No there is not a capital gain exemption in your case. The eligibility requirements for tax exclusion requirements are:
- You must have owned the home for the last two out of five years before the closing date of the home sale. If you’re married and filing jointly, only one of you has to meet this requirement.
- You owned the home and used it as your primary residence for the last two out of five years prior to the home sale both spouses must meet this requirement if you’re filing jointly.
There are special exemptions, if you don't meet the residency requirement. However, the property must still be your primary residence and not rental property as you have stated.
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