Home appraisals in August continued to come in lower than home owner expectations, Quicken Loans, the mortgage lender, reported Tuesday. The differential was 1.56% lower, according the company's national Home Price Perception Index (HPPI).

Meanwhile, the Quicken Loans Home Value Index (HVI), which measures home value changes exclusively through appraisals, moved higher yet in August, with values up 1.73% from July and 8.13% from August 2015.

Appraised values were higher than owner estimates in nearly half of the metro areas examined by the study. The report varied nationally with some areas, including Minneapolis, showing nearly identical estimates and values; while many western cities reported higher appraisals, such as Denver, where home values were as much as 3% higher than expected.

"While a one and a half percent difference may not seem like a big disparity of home value opinions, the gap could cause problems, especially in areas with an even wider difference," said Quicken Loans Chief Economist Bob Walters. "In some portions of the Midwest, where appraisals are averaging 2-3% less than what was expected, this will often lead to restructuring a refinance or the homeowner needing to bring a few more thousand dollars to the closing table."

Home values continued the upward climb in the last full month of summer, as competition for available housing was fierce. In a reversal of the prevailing trend, the West trailed the other regions in home value growth with a 0.74% increase. The Midwest had the largest growth with a 2.45% month-over-month gain.

"Competition in the housing market has been especially hot this summer, causing home values to climb," said Walters. "This spike can concern some buyers, as the increases are outpacing inflation and wage increases, leading to affordability problems in some of the hottest markets. However, the pace of home value increases will likely slow as we move into the colder months and there is more balance between buyers and sellers."