Does this qualify under unforeseen circumstances on a home sale less than 24 months apart?

[Ck37421]

Person A sold her primary home in May of 2020, and the tax exemption was taken, and a bigger home was purchased that same month. The purchase was made with the understanding that person B, their fiancé, was moving in and when they got married in October 2021 the then husband would be added to the deed once married. The engagement was dissolved in September 2021 and without person B contributing to the expenses person A could not afford the expenses. So the home was sold in November of 2021 at just shy of 18 months. From what I understand, because the broken engagement could not have been reasonably anticipated, the sale is by reason of unforeseen circumstances and person A is entitled to claim a reduced exclusion under section 121(c)(2). Am I correct in my understanding? (Yes there was a gain in value in the 17 months)

[DavidD66]

Person A would probably qualify for a partial exclusion as an unforeseeable event.  While it wouldn't qualify based on one of the standard requirements, it may qualify for an exception. According to the IRS:

"You may qualify if you can demonstrate the primary reason for sale, based on facts and circumstances, is work related, health related, or unforeseeable. Important factors are:

• The situation causing the sale arose during the time you owned and used your property as your residence.

• You sold your home not long after the situation arose.

• You couldn’t have reasonably anticipated the situation when you bought the home.

• You began to experience significant financial difficulty maintaining the home.

• The home became significantly less suitable as a main home for you and your family for a specific reason.