Investing A House Downpayment

[RusticBohemian]

I'm saving some money up for a house downpayment, but I likely won't spring for the actual purchase for between 1 and 3 years.

I'm curious to know if it would be worth investing my money in a Vanguard Bond fund (VFSTX), and if so, what's the minimum worthwhile investment period?

Any insights?

Thanks.

[waltworks]

Do a search, covered about once a day here. Long story short: FDIC insured high-int savings acct. Yeah, 1% or so. Suck it up, your risk tolerance for DP funds should be basically zero.

-W

[chuckaluck]

Forget about bond funds for cash you'll need in 1 to 3 years for something like a down payment.  Take the excellent advice that waltworks gave you earlier ---- same advice I gave my son: High-yield, on-line savings account. 

[jpvt128]

I am going through the exact same thing right now. I am sticking with an Ally Savings Account. They have very competitive interest rates on their savings and money market accounts and I have had good luck with Ally in the past. It would be pretty challenging to do any substantial investing with such a short term goal.

[HipGnosis]

High-yield, on-line savings account.

That's an oxymoron.

[TheThirstyStag]

I'd like to echo what has been said here.  Captialone360 or Ally is probably the way to go.  The money is pretty liquid (You can have it in a manner of days and it takes 30 seconds to request).