The S&P/Case-Shiller home price index increased 5.4% year-on-year in February, missing expectations for a 5.5% rise, after a 5.7% gain in January.

Portland, Seattle, and Denver were the largest contributors to the rise, where prices climbed by 11.9% year-on-year, 11.0% and 9.7%, respectively.

"Home prices continue to rise twice as fast as inflation, but the pace is easing off in the most recent numbers," managing director chairman of the index committee at S&P Dow Jones Indices David Blitzer said.

"The slower growth rate is evident in the monthly seasonally adjusted numbers: six cities experienced smaller monthly gains in February compared to January, when no city saw growth," he added.

On a monthly basis, the S&P/Case-Shiller home price index rose 0.2% in February.

The S&P/Case-Shiller home price index measures single-family home prices in 20 U.S. cities.