A car is essential for living in Inaka.
Buses and trains run in some rural areas, but in most Inaka there is only few bus/ train every hour or so, and if you happen to miss one, you will lose a lot of time. In reality, most Japanese people drive their own cars.
If you are thinking of settling in rural Japan, you will probably consider purchasing a car. Today, we will explain the steps involved in purchasing a car, step by step.
Contents
What is the Purpose of Owning a Car?
When purchasing a car, the type and size of car to choose depends on the situation in which the car will be used, such as for commuting, leisure, or family use. For commuting, a compact car or hatchback that is fuel efficient and easy to drive is a good choice. If you have a large family, you need a SUV or minivan with a large interior space.
Incidentally, small cars, called “kei jidosha”, are commonly used in Japan.
Since kei cars are inexpensive and fuel-efficient, they are used as a means of daily transportation while reducing household and personal maintenance costs. We recently replaced our car with a kei car! They are cheaper to tax and take up less space, so in Japan, where even parking space in supermarkets is tight in many places, they are really easy to use.
Determine a Budget
In addition to the price of the car itself, the purchase of a car in Japan requires vehicle insurance, taxes, and maintenance costs. Running costs such as the rising cost of gasoline, regular maintenance, and parking should also be considered. In addition, there are periodic high costs associated with vehicle inspections, a system unique to Japan. A clear budget for these circumstances will make it easier to choose a car.
Select a Car Model
Once you have decided on your purpose and budget, the next step is to narrow down the car model. You can get an idea of the ideal car by gathering price quotes and word-of-mouth information about the car you want on the Internet, or by visiting a dealership to actually see the car. We also recommend that you take a test drive at the dealership to confirm the ease of driving and comfort. Compare different car models and choose the car that best suits your lifestyle.
Select New or Used Car
When purchasing a new car in Japan, it is common to buy from a dealer.
Used cars are often handled through various media such as the Internet and brick-and-mortar stores, but since their condition varies depending on the year and mileage, thorough research and confirmation are necessary. If you are not comfortable purchasing from one of the used car dealers that specialize in used cars sold online, we recommend that you look in the category of “Ninteichuko-sha 認定中古車” – Certified Pre Owned Cars- from authorized dealers. Because Ninteichuko-sha are consistently maintained according to the standards of each dealers, the same level of quality can be guaranteed at almost any dealer of the same brand throughout Japan.
Decide Where to Buy
There are several options for where to purchase a car.
- Dealers
- Specialty store
- Auction
- Private Seller
- Online Store
If you buy a new or Ninteichuko-sha from a dealer, you can be assured of high reliability and after-sales service. If you buy from a used car specialty store, auction, or private seller, it is important to check if they care after-sales service or the condition of the car thoroughly beforehand. It is also possible to purchase over the Internet, and online stores offer detailed information and reviews to help you make your choice.
Test Drive the Car
Test-driving a car is a very important part of the car selection process. Through test drives, you can get a feel for the ease of driving, comfort, and visibility. In many cases, dealers selling new cars have the same type of car for test drive as the model they are selling, so if there is a car you are interested in, we recommend that you test drive it at least once.
Purchase negotiation and Contract
Once you have selected a car, negotiate the price with the seller. For dealers, it may be possible to negotiate a discount. You will also confirm options and after-sales service, and ask them to offer you the best terms and conditions for you.
Once you are satisfied with the terms and conditions and have decided on the car you want to purchase, you sign a contract. When signing the contract, confirm and prepare the payment method, delivery date, and necessary documents (ID card, personal seal, etc.).
Payment
There are several ways to pay for a car in Japan, including a lump-sum cash payment, a loan, or a lease. While it is easy to make a lump-sum payment in cash, many people in Japan take out a car loan. If you choose to take out a loan, check the interest rate and repayment period, and make sure you have a repayment plan in place so that you can make reasonable payments.
Delivery and Receipt of Car
Once all procedures have been completed, it is time to take delivery of the car!! At the time of delivery, you will check the condition and operation of the car and receive the necessary documents (e.g., vehicle inspection certificate, warranty card, owner’s manual, etc.).
5 Important Tips to Own Your Car
車庫証明 Shakoshomei (Garage Certificate)
A Shakoshomei is a document that proves that you have a secured place to park your car. It is required to register a vehicle when purchasing a new or used car.
- For kei-cars, a garage certificate may not be required in some areas.
車検 Shaken (Vehicle inspections)
Shaken are conducted to ensure that a vehicle meets safety standards in accordance with Japanese law. It is performed on a regular basis, and a car that has not passed this inspection cannot be driven in Japan.
名義変更 Meigihenko (Changing the name of car owners)
Changing the name of a used vehicle is a necessary procedure when the ownership of a vehicle changes. The new owner registers the vehicle and reflects the name on the vehicle registration certificate.
自賠責保険 Jibaiseki-hoken (Liability insurance)
Jibaiseki-hoken insurance is compulsory insurance, required by law, and provides minimum coverage for the injuries or death of the other party in an accident.
任意保険 Nin-i-hoken (Voluntary insurance)
Nin-i-hoken insurance which covers your vehicle and your own injuries in the event of an accident, is not mandatory but provides more extensive coverage.
- Most drivers in Japan have Nin-i-hoken in addition to Jibaiseki-hoken.
Closing Tips
As I mentioned at the beginning, we recently bought a used kei-car. Since we bought it from a dealer, they took care of all the necessary procedures at the time of purchase, such as full maintenance, obtaining Jibaiseki-hoken (insurance requires by low) and changing the name. This depends on the dealer, so you should check to what extent they will take care of the procedures at the time of purchase or if you have to do it yourself!
Most foreign people who live in Japan, working or have an domestic address, and possess a Japanese driver’s license can purchase a car if they meet the requirements. However not many Japanese speak English or other languages, so it is difficult to expect store staff to be able to handle the language when considering the purchase of a car. I recommend to ask a close friend or family member to assist you in obtaining the car of your dreams!