Let’s say I lived in a home for 30 years that I bought for $100k and now selling for $1mm.

I make $300k per year from salary

After $500k married allowance and $100k cost basis, I would owe cap gains on $400k putting me in the 20% cap gains tax tier.

What if

I find a cash buyer, sell for $1mm but receive $600k on year 1 taking full $500k allowance tax credit and owner finance the remaining 400k

Buyer puts 400k in 12 months CD and payout $89k annually and renewing CD until funds exhaust in year 5.

In the meantime I put 100% of my salary in deferral (invested) at my company for 5 years making my sole income the 89k therefore qualifying for 0% cap gains.

At the end of 5 years I would have paid no cap gains on the sell of the property, resume taking salary. And treat the deferred account as another retirement account to be dealt with later.

Assuming I can live for 5 years on 89k savings no problem. Does that actually work?