Also, did you live in the house as your "primary" residence for at least 2 of the last 5 years you owned it? That's 731 days of the last 1826 days you owned it, counting back from the closing date of the sale. If you did not, then you do not qualify for the exclusion. Note also that the days you lived in it do not have to be consecutive either. But they all have to be within the last 1826 days you owned it.
