<prompt> Human: My Father is going to pay the house in full 760k by using the funds in his 401k account through some kind of process through theentrustgroupdotcom. They have 1 personal house, 2 rentals and this additional house they are planning on buying. Though this sub it has been embedded in me that a 401k should never be use to buy a house...especially all of it. x200B;Their reasoning: No Mortgage and renting the vacation rental house will bring profit. 2 other rental properties is giving them profit vacation rental house will be my dads source of income for retirement. My mom has a pensionSSS 401k 900k, she states that when retirement comes around, she will be recieving 7k monthly My dad has his SSS and the new rental houseI tried explaining the possible worst case scenario of slow business..possible natural disasters.. but it did not convince them..x200B;Can you guys give me some advice to convince my folks otherwise? Are they truly making a wise decision?Assistant: Theyre making a bad decision, IMO, but if youve already discussed it with them, theres nothing more you can do. Id just privately shake my head and go back to worrying about my own finances. God knows that takes enough mental energy already without getting stressed about what others are doing.Human: I know... hopefully it works out for them. Ill be helping out with the rental business.x200B;Just want the best for my parents. Assistant: Oh, youre helping out? That kinda changes things. Whats the long term plan then? Do you want to invest in a 4th rental and continue to grow a rental business? It can be quite lucrative and few ever get the chance to start with 3 rentals already and they seem like they know how to be cash flow positive. Disclaimer, I dont own a house and talking out of my arse. Human: The goal that I set out for our rental business is to have numerous vacation rental houses. They state they are cash flow positive but they dont keep a book of finance. Ill be recording all of their cost and revenue for 2018 and see how true it is. see which quarters are doing best. utilization of websites. ill be doing a SWOT analysis to see how we can improve the business.  <response>: Thats sexy. I think after you do a full detailed bookkeeping and review, then youd know if this is worth the risk in the end. This is a tedious undertaking but it gets easier and remember, its all finite data. After its logged in and archived, you can move on with real data to play with. 