Cost of Driving in Japan: Deciding if Owning a Car is Worth It

You will want a car to see the best spots on Ishigaki Island. Banna Park, Ishigaki Island, Okinawa March 2019. バンナ公園、石垣島、沖縄県。

Following up on my earlier post about general driving advice and my experiences driving in Japan, I want to give people who plan to move here a better idea of how much owning a car costs. I can only speak from my limited experience, so the costs may differ in other parts of Japan and for other circumstances, but here is what I have learned through owning, renting, and driving cars in Japan. All these estimated costs are for used cars, especially the ones JET Program participants in my area have bought and driven. The data on average costs comes from a survey I did in February when helping to create a guidebook for new ALTs coming on the JET Program in my prefecture. The cost estimates may be specific to Aomori Prefecture JETs, but it is a good start for doing your own research to determine if it is worth it for you to buy and own a car in Japan.

Initial Costs

What a car is worth is determined by the type of car, its condition, and a load of other factors. In the end, though, how much the seller is selling it for and how much the buyer is willing to give for it becomes its money value. It is worth having a general idea of what cars cost in the specific area you are in. Keep in mind that it may be quite different from what you expect or are used to. When my job’s predecessor was offering her car for $1,200, my dad told me it sounded like a good deal. Neither of us knew anything about cars in Japan, specifically the area I was going, and I could not find much information online about it. After some limited research and questions, I accepted the offer. I bought my first ever car. It was a yellow 2004 Nissan March. It was a good car while it lasted.

In Japan, there are two main types of cars, marked by either a white or a yellow license plate. The white plate cars, called futsuu cars (普通自動車), have a normal-sized engine and are much like the cars found in the US. The yellow plate, or kei cars (軽自動車), have a smaller engine, and are often much cheaper to buy and own than a white plate one. On average, though, cars in Japan seem to be much smaller than US cars, even the white plate ones. You certainly don’t see large pickup trucks here often. When I do, I always wonder if they ever get stuck on the narrow roads. Even after a couple years in Japan, it is still a mystery to me.

There are a number of ways in which white plate and yellow plate cars differ, but I will focus mainly on the costs. From 14 respondents to my survey in Aomori, the initial cost of buying a used white plate car averages around ￥385,000, being as low as ￥50,000 and as much as ￥900,000. From 30 respondents, Yellow plate car costs average much cheaper at about ￥270,000, and the lowest price ￥10,000, which I am seriously concerned about the condition of that car. However, some used cars may be in better condition, so some respondents paid as much as ￥860,000 for their yellow plate car. 

There will also be some fees for title transfer if you are buying a used car from someone, but these are usually quite small, around ￥2500.

How much you will pay depends on what you can find and who is selling it, so keep your eyes open and ask other people in the area you live in Japan. It is also a good idea to keep in mind that the cost could be lower than you expect. Do not overpay if you do not have to.

Upkeep Costs

Shaken (車検)

Even if the initial cost of a car is low, do not lull yourself into thinking owning a car is cheap in Japan. It can be expensive anywhere to keep a car running well, and Japan is no exception. The largest cost you may find is shaken (車検), the mandatory car safety inspection that takes place at least every two years. If the used car you are buying has shaken coming up soon, it should lower the initial price of the car. For white plate cars, this inspection is usually about ￥80,000, but it can be much higher. My first car, after six months of owning it, had a shaken that cost ￥140,000. Yikes. Yellow plate cars can be a little cheaper than white plate, with the average cost of shaken around ￥70,000. The price depends on labor costs and what needs to be replaced in your car from daily use. It seems like an expensive amount to dish out all at once, especially if your car is running well already, but maybe it gets balanced out by cutting down on repair costs down the road. It may be annoying, however, if you only live in Japan for a short time, so keep this cost in mind when buying a car. 

Road Tax (自動車税)

Another large cost is the yearly road tax. It may differ from prefecture to prefecture, but in Aomori at least, you will usually pay it sometime between May and July. This expense shows a stark contrast between white plate and yellow plate cars. For white plate cars, it usually costs over ￥35,000, and yellow plate cars is only around ￥8,000. This price change seems unfair to me. Did my white plate car cause that much more wear and tear on the road compared to a yellow plate car? I do not know their reasoning for it. Along with initial costs and shaken, this is one of the costs you must consider when wondering whether to buy a white plate or yellow plate car.

Tires

Tires get worn out, especially when driving rocky and uneven roads in the countryside, so when buying a used car, it is important to know the state of the tires and how much you will have to spend for new ones if you need them. You may also need both regular tires and winter tires. The winter tires are a must for driving in the snow. I had to buy some for my car my first winter here, and the total for four tires was over ￥45,000. I should have asked the person I bought my car from for a discount on the car because of the lack of necessary snow tires. The type and quality of the tires you buy will vary in cost, but once again, yellow plate car tires are generally smaller and cheaper. However, you can expect to still pay around ￥30,000 for new tires. You may also look into gently used ones for cheaper. You will want to change to summer tires once there is little chance of snowfall in spring. They make a huge difference in the feel and weight of the car, and help with gas mileage as well.

Oil Change

A small but still necessary expense each year is oil changes. I do it twice a year, when I change between snow and summer tires, and it usually costs ￥2500 for the oil change and another ￥2000 for the tire change. 

