Trump Administration Proposes Using 401(k) Funds for Home Down Payments

The Trump administration plans to propose a rule allowing Americans to use 401(k) retirement savings for home down payments, aiming to improve housing affordability amid high prices and mortgage rates. Currently, early 401(k) withdrawals face taxes and penalties, unlike IRAs. The administration seeks a simple process that preserves long-term retirement savings, with details and limits yet to be finalized. The proposal is expected to be announced soon, as part of broader efforts to support the housing market.