How to Sell an Inherited Car in Georgia (Step-by-Step Legal Guide)

Inheriting a car after the loss of a family member is a bittersweet experience. On one hand, the vehicle may hold sentimental value — memories of road trips, school drop-offs, or Sunday drives. On the other hand, you now have a legal and logistical task on your hands: transferring the title and deciding whether to keep, sell, or dispose of the vehicle.

If you're in Alpharetta and you've inherited a car, Georgia law provides specific pathways for transferring ownership from a deceased person to an heir. The process depends on whether the estate goes through probate, whether there's a will, and the value of the estate. This step-by-step guide walks you through the legal requirements, the forms you'll need, and the practical steps for selling an inherited car in Georgia.

Step 1: Determine Whether Probate Is Required

Probate is the legal process of administering a deceased person's estate — paying debts, distributing assets, and transferring property. Whether you need to go through probate to sell an inherited car depends on the size of the estate and how the deceased person's assets were titled.

When Probate Is Required

If the deceased person's estate includes significant assets — real estate, bank accounts, investments — and the total value exceeds Georgia's small estate threshold, a formal probate proceeding is typically required. The probate court appoints an executor (if there's a will) or an administrator (if there isn't), who has the legal authority to transfer or sell the deceased person's property, including vehicles.

In this case, you can't sell the car until the probate court has appointed the executor or administrator and granted them authority to act. Once appointed, the executor can sign the title on behalf of the estate.

When Probate May Not Be Required

Georgia offers a Small Estate Affidavit process for estates that meet certain criteria. If the deceased person's estate is small enough — typically when the only asset is a vehicle or the total estate value is modest — you may be able to transfer the car without a full probate proceeding.

For vehicles specifically, Georgia provides Form T-20 (Affidavit of Inheritance to a Motor Vehicle), which allows an heir to claim a vehicle without going through full probate, as long as no executor or administrator has been appointed for the estate. This is the most common path for families who are inheriting a car and don't need to probate a larger estate.

Step 2: Use Form T-20 for Vehicle-Specific Inheritance

Form T-20 is Georgia's streamlined process for transferring a vehicle from a deceased owner to an heir. It's designed for situations where the vehicle is the primary asset being transferred and formal probate isn't necessary.

Who Can Use Form T-20?

Form T-20 can be used when:

The deceased person owned the vehicle (their name is on the title)
No executor or administrator has been appointed for the estate
You are the legal heir (spouse, child, parent, sibling, or other lawful heir)
There is no will, OR the will doesn't specifically require probate for the vehicle

If an executor or administrator HAS been appointed, they should use the probate process and sign the title as the estate's representative instead of using Form T-20.

What Form T-20 Requires

To complete Form T-20, you'll need:

The deceased owner's name as it appears on the title
The heir's name and relationship to the deceased
The vehicle information (year, make, model, VIN)
A statement that no executor or administrator has been appointed
A statement that the vehicle is being transferred to the named heir
The heir's signature, notarized

You'll submit Form T-20 along with the original title (if available), a death certificate, and the applicable title fee to your local county tag office. In Alpharetta, that's the Fulton County tag office. If you live in the northern part of Alpharetta near the Forsyth County line, you may use the Forsyth County tag office.

What If the Title Is Missing?

If the deceased person's title can't be found, you'll need to request a replacement title from the Georgia DDS. You can do this online or at the tag office. There's a fee (currently $8 for a replacement title), and you'll need the vehicle's VIN and your identification. Once the replacement title is issued, you can proceed with Form T-20.

Step 3: Transfer the Title to Your Name

Once you've completed Form T-20 (or the probate court has appointed an executor who signs the title), the next step is to get a new title issued in your name.

Documents You'll Need

Bring the following to the tag office:

Form T-20 (Affidavit of Inheritance) — completed and notarized, OR the original title signed by the executor/administrator
Death certificate of the deceased owner (a certified copy)
Form T-11 (Application for Title) — completed with your information as the new owner
Valid Georgia driver's license or state ID
Title fee (currently $18 in Georgia)
Original title if available (if not, request a replacement)

The tag office processes the paperwork and issues a new title in your name. This typically arrives by mail within 7–14 business days.

Registering the Vehicle

If you plan to keep and drive the car, you'll also need to register it in your name. That requires:

Georgia driver's license showing your current address
Proof of insurance
Form MV-1 (Title/Tag Application)
Registration fee and any applicable taxes

If you plan to sell the car immediately, you may not need to register it — but you DO need the title in your name before you can legally sell it. Learn how our buying process works to see what documents we need when you sell to us.

Step 4: Decide Whether to Keep or Sell

Once the title is in your name, you have a decision to make: keep the car or sell it.

