How To Transfer a Car Title to a Family Member in Michigan in 2026

In Michigan, a transfer of vehicle ownership between family members is handled by the Michigan Department of State, acting through the Secretary of State. A family transfer may be documented as a gift or as a sale, but the title must still be properly assigned, and the new title must be applied for through the state’s title system.

Michigan law requires the purchaser or transferee to complete the title transfer promptly, and the Secretary of State states that the transfer must be completed within 15 days after the sale date to avoid a late fee, as reflected in the state’s title transfer service and the assignment rules in MCL 257.233.

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

Transferring a car title to a family member in Michigan means changing the legal owner of record in the Secretary of State’s title records. The certificate of title is the state ownership document for the vehicle, and the owner must endorse the assignment on the title and deliver it to the transferee at the time the vehicle is delivered, as required by MCL 257.233.

Until the assigned title is submitted and processed, the current titled owner remains the owner of record for state title purposes. Michigan also distinguishes between paper titles and electronic title records in some transactions, and the state’s online transfer program currently requires a current Michigan paper title rather than an electronic title.

Eligible Family Members for Title Transfers in Michigan

Michigan does provide special tax treatment for some family transfers, but the exemption is not unlimited. The use-tax exemption in MCL 205.93 covers transfers to a spouse, mother, father, brother, sister, child, stepparent, stepchild, stepbrother, stepsister, grandparent, grandchild, legal ward, or legally appointed guardian with a certified letter of guardianship.

Michigan Treasury has also stated in Revenue Administrative Bulletin 2018-5 that transfers made on or after January 1, 2014, are also exempt for certain in-law relationships, specifically parent-in-law, sibling-in-law, child-in-law, and grandparent-in-law. The Secretary of State’s title application form TR-11L also treats half-brothers and half-sisters as qualifying relatives for exemption purposes.

Common family transfers in Michigan, therefore, include spouses, parents and children, siblings, stepparents, stepchildren, grandparents, grandchildren, guardians, and several in-law relationships. Transfers outside those categories can still be completed through the ordinary title process, but the exemption from use tax does not apply unless the relationship falls within the categories recognized by Michigan law or Treasury guidance.

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

Step 1 — Confirm that the Transfer Qualifies for Michigan’s Family Tax Exemption
Michigan does not require a separate “gift title” process for ordinary family vehicle transfers. Instead, the transaction is treated under the same title-transfer rules that apply to a private transfer, and the tax result depends on the parties' relationship. The Secretary of State’s buying, selling, or leasing guidance states that the same private-sale conditions apply when a vehicle is gifted by a family member.

Step 2 — Review the Existing Title Carefully
The transferor should confirm that the original title is available, that the VIN on the title matches the vehicle, and that all titled owners sign if more than one owner is listed. Michigan’s ownership guidance also states that the seller must complete the odometer statement and that changes such as crossed-out names invalidate the title.

Step 3 — Complete the Assignment on the Title
The owner must endorse the assignment and deliver the title to the transferee when the vehicle is delivered, as required by MCL 257.233. For a family gift, the transaction is still documented on the title, and the tax-exemption claim is supported through the title application and the relationship information requested by the state.

Step 4 — Address Plate Handling Before the Transfer is Finalized
Michigan generally requires the seller to remove the plate before the buyer takes possession. However, the Secretary of State states in its ownership guidance that the plate may remain on the vehicle if ownership is being transferred to an immediate family member. The state’s plate transfer service also provides a reduced $10 plate transfer fee for a vehicle purchased from an immediate family member.

Step 5 — Submit the Title Transfer
The recipient must transfer the title within 15 days after the transfer date to avoid a late fee, using the Secretary of State’s title transfer service. If registration is requested at the same time, proof of valid Michigan No-Fault insurance for the vehicle is required.

Step 6 — Apply for Title and Registration
The transferee may complete the transaction at a Secretary of State office, and some eligible transactions may also be completed online. If the transaction is submitted in an office, the Secretary of State requires the original assigned title, payment of the title fee and any registration fees, and the identification and insurance documents required for registration.

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

Step 1 — Determine Whether the Sale Qualifies for a Family Exemption from Use Tax
A family sale is not automatically taxable in Michigan. If the buyer and seller fall within a qualifying relationship recognized by MCL 205.93 and the related Treasury guidance, the transfer can be exempt from use tax even though money changes hands.

Step 2 — Complete the Title Assignment with Sale Information
The seller must provide the original title, complete the seller information, sign the title, and complete the odometer statement. The mileage entered on the title must match the odometer reading shown on the vehicle, as specified in the Secretary of State’s ownership guidance.

