Yes, it sounds like you qualify for the Partial Exclusion (assuming you have not excluded another home in the last 2 years).
That link from Nolo is poorly phrased, or even outright wrong (like several other Nolo articles I've seen).
The reduce maximum exclusion is prorated on time you lived in it versus a 2 year (24 month or 730 days) basis, but it is still based on the 5 year lookback period.
https://www.law.cornell.edu/cfr/text/26/1.121-3#gI agree that it doesn't make sense to allow an exclusion after renting it out for 3 years, but the "safe harbor" allows it (in the past I had misread the rules, but the "safe harbor" overrides the other rules).
