Capital Gains Tax on Primary in Florida

[Austyn Victoria]

Hey BP! I’m doing some research for my mom and I just want to make sure I’m on the right track.

She wants to sell her primary residence in Boca Raton, Florida (she’s owned it for like 15 years) so she has cash on hand to buy a foreclosure to fix up. It is fully paid off, she is not currently working so doing a cash out refi and renting it is not an option.

Is it correct that since it is her primary residence, she is exempt up to $250,000 from capital gains tax and the money does not technically have to be put into another property? She’s worried about a time limit but I think it’s because my Aunt sold a rental property and didn’t reinvest in time and now my mom is worried it’ll happen to her if she doesn’t buy another property within a certain time limit.