How to Sell a Boat in Alabama (Step by Step)

Selling a boat in Alabama changed recently. For decades Alabama did not title boats at all, but a new rule took effect in 2024 that brings some vessels into the titling system. Whether your boat needs a title or just a registration transfer depends on when it was built, so that is the first thing to sort out.

Does Your Boat Need a Title in Alabama?

No title is required for a boat constructed before 2024. Starting January 1, 2024, vessels constructed after December 31, 2023, and any vessel for which Alabama is the state of principal use on or after January 1, 2024, must be titled. So an older boat changing hands between Alabama residents is typically a registration-only transfer, while a newer vessel may have a title that needs to be signed over. Vessel titling in Alabama is handled by the Department of Revenue, and registration is administered by the Alabama Law Enforcement Agency through its Marine Patrol Division.

Step 1: Gather What the Buyer Needs

For a used boat, the buyer needs the last registration certificate and a bill of sale to register the vessel in their name. If the boat is one of the newer vessels that requires a title, the title signed over by you is the proof of ownership. Locate these documents before you list the boat, and apply for a duplicate if anything is missing.

Step 2: Complete a Bill of Sale

A signed Alabama boat bill of sale is accepted as proof of ownership and should record the hull identification number, the make, year, and length of the vessel, the motor details, any trailer or equipment included, the agreed sale price, the as-is condition, and the names and signatures of both parties. For an older, untitled boat, the bill of sale paired with the last registration certificate is what carries the sale.

Step 3: Sign the Title Over If the Boat Has One

If the vessel was built after 2023 and has an Alabama title, sign it in the designated seller fields and complete every required field. Leave nothing blank and make no cross-outs. A clean title keeps the buyer's transfer simple.

Step 4: Collect Payment Safely

Meet in a safe, public location. Verify a cashier's check with the issuing bank using a number you look up yourself before signing anything over. For higher-value boats, a confirmed wire transfer is safest. Do not release the boat until the payment is genuinely in your hands.

Step 5: What the Buyer Does Next

If the boat is currently registered in Alabama, the buyer must apply to transfer the registration within 15 days. The buyer takes the last registration certificate, the bill of sale, and the title if applicable to complete the transfer through the probate office or license commissioner in their county, which processes registrations for ALEA. Letting the buyer know about the 15-day window keeps the process moving.

Don't Forget the Trailer

A trailer transfers separately from the boat in Alabama. If a trailer is part of the deal, handle its paperwork on its own and the buyer registers it separately. Make sure everything is ready before money changes hands.

If You Can't Be There for the Sale

If someone else needs to handle the sale for you, a power of attorney authorizes that person to sign the bill of sale and any title on your behalf. Execute it before the sale so there is no delay.

The Full Checklist

Determined whether the boat needs a title based on its build year. Last registration certificate located. Title signed over if the vessel requires one. Bill of sale completed with the vessel, motor, and sale price. Payment confirmed before releasing the boat. Buyer informed of the 15-day registration transfer window.

The one thing that trips up Alabama boat sellers now is the 2024 titling change. Check the build year, hand the buyer the right combination of registration, bill of sale, and title, and the rest of the sale is straightforward.

Selling a Boat in a Different State?

Boat rules vary widely from state to state. If you're selling elsewhere, see our guides for Missouri, Florida, and Texas.