Loans made agaisnt 401K plans are repaid over time through payroll deductions. In fact, if you take out a loan on your 401 while employed , then quit the job the loan becomes due and paybale by you in full.
You may be able to do a "WITHDRAWL" from your 401 to buy a home, but before you do talk to your tax professional to make sure you do not run into trouble.
Best of Luck!
Kawain Payne, Realtor
This is a common way for buyers to get a down payment. Most plans do not require "hardship" for a loan. You will need to repay yourself with interest.
Best of Luck,