A national gauge of prices climbed 0.2% in November from October, according to seasonally adjusted data from S&P CoreLogic Case-Shiller. That's slower than the 0.6% monthly gain in October.

Buyers have been sidelined by high mortgage rates, which hit a recent peak in October at 7.79%. While borrowing costs have since eased, buyers are still confronting a major affordability crunch, with prices remaining high due to a lack of homes for sale.

On a year-over-year basis, price gains accelerated with a 5.1% increase in November, up from 4.7% a month earlier. The national index is about 69% higher than a July 2006 peak.

Lower mortgage rates in recent months "could support further annual gains in home prices," Brian Luke, head of commodities, real and digital assets at S&P Dow Jones Indices, said in a statement.

A measure of 20 cities rose 5.4% with Detroit posting the biggest gains, followed by San Diego. Portland, Oregon, was the only city reporting lower prices from a year ago. Regional differences have started to fade in recent months, with November's figures showing the narrowest spread across the US since the first quarter of 2021. 

"The tight disparity speaks to a rising tide across the country, with less evidence of micro-markets bucking the trend," Luke said in a statement. "The days of markets in the South rising double digits with markets in the Midwest remaining flat are over."

The lack of listings has pushed sales of previously owned homes in 2023 down to the worst level in nearly three decades. New home sales have fared better, exceeding economists' forecasts in December. 

The Federal Reserve has indicated that it's turning its attention to rate cuts, moves that may help lower mortgage rates. Investors have been seeking to gauge the timing of any future cuts from the central bank, which is scheduled to meet later this week.