Submitted by Treehighsky t3_y18qv9 in personalfinance
The title explains the situation. I've saved about 40k for a down-payment and would like to transition that money into my investment portfolio. My idea is to DCA it into an index fund like SPY.
My questions are:
1 - From what I have read recessions last from 10-24 months. My thinking was to invest 5-10% a month so I can invest my entire downpayment on the down turn of the index and hopefully capture the gains on the other side. What % of my money should I invest monthly to optimize towards investing all of my down-payment money during the recession?
2 - What index fund would you all suggest?
3 - My current expectation is to be back in the home shopping market in about 2-3 years. Would the above strategy work for that timeline?