It may be “sound” advice, but it isn’t “practical” advice.
Using Ramsay’s formula, only 25% of Americans could afford an “average” home in today’s market. That is after, according to his formula, they save the $80K downpayment.
If they were able to sock away 10% towards a home...this doesn’t include the 10% you are ALSO supposed to be socking away as a rainy day fund AND the 10% you are supposed to be socking away for your retirement AND the 5% you are supposed to be socking away for your kids college fund. This, and taxes, turns your $135K into about $60K. You could do okay with that in New Mexico. It would suck to try to live on that in Florida.
While I love Dave Ramsay, I remember my financial planner and my accountant both being dismissive of him. There are some people, in some parts of the country, in some circumstances, who can follow most of his advice, I was told.
...and taxes.
First you do your rainy-day fund, with a little put in towards retirement. Then you do the house part while adding more towards retirement. Then you grow your income while adding in kids college fund.
All of that is a lot easier if you aren’t paying 18-23% on frivolous expenses from buying beyond your means.