Insurance

Damage, wear and tear, and accidents can happen. These costs are hard to predict, but to keep the costs lower and yourself safe just in case something happens, you need to get insurance. The price will depend on your age, your type of car, and the company you go with. The younger you are, the more expensive it will be. Starting at age 22, I had to pay ￥17,720 each month. After one year, it dropped to ￥12,620. The following year to ￥10,200. I am hoping for another drop coming up in August.

Getting Around Costs

Gasoline

Even though recently the gas prices have dropped to a shocking ￥110 per liter (usually it’s around ￥139 in my area), gas is expensive in Japan compared to the US. It will vary according to how much you drive, of course, and where you buy it. With my old car, I was filling up for about ￥4000 every other week if I did not go on weekend road trips or other journeys longer than going back and forth from friends’ houses, shopping, and work.  

Toll Roads

You can get to most places in Japan easily on local roads and highways, but if you are traveling far and want to get there quickly, you may consider toll roads if the cost does not deter you. I personally refuse to pay for toll roads. Generally my only temptation to use them is if I’m traveling long-distance on vacation. Even then, I prefer the local roads with the ability to make stops at any interesting places that catch my attention on the way. The four-hour drive from where I live to Sendai City in Miyagi prefecture can cost over ￥7500 yen for one way on the toll road in a white plate car. Without the toll road, it takes over six hours to get there, but I am only paying for gas. For journeys like that, I usually take the trains and buses, which take about four to five hours depending how I time the transfers and wait at stations along the way. It’s only about ￥5500 from my place to Sendai on the trains and buses, and I don’t have to pay for gas and then find parking once I’m at my destination. 

As with road tax, the cost of toll roads is generally cheaper for yellow plate cars than for white plate cars. That journey to Sendai would only cost about ￥5500 with a yellow plate car, but you have to make sure your little car can pick up speed well on the faster roadway. You can also get an ETC card installed into your car that charges your credit card rather than paying for the toll in cash, which may give a discount on the cost. You can check out the cost of different routes on this site: https://www.c-nexco.co.jp/navi/ (only in Japanese).

Parking

I grew up rarely thinking about parking costs. My family did not usually venture to down-town areas where you had to pay for parking. Most stores, restaurants, and shopping malls we went to had free parking with tons of space. After coming to Japan, I have developed a heightened sense for seeking out cheap parking, especially when going to cities. I also have had to quickly learn the language of parking lot signs to not get myself caught in paying high fees. In the cities near me there are often parking garages and lots that range from ￥100 to ￥300 per hour, with a maximum of ￥400 to ￥1000 that charges you every 24 hours. Some places may be cheaper during the day-time hours and more expensive at night or vice-versa. In my travels to larger cities, I have seen ridiculous costs of ￥2000 a day. There are also parking lots that charge by the hour but don’t cap the amount. Know what the sign is really saying or you may pay a lot more than expected.

You may also have to pay for your own parking spot if you live in an apartment. It’s hard to say how much this will cost since it may be combined with your rent and I have not asked enough people about it. Just keep this expense in mind when buying a car. To register the car, you will need to prove you have a parking space for it.  

Renting

This expense is not related to owning a car, but can still come up for car owners who travel or are in-between cars. I have rented cars twice for a short time of two to four days while traveling. The first time I did not have time to shop around, and so I spent about ￥6000 per day, not including the cost of gas. The second time was only about ￥3400 per day in Okinawa, and I could split it with a friend. Unless you are bringing multiple people in the car, public transportation is generally cheaper for getting around, but can be very limited in some areas outside of cities.

Long-term rental also varies in price and depends where you can rent from. I am currently renting long term, about four months, until I buy a new car. The people I serviced my previous car with were willing to give me a small discount, so I am renting for ￥22,000 per month. By renting, I will not have to pay for any oil change or repair fees (unless I do something bad to the car. I haven’t asked them what happens in that case), or the road tax. I’m also free from any shakken expenses. This may be a better option for those staying in Japan short-term who do not want to care about selling the car afterwards. As always, ask around to find the best options.

Final Words

Owning a car can cost lots of money anywhere, Japan being no exception, so I hope you find these costs useful in determining whether or not you will get a car in Japan and what kind of car you will buy. While yellow plate cars are generally much cheap to both buy and then drive and maintain, the difference in driving experience makes me prefer white plate cars. I’m no car aficionado. I cannot tell you the difference between a Honda, Toyota, or Nissan (though I think I can guess by their symbols). But I do prefer a car that drives smoothly, gets me into the mountains and up hills, and lasts longer between gas refills. Sorry, yellow plates. You don’t cut it.

Here’s a quick review of the average costs you can expect and differences between white plate and yellow plate cars:

White Plate

Average initial cost: ￥385,000

Average car inspection: ￥80,000

Road tax: ￥35,000

Tires: ￥45,000

Yellow Plate

Average initial cost: ￥270,000

Average car inspection: ￥70,000

Road tax: ￥8,000

Tires: ￥30,000

Insurance for both: depends on your age, but will generally be around ￥10,000 per month or more in your 20s.

Gas: Cheaper for a full tank with yellow plate cars, but it won’t last as long. Look for cars with good gas mileage ratings instead.

Toll roads: Cheaper for yellow plate cars. It depends on the distance you go.

Oil change: Same for both, and is usually around ￥2500.

Happy driving in Japan!

By Kate Linsley