For anyone interested in flipping cars as a side hustle but unsure of how many cars you can sell without a dealer’s license, check out the updated chart and resources we’ve compiled for 2024!
This information is accurate as of September 15, 2024. State laws regarding dealer licensing and car sales may change, so it’s important to double-check with your state’s DMV to ensure compliance. We’ve included direct DMV links for each state for your convenience.
This chart’s numbers is based on the yearly number of cars an individual can sell without having to obtain a dealers license. Keep in mind, some states impose additional rules, such as limitations on selling cars not registered to you, or restrictions on selling cars for profit. Be sure to review state-specific details and check the links provided for further clarification..
| States | Max # of Cars W/O Dealer License | DMV Link |
|---|---|---|
| Alabama | 4 | https://www.alea.gov/ |
| Alaska | 4 | https://dmv.alaska.gov/home/ |
| Arizona | 6 | https://azdot.gov/mvd |
| Arkansas | 4 | https://www.dfa.arkansas.gov/service/mydmv/ |
| California | 5 | https://www.dmv.ca.gov/portal/ |
| Colorado | 2 | https://dmv.colorado.gov/ |
| Connecticut | 0 (for profit sales, no limit for personal vehicles) | https://portal.ct.gov/dmv?language=en_US |
| Delaware | 4 | https://dmv.de.gov/ |
| Florida | 3 | https://www.flhsmv.gov/ |
| Georgia | 0 | https://dds.georgia.gov/ |
| Hawaii | 2 | https://www8.honolulu.gov/csd/vehicle/ |
| Idaho | 4 | https://itd.idaho.gov/itddmv/ |
| Illinois | 4 | https://www.ilsos.gov/ |
| Indiana | 11 | https://www.in.gov/bmv/ |
| Iowa | 4 | https://iowadot.gov/mvd |
| Kansas | 4 | https://www.ksrevenue.gov/dovindex.html |
| Kentucky | 0 (for profit sales, no limit for personal vehicles) | https://drive.ky.gov/Pages/index.aspx |
| Louisiana | 4 | https://www.expresslane.org/ |
| Maine | 4 | https://www.maine.gov/sos/bmv/ |
| Maryland | 2 | https://mva.maryland.gov/Pages/default.aspx |
| Massachusetts | 3 | https://www.mass.gov/orgs/massachusetts-registry-of-motor-vehicles |
| Michigan | 4 | https://www.dmvusa.com/statelink.php?id=346 |
| Minnesota | 4 | https://dps.mn.gov/divisions/dvs/Pages/drivers-license-information.aspx |
| Mississippi | 1 | https://www.ms.gov/dps/license_renewal |
| Missouri | 7 | https://dor.mo.gov/driver-license/ |
| Montana | 0 (no limit for personal sales, license required for profit) | https://mvdmt.gov/ |
| Nebraska | 7 | https://dmv.nebraska.gov/ |
| Nevada | 3 | https://dmv.nv.gov/ |
| New Hampshire | 4 | https://www.dmv.nh.gov/ |
| New Jersey | No strict limit, but selling many cars may trigger DMV scrutiny. | https://www.nj.gov/mvc/ |
| New Mexico | 4 | https://www.mvd.newmexico.gov/ |
| New York | 1 | https://dmv.ny.gov/ |
| North Carolina | 4 | https://www.ncdot.gov/dmv/offices-services/online/Pages/default.aspx |
| North Dakota | No strict limit, but a license is needed for businesses. | https://www.dot.nd.gov/ |
| Ohio | 5 | https://www.bmv.ohio.gov/ |
| Oklahoma | No strict limit, but a license is required for businesses. | https://oklahoma.gov/dps.html |
| Oregon | 5 | https://www.oregon.gov/odot/dmv/pages/index.aspx |
| Pennsylvania | 4 | https://www.dmv.pa.gov/Pages/default.aspx |
| Rhode Island | 4 | https://dmv.ri.gov/ |
| South Carolina | 5 | https://www.scdmvonline.com/ |
| South Dakota | 4 | https://dps.sd.gov/ |
| Tennessee | 5 | https://www.tn.gov/driver-services.html |
| Texas | 4 | https://www.txdmv.gov/ |
| Utah | 2 | https://dmv.utah.gov/ |
| Vermont | 11 | https://dmv.vermont.gov/ |
| Virginia | 4 | https://www.dmv.virginia.gov/ |
| Washington | 4 | https://dol.wa.gov/ |
| West Virginia | 5 | https://transportation.wv.gov/DMV/Pages/default.aspx |
| Wisconsin | 5 | https://wisconsindot.gov/Pages/online-srvcs/external/dmv.aspx |
| Wyoming | 2 | https://www.dot.state.wy.us/driverservices |
This data was not compiled from guesses, forums or any non-government website. This data was collected through either 1) state government website or 2) directly calling individual state dealer licensing.
