Car purchases in Philippines

onefogarty Contributor

Member since 20 May 2021

onefogartyContributor10 June 2022 00:13:10

166

Hey!

Anyone know how easy or complicated it is for a foreigner to buy a car in the Philippines? I’m thinking of buying a new SUV like a fortuner or something along those lines. Is vehicle insurance expensive?

I’ve heard that if one stops making payments on a new vehicle here in the Philippines they just ask you to return the vehicle to the dealership without obligation to continue making payments. Is that true??

BassMan_720 Contributor

Member since 17 May 2018

BassMan_720Contributor10 June 2022 01:12:47

107

I don't know the details of finance for a new Car, I bought my new Fortuna cash. I've been looking at the cost of re-insuring the car when my free Toyota insurance expires. Insurance for the Fortuna seems to be much greater than for comparative SUVs. I'm expecting to pay in excess of PHP30,000 for comprehensive insurance. Which is much cheaper than for a similar car in UK.

Regards

Steve

Moon Dog Philippines Advisor

Member since 15 June 2021

Moon DogPhilippines Advisor10 June 2022 05:14:56

950

@onefogarty I bought a new Fortuner from Tacloban Toyota. It was a very simple process, I prefer it to buying cars in the US because everyone pays the same price. I ordered it while I was still in the States by wiring a deposit. It was supposed to take 6 or 8 weeks for delivery but the car arrived while we were quarantined in a Manila hotel. I went ahead and wired the balance, but I told them it would be a couple weeks before I could pick it up since I had to quarantine for 2 more weeks at my house on Biliran Island. It's about a 3 hour drive one way to the dealership from my house. I asked the the sales lady Kim if by chance they deliver? She said "no problem" and drove the car to my house and we signed the papers through a window.

When I was checking out the car I noticed the backup camera wasn't working. I emailed Kim that they should have checked that and how inconvenient it was for me to make a 6 hour round trip drive for something they overlooked. The sent a car load of technicians to my house right away and had it fixed in no time, just a wire not plugged in all the way. The car came with 3 years of LTO registration, 1 year of full coverage insurance and a nice umbrella. We took it back for the 30 day and 6 month checkups which are free of charge. It has 3,000 kilometers on the clock and the oil and air filters have been changed twice. There is one more free service at 12 months which will be in August.

When setting up the deal I was told it was no problem for a US citizen to buy a car in the Philippines if paying cash. If you want to finance the car that may be a different story. I also bought a refurbished multicab drop side pickup from a dealer in Cebu a couple months ago. Same thing, sent a deposit and when it was finished I sent the balance and had it delivered to my house. The multicab is a 2002 model but titled as a 2022 model.

Filamretire Contributor

Member since 20 March 2021

FilamretireContributor10 June 2022 09:27:20

182

Two questions after looking at Toyota PI website. Are they all diesel? Isn't diesel more expensive than gas? Do people prefer it? Does the dealership offer options? Ok thats 3 questions lol. There was a lack of a build button on website and when I went to another website you have to create an account to do a build.

Moon Dog Philippines Advisor

Member since 15 June 2021

Moon DogPhilippines Advisor10 June 2022 09:40:34

950

@Filamretire The two engines available in the Fortuner is a 2.4 liter turbo diesel which has 150hp or a 3.0 liter turbo diesel producing 200 hp. There is no gasoline engine option. Up until the gas price hike diesel was cheaper than gasoline in the Philippines. Now there is not much difference in the price.

I have the less expensive 2.4 engine. It has plenty of power for where and how I drive. It is a smooth running, very quiet vehicle that gets amazing fuel economy.

I believe the US is the outlier, all the other countries I've been to have diesel powered SUVs.

pnwcyclist Philippines Expert

Member since 27 June 2017

pnwcyclistPhilippines Expert10 June 2022 11:13:04

1482

I’ve purchased two lightly used preowned cars - a Kia and a Mazda. you just have to make sure the paperwork is in order. My insurance agent has been extremely helpful in this regard, the husband is an attorney and his advice has been invaluable to us. It really pays to build these relationships here in the philippines. Looking at buying a 4x4 multi-cab myself, for our home project in the province. Looked at two today. I would not be able to drive far in it due to the cramped seat to pedal distance. But for local rural projects they are perfect.

lcdrski Active member

Member since 04 October 2021

lcdrskiActive member11 June 2022 05:38:16

Insurance recommendation? Thanks

pnwcyclist Philippines Expert

Member since 27 June 2017

pnwcyclistPhilippines Expert12 June 2022 01:54:24

1482

My agent is in Cebu. Recommend you find one up there so you can visit/deal in person. That’s the best way here in Philippines. Build a relationship and they will have your back.

Enzyte Bob ViP

Member since 26 October 2018

Enzyte BobViP12 June 2022 07:16:35

4079

Looking at Facebook Market Place, (Some Dude*) in Quezon City is selling a 1957 Chevy Bel Air, 2 door Hardtop, 50k km, 283 with a 4 barrel (250 hp), 4 speed Hurst Shifter and much more.

pnwcyclist Philippines Expert

Member since 27 June 2017

pnwcyclistPhilippines Expert13 June 2022 11:11:33

#10

1482

Haha worth a fortune, but probably cost 5K to fill it.

