I’m 41 years old and currently a 45% partner in two commercial properties in the Bay Area. One partner that owns 10% is around 60 and the other 45% owner is 50.

We have a 20 year locked in at 3.9% and it will feel in 16 years.

We don’t plan on doing anything but leasing it until it’s fully or close to fully paid off to take advantage of the interest rate.

At that point, I think it might be best to sell and we could all complete some kind of a 1031 exchange.

If I were to purchase a vacation rental, rent it out for three years or so and then move into it and make it my primary residence for two years, would I owe any capital gains tax?