Expert: Cesar - 11/25/2009

Question
Is it cheaper to buy a van (Toyota) in Colombia or Venezuela ?
This van, bought in either of these countries can be sold in Peru: right or wrong ?
We are planning a trip by road from Colombia to Ecuador, Peru, Brazil and Venezuela or vice versa.

Answer
Dear Niaz:

I suppose they are cheaper in Venezuela, but things are so complicated now in Venezuela that taking it out of Venezuela might be a problem, also selling it in Colombia is complicated because in Colombia they are only allowing to import brand new cars. Cars are expensive in Colombia: a 30 year old car can sell for 4 million pesos (a little more than 2000 dollars), but prices are coming down. A very small brand new car sells for 22 million pesos in Colombia. I do not know about prices in Venezuela. Ecuador and Peru will probably have  the lowest prices and the best credit availability. Life in Ecuador is very cheap and Peru should be the same. I do not know about prices in Brazil, but I believe they manufacture cars and therefore local cars would be cheap too, not so for imported cars. Vans are not popular in Colombia. People prefer small cars that consume little gasoline. Rich people prefer SUVs. Harly anyone has a van in Colombia. Inflation is Venezuela is very high now and gasoline is cheap. Life in Peru is cheap and I suppose imported cars would be expensive. Venezuelans are used to having cars, many had cars, and I suppose that cars would be cheaper there than in Colombia. Venezuelans are used to large cars, but not to vans. Vans were used mainly for public transportation. You should be able to find vans that were used for moving passengers, but they will have a lof of miles. In general, I think it is not a good idea to be buying a used car in one of those countries and sell it in another. I thing that the laws are too complicated, restrictive, and there will be some fees that would be high. Renting a car to go from one country to another would be expensive too. The simplest and easiest way to travel between countries is by public transportation: buses mainly. Travelling by bus is very cheap and you will not have to be the one driving. An used car might not make it from one country to another. One option would be for you to buy it in one place, travel to the other places an go back to where you bought it, but it will take a long time to sell the car once you are finished with your trips. It could take weeks or months to sell it. It might also be in pretty bad shape by the time you get back unless it is a recent model.

Best wishes,

Cesar