If my husband and I took some money out of our 401k early to purchase land so we can build and start farming should we be penalized that 10%

You would be subject to the early withdrawal penalty.

First its not a good idea to piggyback your question on someone else's. This can lead to confusion. You should start a new thread. So I've moved your question to its own thread.

Any in service withdrawl from your 401K prior to age 59 1/2 is subject to penalty. So I do not recommend you use your 401K for this.