Hate to give you this bad news--taking money out of a 401k for a home purchase is not an exception to the early withdrawal penalty like it would be with regular IRA. You are subject to the early withdrawal penalty plus ordinary income tax on that money you took out of your 401k even if you used it for buying a house.
**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**
