Since you have not lived in the house for five years (or more) you cannot get the exclusion for the home being your primary residence for two out of the past five years. And buying another house--more or less expensive--makes no difference. The last time purchasing another home to avoid capital gains mattered was in 1997. See a tax pro for help with this.
**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**
