By Isabella Torregiani
3:40pm PDT, Jul 23, 2025
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President
Donald Trump announced he is considering eliminating the capital gains tax on home sales — a move that could offer a financial break to home sellers.
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Speaking from the Oval Office during a meeting with Philippines President Ferdinand "Bongbong" Marcos Jr., Trump shared details of the proposal. "We are thinking about no tax on capital gains on houses," he told reporters, framing the idea as part of a broader effort to address challenges in the housing market.
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Before outlining the proposal, President Trump took aim at Federal Reserve Chair Jerome Powell for keeping interest rates high, blaming him for making it harder for Americans to buy homes. "It's causing a problem for people who want to buy a home," he said. "People aren't able to buy a house because this guy is a numbskull. He keeps the rates too high, probably for political reasons." According to the president, lowering interest rates will help bolster the housing market.
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Under current tax law, which has gone unchanged since 1997, single filers can exclude up to $250,000 in capital gains from the sale of their home, while joint filers can exclude up to $500,000. Rep. Marjorie Taylor Greene has voiced support for eliminating the tax entirely. "Families who work hard, build equity, and sell their homes should not be punished with massive tax bills," she said in a statement about her bill aimed at ending the capital gains tax on home sales. "The capital gains tax on home sales is an outdated, unfair burden — especially in today's housing market, where values have skyrocketed. My bill fixes that."
