The third major home price index released January data released on Monday and it became the third to post a deceleration in the rate of price appreciation.  Black Knight Financial Services said that prices in January increased from January 2016 by 5.4 percent.  Year-over-year increases had averaged of 5.75 percent over the fourth quarter of 2016.

From December to January the Black Night Home Price Index (HPI) was up 0.1 percent, the same increase as from November to December, however in each of the previous two months the increase was 0.2 percent and monthly increases averaged 0.52 percent for all of 2016.

The January HPI was $266,000.  This was only 0.3 percent below the peak price level reached nationally in June 2006 and is 33.6 percent above the 2012 price trough

New York State again led as the state with the fastest price appreciation; prices rose 1.3 percent compared to December.  This was more than double the rate of the three states, Hawaii, New Jersey, and Washington, that tied for second, all with monthly increases of 0.6 percent.  Maine rounded out the top five at 0.5 percent.

Alabama was the worst performing state, prices were down by 0.8 percent from December.  This was partially driven by a 4.0 percent decrease in Tuscaloosa (on top of a 3.5 percent drop the month before.)  Two other Alabama metro areas, Anniston and Daphne, had the second and third largest losses among metros, down 1.1 and 1.0 percent respectively.   The other states in the top five for negative price changes were Arkansas and Iowa, each down 0.6 percent and North Dakota and Oklahoma where prices fell 0.5 percent.

The New York City metro area was the month's best-performing metro, with prices rising 1.3 percent, followed by Seattle and San Jose, each up 0.8 percent from December.  Honolulu, San Diego, Bend, Oregon; and Buffalo all posted 0.7 percent gains.

Home prices in three of the nation's 20 largest states (Massachusetts, New York, and Washington) and nine of the 40 largest metros hit new price peaks.