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Updated over 3 years ago,

User Stats

57
Posts
17
Votes
Justin Summers
17
Votes |
57
Posts

Just need confirmation on Primary Home Capital Gains Exclusion

Justin Summers
Posted

Okay. I think I have this right but Since I'm dealing with a lot of money Just wanted confirmation. Because it's a lot of money. 

I moved into my house as my primary residence and lived there from June 1st  2015 through June 2018  -  (3 years as Primary)

I moved out and rented out the house from June 2018 through February 2021.   (2 years 8 months as a rental) 

I decided to sell the house in Feb 2021 knowing that I only had 4 more months as a rental before losing my Capital gains exclusion

I put the house on the market for sale and MOVED back into it as my primary Home Feb 1st 2021.  ( 4 months as primary So far in 2021)

The house has not sold yet

But by moving back into it I have basically stopped the ticking clock that was pressuring me to Sell it and claim the Cap gains exclusion, right?   Basically my new Primary residence time in the house for 2021 (Currently 4 months) Gets added to my Prior primary residence time in 2017 and 2018.  

 Meaning as long as I live in the property as my primary until it sells I'm okay with my 2 of the last 5 years rule.. Hope this makes sense. 

Justin

PRIMARY June 1 2015 to June 1 20183 years
RentalJune 1 2018 to Feb 20212 years 7 months.
PRIMARY feb - June 20214 months

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