Wife and I found an incredible home, have some questions about 401(k) withdrawal.
Basically, we fell into a really lucky window to buy a home. We found one we love at the higher end of our budget in a great location. Inspection was yesterday and the house basically couldn’t be in better condition. We feel very confident about this house and it could possibly be a forever home.
We want to withdraw from a 401(k) to ensure financial security after closing but there is so much uncertainty in the rules. How does the company verify your need? What if we request a certain amount and then negotiations and terms change before closing? We want to withdraw a little extra to be sure but don’t want to get in trouble later on. Can anyone explain this part of the process? Not seeing any posts that specifically discusses supporting documentation or possible audits and/or penalties.