Tax Implication of Selling Primary Residence/Rental Property
Hello Guys,
I bought my first property in September of 2015 as a primary residence, and converted it to a rental property in September of 2017 (2 years later). I am planning to sell the property in April of 2020, but worried of the tax implication. I know there's a tax exemption on the first $250k in profit if I lived in the house for at least 2 years (this I do qualify for). Question-- How does the fact that I held onto the property for 4 years and 7 months before sale (primary residence + rental time) affect my future taxes? Do I still qualify for this $250k exemption even after 4 years and 7 months of ownership or does the additional years nullify this rule in my case?
Pls note, I do not want to do a 1030 exchange because I do not want to fall under the pressure of buying a bad deal in 6 months or less just to meet the 1030 exchange requirement. Thanks.
Jerry.