Capital Gains : In Contract vs Sold

I have been renting out my previous primary residence for almost 3 years. I have put it on the market for sale but do not have a potential buyer. Looking at the current market I am not very optimistic but would like to know how do the purchase date/move in date/contract date, Sale date etc. come into play to see if I can get a few extra days while I hold out hope: I signed the purchase documents for my current residence on Jun 14th and started move out on Jun 30th and completed my final move over the July 4th weekend. What is my cutoff for Cap Gains, Jun 14th or June 30th or July 4th? In case I do not complete a sale in time (Jun 14th), but have a contract to sell, does that qualify me for a cap gain exemption, assumimg the sale finishes say early July? Appreciate any guidance on the above and any other options that I may have to avoid cap gains. Any guidance is appreciated..

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Reply to
kbanala
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Somewhere between June 30th and July 4th, whenever you ceased being a resident of your old house. (Where did you sleep? That's as good a test as any.) If you bought your new place and spent two years having it remodeled before moving in, those two years count as residency in your old place.

June 14th is irrelevant.

By the 4th, maybe.

Seth

Reply to
Seth

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