Frequent Contributor
Posts: 406
Registered: ‎04-15-2011
Can I use my 401k to help me purchase my dream home?

OMG the house of my dreams just went back on the market.  Too bad I dont feel I qualify yet.  IS THERE a possiblity??

I could borrow from my 401k for home loan - currently have 30,000 not sure how much I can borrow. But my problem is that my scores dropped because I charged up on some cards and cant get them down until the end of year.  Unless I use some of my 401k money to help with this? 

 

I am in love with the house..is it a sign by it coming back up avaiable?  Should I give it a shot?  The house is listed for 109,000.  I earn in the 60s.  I do have two derogotories on my report that are from Nov 2009 (Auto repo) and 2007 (rental lease).  Too largef or me to pay off - but I'd be wiling to get into a payment plan if needed.

 

Can I do something with my 401k money to help??  I heard there is a different way of taking money out for a home loan compared to a regurlar loan so I dont know how this effects my DTI in the end.