Chinese banks lent 570 billion yuan ($93.24 billion) to home buyers and property developers between July and September this year, easing from the second quarter's 743 billion yuan and down 5 percent from a year ago.
Reduced demand for property loans reflects sluggish sales as developers struggled with high inventories and banks became more cautious about lending to developers and investors.
For the first nine months, total property loans issued hit 2.1 trillion yuan, up 213 billion yuan from a year ago, the central bank said on its website, www.pbc.gov.cn
Outstanding mortgages by the end of September were up 17.5 percent from a year ago, but down a shade from end June's 18.4 percent rise, it said.
Official data last week showed China's average home prices fell in September, the fifth consecutive monthly fall, raising expectations the government will have to implement more economic support measures to cushion the blow.
To stop property prices from sliding further, the government cut mortgage rates and downpayment levels last month for some home buyers, taking one of its biggest steps this year to boost an economy increasingly threatened by a sagging housing market.