Short Term Cash Investment for down payment on house

What is the best investment/choice for short term savings (12-15 months)?  We are buying a home and we have about $7000 cash.  We anticipate adding to this over the next year.  Should we just place in savings?  Under mattress?  Thanks.




I am not a USAA Advisor, nor a USAA Employee. I am just a Member like you.


That said, the subject of Personal Investment is too complex to give you a simple answer. This forum has Moderators whom are Financial Advisors whom may be better able to answer some your questions.


A key bit of advice that I can give you is that you should not start any Investment without talking to a financial advisor first.


Also the only real help I have for you are the following LINKS which should answer some of your questions.


1. USAA - Certificate of Deposit Rates


2. USAA Savings Accounts - High Interest Savings Account


3. USAA - Financial Advice Blog (maybe you could post your question there)


4. How to Find the Best Savings Account in 2014  **(External Link)


I hope I have helped you.


Thank you for your question! Because giving you a detailed answer would require more personal information from you and your specific situation, I encourage you to contact a member representative using the CONTACT US button on or by calling 1-800-531-8722. They are more equipped to answer your investment questions. Thank you

When I have called and talked to USAA financial advisors in the past, I was always told that with such a short time horizon, you should not be looking at "investing" that money at all. It should be kept safely in a liquid account like savings or money market because you don't have the time to recover from any market volatility.


BTW, I hope you will have more then $7K in the end to put towards a down payment. With all of the fees associated with getting a mortgage, that won't go very far!