@Catchasoundset you don't seem to understand. the exclusion applies to the taxable gain. selling for $260,000 would likely mean your taxable gain is under the $250,000 exclusion for a single taxpayer. live in it as your principal residence and own it for any 2 years of the five years before the sale means you get the $250,000. No reason for sale required. ie that you are moving due to vandalism is irrelevant. the answer would be different if it was not your principal residence or your rented part or all of it.
