Converting rental house to primary residence for the long-term

[Chris Taylor]

Hello. We own a house we are currently renting. It’s a lovely, older waterfront home in WA. We want to move into it after renting for 2 years as our retirement ‘forever’ home. Know that ‘forever’ is unrealistic, how does depreciation recapture for the rental years work after living in the home as a primary residence for 15 or more years? Is is it realistic to think we can just sell it at that point as a regular primary residence without any rental home tax implications?  Much thanks in advance.