The Reserve Bank of Australia (RBA) raised official interest rates on Tuesday for the first time in over two years. The move increases mortgage repayments for many Australians who are already struggling with rising costs. A young couple from regional New South Wales, aged 25 and 26, said the dream of building their home has turned into a financial "hustle" they can no longer maintain. Since buying land in September 2022, rising interest rates and building material costs have blown up their budget. "If we had known how much our repayments would end up, we never would have bought," said the 25-year-old woman. The couple is still managing bills and groceries but had to delay key life goals like starting a family. They now plan to sell their new home and shift to the tiny house movement, citing "cost of living and lack of freedom." On Tuesday, RBA governor Michele Bullock said the rate increase is "the right thing for the economy" to control inflation. "I understand that people with mortgages find that hard, but the alternative is potentially even harder," she said. On the Gold Coast, first home buyer Jack Petzke and his partner Alyshia Cater face similar challenges. They use strict budgeting and an offset account to manage their loan. "The rate increase is going to cause everything to go up," Petzke said. Their mortgage broker warned a 0.25% rise could add roughly $100 monthly to repayments. The Mortgage & Finance Association of Australia stated that most borrowers with variable loans will feel the financial hit. For a $694,000 mortgage, a 0.25% increase means an extra $109 per month. In Melbourne, a 31-year-old man who bought his first home in October expressed frustration, calling the hike a "punishment." Despite careful saving and an extra job, he worries about further rate rises causing "considerable lifestyle impairment." Experts advise mortgage holders to seek broker advice to navigate rate changes. Spiro Kolokithas, a broker, noted that while one increase may not cause a major slowdown, several hikes could force tighter budgets and slow borrowing activity.