Let's assume the following:

• Sale price:  $750,000
• Purchase Price:  $250,000
• Improvements:    $50,000

The property was rented from 2005 through 2017.  On 1/1/18 the property became the owners primary residence.  It was sold on 12/31/21.  Under this scenario, there would potentially be capital gain, correct?  There would be a need to recapture some of the depreciation taken while the home was rented, no?  Forget about the value of the land for now. 

You don't come across these scenario's often and I would appreciate a kick start to my brain.  Thanks.