<prompt> Human: Short story: I need 120K by the end of the day tomorrow or at a firm promise I can secure the funds ASAP and will be able to replace the money in 30-45 days. Im already tapping out family members and my bank account and there are no other sources for hard cash. There is 180K in my 401K and Im 42.I know there will be a 10 penalty, plus 20 tax. So that will be an immediate loss of 60K. Is there any recouping if I get the money back in ASAP? Can I even get it back in?Long story, we are going to lose out on a real estate deal by the end of the day tomorrow if we cant come up with the purchase price in cash. We are 120K short. Of course, we went the traditional mortgage route, our debt to income ratio is great, our credit is impeccable etc. so financing the loan isnt an issue, its another long story where the mortgage broker is at fault. Im just trying to cobble together anything I can to secure the deal at this point.We own a condo that we paid 375 for in 2006 now appraised at 710K and were going to buy the apartment below us for 460K and expand our 2br 1ba home into a 4br 2ba home, plus get exclusive yard access and another parking spot. Its a once-in-a-lifetime shot in an insane market. It would put our total purchase price of our building at 835. Add 30K in conversion costs and its 865K for a 42. In my neighborhood, this would be immediately worth 1.2M. So, a 345K profit. We are planning on keeping the home until retirement and live in a very high-value area like the Bay Area. We could secure the new property then refi in 30-45 days with a cash out option to pay back family and the retirement funds. If we lose out on this, we are going to have to pay way more than 865K for a 3br home.One more question -- how long does it take to realize the funds when you cash out?Any insights?Edited to update: Thank you for all of the replies, and youre all correct. Yes, I can convert it from an architectural standpoint, yes I need another bedroom I have 2 kids of different genders and our apt is 1200 sqft, and yes the condo association will allow it we and the seller are the entirety of the condo association. We did our due diligence here. It is an emotional decision, because we love our neighbors and our community and it was an amazing opportunity to get to stay and I wont have to move my son into his 3rd school in 3 years if we have to move out to a cheaper area. I know we wont realize the 345K now, but that would be a 345K investment into the real estate market at the cost of a loss of 180K into my 401K. Could I treat it as a conversion to a Roth then? Take the 180K, less the penalty, then when I get it back put it there? Can I even do that? I know the annual contributions are much lower so thats a huge problem over time.No matter what, this seems like a stupid idea, I just want to make sure of it.  <response>: This feels like an emotional decision and not a rational one. Unless you can take a loan from your 401k which even if you can wont be allowed to be that big you cant put the money back. So you are basically paying 60k more for the house and decimating your retirement. Youve convinced yourself you have to do this. You dont. 