Buying/Selling a Car with a Bonded Title?

I have an opportunity to pick up an '06 Mustang GT with 46k miles on it for a good price. Has some nice extras on it that I would love to swap over to my car and then resell the car. Only catch is that the title has some weird markings on it and it's from out of state so basically I would have to file for a Bonded Title or Ownership In Doubt. I've talked to the DOL about the process and am comfortable going through it, the only bummer about the whole thing is that it takes 3 fucking years to get a clear title.

The DOL said it's perfectly legal to transfer ownership of the car while it's in the Ownership In Doubt stage or with a Bonded title. If someone were to buy the car during the In Doubt stage, they would have to wait out the remaining time of the three years before they get the new title.

Obviously a bank is not going to loan on a car like this, so what are the chances of someone having $10,000 or so cash to buy the car? I'm sure there are plenty of people out there who don't care about the title situation, but it's likely that they aren't the same people who have $10,000 cash lol.

IMHO, little to no chance while in the bonded time period.

Phil said:

IMHO, little to no chance while in the bonded time period.

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Kinda what I was thinking. It's nearly cheap enough to be completely parted and get money back, but I hate to do that to such a nice car. Oh well

What is a bonded title? Is there a dispute about ownership?

05stroker said:

What is a bonded title? Is there a dispute about ownership?

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The car was acquired through some estate sale or something like that. Person with current possession never got a bill of sale or anything, kind of sketchy. He has the title with him but there was white out on the back where the release of ownership signature is at. So in short, legally there is no specific owner as the guy with the name on he title disappeared.

Ultimately it seems as there are too many red flags to make it worth it unfortunately.

The problem with that kind of title is that if the original owner is contacted or comes forward you or the person who buys the car will lose the car. If you buy it for 5k (hypothetically) and the titled owner claims ownership, you lose the car and your money. You have no recourse. Ive already been down this road.

The problem isn't finding someone who has the cash and doesn't care about the title situation. It is the off chance of the original owner coming to claim the car that needs to be considered. The 3 year wait is basically a layaway for the original owner.

When I did a bonded title years ago the wait was only 1 yr.

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Phil said:

When I did a bonded title years ago the wait was only 1 yr.

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Different states have different waiting times, Texas is 3 years.

Phil said:

When I did a bonded title years ago the wait was only 1 yr.

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Was the process worth it in your opinion? Picking it up tomorrow, as parts for now unless there is a more feasible way to sell as whole.

Speedboosted said:

Was the process worth it in your opinion? Picking it up tomorrow, as parts for now unless there is a more feasible way to sell as whole.

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For me it was, but I played with the car long enough to be pass the bonded time.

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