Where are you parking your cash right now??

Question

Where are you putting your extra cash???

With the possibility of extra stimulus money flowing soon, increasing the amount of random cash floating around and tanking its value, where are you putting your money? Obviously most people here will say "property!!", and I get that. But with prices being sooooo high in many places right now, thats not even a great move for everyone. SO, what else do you buy? Collectables, securities, bonds, PM, etc??

George W. · Answer

I've Got an old school mentality. I like to put as much in the savings account as I can. The interest isnt good, but having easy access to cash on hand has helped me get good deals on equipment to expand my business which has given me a better Roi than my IRA or REI.

Colin Creighton · Answer

Residential RE, Undeveloped Land, and Cryptos!

Short-term cash flow: Less homes will be constructed in the next few years if raw materials skyrocket. Governments will make decisions on what to do regarding COVID mortgage deferments & evictions.

Long-term investment: Undeveloped land prices are continuing to rise in places like WV, WY, and MO.

Speculative play: Buy Ethereum (ETH) on the dips.

Parking spot for cash: Tezos (XTZ). Earn north of 4% on your money. All you need is a coinbase account.

With rates being low, parking cash in a MMA or high-yield savings don't earn you much but provide the convenience of liquidity. Right now it would be best to do something with your free cash. BUY something. Prices for nearly everything are increasing and will continue to do so.

Bill F. · Answer

I keep my extra cash in a money market fund.

Not exciting, I know, but I don't think chasing yield is 1. worth the hassle or 2. worth the added risk of illiquidity/volatility that comes with other investment vehicles.

Matthew Irish-Jones · Answer

@Chris Thomas I am parking my cash where I have always parked my cash... Real Estate.

Joe Splitrock · Answer

Stimulus money has already been direct deposited in most people's accounts. Checks are lagging behind. I was parking my money in high yield savings account, but the interest rate dropped over the last year from 2% down to 0.5%. At this point I am spending my extra cash to acquire a new property. The crazy low interest rates means the payment is lower than less expensive properties I purchased 1.5 years ago. I hate to say it, but those who are carrying debt are better off right now than savers.

Where are you parking your cash right now??

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