@Joshua KohlYou may want to consult with a tax advisor to make sure you have accounted for the eligible deductions and to make sure it was properly filed.Will you be living in the duplex?

Normally, you would only be eligible to take out the vested portion.The next thing to consider is whether or not you should withdraw from the 401K.

@Daniel M Gibson sticking to fundamentals and your "gut" is always the best course.Unlike 99% of the investors on this site, my take is that investing for cash flow is a bad idea...it creates a jaundiced view of how things work...meaning that investing is about controlling assets as wisely as possible...not immediate cash flow.I use seller carried loans routinely because I'm in for the long haul (and I don't need rental income to survive)...as long as the purchase price makes sense, I could care less about income...the concept is debt paydown and future equity.

I have my thoughts as to why Richmond has strong fundamentals and economics and is poised for steady rent growth.

My current plan is to buy 1-2 properties a year until I am eligible to retire at 50 years old (15 years).

Always buy in areas that have good economic fundamentals.

Gains eligible for deferral is clarified to be capital gains, not ordinary gains.

One important factor is the condo eligible for fha/conventional financing. 

If you are eligible for a Solo 401k, you may be able to get the best of both worlds, but it does require some self-employment activity.

I am looking into wrap around mortgages and lease option and trying to understand the fundamentals of how to pitch it to a potential seller and get a contract.