Depends, how much do you need to put towards the house? If you only need $50K then I would roll it all over to your 401K then take a loan out of your 401K to buy your house. This is a tax free benefit for first time home owners only, you pay interest on the loan back to yourself into your 401K. $50K is the max loan size you can take from your 401K for this.

If you need like $150-$200K then Your best bet would probably be to sell $300K of it, save 20-25% for taxes and use the rest for your house… roll the remaining $100K over to your own retirement account.

I would aim to sell as little as possible to limit your taxes. Only sell what you need to cover the down payment and your taxes, roll the rest over to your own retirement account.