One common question we get from foreigners staying mid- to long-term in Japan is:
“Should I buy a car, or is leasing a better option?”
In this article, we’ll clearly explain the requirements and key points to keep in mind when a foreigner wants to lease a car in Japan.
Can foreigners lease a car in Japan?
Yes, it’s possible! But there are a few conditions.
Foreigners can lease a car in Japan as long as they are not on a tourist visa or short-term stay.
Many of our customers are:
- Foreigners working in Japan (with work or engineer visas)
- People on a working holiday visa
- International students
In most cases, the car is owned by the leasing company, and you are registered as the user.
Required Documents for a Lease Contract
To lease a car in Japan, you’ll need to prepare the following documents.
Please note that the exact requirements may vary depending on the leasing company.
| Document | Description |
|---|---|
| Driver’s License | International license, or your home country’s license with Japanese translation, or a Japanese license |
| Passport | Used to confirm your visa/residency status |
| Residence Card (Zairyu Card) | Used to check your length of stay and visa type |
| Residence Certificate (Juminhyo) (optional) | May be required for long-term contracts |
| Personal Seal & Seal Certificate | Needed for signing official documents (for some contracts) |
Why Many Foreigners Prefer Leasing: The Difference Between Leasing and Renting
We often get asked, “What’s the difference between leasing and renting a car?”
Both are ways to use a car without buying one, but they’re actually quite different — especially when it comes to contract length, license plates, and overall costs.
| Item | Car Lease | Rental Car |
|---|---|---|
| Contract Period | 6 months to several years | From a few days to a few years |
| License Plate | Standard private plate | “Wa” or “Re” rental plate |
| Documents | More required (with screening) | Just a driver’s license is OK |
| Cost | Monthly payments, cheaper long-term | Short-term friendly, long-term discounts available |
| Parking | Parking certificate may be needed | Not required |
| Owner | Leasing company | Rental car company |
| User | You (the customer) | Rental company remains user |
About Voluntary Car Insurance for Foreigners
Car Insurance is Required for Leasing in Japan
When leasing a car in Japan, you must have voluntary car insurance.
However, if you don’t have a Japanese driver’s license, getting insurance can be more difficult and expensive.
🚘 Can I get car insurance with a foreign license?
Yes, but there are some conditions.
- You’ll need an international driver’s permit or your home country’s license with Japanese translation
- Residence card or passport is also required for identity verification
- Some insurance companies do not accept foreign drivers, depending on the license or visa type
💰 Is the insurance more expensive?
Yes — it tends to be much higher without a Japanese license.
- Insurance companies often consider it “higher risk”
- Annual premiums can go over ¥200,000–300,000
- It’s especially expensive if you include vehicle damage coverage (車両保険)
Summary
For foreigners who want to drive in Japan, leasing a car is a very convenient option.
However, there are some real challenges to be aware of:
- You’ll need several documents like a residence card and sometimes a residence certificate
- Switching to a Japanese license can take several months in some cases
- If you’re staying in Japan for over 2 years, buying or leasing a car may be a good long-term solution
- For shorter stays (1–2 years), a long-term rental is usually easier and more flexible
In any case, handling all the paperwork, insurance, and communication in Japanese can be a lot to manage on your own.
🔧 That’s where ASAHI MOTORS comes in!
We offer full English support and have helped many international customers lease or rent cars in Japan with confidence.
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