Ok, it’s been a couple years since you bought your home and now you are considering a move. Don’t forget that tax credit you probably took back when you bought the property. Yes, you have to repay it if you sell or convert your home into a rental. There is no easy way around it, you’re stuck for the time being. You must report the change in primary residence to the IRS on form 5405. If you don’t report the rental, then you’re simply not reporting income and that’s a major offense, right? If you took the credit then you got the benefit so just hang on, this too shall pass (36 months). Here’s a link if you would like to review it yourself. Or, better yet, contact your CPA.