Merit & Demerit
I believe lots of you may though, since I am in Japan now, I can purchase a car from local car dealer. Why should I go through auction ? Will it be cheaper ? Can I claim if there is a problem ? Well, it is common to have all those quesion marks on your head. The below are the pros and cons of buying through auctions in Japan.
Cars published are generally much cheaper than those offered by dealer and distributor. As some dealers are also buying through auctions and resell to personal buyers. Therfore buying from dealer may burden your pocket.
There are about 15,000 cars transaction daily. Possibility is higher to find a car you want that suits you.
As search can be done via internet, the time require to find a desired car will be shorter comparing if you were to run around dealer shops, and you may not be able to get the right car you want.
- One-step Search
All the auctions houses over the whole Japan can be accessed through the internet. In Japan, there are aound 150 auctions houses.
- Reliability and Trustworthy
Surprisingly, the information provided by auction houses is much trustworthy and reliable than from direct car dealer. Dealer may not tell you the truth unless you are a profesional about cars. While auction houses will request the sellers to provide all the truth technically and fundamentally about the car before it can be published at their auction house. Auctions houses would also want to reduce the claim and return requesst from clients. Whereas for dealer, they don't want you to know is that many cars are purchased from auction, fixed up and then sold for profit.
On top of that, before the car can be published at certain auction houses, it will be inspected by profesionals, which is a third party, and will point out the obvious problems honestly in the auction sheets. No "independent" appraisal of the vehicle.
Cash is required if buying from auction. Therefore you must prepare a portion of money readied if you choose to buy from auction. However via dealer, you could request for loan.
- Physical Visit
Auction houses does not allow visit from outsiders. Only those with permit are allowed to enter. Hence, you cannot view the car personally with your own eyes, and neither could you test drive. You can only rely on your agent.
- No Return Policy
Auctions houses mostly practice the ‘no return policy’. Unless the car is not as stated in the auction sheet. You can apply for claim but must be within the specific claim period.
Some cars published do not have warranty. You have to be careful when reading the auction sheet. It would be best to get the advise from the auction agent as they are the experts.