Regardless, it just makes sense to explore ways to develop new sources of down payments to increase homeownership. The maximum repayment term on a 401(k) loan to make a down payment on a home is 15 years. We should also think outside the box in facilitating other sources of down payment funds. Mutual fund capital gains distributions should not be eligible, as these are not voluntary sales by the taxpayer. Finally, we would note there is talk of eliminating the capital gains for home sales of a principal residence (currently there is a $250,000/$500,000 exclusion).