Reply to Should I gamble my home sales proceeds?

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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]Primary residence? If so, no.

What is the price of the new house you want?  If you do an 80-10-10 putting down 10% that 140k can buy you a lot. Then you’ll have mortgage, not waste on rent and (hopefully) will start building equity. [/quote]

$600k. I want to have low mortgage so I want to put as much as possible for down payment [/quote]

Putting that money in the market with 2 yr horizon is the last thing you want to do. It’s beyond stupid if you are fixed on your timeline.[/quote]

OP here. I agree with you I think it's indeed stupid. How about $70k in HYSA and $70k in VTI?[/quote]

I think you need to consider the possibilities with real numbers. Let's say you can get 4% in safe returns or (a super ambitious) 10-15% over the next 24 months.

$140K --> $151K with safe returns, $179K with 12.5% market returns, or $165K with a 50/50 mix.

Of course the $151K comes with no meaningful chance of losing money while the higher return options could mean being down 30-40% in two years. So would you rather have a shot at an extra $28K if it means the potential for being down $50K when you want to buy? or the boring guarantee of having $151K?

If your timeline is set at two years and you want to stick to that nobody can suggest investing in equities in good faith. [/quote]

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