Does Depreciation Work With a House Hack?

[Satish Subramanian]

If I buy a 3-flat in Chicago and live in the top unit, can I depreciate the entire building normally as I would as if I was an investor who did not live in? If not, would I be able to depreciate 2/3 of the building?

I'm trying to decide between 2 options: 

1) live in for 2 years and then sell within 5 years, to avoid paying capital gains

2) live in for 1 year, keep as a longterm rental, and then buy another place to house hack in

Any advice/recommendation on this decision?