In my opinion it's generally a good idea to make the sale process as frictionless as possible.

It has great cash flow potential which I will then roll over into buying properties of my own to rent out.

NOTE:  I am aware of the rollover aspect of the 401K into an IRA once I leave my job.  

That will need to be replaced and this is the easiest and most friction less way to get it covered. 

If it's stuck with your employer you won't be able to, but when you leave and roll over to an IRA, real estate can be an option.

You may avoid the taxes if you deposit the funds in an eligible retirement plan (which includes anIRA) within "3 years and a day" of the date of the COVID-19 distribution (note: compare to a 60-day rollover).

You may avoid the taxes if you deposit the funds in an eligible retirement plan (which includes anIRA) within "3 years and a day" of the date of the COVID-19 distribution (note: compare to a 60-day rollover).

@Sandy EugeneIf the money is in your current employer plan and you saved the money from working for your current employer, you generally can't take the funds out of your 401k until you quit your job.As an alternative to taking a distribution from your 401k, consider the following:If you are self-employed (i.e. active self-employment earned income separate from your w-2 income) with no full-time w-2 employees, you can set up a Solo 401k and then rollover your 401k funds once you leave your current job.You could then take a loan of up to 50% of the balance not to exceed $50,000.

@Justin JohnsonIf you have a qualified annuity (annuity inside of a retirement account) - you can liquidate it and rollover your retirement account into self-directed IRA.

You may avoid the taxes if you deposit the funds in an eligible retirement plan (which includes anIRA) within "3 years and a day" of the date of the COVID-19 distribution (note: compare to a 60-day rollover).