Some 42 trillion won (US$38.8 billion) in short-term mortgage loans will mature next year, data from financial regulators showed Wednesday, raising concerns amid soaring household debts and no sure signs of the real estate market picking up.
   
Out of 337.7 trillion won in mortgage loans extended by local banks as of end-June, 42.2 trillion won, or 12.5 percent, is due by the end of next year, according to the data compiled by the Financial Supervisory Service (FSS) and the Ministry of Strategy and Finance.
   
The real figure that counts lending by non-bank institutions is closer to 50 trillion won-plus, according to market watchers.
   
Another nearly 20 trillion won of bank loans will mature in 2016, 7.2 trillion won in 2017 and 3.9 trillion won in 2018.
   
The total amount of household loans, including mortgages and other types of personal borrowings, extended by banks stood at 488.1 trillion won as of June.
   
Experts note that with prevailing economic uncertainties and an unsure housing market next year, it will be essential to roll over the short-term loans.
   
The FSS is trying to encourage local banks to help lengthen maturity or revise repayment plans in favor of debtors.
   
"Maturing mortgage loans weigh heavily on people and could become a bigger burden if housing prices drop next year," said Prof. Yoon Suk-heun at Soongsil University.
   
Household credits have been regarded as the biggest danger in South Korea, as they've grown at a worrisome pace after the government eased lending regulations to boost the slowing economy.
   
Household loans by banks and non-bank institutions totaled 1,060.3 trillion won as of end-September. (Yonhap)