Your Roth IRA can help fund a home purchase. Here are pros and cons

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You probably know a Roth individual retirement account is one way to save for your post-working years. 

It also may come in handy for certain homebuyers.

Basically, up to $10,000 in Roth IRA earnings can be withdrawn — free of both taxes and penalty — for a home purchase if you meet certain requirements. That’s in addition to being allowed to withdraw your direct contributions at any time, because you already paid taxes on that money.

As home prices continue their upward trajectory, the amount of cash needed to purchase one continues to rise, as well. While it’s possible to buy a house with less than 20% down — the average is 12% overall and 6% for first-time buyers — going that route also might mean paying private mortgage insurance, or PMI, until your equity is at least 20% of the home’s value. PMI can

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