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Can I Use My 401(k) to Buy a House? Yes, Here’s How

Redfin

The difference between these two accounts is that traditional 401(k) contributions are pre-tax, so youll be taxed once taking them out. For example, you may qualify for a hardship withdrawal to cover your down payment or closing costs. Can I use my 401(k) to cover closing costs? Can I use my 401(k) to buy a house?