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Updated about 1 year ago, 12/26/2023
Saving for house hack...where to park savings?
Hi. I'm saving for my first house hack and trying to find the ideal place to park my savings. Criteria are: liquidity, safety, tax protected, return, and able to pull cash out when it's time to purchase.
I opened a Roth IRA with Betterment with the intention of investing mostly in Bonds. Stock market is too volatile and I don't want it to drop right before I'm ready to pull the money out for a down payment. (I already know I am limited to $10k as far as pulling out any earnings in the Roth penalty-free for a home purchase but I can pull out the entire basis without tax or penalty.)
But maybe even bonds are too risky.
I also have a high yield savings account that pays 5.5% with Wealthfront. Should I stick to the savings since it's FDIC insured?
What would you do? Thanks!