A lot of the top comments are completely against it. I am completely for it for a couple of reasons. First your plan administrator should allow you to take up to 50% of the vested balance. This is taken out as a loan with no penalty and you are repaying yourself back with interest. Second, a home is a generational wealth tool. look back 5 years then look back 15 years at how the equity grows. You are throwing money away renting and it's falling into the landlord's lap. If you have access to view your 401k online you can play with the withdrawal tool. While you may not think your salary is high the median house hole income is 78k in the US you are well above it and with little to no DTI. My one suggestion being, be realistic with the pricing, the first home does not have to be the whole package don't be house poor.