Can I withdraw IRA funds for a first time home purchase if I purchased the house earlier in the tax year?

[HelenC12]

Yes, as long as it is in the same tax year and you are a qualified first-time home buyer.

The 10% early distribution penalty, on IRA's, has an exception for Qualified first-time home buyer distributions up to $10,000.

Per Schwab: 

• It applies to your very first home purchase, of course, but it also applies if you or your spouse haven't owned a principal residence at any time during the past two years.
• The operating word here is 'principal', because even if you've owned a vacation home during that time, the exemption can still apply.
• Also, you yourself don't have to be the homebuyer. You can also qualify for the exemption if you're helping your spouse, child, grandchild or parent buy a home.

Once you enter the distribution information from your 1099-R form, we'll help you check for any exceptions that could reduce the tax.

[dmertz]

The IRS has never provided any clarification on this.  The first-home exception only applies to a distribution used to acquire the first home.  If you already own the home, it might be difficult to establish that a subsequent distribution was used to acquire the home.