Business · Economy · 3 hrs ago
Mortgage debt linked to a 107 million won net-worth gap among South Korean homeowners
A 2025 comparison of South Korean homeowners in their 40s found a large difference in average net worth between those with and without a mortgage on their home.
Households without that mortgage had average net worth of 406.81 million won, while those with one averaged 299.79 million won.
The gap was 107.02 million won, even though both groups were in the same middle-income bracket.
Mortgage-holding households had slightly higher average annual income: 60.53 million won, compared with 58.11 million won for households without a mortgage.
Net worth reflects assets after debts are accounted for, so the remaining home loan was linked to lower net worth in this comparison.
The figures show why owning a home alone does not tell the full story of a household’s financial position.
Among South Korean homeowners in their 40s in the third income quintile, those with a mortgage on their home had average net assets 107.02 million won lower than those without one.
Homeowners without a mortgage had average net assets of 406.81 million won in 2025.
Homeowners with a mortgage had average net assets of 299.79 million won.
The mortgaged households had higher average annual regular income: 60.53 million won, compared with 58.11 million won for households without a mortgage.
The analysis says home ownership alone does not show a household’s asset level; its mortgage debt also matters.
- Who
- South Korean homeowners in their 40s in the third income quintile.
- What
- Average net assets were 107.02 million won lower among households with a mortgage on their home than among those without one.
- When
- The figures are for 2025. The article was published on November 5, 2026.
- Where
- South Korea.
- Why
- The analysis examined how mortgage debt relates to net assets among households that own their homes.
This story does not have two clearly opposing sides.
The data showed a 107.02 million won average net-worth gap between homeowners with and without a mortgage.
Maeil Business published its article on the comparison.
- Mortgage-free households' average net assets
- 406.81 million won
- Mortgaged households' average net assets
- 299.79 million won
- Net-worth gap
- 107.02 million won
- Mortgage-free households' average annual regular income
- 58.11 million won
- Mortgaged households' average annual regular income
- 60.53 million won