I would like to buy a home how should I invest my money?

I want to invest my tax dollars so that I can have a down payment for a house or condo, if I put away 5,000 a year in what should I invest it in and how long will it be before I have enough for a down payment. I'm renting right now, this will be the second home for me I sold the first because of threat of foreclosure. my second question is how do I repair my credit now that I'm renting I am paying back my school loans now.

I'm on time with my rent, and student loan repayments, i have one credit card debt, I rented an apartment because I wanted to work on paying off my debts and saving for a new home. so what some of you are saying is if I put my money in a CD or certificate and continue paying off my debts( my student loan is the biggest one) and continue to pay my rent on time and keep a steady work/income history. then I should have the good credit and down payment for a home in say 5 years or less? thanks I am going to try it. and I will talk to my investor at the bank. thank you so much for all of your answers.

Credit repair can only be achieved through financial discipline and hard work. Any easy way out of a poor credit history is undoubtedly tempting, but it may lead to further financial difficulties in the future. If a poor credit history is due to circumstances beyond<!--consumer's control, and they are able to somewhat make amends to their credit records after that time, then a creditor can be requested to upgrade credit rating because of a sense of customer loyalty.

http://best-loans.awardspace.com/repairc...

Most creditors don't trust the customers defaulting on their debts, so it may be very difficult to obtain new credit. But once a person is able to demonstrate continuing income stability and prompt-->payment patterns, his situation can improve in a period of two to three years. This way, even in the case of bankruptcy, a consumer is likely to be offered charge and credit cards within a year or two if maintaining a steady income.

If you're saving for a home purchase, you need to be very conservative with your investment - perhaps a money market fund or CDs if good rates are available.

I wish my advice could be helpful.And here is a good resource.Check it up.http://homeloan.online-assistant.info/be...

Put the money into something like money market or certificates of deposit. Otherwise your gambling with the money your trying to save for the down payment. If you had any profits from the first sale you have to buy the new house in a specific timeframe or you pay higher taxes on it. Ask a tax preparer about that. Repair credit by being on time with payments. If you have credit cards, pay most off but do not close them. That gives you a good debt to available credit ratio.. which will count on your credit score. Good luck.