Do I pay capital gains tax when I sell a house I inherited?

Selling an inherited house can trigger capital gains tax only on appreciation above the property's stepped-up tax basis at the date of the previous owner's death, not on the full sale price. That basis reset often means little or no taxable gain if the home sells soon after inheriting it. Brian Beatty recommends confirming the exact basis and any gain with a CPA before listing an inherited property.