|
Planing Ahead for Your New Abode
Saving for a down payment on a new home is never easy to do.
Near term down payment
Having a catalyst or an initial infusion of cash to get you started is a big
help. Perhaps you have checks from your wedding, a bonus from work, or the
equity you are receiving when you close on the sale of your current home. Where
will you deposit those funds? MyStockFund can help.
No market strategist (or parent, for that matter) would ever suggest you put
your available down payment into the markets. If you plan on needing your
assets sooner rather than later, we suggest a money market account or Treasury
note for a consistent and stable return.
No one invests in the stock markets with the pretense of losing money, but
markets do fluctuate and losses can occur quite readily in the short term. That
is why we suggest money earmarked for short-term use is best left in a dollar
denominated investment vehicle such as a CD, money market or Treasuries.
MyStockFund can help.
More distant down payment
Perhaps you still need to save additional cash for the down payment on your
dream house. You know that such a purchase is several years in the future.
The equity markets are best left for those with five to 10 year investment
horizons. The stock markets have outperformed cash in any given 10-year period
despite their inherent fluctuations.
If you have a time horizon of 5 years or more then dollar-cost-averaging into a
well-diversified portfolio each week (or month) might be a wise strategy to
employ to help achieve your dreams and objectives.
MyStockFund makes it simple and affordable to help you get started.
|
