"Factory" unlocked iPhone?

OK, I need some help. I have a co-worker/friend that is working in Japan for the next 12 months. He asked me to find a "factory" unlocked 16G iPhone for him so he can use it in Japan. $400 is his limit.

I did a quick check on the Apple website and they are $550. Other than Ebay, Craigslist, or some shady looking dude on the street corner, where do I get one?

Thanks.

 

Does he have an iPhone already? AT&T should unlock it if his account is in good standing. Up to 5 phones a year.

 

No, he doesn't have an iPhone. He doesn't have any phone service contracts currently. Right now he's using Skype on his iPad for communication.

 

You should be able to find a reputable seller on ebay with a factory unlocked iphone for under $400. What phone specifically? The 5 will obviously be more expensive than the 4s, but an unlocked 4s should go for under $300.

EDIT: I forgot, my wife is getting an iphone 5 next week and has a pristine 4s right now. I'll be posting it in the buy/sell section at some point next week, will probably ask $300 for it.

 

Thanks for the reply kingston73. I'll ask my friend if he still needs/wants a phone.

 

buying from apple directly they come unlocked.