Hi all,
As the title suggests, I am considering various tools to store and grow my savings in order to purchase my first home. Right now I can set aside $2500 a month (and potentially increasing monthly contribution over time) and am hoping to get to $300K in about 5 years. I have read that some people think it's best to put the money in a HYSA or Money Market Fund that is more risk-averse and liquid while some suggested a more aggressive and long-term approach such as investing in an index fund like S&P500, and others think it should be a split between the two.
I want to hear what you all think, especially from people who successfully planned and saved for their down payment in the recent past. What was your approach and how did it work out in the end? If you were splitting between a savings account and a brokerage account, what do you recommend the ratio to be? What are some other tools that you think are helpful for this purpose?
Also would love to hear from financial advisors or real estate professionals. I'm here to learn and any tips are welcome.
Many thanks in advance.
(For context I am 27 years old and living in NYC. I have zero investing or financial background and have only now been thinking about saving for an apartment which I admit is quite late to the game.)