Do I pay capital gains tax when I sell my home?

Selling your home can qualify for a federal capital gains exclusion if you owned and lived in it as your primary residence for the required period, which shelters most or all of the gain for many owner-occupants. Investment or second homes do not get that same exclusion and are taxed differently on any gain. Brian Beatty recommends confirming eligibility and any taxable gain with a CPA before listing.