Can I use an IRA for a down payment?

Answered by Onias Derilus, Mortgage Capital · NMLS# 1859012 · Florida licensed mortgage broker

Yes. You can withdraw from an IRA for a down payment, and first-time buyers can pull up to $10,000 from a traditional IRA without the early-withdrawal penalty (regular income tax still applies).

Roth IRA contributions can be withdrawn tax- and penalty-free anytime. We'll help you document the source of funds so it qualifies as a valid down payment.