Troy (single) purchased a home in Hopkinton, MA, on January 1, 2007, for $300,000. He sold the home on January 1, 2016, for $320,000. How much gain must Troy recognize on his home sale in each of the following alternative situations? d. Troy rented the home from January 1, 2007, through December 31, 2011. He lived in the home as his principal residence from January 1, 2012, through December 31, 2012. He rented out the home from January 1, 2013, through December 31, 2013, and lived in the home as his principal residence from January 1, 2014, through the date of the sale. Assume accumulated depreciation on the home at the time of sale was $0. Gain recognized? The answer is not $28,571 The answer is not $4,375