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ToolGal,
I saw that this post had aged quite a bit, so I did some research for you.
The people who sell liquid vinyl siding certainly sing it's praises. I can't find too many satisfied customers, though. Most people are skeptical. I think the main point is that no matter how well the coating works, if it ever gets a hole, tear or peel in it, the wood behind it will be vulnerable to rot. With traditional vinyl siding you don't have this to worrry about.
If you want something that will last longer than paint, it might be an option. But don't expect it to last the life of your home, I think that might be a little too ambitious.
Or have you already decided?
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