Best way of paying for a Down Payment & Closing Costs?

[Andrew Savage]

Hi all,

Wondering if anyone has any advice for the best way of paying for a down payment for an out of state investment (not owner occupied).

I'm in contingency for a $200k property that I'll be putting 25% down on so I estimate close to $60k in upfront costs.

I have the following pools to choose from:

• $20k in savings
• $28k in a self-directed Roth IRA (18k of which is principal)
• and almost $100k in a company sponsored 401k

I've heard various things this year with regard to opportunities to pull from 401k without penalties, but I'm still unclear on all the ramifications. Similarly I've heard about advantages of funding investments through self-directed IRAs. 

Does anyone have any up to date advice on what would be most beneficial with the fewest penalties/issues involved?

Thanks!