1. I want to buy a home a home in a city I plan on moving to in 3-4 years due to job situation. I want to use it as an investment property at first (to build equity and receive rental income) then once I move there switch it to my primary residence. I understand mortgage interest rates are cheaper if it is is a primary residence. But is there anything I can do with obtaining the lower interest rate since it will be an investment property converted to a primary residence? Or are there any options I have once I do convert it?
2. Even if it starts as an investment property, as long as I move into it for 2 out of the last 5 years and I sell it for profit, I can still qualify for the $250,000/500,000 capital gains exclusion, correct?
Once you move into the property you can refinance it as your primary residence, but until you actually do move into it, it'll be investment property rates. You'd have to occupy pretty immediately to get primary residence rates.