So Discouraged- Rant

Sorry to rant, I'm just so frustrated and feel utterly defeated by this market... My partner and I purchased our first home in the year after Covid. Of course, we got an insane (never-to-be-seen-again) interest rate and got our starter home for a decent price (right before things REALLY skyrocketed). We've been trying to upgrade-- casually looking on Zillow, checking out areas, for over a year and, since the fall, have gotten rly serious about trying to move. Prior to six months, and ESPECIALLY in the past month, we've watched ourselves be edged out of what we can afford. It's so heartbreaking. We aren't looking for anything crazy but the market in our area is still rising-- HOW? We're worried about the political climate... Our realtor just tells us to make sure we don't overspend but, if we do that, we might as well stop looking... We both work full-time, have very decent jobs, but still can't seem to compete. None of our friends own houses because it's so expensive. The people we know who own, and want to upgrade, are stuck in the same position as us. Just so defeated. :( We can't be the only ones feeling this... We also refuse to be house poor. I truly don't understand how two decent wage earners, no kids, great credit, could not afford a 2000 sq ft home. Who tf can afford this market right now?