Author Topic: How to invest/save proceeds from house sale  (Read 1348 times)

pdxvandal

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How to invest/save proceeds from house sale
« on: April 07, 2018, 01:13:14 PM »
Hi folks.

I'm in a fortunate position after selling my former primary residence (which I had rented out the last 1.5 years), netting about 255k. I plan to use about 125k on a house down payment sometime this year (or in 2019, who knows?). But would like some feedback on investing/saving the other ~130k to combine long and medium term growth as well as conservative.

Here are my general thoughts on where to put it:

* $55k VTSAX and/or VTI post tax to use toward eventual FIRE, hopefully in 2020, but funds wouldn't be used for living expenses until 2021-22 at the earliest

* $40k in low-to-med risk post tax Vanguard account for long-term house repairs/remodel; vacation fund for 2019; moderate growth -- any recommendations here for Vanguard mutual/index funds?

* $11k in traditional IRA VTSAX contributions for me and spouse

* $10k in emergency fund earning 3% (interest drops significantly after 10k) 

* $8k in CIT Bank at 1.85% (newer bed, newer washer/dryer, moving expenses, short-term house repairs)

* $4k into kid's 529, state-tax deductible

Thanks for any advice y'all may have!

frugaliknowit

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Re: How to invest/save proceeds from house sale
« Reply #1 on: April 07, 2018, 02:31:29 PM »
For the vacation fund for 2019 (if you're pretty sure you will use it), you might add that to 8K in CIT Bank.

For the 55K plus the "40K minus vacation fund for 2019", I would use VTMFX.  I use it for "possible car purchase".  Here's the link:  https://personal.vanguard.com/us/funds/snapshot?FundId=0103&FundIntExt=INT&funds_disable_redirect=true