Everybody deals with the cards they are dealt. Since housing is overpriced, now is a great time to rent, invest the rest of the money, explore new neighborhoods, and NOT feel like a failure because you can’t buy!
Change is good – I think this is an exciting time to do things differently. I wouldn’t feel disadvantaged because I couldn’t buy a house or condo right out of college – there are plenty of others ways to get self-esteem. It’s not what you own, but who you are.