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You may have bought yourself a heap of trouble. The seller has a legal obligation to provide you with a merchantable title at the time of the sale. The buyer should NEVER fork over a cent without first having that title in their hands. You can never own, title, license or insure a vehicle that you have no title for. Go back to the seller and demand a title or return the car and get your money back. A bill of sale without a title is not worth the paper it is written on.
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You and the seller should go to your DMV to see what is needed. They'll have a better answer. Since the seller never titled the car in his name, he may not be allowed transfer ownership to you. The paperwork says he bought the car from the auction, not you.
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I just bought a car and I’m not sure how to get it registered?