31-year-old had to go nearly $200,000 over budget to become a homeowner: ‘6 figures nowadays is nothing’

In early 2024, Kelly Diehr and her husband set out to buy their first home in Denver.

With no kids, [six-figure income](https://www.cnbc.com/2024/04/02/us-places-where-you-need-to-earn-six-figures-to-buy-a-typical-home.html) and a budget of $600,000, the couple felt like they were in a solid position to afford a single detached home where they could raise a family.

However, [like many first-time buyers](https://www.cnbc.com/2024/09/17/frustrated-millennials-across-the-us-struggle-to-afford-homes.html), they were disappointed by what they could afford, as median home prices almost immediately started rising from $599,000 to $639,000 between January and May, [according to Realtor.com](https://fred.stlouisfed.org/series/MEDLISPRI19740). To make matters worse, Diehr says mortgage rates were “crazy” at the time, [hovering just under 7%](https://fred.stlouisfed.org/series/MORTGAGE30US).

For $600,000, the homes available were all over 20 years old, situated in less-desirable neighborhoods and required significant renovations, such as new flooring, kitchens and bathrooms.

“You go into the market, and you realize you have to give up on the ideal home that you thought you were gonna get, because six figures nowadays is nothing to buy a home,” says Diehr, a communications professional who recently turned 31.

More: [https://www.cnbc.com/2024/10/10/millennial-couple-earning-six-figures-struggle-to-buy-a-home-in-denver.html](https://www.cnbc.com/2024/10/10/millennial-couple-earning-six-figures-struggle-to-buy-a-home-in-denver.html)