Bennet, Cornyn, Bipartisan Colleagues Introduce Bill to Increase Housing Availability and Affordability

Dec 3, 2025| Press Releases

Washington, D.C. - U.S. Senator Michael Bennet (D-Colo.) joined U.S. Senator John Cornyn (R-Texas) and bipartisan Senate colleagues to introduce the More Homes on the Market Act. This bill will make housing more available and affordable by amending the tax code to allow sellers to exclude additional funds from capital gains taxes, incentivizing homeowners to sell their homes and increasing market supply.

"Too many families in Colorado struggle to find affordable homes in their communities that meet their needs. At the same time, seniors are struggling to sell their homes for fear of a massive tax bill," said Bennet. "This bill addresses this problem and updates outdated tax rules so more homes can come on the market and more Coloradans can find a place to call their own."

"The American dream is rooted in owning a home and raising a family, but an outdated tax code not only prevents the next generation from being able to afford a home, but it also prevents seniors seeking to downsize from selling theirs," said Cornyn. "This legislation would update the tax code to incentivize sellers and make homes more affordable, and I'm glad to support it."

The current tax code allows homeowners who sell their primary home to exclude $250,000 in gains from capital gains taxes, or $500,000 in the case of a couple filing jointly. However, this exclusion has not been updated since 1997, nor is it indexed for inflation. Because of this, millions of homeowners in Colorado and across the country face overly burdensome taxes from the sale of their homes, leading many homeowners - especially seniors who have lived in their home for decades - to choose not to sell. The More Homes on the Market Act would increase the exclusion to $500,000 for single filers and $1 million for joint filers, making it more financially desirable for homeowners to sell and increasing housing turnover.

The legislation is endorsed by the National Association of Realtors and AARP.

In addition to Bennet and Cornyn, U.S. Senators Steve Daines (R-Mont.), Adam Schiff (D-Calif.), John Barrasso (R-Wyo.), and Mark Kelly (D-Ariz.) cosponsored the bill.

The text of the bill is available HERE.

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