Owner occ tax rules/ disabled parent

[Scott Smith]

Hi Folks - Alright, here's the context:  myself and family are building a spec home.  Selling our current residence now.  Moving into our rental property while our future residence is being built. Expect to be there for a year. Grandma who is certified disabled/dependent lives in a house we own.  I'm considering selling her residence in a year, and moving her to the rental once we're out.

1st: Disabled parent has been in her home for ten years, the sale of that is tax free/owner occ correct? (Deed is in my wife's name)

2: If that is true, we want to sell her current residence, move her into the rental when we move out. (Roughly year from now)

3:  If I reside in the rental for a year, then disabled parent resides there for a year, is that the required 2 years of owner occupancy?  Or is it 2 years per party?

Thank you in advance, the expertise is appreciated.