1031 exchange clarification

[Leta Eydelberg]

We are preparing to do our first 1031 exchange in the next couple of months. We read all the standard descriptions and begin to get clearer picture, but have an additional complication and are not sure how it changes the picture.

In 2015 we bought a triplex. We moved into one unit and rented two others for 2 years. After that we moved out and rented the unit we lived in for another 2+ years. Now we are selling this investment property and trying to figure out how to proceed with 1031. If I understand correctly, we can have a third of the gain excluded from the capital gains taxes since we lived there for 2 years? Then what does it mean for 1031? Can we exchange only 2/3 of the property?

We don't have CPA yet and when we tried to consult couple of CPAs recommended to us, it was clear they have not dealt with investments and were not sure what to say, so we are not comfortable hiring them.

Any clarification would be greatly appreciated!