The total value of home loans approved dropped below $1 billion in the last week of October - the first time since July.
Reserve Bank data shows $932 million worth of loans were approved in the week ending November 1 - down $129 million on the previous week.
The data also indicates lending may be slowing in the wake of the central bank's crack down on low equity lending at the start of October.
The number of loans approved fell 4.1 per cent comparing the 13 weeks to November 1 to same period last year.
Year on year the number of loans were up 4 per cent but the growth has been trending down all year. In the week before the new lending rules were introduced the number of loans were up 7.8 per cent.