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BF and I are planning on purchasing a condo once he is finished with school in spring '05. We both will be 28. I currently have a little money saved for retirement; he does not.

We are currently are contributing to our tiny condo fund and doing a lot of window shopping. We look at condos in the area so that we can determine what we like and what we don't like.

We were discussing how much money we could save before that time. I was thinking I would stop paying extra on my small student loans and just bank the cash. I also said that I would like to not touch my stocks or my IRA because I wanted to leave those for retirement.

BF disagrees. He thinks that I should cash out my v. small IRA (my only retirement vehicle right now) and liquidate my few inherited stocks so that we can have a larger downpayment. He believes that a condo is an investment that will go up in value more than the stock market. (I think he is repeating his parents' logic: His parents have poured all of their money into a huge house because of the investment value. He already knows I do not want to pay to heat/clean/decorate a huge house, and is on board with that.)

His logic makes me nervous and I was hoping that someone could help me articulate it.

Can the Fools please help me explain my point of view that cleaning out the retirement account is not a smart idea? Are there facts that show that the stock market is a wise investment over putting all of your investment hopes into a house? Am I being too skittish? I already tried the "A house is a roof over your head not an investment" approach, but because of his folks' apparent success, this isn't an effective tactic.

He's usually very open-minded and I know he's interested in why I feel like this. But I'm having a hard time explaining why my gut says that there is faulty logic here.

Thanks for your help!
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