Where should I put my money for the next year and a half?

[Roadster1]

Guys,

My wife and I would like to buy a house (1.5 years away) so I am trying to determine how to safely grow our current balance and future pay (after 401K is maxed of course) to use as a downpayment. Would mutual funds be too risky? I was also thinking about dividend stocks...any suggestions? With our current pay we could easily save to an approx. balance of $65K so we would like to grow this if possible without too much risk in order to buy the house.

Thanks

[snafu]

The rule of thumb is to keep money needed within five years in a liquid form, savings a/c or Money Market which pays pretty paltry compared to inflation. Worse compared to borrowing costs.

Five years in Bonds, Income Funds, Equities [stock/dividends] is investing; 3 years is considered gambling, no better odds than a casino. At this moment in time dividends are paying well because interest rates are artificially [QE] low and successful companies are sloshing in money.
How much RISK can you tolerate and sleep at night? If something ghastly happens just when you need to cash out - all the money you invested, all subsequent investments, all capital gains [profit] can disappear in moments. It will eventually recover - how long is anyone's guess. On 9/11 wealth evaporated in nanoseconds. The Lehman crash is only now recovered and it can go down just as well as go up without reason