Home-loan demand continued falling last month, with new loans approved down 22 per cent to HK$6 billion. The fall from HK$7.7 billion in October was driven mainly by a decline in primary market transactions as the impact of summer sales by developers started to wane, according to statistics from the Hong Kong Monetary Authority. The value of primary market transactions fell 34 per cent to HK$2.6 billion from HK$4 billion in October. Secondary market transactions remained steady at HK$2.4 bllion, down 4.5 per cent from HK$2.5 billion. The value of new home loans drawn down last month fell 6.4 per cent to HK$6.7 billion, while loans approved but not yet drawn stood at HK$3.3 billion, down 28 per cent. Meanwhile, interest margins on new mortgages continued to ease. New home loans priced at more than 2.5 per cent below prime lending rates fell to 34.7 per cent of the total, down from 41.3 per cent in October and a high of 43.2 per cent in September. This would offer some consolation to the ravaged banking sector which has been engulfed in a two-year price war.