Millennials use retirement funds to buy their first home

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I don’t think a lot of people in BA do this. The 401k amount is probably insignificant compared to the downpayment. Also, if you change jobs (which is very common here), you’d need to payback the loan in full.

I took out loans against my 401k when I bought my first house. Back in 2011 that could be a significant part of down payment. No more jose.

Buying a house is a much bigger priority than retirement

You bought your first house in 2011?

Yes. Back then there were bidding wars already.

Best time to buy in history

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Bought my first house in 2009, already tons of bidding wars. Took us 10 months to land a place after many offers and things falling out of contract.

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I lost 4 bidding wars in multiple cities. Looking back of course we should have gone all in and put out crazy bids. Didn’t have the experience I now have. I was very bitter after losing and blamed sellers for being greedy. That’s just nonsense. Willing buyers and willing sellers, everyone is right to be “greedy”. Luckily I learned my lesson.

Well… currently, anytime prior to 2018 was a good time to buy. You still make money if you bought in 2017. Even at the last peak in 2007, it would have been a great buy! So if you are buying for the long term, ASAP is the best time to buy! :slight_smile:


Isn’t stock going up faster than houses? I thought 401k would be growing faster than down payment requirement.

Retirement accounts can’t use leverage. Also many (most?) companies’ 401k investment selections suck.

Usually sp500 index is available in 401k.

You bought your 1st house in 2011 and now you are losing 500k a day, what an accomplishment!

@manch bought his 1st house in 2011 doesn’t imply he could afford his 1st house by that time. He was one of the bubble sitter waiting and got all in at the rock bottom. But still, I agree it is an accomplishment to be able to lose that much today :rofl:

I have seen very few millennial maxing out their 401Ks