period to avoid capital gain tax

[Helen Lee]

We bought our new house before selling the old building. We used to live in that building for more than 10 years. How many years do we have to sell the old building to avoid capital gain? I remember we should have three years. Is that right?

[Josh C.]

2 of the last 5 years for personal residence. You keep saying building? Is it a whole building? You have to occupy the whole thing to get the 250/500k deduction. Otherwise you’d pay capital gains on the part that was a rental or investment.