Home prices rose less than expected in February, according to S&P/Case-Shiller index.

Prices in 20 major metropolitan areas increased 0.7% from January and 5.4% year-on-year.

Economists were expecting prices to increase by 0.8% in February and by 5.5% year-over-year, according to Bloomberg.

The 20-city index came in at 182.79, a slight increase from last month's 182.56 but below expectations.

Seattle, Denver, and Portland, Oregon, reported the biggest gains compared with the previous year.

Perhaps the most notable thing from the report is that there seem to be some bad signs for first-time buyers.

"Home prices continue to rise, although more slowly, at a largely sustainable clip," Zillow chief economist Dr. Svenja Gudell said after the report. "But a deeper look at recent housing trends reveals a few troubling issues set to impact first-time and move-up buyers in the critical months ahead."

"Inventory of entry-level and middle-tier homes is down sharply, and home prices in those segments are rising more quickly as demand stays strong and the economy keeps chugging along," Gudell continued. "Entry-level and mid-market buyers — typically the housing market's bread and butter — are likely to face stiff competition, rapidly rising prices and very limited inventory. The patience of many buyers will be tested in coming months."