BEIJING, Jan 5 (Reuters) - China's central bank and the banking and insurance regulator have established of a dynamic adjustment mechanism on mortgage rates for first-time home buyers, the central bank said on Thursday, in a bid to further support the property sector.

For cities where the selling prices of new homes fall month-on-month and year-on-year for three consecutive months, the floor on mortgage rates can be lowered or abolished for first-time home buyers, according to a statement by the People's Bank of China. (Reporting by Beijing Newsroom Editing by Mark Potter)