An inter-vehicle communication system for the 720 MHz band that is designed to prevent car crashes at intersections has recently been proposed in Japan. This paper presents an analysis of the propagation characteristics of an intersection surrounded by concrete block walls in a residential area. The propagation characteristics were analyzed for the first time using the finite-difference time-domain (FDTD) method. We investigated the influence of wall thickness and source locations on the propagation characteristics. The results of our investigation showed that the most commonly used wall thickness and source locations do not strongly affect propagation loss. Furthermore, we analyzed the power delay profile and delay spread by taking into consideration the structure of the concrete block walls.