<prompt> Human: Throwaway because, shame. My SO and I are debating using my 401K savings to put 3 down on a very modest condo in a great town with great schools. We are in a very high cost of living area, and the town is one the most stable and popular in our area. Though we both have had steady jobs, the combination of growing up poor, having student loan debt and paying an arm and a leg for daycare in our area one child, no plans for more have made saving very difficult. I have a 401K and my SO has a 403B and a pension. Is it foolish to take basically all 11k after taxes out of my 401K to use as a 3 down payment? I am in my early-30s.Even with the low down payment, adding in taxes, PMI, HOA and etc our payment on a 30 year mortgage for a 250k condo will be comparable to renting. We would also have a little cushion for those oh shit the dishwasher is leaking moments. We would plan to be there for at least 5 years. So, my question: is this a foolish, short-sided move or is this just what we need to do to stop renting and get on the path to ownership? Any help is appreciated. EDIT: Thanks for all the feedback; clearly, this isnt the best idea. I think I knew the right answer but felt emotional about owning something I repeat: grew up poor. It will just have to wait for the right time! EDIT2: To be more specific about this condo, the TOTAL monthly cost PITI PMI Taxes Insurance HOA Fee is equivalent to a monthly rent payment. The condos are basically garden apartments. The HOA fee includes heat, hot water, landscaping. Owner responsibilities are limited to the interior of the condo, such as appliances. The basement is a common area with laundry and maintained by property manager. We are looking at a first floor unit, so the roof is not our direct responsibility I understand there are special assessments for maintenance. We had zero intentions of doing cosmetic updates at this point. We considered borrowing strictly to cover the 3 down payment 7k and closing costs 4k; it would have been a one-time thing. Assistant: Very rarely is this a good idea. ...Its not a good idea here. Also, its a bad habit to get into.Its better to put your heads together, figure out your monthly income vs. your monthly expenses, and find where cuts can be made, so you can save up for that down payment plus closing costs, which will likely be another several thousand. You should be able to save that in a relatively short time with some frugal living.Human: Thats a big should.  <response>: If you are unsure that you can save the money now, its unlikely you can save it later when you have all the expenses of home ownership on top of your current expenses. 