Gyroscopic Investing

Hi, Guys:

We own our home, free and clear.  But we're planning on selling it and then moving into a rental while we search for another home.  (Which could take anywhere from two to 14 months, I'd imagine?). 

Would it be better to put the proceeds of the home sale into our PP, or just park it in cash for now?

Thanks.
- Coffee.

Given that you are apparently certain to need the money in 14 months or less, I would hold it in cash.

You might, however, be able to do well over this period with some combination of CDs and other cash-like instruments.

100% REIT's... that way, if housing explodes during those months, you are in the best position to have the $$ necessary to get what you want.

JK!

If you hurry, you can still place a bet on the NCAA finals with it. 

In all seriousness.. Although unlikely, it is possible to lose money in the PP over an 18 month period. Therefore, short term investments are more appropriate.