Considerations for Keeping the Car

Do you need a vehicle? If the inherited car is reliable and fits your needs, keeping it may save you from buying a replacement.
Is the car insured and registered? You'll need to add it to your insurance policy and pay registration fees.
Is the car in good condition? Have a mechanic inspect it before you commit to driving it regularly, especially if it sat unused for months before the owner's passing.

Considerations for Selling

Is the car older, high-mileage, or in poor condition? Selling may be more practical than investing in repairs.
Do you already have a vehicle? If you don't need a second car, selling puts cash in your pocket.
Is the car a specialty vehicle (classic car, truck, luxury vehicle) that may have significant value? Get it appraised before selling.
Does the estate need liquidity? If the estate has debts or expenses, selling the car can help cover costs.

For many Alpharetta families, selling an inherited car to a cash buyer is the fastest, simplest path — especially if the car is older or needs work. Get a free quote for your inherited car and see what it's worth.

Step 5: Sell the Car

Once the title is in your name, selling an inherited car is the same as selling any other car you own.

Selling to a Private Buyer

You can list the car on classifieds or marketplace platforms. Be honest about the car's condition, take clear photos, and have the title ready. Private sales typically get the highest price but take the longest and involve the most hassle — test drives, negotiations, and buyer financing.

Selling to a Dealership

You can trade in or sell the car to a dealership. This is faster than a private sale but usually results in a lower offer, as the dealer needs to profit on the resale.

Selling to a Cash Buyer

A cash buyer offers speed and simplicity. You describe the car, receive a quote, and schedule pickup. The buyer handles towing and pays you on the spot. For inherited cars that are older, need repairs, or have been sitting unused, a cash buyer is often the best option. See what types of vehicles we buy — we purchase cars in any condition, running or not.

Tax Implications of Selling an Inherited Car

Georgia Ad Valorem Tax

When you transfer a vehicle title in Georgia, you may owe the Title Ad Valorem Tax (TAVT) — currently 7% of the vehicle's fair market value. However, transfers to heirs through inheritance are generally exempt from TAVT. When you submit Form T-20 and the death certificate, the tag office processes the transfer without charging TAVT.

If you then sell the car, the buyer (not you) is responsible for any TAVT due on the purchase price when they title and register the car in their name.

Federal Estate Tax

For 2024, the federal estate tax exemption is $13.61 million per individual. This means the vast majority of estates — including the value of an inherited car — owe no federal estate tax. Unless the deceased person's total estate is worth more than $13.61 million, you won't owe federal estate tax on the inherited vehicle.

Income Tax on the Sale

When you sell an inherited car, you may wonder if you owe income tax on the proceeds. Generally, the sale of a personal-use vehicle is not a taxable event for income tax purposes. Cars are personal property, not investment assets, and they almost always depreciate. Even if you sell the car for more than you expected, you're unlikely to owe income tax.

However, there's a concept called "step-up in basis" that's worth understanding. When you inherit property, your tax basis is "stepped up" to the fair market value of the property at the date of the deceased person's death. This means if you sell the car for roughly what it was worth at the time of inheritance, there's no taxable gain. If you sell it for significantly more (unusual for a car), you might have a small taxable gain — but this is rare.

For specific tax questions, consult a CPA or tax attorney, especially if the estate is large or complex.

Common Complications and How to Handle Them

The Deceased Person Had a Lien on the Car

If the car was financed and the loan wasn't paid off, the lienholder still has a claim on the vehicle. You'll need to either pay off the loan to get the lien released or work with the lienholder to assume or refinance the loan. You can't sell a car with an active lien until the lien is satisfied.

Multiple Heirs

If multiple family members are entitled to inherit the car (for example, the deceased person's children share the estate equally), you'll need to agree on who takes ownership or whether to sell the car and split the proceeds. Form T-20 can name multiple heirs, but it's cleaner to have one person take the title and handle the sale, with a written agreement about how proceeds are divided.

Out-of-State Title

If the deceased person lived in another state and the car has an out-of-state title, the process is more complex. You may need to work with that state's DMV to transfer the title, or apply for a Georgia title using the out-of-state title and inheritance documents. The Fulton County tag office can guide you through this process, or you can contact our team for help navigating an out-of-state inheritance.

The Car Was Abandoned or Unused for Years

Inherited cars that have sat unused for years may not run, may have dead batteries, flat tires, or rodent damage. These cars are still sellable — cash buyers purchase non-running vehicles regularly. Don't assume a car that doesn't start is worthless; its scrap value and salvageable parts may still be worth several hundred dollars.

A Final Note

Selling an inherited car can feel like one more task in an already difficult time. The legal process exists to protect heirs and ensure proper transfer of ownership, but it doesn't have to be overwhelming. Take it one step at a time: determine if probate is needed, complete Form T-20, transfer the title, and then decide whether to keep or sell.

If you're ready to sell and want to skip the hassle of a private sale, see how our cash-for-cars process works. We handle the paperwork, tow the car at no cost, and pay you cash on the spot — so you can focus on what matters most.