401k withdrawal for REI

[Patnaree Conrad]

Hi I am new and still learning about REI, I have been listen to BP podcast for a couple months and I think it is time For me to do an Action. My case, I want to do long term rental ( at least to start) so I dont have much cash for 20% down payment. So I am thinking to use 401k withdrawal for my 20% down payment. I work alot overtime so I keep that money for my reserve fund. I already own primary residence and cannot move out yet due to my daughter school. Any recommendations on this? Pls help. Thank you so much in advance!!!!!

[Jona Santiago]

I would look at taking a 401K loan instead of withdrawal so you don’t have to pay taxes and the interest you pay, you pay it to yourself. Talk to your fund advisor.