Need Finance Advice

[jones123]

I'm 23 years old living with my parents and I'm trying to save some money to buy a house in a few years. Might want to rent for a few years first, not sure though.

My money is all in conservative investments right now since I plan to use it soon.

401k - $5.3k
IRA - $2.5k
Countrywide CD (5.5% 6 months) - $85k
Emigrant Direct savings - $22k

no loans/cc debt.

Should I invest in stocks or should I keep all my money in risk free investments. Also what do you guys think of the real estate market in California? How long should I wait before buying?

I'm currently saving about 3-4k a month after taxes.

[Hedy]

When you say you plan to use it soon, do you mean you plan on liquidating your retirement accounts for a house?

[jones123]

When you say you plan to use it soon, do you mean you plan on liquidating your retirement accounts for a house?

No, I don't plan on touching the retirement accounts at all, there isn't much money in there anyway. I plan to use the money I have in the CD and savings account.

[disneysteve]

I agree with keeping the house money conservative, but your retirement accounts should absolutely be in stocks. At your age, I'd go 100% stocks if it was me.

ETA: There is no such thing as a risk-free investment. We've discussed that before. Let me find a link so we don't repeat it all again...
Here it is:http://www.savingadvice.com/forums/i...0-no-risk.html

[Tree0164]

You are doing great for a 23 year old!!

If you will be buying a house keep it in money market accounts for now!