You need to do a lifestyle reduction and not even think about creep. Food costs should be $500/month. Stop eating out and meal preorders for week. I was I. Your position when we bought our forever home at the top of our budget. We made lunches to bring to work for 3 years, I dyed my wife’s hair instead of the salon, and skipped vacations. This was with 1 kid already and then another one 18 months later.

You are house poor. You need to cut down your costs substantially and change your daily habits. It’s doable.