One in 10 homeowners used retirement savings for down payment Boston 25 News [Video]

BOSTON — As housing prices rise, a new report reveals the surprising number of buyers who dipped into their 401(k) to own a home.

Nearly one in ten homeowners used retirement savings for a down payment, according to a survey from the consumer financial services company Bankrate. The median price of a house in Greater Boston hit $900,000 earlier this year.

“It’s just a reflection of how difficult it is to afford a home right now,” said Bankrate Analyst Jeff Ostrowski. “The notion of tapping retirement savings is not new. It’s just that it’s much more tempting now.”

Younger homeowners were more likely to have used retirement savings for a down payment, Bankrate found, with 16 percent of Gen Zers and 12 percent of millennials dipping into their nest eggs to buy property.

Because of penalties and taxes, Ostrowski said using retirement savings for home ownership should be a last resort. …