How the Tax-Free Home Sale Exclusion Works

How the Tax-Free Home Sale Exclusion Works

Author: Sam Dogen: Financial Samurai founder, personal finance blogger August 28, 2025 Duration: 9:52

In this solo episode, I want to clarify how the tax-free home sale exclusion works. For those who want to move back into their rentals to then qualify after two years, there is a pro-rated amount you need to implement. 

See this post for more details: How To Use The Tax-Free Exclusion Amount Every Two Years To Save On Capital Gains

(https://www.financialsamurai.com/how-to-strategically-use-the-tax-free-home-sale-exclusion-every-two-years/)

Subscribe To Financial Samurai 

Pick up a copy of my USA TODAY national bestseller, Millionaire Milestones: Simple Steps to Seven Figures. I've distilled over 30 years of financial experience to help you build more wealth than 94% of the population—and break free sooner.

Listen and subscribe to The Financial Samurai podcast on Apple or Spotify. I interview experts in their respective fields and discuss some of the most interesting topics on this site. Your shares, ratings, and reviews are appreciated.

To expedite your journey to financial freedom, join over 60,000 others and subscribe to the free Financial Samurai newsletter. Financial Samurai is among the largest independently-owned personal finance websites, established in 2009. Everything is written based on firsthand experience and expertise.


Money isn't just about numbers on a screen; it's the tool that carves out the life you want to live. On The Financial Samurai Podcast, Sam Dogen digs into that reality with the same direct, experienced perspective that built his influential personal finance blog. You'll hear conversations that go beyond basic tips, focusing instead on the strategic decisions and mental shifts required to build genuine wealth and security. Sam explores the intersection of career, investing, and lifestyle design, drawing from his own journey and insights from various financial trenches. This isn't about get-rich-quick schemes, but about developing a sustainable and intelligent approach to your finances. Each episode feels like a candid discussion with a knowledgeable friend who isn't afraid to tackle the tough questions about risk, opportunity, and what "financial freedom" actually means for different people. Tune in for a podcast that consistently challenges conventional wisdom, offering actionable advice for making your money work harder so you can focus on living better, on your own terms.
Author: Language: English Episodes: 100

The Financial Samurai Podcast
Podcast Episodes
Why You Could Make More In Retirement Than While Working [not-audio_url] [/not-audio_url]

Duration: 16:04
One of the biggest reasons I was against contributing to a Roth IRA is my belief that most people won't make more money in retirement than while working. As a result, they're unlikely to pay a higher tax rate in retireme…
What To Expect In 2025 For Stocks, Real Estate, And Financial Samurai [not-audio_url] [/not-audio_url]

Duration: 13:46
Happy New Year everyone! I hope you're enjoying the time off and doing some reflecting. I've returned to San Francisco after eight days of being in Oahu and am ready to relax some more! Here are some quick thoughts about…
How To Increase Your Chances Of Getting Into A Top College [not-audio_url] [/not-audio_url]

Duration: 47:31
I speak to high school principal, John Durante, about his latest book, Straight From The Admissions Office. We also talk in depth about how high school students can boost their chances of getting into a top college. John…
The 4% Rule: Clearing Up Misconceptions With Its Creator Bill Bengen [not-audio_url] [/not-audio_url]

Duration: 46:58
I had the pleasure of speaking with Bill Bengen, creator of the "4% Rule" for retirement planning. Bill has been a reader of Financial Samurai for many years and has always been courteous in the comments section when I w…
Investing In Fine Wine And Whiskey With Anthony Zhang From Vinovest [not-audio_url] [/not-audio_url]

Duration: 38:17
Investing in alternative assets has become an increasingly popular way to diversify beyond traditional stocks and bonds. Wine and whiskey, in particular, are gaining traction due to their potential for strong returns, re…
College Admission Consulting For High Schoolers With Alice Chen [not-audio_url] [/not-audio_url]

Duration: 39:47
If you have children, you likely want to provide them with the best education possible, which may include helping them get into a top college. Along the way, you may come across college consulting services and wonder how…
Maximizing Real Estate Returns In A Multi-Year Rate Cut Environment [not-audio_url] [/not-audio_url]

Duration: 45:01
I speak to Ben Miller, CEO of Fundrise about investing in real estate during a multi-year rate cut environment. With the Federal Reserve finally cutting rates in September 2024 after raising them in 2022, real estate sho…