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Hong Kong - Car Purchase and Sale

Buying a Car
You should look for cars at supermarket bulletin boards, international schools (if it’s close to the end of the school year), clubs, and in the South China Morning Post or Hong Kong Standard. You can also try Expat Motor Services.  Ask for David Neil at 9674-7454.  I don’t personally know anyone who has bought a brand new car as they are outrageously expensive. You would be required to pay for the car plus a first registration fee, which is 40-60% of the value of the car. So in total you would pay 150% of the value of the car.

In order to own a car, you must have Third Party Risk Insurance before the car can be transferred to you.  Call the Automobile Association at 2739-5273 or ask at your bank to see if they offer insurance (I know HSBC does.)

Once you have found your second hand car and are determined to buy it, you should check to see that there are no outstanding fines on the vehicle as you would acquire these fines.  Apply to a licensing office for a Certificate of Clearance which is available free of charge.  It is valid for 72 hours and shows that there are no outstanding penalties. 

  • Hong Kong Licensing Office
    Transport Department
    3/F, United Centre
    95 Queensway, Admiralty
    Hong Kong
    China SAR
    Customer Service Hotline: + 852 2804 2600

To make a transfer of ownership, the form TD 25 must be submitted to the Transport Department Licensing Department within 72 hours of the transfer. (This form can be picked up at the Licensing Dept. or at Post Offices.) The law states that the new owner should deliver the original of the notice and the former owner must deliver the duplicate to show that both parties agree with the transfer.  It’s best to go with the previous owner to make sure the forms are in correctly, otherwise the transfer is not recognized. Make sure you take proof that you have insurance.

While you at at the Transport Department you should fill in form TD 150 to change the information on the car’s registration. The car’s original registration document must be brought in for the change.

For other information or more details, visit the Transport Dept. website at:

**You should be aware that you will have to have a vehicle examination yearly and have the car license renewed yearly.  These are expensive, so add the yearly expense in when buying a car.

Selling a Car
Selling a car can be difficult since there are a lot of second hand, inexpensive cars on the market.  In general, the Chinese who can afford a car want a new car. There are not second hand car lots around where you can simply sell your car off and be done with it, although you can see if Royal Motor Megastore, located at the former Kai Tak Airport, will buy your car (call 2382-6800)  I know a number of people who have been given  a car because the owner couldn't sell it and didn't have a parking space for the car, or was leaving the country immediately! 

The best way to sell a car is to put up advertisements in the building that you live, as well as at the supermarkets nearby (Park N Shop and Wellcome have bulletin boards for the public to advertise on).  You should include a picture of the car, the asking price, mileage, and pertinent details of the type of car, age, etc.  If you are selling your car in August, you might want to put up signs at the international schools where new teachers are coming in and may be looking to buy.   Some people opt to place an ad in the South China Morning Post, but most people shop for second hand cars at the supermarket bulletin boards.  It would be wise to put your ad up at a number of locations where ex-pats normally shop. 

Alternately, use the Paguro Marketplace to advertise your car.

In order to transfer ownership of your car, you are required
to notify the Transport Department Licensivng office within 72 hours of the change of ownership of a vehicle.  Do not hand over the vehicle registration documents to the new owner until the transfer is acknowledged by the Transport Department.  It is best to go down to the Transport Department with the new owner and complete paper work down there, and then hand over the documentation.  There is a transfer fee that will have to be paid when signing over the car.  See "buying a car" for information of the documents you will have to fill out. 


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