@Carl wrote:
@Opus 17
As long as the home has been your main residence for at least the past two years, and you sell it within two years of beginning renovations, you will be able to exclude the first $250,000 of capital gains from taxation, or $500,000 if married filing jointly.
I'm not following and totally agreeing with the above. Why do they have to sell it "within two years" of the start of renovations? Why can't they sell it 2 years and 6 months after beginning renovations? They're still within the "2 of last 5" rule if it was they primary residence for at least 2 years before starting the renovations.
I think you're right, I seem to have combined the 2 years needed to convert the construction loan into a mortgage and the 3 years to sell needed to meet the 2 out of 5 rule.
