The first $500k of appreciation is tax free. The rest is long term capital gains. If you want to minimize taxes, you should sell your house every time it appre

The first $500k of appreciation is tax free. The rest is long term capital gains. If you want to minimize taxes, you should sell your house every time it appreciates in value by 500k and buy a new one. As long as you don't do so more than once every 2 or 3 years, which is how long it takes to reset the tax free increase.