NEW YORK (Reuters) - U.S. annual home prices rose at a slower rate in January and slipped on a monthly basis for the first time in 17 months, data released Tuesday showed.

Home prices grew 6.3% on a yearly basis from an upwardly revised 6.7% in December, a Federal Housing Finance Agency (FHFA) report said, marking the first annual price deceleration since last May. On a monthly basis, home prices fell for the first time since August 2022 by 0.1% in January, reversing a 0.1% gain in December.

Despite the slowdown, annual price growth remains near the historical average, said Dr. Anju Vajja deputy director at FHFA's Division of Research and Statistics.

Home price growth has persisted through two-decade-high mortgage rates, with house values appreciating throughout the Federal Reserve's interest rate hike campaign launched in 2022.

On a yearly basis, prices increased in all U.S. regions. The East North Central and Middle Atlantic regions experienced the largest price appreciations, by 8.7% and 8.6%, respectively, FHFA said.