Best Options for Upgrading to a New SFH?

[Bob Asad]

If I live in a $600k SFH and have around 50% equity but want to "upgrade" to a $900k SFH, what would be the best option?

I was told by the bank that I couldn't do a 1031 because it's a primary residence, and 1031 are only for investments.

But I also don't want to sell and lose 20-30% on taxes (lived in the house for 2 years)

What's the best route?

Put 5% on the $900k SFH and rent out the $600k?