Does retirement withdrawel for home purchase hold some tax benefit

[VolvoGirl]

If you took a withdrawal from a IRA you can avoid the 10% Early Withdrawal Penalty on 10,000 for a home purchase if you are under 59 1/2.

[MaryK4]

If you are a first-time homebuyer (meaning you have not purchased a home in the last two years), you can avoid the penalty for early withdrawal (10%) if you use your IRA for the purchase of a home.  You still have to pay any income taxes on the distribution.  See Topic No. 557 Additional Tax on Early Distributions.