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One thing in the article isn't completely correct - if you loan from your 401k it isn't always repayable immediately upon job loss - this depends on your individual plan and some plans (at least for bigger companies) do allow you to keep repaying the loan after you left the company, which basically means that you won't have that money growing while it's missing in your 401k for your retirement, but it also means you can use it for such purposes as a down payment without having to pay interest to a bank.

As long as you have some contingency/emergency fund other than the 401k I think this is a viable possibility if you want to move into a house quicker rather than later with the current interest rates.
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