<prompt> Human: Im considering putting an offer on a house in DC today and I will need around 30K for the downpayment if I decide to pay for the PMI at closing in order to decrease my monthly payments. I currently have that amount but part of it is my emergency fund. I also have 9K in my Roth IRA and my understanding is that I can use that money without penalties if it is for buying a house Im a first time homebuyer. Should I use the money from my Roth IRA or emergency fund? My fear from using my emergency fund is that I wont be able to have liquid money just in case I really have an emergency plus Im sure there will be more expenses when we move but on the other hand, Im afraid I will loose my compounding power by taking the money out from my Roth IRA. I should also mention that I will be able to recover that amount once my husband starts working hopefully later this month. Also, if I put that money back into my Roth IRA, will that count towards my 2018 taxes? If so, I will loose the opportunity to add more into my Roth this year so far I deposited 600 for 2018 taxes? Note: This house is in a upcoming and growing area in DC and it is priced well. The house has a basement which we plan to AirBB to help us with the monthly payments. We would like to get in into the market currently renting before the interest rates increase even more. The real estate market in this area is really competitive and we might have to stretch ourselves if we want to get in. Thanks!  <response>: Based on what youve stated here, you cant really afford the house. It sounds like youll be emptying the coffers to get the loan and then having to rely on unreliable income to service the debt payments. A more prudent financial choice may just be to wait and save more cash or find something more in line with your financial position.For me, i would only consider raiding my retirement fund for a true life or death emergency. 