US President Donald Trump meets with the Filipino President Ferdinand Marcos Jr. (not shown) in the Oval Office of the White House in Washington, DC, USA, July 22, 2025.
Kent Nishimura | Reuters
President Donald Trump said that the administration mentioned that the capital gains taxes end to the turnover of homes in order to increase the real estate market.
When Trump was asked about the idea in the Oval Office on Tuesday, Trump said to reporters: “We are thinking about it.”
“If the Fed would lower it [interest] Interest, we wouldn't even have to do that, “he said.” But we do not think about a tax on capital gains for houses. “
According to applicable law, home sellers can be exposed to capital gains taxes as soon as the profits for individual filers or $ 500,000 for married couples who submit together exceed over 250,000.
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Trump's comments come about two weeks after Rep. Marjorie Taylor Greene, R-GA., The NO taxes have introduced the law on sales of homes to eliminate capital gains taxes on sales with primary homes.
“Homeowners who have lived in their houses for decades, especially seniors in places where values have risen should not be forced because of an IRS penalty to stay in an IRS penalty,” she said in an explanation. “My invoice releases the equity, helps to repair the lack of housing and supports long -term financial security for American families.”
However, the proposal could be expensive, and it is unclear whether the measure has a broad support of the congress, say experts.
“I think this could cause some interests, but they increase the exception to completely eliminate the tax,” said Howard Gleckman, Senior Fellow at the Urban-Brookings stadium, to CNBC.
Who pays capital gains for sales with homes
The capital profits of 250,000 and 500,000 US dollars issued in 1997 have never indicated for inflation – which apply to sales with primary home.
Since 1997, the median sales price of homes has increased by almost 190%from around $ 145,000 to around $ 417,000 from the first quarter of 2025, according to the Federal Reserve data.
With increasing home values, certain people, such as long -standing homeowners, exceed the thresholds of 250,000 and 500,000 US dollars with greater probability that capital gains taxes could trigger, experts say.
If the sales gain exceeds 250,000 or 500,000 USD, capital profits will be achieved 0%, 15%or 20%depending on the taxable income. According to IRS, these threshold values of excess profit can also trigger the so -called net investment tax of 3.8%.
Around 29 million homeowners (34%) could exceed the threshold of 250,000 US dollars for individual filers, and 8 million (10%) could be above the 500,000 dollar limit for married couples, according to a 2025 study. The organization has long campaigned for the reform of capital profits for the sale of homes.
Homeowners in states such as Washington, California, Utah and Massachusetts are more affected, according to Nar -data.
However, many homeowners do not recognize that it is possible to reduce their sales gain in their own home by adding the original purchase price so -called capital improvements such as the renovation of homes.
If capital gains taxes were eliminated for the sale of homes, the measure would mainly benefit the older and wealthier sellers on Tuesday from the Yale University's budget laboratory.