BEIJINGHONG KONG, March 13 Reuters Chased by debt collectors over a mortgage delinquency in a southern Chinese city, former finance worker Lei Xiaoyu no longer answers her phone as she tries to delay the inevitable.

It39;s my only house and I don39;t want it foreclosed. But what can I do? said the 38yearold, who in late 2022 lost her job and stopped repaying the mortgage and credit card debt she took to buy a 1.3 million yuan 181,139 home in Huizhou.

I feel like I wasted my youth, she said, regretting the purchase seven years ago.

The number of Chinese in Lei39;s situation is small, but rising fast, as growth in the world39;s secondlargest economy remains patchy and fragile due to a property sector crisis, mounting local government debt and fears of deflation.

Rising mortgage delinquencies could have negative spillovers on both property prices and consumer confidence, analysts say, further complicating China39;s efforts to boost household demand and bring its economy on a more solid footing.

The number of foreclosed homes in China rose 43 yearonyear in 2023 to 389,000, said China Index Academy, a major independent real estate research firm. More than 50,000 other units were foreclosed in January, up 64.4 yearonyear, the firm said.

It has a certain shrinking effect on consumption and also serves as a warning that excessive investment in property should be avoided, Hwabao Trust economist Nie Wen said.

Lei is in no mood to spend money.

She made about 40,000 yuan…