How to Transfer a Car Title When Owner Is Deceased in Texas

Transferring a car title after the owner’s death in Texas is crucial yet complex. Understanding the steps involved ensures a smooth transition of ownership, helping to avoid legal issues and potential delays.

This guide simplifies the process for you.

Scenarios for Transferring a Vehicle Title in Texas After Death

Understanding the specific scenarios for transferring a vehicle title is essential to streamline the process.

When the Deceased Had a Will

If the deceased left a will, the executor is responsible for managing the estate, including transferring the vehicle title after obtaining probate court approval.

When the Deceased Did Not Have a Will

Without a will, the court appoints an administrator to manage the estate. The vehicle title transfer follows Texas intestate succession laws, ensuring rightful heirs receive ownership.

When Probate is Required

Probate is necessary when the estate’s value exceeds $75,000 or involves complex assets. The court oversees the transfer of the vehicle title as part of the estate distribution.

When Probate is Not Required

For smaller estates under $75,000 or those with a Transfer on Death Deed, probate can be bypassed, simplifying the vehicle title transfer to the designated beneficiary or heir.

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What Documents Are Needed to Transfer a Car Title in Texas?

Gathering the required documents is crucial to ensure a smooth and legal transfer of a car title after the owner’s death. Having everything in order helps avoid delays and complications.

• Death certificate of the vehicle owner
• Original vehicle title
• Valid ID of the applicant (e.g., driver’s license, state ID, or passport)
• Application for Texas Title and/or Registration (Form 130-U)
• Proof of a current Texas vehicle inspection
• Proof of paid loan or lien release (if applicable)
• Odometer disclosure statement (if applicable)
• Affidavit of Heirship (Form VTR-262) (for non-probate transfers)
• Letters Testamentary or Administration (for probated estates)
• Affidavit of Motor Vehicle Gift Transfer (Form 14-317) (if the transfer qualifies as a gift)

How to Transfer a Car Title When the Owner is Deceased in Texas

Navigating the title transfer process after a loved one’s passing can be challenging. Here’s a step-by-step guide to simplify it for you.

If there is a Will and Probate is Required

• Executor initiates probate process.
• Gather required documents: death certificate, original vehicle title, Letters Testamentary, Form 130-U.
• Executor completes Form 130-U.
• Submit documents to county tax assessor-collector’s office.
• Pay title transfer fee.
• Receive new title in beneficiary’s name.

If There is a Will but No Probate is Required

• Gather documents: death certificate, original vehicle title, Form VTR-262 (Affidavit of Heirship), Form 130-U.
• Complete and notarize Form VTR-262.
• Fill out Form 130-U.
• Submit all documents to county tax assessor-collector’s office.
• Pay required fees.
• Receive new title in heir’s name.
• Note: In Texas, if probate is not required, you may need to use a “Muniment of Title” to transfer the vehicle title directly without a formal probate process.

If There is No Will (Intestate Succession)

• Gather documents: death certificate, original vehicle title, Form VTR-262, Form 130-U.
• Complete and notarize Form VTR-262 to establish heirs.
• Fill out Form 130-U.
• Submit all documents to county tax assessor-collector’s office.
• Pay required fees.
• Receive new title in heir’s name.

Read More: What is a Title Bond?

Special Considerations for Transferring a Vehicle Title

Certain situations require extra steps for a smooth vehicle title transfer. Here’s what you need to know:

How to Transfer a Vehicle with an Outstanding Loan

• Notify the Lender
  Contact the lender to inform them of the owner’s death.
• Determine Loan Balance
  Ask the lender for the remaining loan balance and repayment options.
• Repay the Loan
  Arrange to pay off the outstanding loan balance.
• Obtain Lien Release
  Request a lien release document from the lender once the loan is paid off.
• Include Lien Release in Title Transfer
  Submit the lien release and other required documents to the county tax assessor-collector’s office.

How to Handle Gift Tax for Inherited Vehicles

• Understand Gift Tax Applicability
  Determine if the vehicle transfer qualifies as a gift (e.g., between family members).
• Complete Gift Transfer Form
  Fill out Form 14-317 (Affidavit of Motor Vehicle Gift Transfer).
• Notarize the Form
  Have the form notarized or signed before a county office representative.
• Submit Gift Transfer Documentation
  Include the notarized gift transfer form with other required documents when submitting to the county tax assessor-collector’s office.

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