New individual mortgages fell more than half in Shanghai in February as home buyers sat on the sidelines during the Spring Festival holiday.

Banks in the city extended 7.86 billion yuan (US$1.15 billion) of individual mortgages, a drop of 11.74 billion yuan from January, the Shanghai headquarters of the People's Bank of China said yesterday.

"Individual mortgages fell because of fewer transactions and the holiday season," the PBOC said.

After a rampant buying bonanza in the second half of 2009, home buyers chose to wait this year as the central government stepped up efforts to cool the bullish real estate market. It rolled out several measures, including higher tax and stricter mortgage policy.

Sales of new homes in Shanghai, excluding those for relocated residents under urban redevelopment plans, fell 54 percent last month from January.