My initial thought is that you are buying a business.

You can also buy the Lease package from BiggerPockets located under MANAGE PROPERTIES.I recommend tailoring your lease, but I wouldn't get too excited about it until you have some experience. 

The last thing you want to do is to buy a sub-optimal asset or location where your initial equity down payment evaporates and goes away. 

#1...don't buy a townhome or condo for an investment property. 

So, if I withdraw $60K, about 75.24% of that should come from contributions (since that’s how my balance is structured).75.24% of $60K = $45,014 → Comes from contributions (no tax or penalty)22.38% of $60K = $13,428 → Comes from earnings (subject to taxes & penalty)Taxes & Penalty on the Earnings Portion ($13.4K)Federal Income Tax (24%) → $3,219Early Withdrawal Penalty (10%) → $1,342Total Tax & Penalty: $4,562Net Cash After Taxes and Penalty Fee: $55,437The DilemmaIf I leave the money in my Roth 401(k), continue contributing $525/month, and earn 8% annually, my balance could grow to:$229,865 in 10 years$606,905 in 20 yearsBut if I buy the property, it could generate $15.6K/year in pure cash flow, plus appreciation.

@Rory DarcyRecommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

@Wynn Williams You could buy it subject to the existing mortgage, but I'm hearing about those due-on-sale clauses being exercised often now.I would structure it as a lease with an option to buy.

Investment Info:Single-family residence buy & hold investment.

Is now the time to buy?

If you are looking for turnkey properties, buying at or below lender LTV will likely not be possible because you are paying for someone else's value add/profit. but if you are adding value(Buying distressed) and adding your own value, then your possibilities open up tremendously.The mission is to limit the amount of cash in the deal.