Take advantage of the CARES act w/ no penalty for rental instead?

[Brandon Pomerantz]

Looking for your opinion if this is a smart move or not based on my current situation please. I am 33 and make around 110k-120k per year before taxes in here in San Diego. I qualify under the cares act to pull out of my 401k & 457b plans  without the 10% penalty.

Current assets are 110k between my three retirement accounts (401k, 457b, and roth ira) and a rental condo in University City that's worth $330,000 that I owe $186,000 on. I also have around 25k in my emergency fund in cash. I'm currently renting a place that only costs me $1000 per month which is why I'm renting out my condo since that cash flows $350 per month. I also have a pension at work that will pay me 3% of my salary per year that I work that I can start drawing from at the age of 50. No debt besides the mortgage on the rental condo and no children.

The idea is to pull the 65k out of my two accounts and possibly the 35k out of my roth ira as well and buy a rental property either in the San

Diego area or somewhere within driving distance. Depending on where the numbers make sense with a 20% down payment. I always hear it's dumb to steal from your future but that's only if you cash out your accounts and do something stupid like buy a new car or some other consumption. I would be "stealing" from my future to make a lateral move into something else for my future. I could either buy something now and take advantage of the super low interest rates or simply hold the cash and wait to see if the housing market drops at all in the next few years. Also curious if its smart to just pay all the taxes in 2020 that this triggers or spread it out over the 3 years the cares act allows for.

Thoughts? Other ideas? Thank you so much!