A 401(k) loan is paid back from your paycheck. Ask your plan how much you can borrow and what happens if you change jobs.
Ask a tax pro before you take money out. Then tell your lender, so they can count it the right way.
Can I use my 401(k) to buy a house?
Yes. You can often borrow from your 401(k) or take money out. Borrowing usually costs less, because taking money out early can mean taxes and a penalty.
More questions
- How much do I need for a down payment on a new home?It can be $0. You do not need to be a veteran or a first-time home buyer.Read the answer
- How much is the deposit on a new construction home?The deposit is as low as $1,000. You pay it after you are pre-approved and have found the home you want, and you get it back at closing.Read the answer
- Who pays closing costs on a new construction home?Often the builder. When you use the builder's lender, the builder often pays your closing costs, so you keep your savings for the move.Read the answer
- What will I spend on moving into a new home?Plan for the move itself, first-month utility deposits, and things the home may not come with, like blinds, a fridge or a washer and dryer.Read the answer