Yes, you can use your 401(k) to buy real estate , but the method you choose depends heavily on whether you are buying a home to live in or an investment property. For a , most people use a 401(k) loan or a hardship withdrawal. For investment properties , you typically need a self-directed 401(k) or a Solo 401(k) to hold the real estate as an asset within the plan. 1. Tapping Your 401(k) for a Primary Residence
If you are buying a home for yourself, you generally have two paths to access your existing employer-sponsored funds. How to turn a 401(k) into real estate in 5 steps
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