Wellsfry Serial expat

Member since 27 September 2019

WellsfrySerial expat14 June 2022 04:52:20

#11

397

@Moon Dog where did you buy the muticab in cebu? ... and Would you give them a thumbs up or down? I am looking for one now... Dipolog has few, and prices are crazy... so thinking a trip to Cebu and ferry back is in order.

pnwcyclist Philippines Expert

Member since 27 June 2017

pnwcyclistPhilippines Expert14 June 2022 10:57:16

#12

1482

I just bought a nice 4 x 4 Multicab pickup, freshly rebuilt, latest model, with a canopy and folding seats in the back. It has been a real learning process. First, the later ones with the latest body style, 12 valve, fuel injection and 5 speed are hard to find. This is the DA63. Priced around 240-270K. These generally come from a rebuilder who has done the RH drive to LH drive conversion. Many Multicabs are older and/or really beat up, although by nature these are pretty tough little trucks, so if it fits your budget no worries. But here is what is interesting:

All of these multicabs are rebuilt, so we may be "first owner", if we get a late model purchased from a dealer-rebuilder, not from a prior owner. If it hasn't been registered to another owner the paperwork may well not match the engine and chassis numbers until it goes to LTO and gets straightened out. This is because some dealers shortcut the registration after rebuilding the truck, to save money on that first registration, so your paperwork doesn't match the engine and chassis numbers and if you get stopped at a PNP checkpoint or try to insure it there will be a big FAIL. Otherwise it may not really matter.

I almost bought one last week, but the numbers didn't match the paperwork, so called my insurance agent and and he explained that he could not insure it until it went through LTO, which could be weeks.. and I needed it now, so I had to pass. It was a little beauty too and even had AC which is really rare. Dang, I was bummed. So I found a dealer locally here on Negros who registers the truck after the rebuild so the numbers all match right from the get go. But it costs him more, so it cost me more.. and it doesn't have AC.. grrrr.. but apparently it can be added for around 10K.

Most of the ones available in the Visayas seem to be built in Cebu City. Several brands such as Vitom, are done there. I drove one of those at the local dealer here and it had a badly sticking front caliper and a misaligned steering wheel. I was going to buy it after they fixed it but they sold it to someone who was willing to take it as-is and do the repairs, lol. Okay whatever.. it did seem nice otherwise. Mine is from a different rebuilder, but also from Cebu City.

But talk about fun to drive, haha.

https://hosting.photobucket.com/images/o210/jrbldr/(edited)_20220611_145119.jpg?width=590&height=370&fit=bounds

Moon Dog Philippines Advisor

Member since 15 June 2021

Moon DogPhilippines Advisor15 June 2022 22:49:27

#13

950

@Wellsfry I bought it from a MC Multicab in Cebu. I found them on FaceBook. Price with canopy was P260K. It has the K6A engine which has the steel timing chain rather than the timing belt. He only sells units with the 12 valve EFI engines and air conditioning at that price. Better to get model DA62T and up since they have the K6A engine. The engines in these refurbished trucks are not rebuilt. He did install a new clutch disk and some front end parts to make the steering tight and did a brake job. Mine had an o-ring leaking on A/C condenser and he would have paid to have it fixed at an aircon shop but we don't have one of those in a reasonable distance so I just ordered an o-ring set and a couple kgs of R-134a and replaced all the o-rings on the A/C, pulled a vacuum and recharged it.

I love tinkering with stuff so I started doing upgrades. It now has power windows and remote controlled door locks that beep and flash the parking lights when I hit the lock or unlock on the remote. I also installed a double din touch screen audio system with backup camera that comes on when I put it in reverse. So far it has been fun to work on but I've run out of upgrades I can do unless I find remote controlled mirrors.

Wellsfry Serial expat

Member since 27 September 2019

WellsfrySerial expat16 June 2022 02:39:51

#14

397

@Moon Dog ahhh... I saw them as well on f.b... I will look again... nice truck and thanks for the tips!

Wellsfry Serial expat

Member since 27 September 2019

WellsfrySerial expat16 June 2022 02:41:00

#15

397

@pnwcyclist nice truck! Thanks for the information and advice... I will be back August for 3 months, so want to "order" one soon...

ICEMAN ALASKA Member

Member since 30 August 2024

ICEMAN ALASKAMember30 August 2024 08:53:52

#16

@Moon Dog

You are more trusting than me . I would never buy a used vehicle with our having heard it run , test drive , or warranty .

Larry Fisher Serial expat

Member since 02 October 2022

Larry FisherSerial expat30 August 2024 10:46:08

#17

636

I've not read much of the thread.

With that in mind, I highly suggest NEVER financing a vehicle purchase in the Philippines. The interest is CRAZY! I mean if you want to pay 35%+ go for it! Pay cash or don't buy. Financing is why so many Filipino families are poor. The amount of interest they pay in 3 years on a motorcycle could buy 2.5 motorcycles!

bigpearl ViP

Member since 27 January 2018

bigpearlViP30 August 2024 21:28:47

#18

4048

As we the wise know Larry, cash is king.

Cheers, Steve.

Moon Dog Philippines Advisor

Member since 15 June 2021

Moon DogPhilippines Advisor02 September 2024 20:03:53

#19

950

@ICEMAN ALASKA

Doesn't really matter to me. Multicabs are very simple vehicles and I can easily fix anything on them and parts are cheap enough. When I returned to the states last December I prearranged the purchase of a 30 year old Ford Ranger (which I consider the American Multicab) and it was waiting for me at the Charleston, WV airport when my plane landed. That was my ride home to my new house. I paid almost nothing for the truck and it was a little rough but couple months later it is now transformed into a very reliable vehicle, and I enjoyed wrenching on it and I have new respect for the Ford engineers that designed it.

In my younger days I would take on bigger projects. Here I am on the right negotiating a price on this Camaro with the farmer that had it in his garage. He was using it for parts but I verified that it was a genuine SS 396 car with the RS package to boot. He let me have it for 100 bucks. This was back in the mid 80s.