Here a couple useful links to help you in your decision making. This first 2 links solely discusses using 401k as a down payment in case you decide to way your options and continue to save the remaining 401k investment.
Hope this gives you some more direction in making a wise home purchase. please feel free to contact me any time you have other real estate questions.
Not only will you pay for taking money out of the 401, but you will lose the tax deduction on the interest on the loan.
You might consider borrowing against the 401; just a thought.
You will need a Cashier's Check, payable to the Title Company, if you go that way.
Please call us so we can discuss you needs and wants.
Other than that, a cashier's check or wire transfer to the Escrow Company works.
Have an Amazing Day!
I am here to help you through the process.