Referring to article written by Kelsey Heath, she says: a second home can be converted into primary residence and therefore, would qualify for a primary residence capital gains tax exclusion. To qualify for the exclusion, you must meet both the ownership and use tests. This means you must have owned the home and lived in it as your primary residence for at least two of the five years preceding the sale, but the two years do not need to be consecutive." I currently am in the process of selling my Huntington Beach Ca home. We have owned the home for 5 years now. I am a resident of Utah. In the past 5 years, we have spend between 45-50% of our time at this home here in Huntington Beach, which would mean in the past 5 years we have lived here more than 2 years. Would this not qualify for the reduction of capital gains tax along with the real estate withholding exemption?