Buying a car privately – bill of sale, as-is condition, and vehicle-related debts

Short answer: When a private individual buys a car from another private individual, the Sale of Goods Act generally applies, not the Consumer Sales Act. Since the Sale of Goods Act can largely be waived by agreement, a clear written purchase agreement is particularly important. Furthermore, the buyer should check the car's identity, owner, condition, inspection status, and vehicle-related debts before making payment and transferring ownership.

Which law applies when buying a car privately?

For sales between two private individuals, the starting point is the Sale of Goods Act (1990:931). The law is dispositive, meaning the parties can agree on other terms in many areas. This makes the actual purchase agreement central: things like price, condition, equipment, known defects, delivery, and liability should be written down.

What should a car purchase agreement contain?

• the buyer’s and seller’s full details
• registration number, chassis number/VIN, and car model
• mileage at the time of transfer
• purchase price, payment method, and any deposit
• date and time of handover
• what equipment, keys, wheels, and documentation are included
• known defects, damages, and previous information about the car
• any warranties or special commitments
• whether the car is sold "as is"
• signatures from both parties

What does "as is" mean?

This phrasing does not mean the seller is automatically free from all liability. According to Section 19 of the Sale of Goods Act, the car may still be defective despite such a reservation if it does not conform to information provided by the seller, if the seller has failed to disclose a significant circumstance that the seller must be assumed to have known and which the buyer could reasonably expect to be informed of, or if the car is in significantly worse condition than the buyer could reasonably have expected given the price and other circumstances.

The buyer’s duty of inspection is important

According to Section 20 of the Sale of Goods Act, the buyer generally cannot claim defects that the buyer was aware of. If the buyer has inspected the car – or failed to do so without a justifiable reason after being prompted by the seller – the buyer may also lose the opportunity to claim defects that should have been noticed during the inspection.

Check, among other things

• engine, gearbox, brakes, and warning lights
• tires, body, rust, and visible damage
• service logbook and receipts
• inspection history and current inspection status
• mileage and whether the history seems reasonable
• that the registration number and VIN match the car and documents
• that the seller is truly the registered vehicle owner

Check vehicle-related debts before the purchase

The Swedish Transport Agency recommends that the buyer check for any vehicle-related debts. This may include vehicle tax, congestion tax, parking fines, and infrastructure charges. The previous owner may still be liable for payment, but under certain conditions, the vehicle can be seized for unpaid vehicle-related debts. Therefore, the buyer and seller should check this together closely in connection with the transaction.

The Swedish Transport Agency also emphasizes that the information does not always provide a fully updated picture, as some charges are registered with a delay. A purchase agreement can therefore advantageously contain an explicit statement from the seller regarding known vehicle-related debts and what should apply if older debts are discovered after the purchase.

Change of ownership and payment

Check the seller’s identity and verify that they are the registered owner before completing the transaction. Carry out the change of ownership according to the Swedish Transport Agency’s procedures and save documentation of the payment. For larger amounts, it is wise to plan the order in which payment, the contract, the handover of keys, and the change of ownership should take place, so that both parties know when the risk and control of the car pass.

Is there a 14-day right of withdrawal for private car purchases?

There is no general statutory 14-day right of withdrawal simply because a private individual buys a car from another private individual. If the parties wish to give the buyer a specific right to cancel the purchase, this must be clearly agreed upon.

Common mistakes in private car purchases

• writing only a simple receipt without details about condition and known defects
• trusting the phrase "as is" as if it removed all seller liability
• not test driving or inspecting the car
• not checking who the registered owner is
• missing vehicle-related debts and use prohibitions
• not writing verbal promises regarding service, defects, or equipment into the agreement
• not documenting mileage and included accessories

See the Mallbutiken purchase agreement for cars between private individuals.

FAQ about private car purchases

Can the buyer complain about a defect after the purchase?

It may be possible if the car is defective according to the agreement or the Sale of Goods Act. The assessment is affected by, among other things, what the seller stated, what the buyer knew or should have discovered, and what the parties actually agreed upon.

Is a verbal car purchase valid?

In many cases, a purchase can be valid even without a long written contract, but the evidentiary situation becomes significantly worse. A written agreement reduces uncertainty about what the parties agreed upon.

What do I do if the car has old debts?

Contact the Swedish Transport Agency and, if necessary, the Swedish Enforcement Authority (Kronofogden) for current information. Check the debt situation before the purchase and regulate the seller’s statements about debts in the contract.

Is registration of a change of ownership the same thing as a purchase agreement?

No. The change of ownership in the road traffic register and the civil law agreement serve different functions. A written purchase agreement documents what the parties have agreed upon regarding the transaction itself.

Official sources: The Sale of Goods Act (1990:931), particularly Sections 19–20, and the Swedish Transport Agency’s guidance for vehicle purchases and vehicle-related debts.

This article contains general information and does not replace legal advice in individual cases.