A slowing and intensely competitive home loan market is proving hard to handle for a number of lenders, with a growing number suffering loan book runoff over the past few months. According to Macquarie Securities analysis of the latest APRA lending data, ING Bank’s book has shrunk by an annualised rate 2 per cent over the past six months. The rate of decline picked up to an annualised 5.3 per cent in the three months to October. Over the past three months, ING has been joined by Bendigo and Adelaide Bank, whose book has shrunk at an annualised rate of 0.5 per cent, Bank of Queensland (down an annualised 1.8 per cent), and HSBC Bank Australia (down 2.7 per cent). The lenders that have grown above system over the past few months include ANZ, AMP Bank, Macquarie Bank and Suncorp. The latest Australian Bureau of Statistics lending data shows that the value of new housing loan commitments fell 2.7 per cent in October, compared with the previous month. The A$25.8 billion of new lending was down 17.1 per cent on the same time last year. The fall in October follows a fall of 8.2 per cent in September and a fall of 3.4 per cent in August. The value of new lending to owner occupiers was down 2.9 per cent month-on-month and down 17.2 per cent over 12 months. New lending to residential property investors was down 2.2 per cent month-on-month and down 17 per cent over 12 months. The value of external refinancing fell 1.1 per cent to $17.8 billion month-on-month but was up 9.7 per cent over 12 months. Lending to first home buyers fell 1.6 per cent to $4.1 billion month-on-month and was down 21.6 per cent over 12 months. The average loan size rose for the first time since May, increasing from $588,441 in September to $594,938 in October. The peak was in January, when the average loan size was $617,608 ($803,235 in New South Wales and $651,364 in Victoria). Reserve Bank data show that lenders’ mortgage balances grew by 0.4 per cent in September and by 7.2 per cent over the 12 months to August. It is the lowest monthly growth rates since January 2021. Owner occupier loan balances were up 0.5 per cent month-on-month and 7.7 per cent over 12 months.  Investor loan balances were up 0.3 per cent month-on-month and 6.2 per cent over 12 months.