More than ever, people are choosing to buy a pre-owned vehicle rather than a new car to save money. Unfortunately, the inventory of used cars is lower than ever due to slowing new car sales and fewer trade-ins. As a result, used car prices have risen monthly since January.

Since the peak last July, the decrease in gas prices that followed has resulted in higher trade-in value for used pickups and SUVs. Data from the Manheim Used Vehicle Value Index, which compiles data about used car wholesale prices, shows price increases for used pickups and SUVs averaging around 26 percent. Today may be the best time for owners of large trucks to get the most out of their trade-ins on a new vehicle.

AS Bloomberg points out, slumping new car sales, especially for rental car fleets, mean fewer used cars. With the rise of used car prices, the decision to buy a previously-owned vehicle over a new car is becoming more difficult. As a result, the low inventories of used cars with higher prices could trigger an increase in new car sales, prompting an increase in new car production.