OK seriously, cash is a hot topic lately. The question should be: DO you want your wealth sitting in cash at the moment? More specifically, do you want your wealth in cash in US dollars?

Although we do see a downward trend, home prices are sticky so if you’re a real Pigg and waiting for the bottom it won’t be for at least another year and probably another several years.

If you have a good chunk saved for a downpayment and aren’t buying until you feel home prices have reached equilibrium with fundamentals, the value of your cash likely will decline alongside the price of homes. If you’re sitting on a pile of “downpayment” cash I strongly recommend you consider putting it in a place which will help to preserve or increase value.