Just emailed my tax guy, probably take a while to get back to me.
Did some research and am not sure but was wondering if there are any immediate tax implications on converting former rental to my primary residence, like changing use do they consider it “sold” and “repurchased”.
Would I owe capital gains ? depreciation recapture ?
Was wondering if anyone has any info on the subject ?
Not selling .
You’ll probably have to pay the amount you depreciated the rental property as a rental property when you finally sell the property as a private residence.
IOW… the depreciation recapture as a rental will be deducted from whatever you realize as a Section 121 exemption benefit when you finally sell.
The status as a private residence might be affected by your question about converting from an investment property loan to a private residence loan.
I’d seek professional advice.