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I have most of my savings in 401K, and rollover IRA and a small amount ($6,000 which is less than my contributions to date)in Roth. I have some meager savings in non-retirement accounts. I am planning to buy a house this summer and was looking for advice on the best sources to raise down payment and settlement costs. I am single,in my mid-30s, Calif. resident, in a combined Fed+state marginal tax bracket of 39%. I prefer not to dip into my non-retirement account as it is just sufficient for a rainy day. I want to avoid low-downpayment loans with their PMI and higher API.

What would be the best strategy for me to raise downpayment money and minimize my outgoings net of tax? Some of the options I am considering are: borrowing from 401K, withdrawing from IRA, withdrawing all of Roth.
What are the tax conequences of these choices?
Are there any special tax breaks for withdrawing funds from IRA towards purchase of a first home?
Any special tax breaks for CA residents?
Any options I have not considered?
Are there good Web sites or books which discuss the pros and cons of various options?

Thanks in advance for your time and willingness to share your expertise.

Happy New Year to all.

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