I run a call center for real estate so deal with this stuff all the time. 

This comes up all the time, and this is just another reason why it should not be done.

My understanding was that the proportion of time you occupied the home as a primary residence, prior to a sale, was equal to the proportion of the exemption you can claim but it sounds like its all or nothing.

Terry Welcome to Bigger Pockets and I wish you all the best in your investing journey!!

I want the full 160k through all of the pain and suffering I have gone through. 

Obviously, this is all entertainment no one on the internet knows anything about you to give you advice.  

Completed reno work in 2 months and had all 3 levels rented as midterm.

This is a great place to learn and to connect with people so take advantage of all the great resources.

What are you all seeing?

The tax bill will be spread out because you are not collecting all the money at once.