Yes, there is an exception to the Early 10% Withdrawal Penalty for withdrawal's from IRA accounts for First-Time Home Purchases (no home ownership in prior two years). This exception has a lifetime limitation of $10,000 per taxpayer. You will need to file Form 5329 to take the exception.
Keep in mind, even f you meet the qualifications to waive the 10% Penalty, the withdrawal is still included in your taxable income for the year.
Check out the TurboTax FAQ below for more details:
https://ttlc.intuit.com/replies/3301632
