Taxation when selling owner occupied Duplex

[Peter Morgan]

Hello

I would like to know how does the taxation work when selling an owner occupied Duplex.

There are two scenarios here,

1) The rental unit has similar square footage as the owner occupied unit.

2) The owner occupied unit has more square footage for example it’s double the square footage of the rental unit.

How does the taxation work in both scenarios? Is 1031 exchange still worth it in scenario # 2

Appreciate your inputs.

Thanks

[Basit Siddiqi]

@Peter Morgan

You are eligible to take advantage of section 121 exclusion on the unit that you lived in.
You are eligible for 1031 exchange / QOF for the unit that you did not live in.
Whether you decide to do 1031 or not depends on the amount of gain and whether you will be able to find a replacement property in time.