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The ownership and use tests of Section 121 require that you own and use the home as your principal residence for two years (out of the last five) leading up to the closing of the sale to qualify for the home sale exclusion.

 

See https://www.irs.gov/businesses/small-businesses-self-employed/sale-of-residence-real-estate-tax-tips

 

 

Depending upon the circumstances, however, you may qualify for a partial exclusion of gain.

 

See https://www.irs.gov/publications/p523#en_US_2020_publink100073096