Step 3 — Prepare the Tax-Exemption Claim if the Relationship Qualifies
Michigan’s TR-11L Application for Michigan Vehicle Title includes the claim for tax exemption and specifically identifies the relationships recognized for exemption purposes. Treasury may require supporting documentation proving the relationship.

Step 4 — Handle Any Lien Before Filing the New Title Application
If the title reflects an unreleased lien, the title record must be cleared or the lender's documentation provided before the transfer can be completed properly. The Secretary of State’s title transfer service states that a paper Michigan title requires lien termination or a letter of authorization from the lienholder approving the transfer with the title application.

Step 5 — Transfer Plates or Apply for a New Registration
The buyer must either apply for a new plate and registration or transfer an existing plate, and the proper tag and plate must be placed on the vehicle once issued. The state’s plate transfer fee is $10 for a vehicle purchased from an immediate family member.

Step 6 — File the Transfer On Time
Michigan requires the buyer or transferee to transfer the title within 15 days. A $15 late fee applies if the title is transferred after that period.

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

The Secretary of State’s routine title-transfer instructions list the assigned original title, fees, identification, and insurance requirements, but they do not list notarization as a standard requirement for an ordinary family title transfer in Michigan.

Required for All Transfers

• Original Michigan certificate of title — The original title, not a photocopy, is the primary ownership document and must be properly completed and signed by the titled owner or owners, as stated in the Secretary of State’s ownership guidance.
• Completed title assignment — The assignment must include the seller’s signature, buyer information, and the odometer statement. Michigan law requires delivery of the assigned title to the transferee at the time the vehicle is delivered under MCL 257.233.
• Proof of identity — The Secretary of State requires a valid Michigan driver’s license or state ID for title-transfer processing through the state’s title transfer service.
• Proof of Michigan No-Fault insurance — If the vehicle will be registered at the same time, proof of valid insurance is required, as described in the state’s vehicle title services page.

Additional Documents for Sale Transfers

• Purchase price information on the title record — Michigan title transfer processing uses the title and related application data to determine fees and tax treatment. The state’s TR-11L title application includes use-tax return and exemption fields for the transaction.
• Relationship documentation if claiming exemption — Treasury may request birth certificates, marriage licenses, guardianship papers, or similar records to support a relative-transfer exemption, as described in the Department of Treasury’s relative-transfer guidance.

Documents Required in Specific Circumstances

• Application for Michigan Vehicle Title (Form TR-11L) — This is the state title application form used when title information and the tax-exemption claim must be documented in the application record, and it contains the transfer-between-relatives exemption language on the form itself in Form TR-11L.
• Appointment of Agent (Form TR-128) — If an owner cannot appear for a standard office transaction, the Secretary of State permits an agent in some circumstances using Form TR-128.
• Duplicate title materials — If the original title has been lost, a replacement may be needed before transfer, using the Secretary of State’s duplicate title process.
• Lien termination or lender authorization — If the vehicle is still encumbered, the transfer may require lien release evidence or lender authorization through the state’s title transfer service.

How To Transfer a Car Title to a Family Member Online in Michigan

Michigan offers a fully online title transfer option for some transactions. According to the Secretary of State, both the buyer and seller must have a valid Michigan driver’s license or state ID, the vehicle must have a current Michigan paper title, the vehicle must be a car, minivan, SUV, motorcycle, pickup, or van, the transfer must be from one individual seller to one individual buyer, and the vehicle cannot be financed by the buyer.

A standard family transfer cannot be completed online if the title is electronic rather than paper, if there are multiple sellers or multiple buyers, if the buyer is financing the vehicle, or if the vehicle falls outside the eligible vehicle types. Additional eligibility checks are also performed during the online transaction.

For an eligible online transfer, the parties still need the signed title, the seller’s signature, the buyer’s signature, the odometer disclosure statement, and any required loan provider statement. Proof of Michigan No-Fault insurance is also required to register the vehicle, and the Secretary of State states that an online title transfer can take up to three business days for approval through the state’s online title transfer program.

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

Michigan’s principal title-transfer charges are fixed by the Secretary of State, while registration charges vary by vehicle and plate circumstances.

Michigan collects 6% tax on a taxable title transfer, but a qualifying family transfer is exempt from use tax under MCL 205.93. A transfer that does not fall within an exempt family relationship remains taxable.

Contact Information for Assistance

Michigan Department of State
430 W. Allegan St., Richard H. Austin Building - 4th Floor, Lansing, MI 48918
Phone: (888) 767-6424
Official Website: Michigan Department of State