How to Buy a Used Car in Japan

According to "Japan Today," the Japanese tend to buy new cars after five to seven years. As such, it is easy to find relatively new cars at discounted prices. However, if you aren't a native, buying a used car can be a bit more of a hassle than buying new, especially if you don't know where to look or what to expect. Fortunately, there are several ways to make finding and buying a used car much easier, and you will maximize your value in the process.

Instructions

1

Determine what kind of car is right for you. Consider the spatial limitations of living in Japan. Make sure you will have a parking space. Keep in mind that you will have to pay a weight tax, so you may want to opt for something compact rather than something with extra room.

2

Find a dealer. Although it is possible to buy from individuals, there are several reasons to avoid doing so. Not only will you have to fill out and submit your own paperwork, but you also won't get a warranty, and you probably won't get as good a deal as you would from a dealer. According to "Japan Window," the dealers with the best prices are often located near U.S. military bases.

3

Shop around. Go to at least three dealers before you decide to buy. You want to make sure you are getting the best deal. As "Japan Window" notes, the price of a car can vary considerably depending on where it is located in Japan. William Bonds of "Japan Today" also suggests inspecting a car's maintenance history because the particularly meticulous nature of Japanese service records can serve as a good indicator of the car's quality.

4

When you have decided on a car, you will have to pay various fees, including a mandatory maintenance fee called Sha'ken. This fee must be paid every two years for used cars, and it can cost anywhere from 120,000 - 160,000 yen for a small car. You will also have to pay an acquisition tax and a weight tax upon purchase, and you will have to pay an annual tax every May. Finally, you will have to buy insurance. There are two types of insurance: mandatory (Kyosei Hoken), which only covers the car, and optional (Jibaiseki Hoken), which covers injuries, damage, theft, and vandalism.

5

Either you or the dealer will have to go to the Inspection Registration Office (Kensa Toroku Jimusho) to submit the re-registration (Meigi Henkou) and owner's cancellation (Massho Toroku) papers. The dealer will often take care of submitting all of this paperwork, as well as submitting the fees to the proper offices.