Outlier Individual States:
Connecticut
Connecticut is notorious for its complexity regarding dealer licensing. According to state law, “Anyone found selling or repairing motor vehicles in Connecticut without a Connecticut Dealer License is committing a class B misdemeanor and is subject to arrest.” Unfortunately, it’s difficult to get an official confirmation on the exact maximum number of cars you can sell without a license. If you want to attempt to verify this, you can contact the state licensing department at (860) 263-5700 or (860) 263-5405.
Kentucky
Kentucky does not allow the sale of cars for profit without a dealer’s license. There’s no specific limit on the sale of personal vehicles, but zero cars can be sold with the intent to profit.
Maine
Maine’s four-car rule doesn’t apply to vehicles owned and registered for at least six months. So, you can still sell personal vehicles under different rules as long as they meet this condition.
Mississippi
Mississippi allows you to sell one car per year for profit without a dealer’s license. There’s no limit on the sale of personal vehicles, but to verify these rules, you can contact the Mississippi Dealers Registration office at (601) 923-7200.
Montana
You cannot sell a vehicle that isn’t registered in your name in Montana. However, the state doesn’t set a specific limit for personal vehicle sales without a dealer’s license.
New Jersey
New Jersey doesn’t have a hard-and-fast limit for car sales without a license. However, state employees made it clear that selling too many cars in a year can raise red flags. If you’re interested in checking this further, the New Jersey MVC can be reached at (609) 292-6500.
North Dakota
North Dakota doesn’t have a strict limit for selling cars, but if it’s your main source of income, you’ll need a license. For occasional hobbyists, the DMV is more lenient. You can contact North Dakota’s Dealer Registration office at 701-328-2725.
Oklahoma
In Oklahoma, you must have a license to buy and sell a car with the intent to profit, but there’s no specified limit for selling personal cars. The Oklahoma Dealer Registration number is (405) 521-3600.
Washington State
In Washington, you cannot sell cars not registered in your name without a dealer’s license.
Additional Information
As you can see in the chart and in the individual outlier state section, there is a lot of variation among states in regards to individuals buying and selling cars without a dealers license. Some states are extremely strict and do not allow you to sell any vehicles with the intent to profit without a dealers license.
Other states, like Indiana and Vermont have very seller-friendly rules. These two states allow you to sell up to eleven vehicles without having to register with the DMV.
Additional Rules
Some states impose extra conditions even within the car sales limit:
- For example, in Maine, while you can sell up to four cars per year, advertising three or more vehicles over 30 days requires you to get a dealer’s license.
- In Washington State, you cannot sell a vehicle that isn’t registered in your name, even if you haven’t hit the car sale limit.
“No Limit for Personal Vehicles”
As you can see many states do not have a limit for selling personal vehicles. However, don’t assume that if you live in one of these states you can sell five cars a month and the Department of Motor Vehicles will believe you when you tell them that they were all personal cars.
Conclusion
We hope this article has helped you understand the rules around selling cars without a dealer’s license in your state. Make sure to check the specific regulations provided through the DMV links for the most accurate and updated information.