Yes, the information above is correct, with some clarification on the fact of whether or not the home sold was considered the principal residence of both of you or just you.
If this qualifies as the sale of a home, then you would show it as the sale of a home and report the amount of qualified home sale exclusion. Since Form 1099-S was received for the sale of the home, it must be reported on the return because IRS will be looking for it on your return, but it will show 0 capital gains, as being adjusted by the Home sale Exclusion code.
If your father was just an investor and did not live in the house, then his gain is not excludable and is fully taxable on his Form 8949 and Sch D.
