The More Homes on the Market Act has not passed Congress, and the latest reports we found show no committee vote. It would double the home sale tax exclusion to $500,000 for single filers and $1 million for couples, then index it to inflation. No date is set, so sellers should plan under today’s rules.
What Is the More Homes on the Market Act?
The More Homes on the Market Act is a bipartisan bill that would raise the capital gains tax exclusion on a primary home. Today, a single seller can exclude up to $250,000 of gain and a married couple up to $500,000. Those limits were set in 1997 and have not been adjusted since, per RealtyWire.
| Current law | More Homes on the Market Act | |
|---|---|---|
| Single filer exclusion | $250,000 | $500,000 |
| Married filing jointly | $500,000 | $1 million |
| Adjusted for inflation? | No | Yes, both limits |
Source: RealtyWire (Aug. 11, 2026). The House bill is H.R. 1340, introduced February 13, 2025 by Rep. Jimmy Panetta (D-Calif.). The Senate bill is S. 3332, introduced December 3, 2025 by Sen. John Cornyn (R-Texas).
When Will the More Homes on the Market Act Pass?
Nobody can say yet. RealtyWire reported that neither bill had a committee vote or floor vote as of August 2026, and both sit in committee: H.R. 1340 in House Ways and Means and S. 3332 in Senate Finance. We could not open Congress.gov from here to confirm anything newer, so check the bill pages before you rely on this.
Support is wide. The same report counted 174 cosponsors combined, 151 in the House and 23 in the Senate. That is a sign of momentum, not a prediction. The article adds that no Congressional Budget Office score had been published.
- Watch for: a Ways and Means or Senate Finance markup date.
- Watch for: a CBO cost estimate.
- Watch for: a narrower version, such as one limited to owners 55 and older, which NAR estimates would cost about $4.9 billion versus $46.4 billion for the full doubling.
When Will the No Tax on Home Sales Act Pass?
It has had less traction. H.R. 4327 was introduced July 10, 2025 by Rep. Marjorie Taylor Greene (R-Ga.) and referred to House Ways and Means. It would remove the $250,000 and $500,000 cap entirely, so a primary-home gain would be tax-free if the other exclusion rules are met, per Homebuyer.com’s bill tracker.
That tracker shows 7 sponsors and cosponsors and no action after referral. NAR’s capital gains page lists the two bills side by side and says NAR backs the More Homes on the Market Act. Kiplinger reported that the No Tax on Home Sales Act had not advanced in Congress.
Who Actually Pays Tax When They Sell a Home Today?
Most sellers pay none. The Tax Policy Center estimates about 95% of homeowners owe no federal tax on a primary home sale, per Kiplinger. NAR counts about 29 million homeowners, or 34%, with equity above the $250,000 limit, and says more than 13 million would owe tax on a sale today, as reported by RealtyWire.
NAR projects the share of affected owners could reach 56% by 2030 and 70% by 2035 if the limits stay frozen. These are advocacy figures. Opponents argue the exclusion mostly helps higher-income owners, and NAR estimates the full doubling would forgo $46.4 billion in revenue. We covered the first wave of this debate in Nearly 1 in 3 Homeowners Now Face a Tax Bill When They Sell.
Refer and Earn: Know a longtime homeowner who is holding on because of a possible tax bill? Our Refer and Earn program pays you $500 once the sale closes, with no fees and no limit. If they would rather sell now, we make a cash offer within 24 hours. Refer a homeowner.
How Much Tax Would You Owe? A Simple Example
Your gain is the sale price minus your basis (what you paid plus major improvements) minus selling costs. Say a couple bought for $300,000, spent $50,000 on improvements and sells for $950,000 with $50,000 in selling costs. The gain is $550,000. This is an illustration of the arithmetic only, for federal tax, not tax advice.
| Filer | Gain | Exclusion today | Taxable today | Exclusion if the bill passes | Taxable if it passes |
|---|---|---|---|---|---|
| Married couple | $550,000 | $500,000 | $50,000 | $1 million | $0 |
| Single filer | $550,000 | $250,000 | $300,000 | $500,000 | $50,000 |
To qualify now, you generally must have owned and lived in the home for at least two years, per Nolo. Rules for second homes, rentals and inherited homes differ; see IRS Publication 551 for the details.
Should You Wait for Congress Before You Sell?
Waiting on a bill with no vote scheduled is a gamble. A law could also apply only to sales after it is enacted, so a sale this year would still follow today’s rules. Carrying costs, rates and your move date are real; the bill is not.
- Run your own gain math first. If your gain is under your exclusion, the bill does not affect you.
- Keep improvement records. Receipts raise your basis and lower your gain.
- Do not time a sale around a headline. Mortgage rates matter too; see what the Fed hold means for sellers.
- Check state taxes. See our guides for Massachusetts, Tennessee, New Jersey and Connecticut.
A cash sale does not change your tax. The same exclusion rules apply, but a cash offer can give you a firm number and a closing date. Read what a cash offer is and see why 1 in 4 home sales skip the mortgage.
Inherited a home? Different rules apply, and the sale tax is often small. Start with how long you have to sell an inherited house and our inherited house guide.
The housing slowdown adds pressure. See record-low pending sales and whether home prices are falling. Review our services.
Refer and Earn: Do you have a neighbor or relative who has lived in their home for decades? Our Refer and Earn program pays you $500 once the sale closes, with no fees and no limit. A no-pressure conversation can help them see their real options. Refer a homeowner.
Have questions about the More Homes on the Market Act and your sale? Talk to the Byrd and Co team, no pressure, just real answers. Get your no-obligation cash offer. For tax advice, talk to a CPA.
Frequently Asked Questions About the Home Sale Tax Bills
What is the More Homes on the Market Act?
It is a bipartisan bill that would raise the home sale capital gains exclusion to $500,000 for single filers and $1 million for couples and index it to inflation. The House bill is H.R. 1340 and the Senate bill is S. 3332.
Has the More Homes on the Market Act passed?
No. As of the latest reports we could verify, both bills remain in committee with no committee or floor vote.
When will the No Tax on Home Sales Act pass?
No timeline exists. H.R. 4327 was referred to House Ways and Means in July 2025 and the bill tracker lists no later action.
How much is the home sale tax exclusion now?
It is $250,000 for single filers and $500,000 for married couples filing jointly, if you meet the ownership and residence rules. Those limits date to 1997.
Should I wait to sell my house until the law changes?
Not on the bill’s account. No vote is scheduled, and your own gain may already be under the current limit, so run the numbers with a tax professional first.
