessary clauses. Don’t forget to have it signed!

What is a vehicle use agreement?

This typically refers to an agreement outlining the terms and conditions for vehicle use, often seen in rental or lease agreements. It differs from a car purchase agreement about the sale and transfer of car ownership.

What is a bill of sale for vehicles?

A bill of sale is a document confirming a transaction between two parties. In the context of vehicles, it’s evidence that car ownership was transferred from a seller to a buyer. It’s typically less comprehensive than a car purchase agreement but still an essential document in car sales.

What You Need to Remember About a Car Sale Contract

A vehicle purchase agreement is more than a formality—your safety net. It’s a legally binding document that secures your rights, delineates responsibilities, and sets clear expectations to prevent future disputes. Make sure it’s comprehensive, accurate, and, most importantly, signed by all parties involved. On top of that, securing a tool like Signaturely can make your vehicle sale easier with a streamlined vehicle purchase signing process. 

document preview

Vehicle Purchase Agreement Template



  • This Car Sale Agreement (hereinafter referred to as the “Agreement”) is entered into on ________________ (the “Effective Date”), by and between ________________________, with an address of ________________ (hereinafter referred to as the “Seller”) and ________________with an address of ________________ (hereinafter referred to as the “Buyer”) (collectively referred to as the “Parties”).


  • The Parties agree that the below specifications of the vehicle are accurate and up to date.





Body Type


Body Color






Vehicle Identification Number






  • The Parties agree that the purchase price of the vehicle will amount to $________________. 

  • The Parties further agree that the preferred method of payment is ________________.

  • The ownership of the vehicle will be transferred to the buyer upon the receipt of the payment in full by the Seller.


The Seller warrants the following:

  • He/she is fully entitled and authorized to sell the vehicle and transfer its ownership.

  • The vehicle is sold free of any encumbrances, legal claims, court orders and/or liens.

  • The vehicle does not possess any damage requiring repairs amounting to more than $________________.

  • The vehicle does not possess any orders for inspection.

  • The vehicle has always been used for personal purposes and never as a taxi, rental vehicle, lease vehicle, emergency vehicle, police vehicle or other. 


  • Under no circumstances will the Parties be liable for any indirect, special, consequential, or punitive damages arising out of and/or relevant to this Agreement or the transactions the Agreement contemplates. This is in case such is not related to the direct result of one of the party’s negligence or breach.


  • Any dispute and/or difference arising out of or related to this Agreement will be submitted to ________________ (Arbitration/mediation/negotiation) according to, and subject to the laws of ________________.


  • This Agreement will be governed by and construed according to the laws of



  • This Agreement is complete and with respect to the subject matter herein, supersedes all and any prior agreements, understandings, and conditions, expressed or implied, written or oral, of any nature with respect to the subject matter herein. 

  • The expressed terms control and supersede any course of performance and/or usage of the trade inconsistent with any of the terms herein.


  • In an event where a provision of this Agreement is found to be void and/or unenforceable by a court of competent jurisdiction, then the provisions remaining will continue to be enforced.


  • The Parties hereby agree to the terms and conditions set forth in this Agreement and such is demonstrated throughout their signatures below:









Download Our Free Vehicle Purchase Agreement Template Today

Don’t waste any more time trying to craft the perfect vehicle purchase agreement. Our free vehicle purchase agreement template is ready and ready to download in one quick, convenient click—no more complicated documents for you or your clients to fill out. Just download, customize, and off you go!

Don’t wait – get your free vehicle purchase agreement template today and get geared up for business growth.

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