It has to be used for first time homebuyer expenses, and needs to be applied to closing on the home within 120 days after it is taken out of the IRA, so if you already closed you will be out of luck.
The law allows individuals to receive
distributions from their traditional IRAs to pay up to $10,000 of
first-time homebuyer expenses without incurring the 10% early withdrawal
penalty that usually applies to withdrawals from a traditional IRA
before age 59 1/2.
See page 24 of this document https://www.irs.gov/pub/irs-pdf/p590b.pdf
Sign In
