There are a number of different ways to buy a car from Japan. The cheapest prices are found at the auctions. Secondary to that is the wholesale market which is also known as ‘One Price’ as these prices are fixed. You might choose to buy from an exporter who has stock of their own or you might buy from the retail market in Japan which is more geared up for the domestic Japanese buyer.

Buying Japanese cars from auction.

As well as being the cheapest way to buy cars, the auctions have a number of additional advantages vs the other buying routes. Obviously prices are in the forefront of everyone’s mind but what many people don’t realise is that an auction car has been thoroughly inspected and given a condition grade by the inspection team in a large auction house. These teams are committed to making sure their inspections are as accurate as they can be. Their may be a slight variation between one auctions house and another. But generally speaking, their commitment to their buyers is the accuracy of their information. So you are buying the best priced cars from auctions that are selling 10,000+ cars each day, you are also getting the best information about the cars.

Working with a good agent who has an agent in Japan, will mean that prior to the auction, your Japanese agent will go and look at the car and check it is true to the inspection report. Then you can adjust your bidding strategy according to what has been found. So, if your agent asks the inspectors to check the tyres and they are found to be in good order all round, then you may not adjust your making strategy. However, if the tyres are found to be low on tread, then you would approach the auction with a lower maximum bid to allow for replacement tyres in your budget. These are an excellent way to ensure you are buying your car at the best price and in the condition that you are expecting.

Buying Japanese cars from ‘One Price’ or Wholesalers.

The second option for buying a Japanese car is from the one price or wholesaler. These cars are not quite a cheaper as auctions. The cars that are in this market are waiting to go for auction in the coming week and in the run up to that week, the car is advertised with a ‘buy it now’ price which is usually a little bit more circa 3-5% more than the auction price is expected to achieve. This is often very attractive option if you are looking for a very specific specification and you can see that a car at wholesale is precisely what you want. Then the slight price increase is worth it.

Japanese retailers also advertise some of their cars at wholesale. This helps them to turn their stock more regularly. But this is where a problem lies. Whilst you are paying a slight premium vs auction, the inspection from these retail cars is carried out by the retailer and not an independent inspector. So they have a vested interest in presenting the car in the best light and have a bias to upsell the car down play any wear and tear. So you can’t be sure you are receiving accurate information about the car.

There is an additional disadvantage to buying from wholesale which relates to the systems these cars are advertised on. If you wish to buy a car, you submit a purchase request to the retailer. Naturally, if they have a retail customer interested in the car, then they will turn down your request as they will be able to make more profit by selling to the retail buyer. This is deeply frustrating if you have taken some time to make your decision, or if you have an eager buyer who has taken a while to consider many cars and is now keen that this is the car for them. To advise them this is not possible can be a hard situation to manage. We have been experiencing this more and more. Currently we estimate that 50% of the cars we try to buy from wholesale are rejected in preference for a Japanese retail buyer.

Buying Japanese cars from local exporter car yards.

The convenience of buying from a local exporter is incredibly attractive as you can view the cars on his yard. However, you are less likely to be given access to the original condition reports as buying ‘cost effectively’ can mean that condition grades are lower than you are lead to believe. You are also restricted to select your car from the stock available and so your original choice of car and specification may not be available. For such a large purchase price, this is a big compromise to make.

Buying cars from Japanese retailers.

The Japanese retailers are going to be the most expensive way to buy a car, making it the least popular choice. Buyers who choose to source their car from a retailer are usually looking for a rarer high-end vehicle which cannot be easily bought from the auction or wholesalers. Here the availability of the specific car and the spec are a bigger priority than the price.

So in summary, the Japanese car auctions are a route to buying the cheapest cars in Japan. The information provided is reliable and you would be smart to be sure you pay close attention to it before bidding on any car. Whether you are happy to miss out on a car which goes beyond your budget is also a very important point to consider before engaging an agent to bid on a vehicle. Wholesalers are a good option if you are looking for a car with a specific specification and you are not prepared to wait. But do pay close attention to the source of the inspection report before you make your decision. And finally the Japanese retail market will be your best route if you want a rare high end car which is unlikely to feature at auction on one price. There are options to suit all budgets, we recommend working with an experienced exporter to help you find your next car at the best price and in the best condition.