My wife and I are preparing to buy our first house. If we take out $10,000 from our 401ks ($5,000 from each) we will have enough to cover a 20% down payment.
If we put down 20% our mortgage payment would be approximately $985 a month and almost $355,000 total.
Conversely, without the 401k money, our mortgage would be approximately $1,035 a month plus 35 for PMI and just over $372,128.
This is obviously a substantial savings, however, if we leave the money in our 401k, assuming a 6% return over 30 years, that money would be worth $57,000.
My wife thinks we are better off using some 401k money for the down payment. I think we should leave our retirement alone. We would like some input from the Reddit community!
Submitted February 28, 2017 at 10:56AM by VirProbus http://ift.tt/2l8jgPs
