When my husband and I bought our first home, our mortgage payment was 25% of our *net* pay.
Most young people are looking at mortgage payments that are 30% or more of their *gross* pay
Home prices, taxes, food, utilities, insurance...everything is a LOT more as a percentage of average pay than it was for Boomers and Gen X.
Another example is car insurance. Full coverage on a good used car cost me about $80 per month back in the day. The same policy for my kids is over $300 per month.
Meanwhile, salaries have not kept up with inflation.
I would have to say that mortgage payments involving that much personal sacrifice are worth it if the buyer has any hope of accumulating equity within a meaningful time frame. The standard amortized mortgage penalizes the buyers who, when they are young, tend to sell and move on to a new job or location within 6 years or so. Under current loan practices, it takes many years to build enough wealth to actually afford a new home.