I have an option to purchase a small commercial building at a price below appraisal. This property will require 100 K to rehab and make like new... I can rent it at 14 per square foot at triple net... This will create a cash flow of about 1600 per month.

I would need to take the money out of the 401k and pay taxes but not penalty.


I would have approx 102K left in the 401k AFTER this deqal is done...

Is a return of 1600 per month of passive income worth the 100k I WOULD TAKE FROM THE 401k ?>

What is your rate of return ( interest) on your 401K, first you are having to take out 130K to get 100 to spend ( your taxes)


Also if this deal is that good, you should walk into any bank in the US even with medium credt and get a loan for ths.