'We Refuse To Be House Poor!': Couple With $250K Income Struggle To Buy Budget Home, Is 30% Rule Realistic?

Two senior Federal Reserve officials sought to calm market turmoil on Monday as a global sell-off in equities triggered expectations that the US central bank would have to step in much more aggressively to cut interest rates. (Credit: ShutterStock)

KEY POINTS

• Laura says most of the homes they're interested in require a monthly mortgage payment of at least $5,000, or about half of their monthly income
• The 30 per cent Rule says you should budget a minimum of 30 per cent of your gross monthly income for housing costs

In the vibrant city of Portland, Oregon, Laura and Samuel Graves never imagined they'd be raising their two children in a small apartment rather than a home of their own. Despite a combined annual income of $250,000, this couple finds themselves stuck in a frustrating cycle of house hunting without success. The rising costs of homes and soaring mortgage rates have forced them to reconsider what was once a simple dream of homeownership.