More positive news for the housing market: Home prices rose 0.6% in July, according to the S&P/Case-Shiller composite index of 20 metropolitan areas.
Prices were up 12.4% from a year earlier.
But many economists expect slower home price growth in the second half of this year.
Zillow's data, for instance, shows a "moderation" in the monthly home value appreciation, given higher interest rates and more homes for sale.
Slowing appreciation "will be good for the market overall and in the long term," says Zillow economist Stan Humphries, noting that double-digit appreciation can lead to housing bubbles.
Home price data from Lender Processing Services also shows a slowing in appreciation.
Its July data shows U.S. home prices up just 0.6% from June while the 5 largest states and metropolitan areas saw slower month to month price growth.
For instance, prices in California were up 0.5% in July from June but 1.6% in June from May, LPS says.
The Federal Reserve's decision last week to keep interest rates low - postponing a reduction in its monthly purchases of Treasury bonds and mortgage backed securities - is seen as a plus for home shoppers.
The average rate for a 30-year-fixed rate loan was 4.5% for the week ended Thursday, down slightly from the week before but still up from 3.49% a year ago, Freddie Mac says.
While rates are likely to remain low, some economists still expect them to trend higher in the coming months.
By Julie Schmit