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Updated over 3 years ago,

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Capital gains and short term renting

Posted

I have a friend who wants to rent our property and we're willing to give them a reduced rate while they look for a home in our area since we are travelling.  We are also in the process of selling and moving to a larger home so they are essentially covering our mortgage while we travel.

My question is, since our house has appreciated $170k since we purchased it 5 years ago, do we lose the capital gains exclusion if we rent it to them for a few months in the interim.

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