<prompt> Human: I am buying a primary home and have just enough to buy outright - it would take essentially all of my non-retirement savings to do so, but I could make the purchase without taking on debt. Is this a better option or is the more traditional route of putting down 20 and taking out a mortgage for the remaining 80 better and keeping 80 of my savings? Why? What other circumstances matter in making this decision?  <response>: Paying cash for a house is potentially a good idea if you have lots of cash left afterwards.In your case, it sounds like you might be locking up too much of your money in home equity, which is not very liquid.I would make sure to have enough cash left to have a very good emergency fund, and probably some more liquid investments.Consider say a 50 down payment, and a 50 15 year mortgage?Good luck. 