The only way a 1099-R distribution relates to a house is if it comes from an IRA and is used to purchase a first home. In that case, up to $10,000 can be taken without the owner having to pay a 10% early distribution penalty, if they were under 70 1/2 and would have been subject to the penalty otherwise. The full distribution amount is still taxable.
If you would have been subject to the penalty, and this was from a IRA, you would have been asked if the money was used for a first time home purchase.
