<prompt> Human: I am 34 and my wife is 30. We have no children and live in San Diego CA. Our combined gross income is 130K. After 401K, taxes, and payroll deductions, our monthly net is about 6800. Our monthly expenses are as follows: 1060 Rent1000 Gas Groceries900 - Credit Card sitting at 690025K limit I used to use this all the time. Have cut back and the balance is going down rapidly700 - 2 Car Loans690 - Student Loans400 - No interest medical credit card with 800 left wife had expensive surgery and only 80 was covered200 Auto and Renters Insurance200 - Cell Phone bill70 - Storage Unit Our place is a 1BR and our second bedroom stuff is in storage20- Gym membership This leaves us with 1600, that we have 700 deposited into a separate checking acct for vacations and emergencies. Because we have the 25K credit card, we keep 1000 in a savings account for any small emergencies like small car issues brakes, tires or anytime an expense like work clothes, shoes, or home items come up. I will admit that we do make a good amount of money, but we also spend a lot. We are stuck in a limbo where we live in one of the most expensive cities in the US, pay an assload in taxes, and have trouble saving anything. I dont expect anyone to feel sorry for us, but we are finding it hard to get ahead. We both have retirement accounts, so that is taken care of, but what else should we do? We have been pre-approved for 550K on a home, but we only have access to about 30K in cash and anything above 410K would require us to pay 10 down, so our only real option is about a 375K condo. Is it worth sacrificing trips and concerts to live in a small condo with a mortgage of 2000month and hope we sell it in 5-7 years for more than we paid or should we just stay in our cheap rental and work on something else in our lives? I feel like I am getting old and have nothing to show for it. Any advice will be appreciated.Edit:Thanks for all the replies. We are going to wait on the house until we have less debt. I guess the problem is wasting money and not focusing it toward the CC and car loans.  <response>: Buying a house at this point would be a huge mistake. Where does the rest of you money go? Even if you put 700 for vacations and emergencies, there is still 900 missing. Stop wasting money for unnecessary things, a least until you pay off your credit cards. If you live frugally, you should be able to pay off your credit card in full in just about 4 months, and at that point you will have extra 1,300 in your monthly budget 400 medical 900 CC payment. Once youre there, start building an emergency fund, so that next medical or any other kind of unforeseen expenses doesnt put you right back into CC debt. 