This legislative proposal aims to amend the Internal Revenue Code of 1986 by creating a new tax exclusion for certain real property sales. Specifically, it allows individuals who have attained the age of 65 or older to exclude from their gross income any gain realized from the sale of real property. This measure is intended to incentivize older adults to sell their homes, potentially freeing up housing stock, while also assisting first-time homebuyers in acquiring property. To qualify for this exclusion, several specific conditions must be met by the transaction. The sale must be made to a first-time homebuyer who intends to use the property as their principal residence , and the sale price cannot exceed $500,000 . Additionally, the buyer is required to provide a sworn statement in the closing documents affirming their status as a first-time homebuyer and their intent to use the property as their primary residence. This new exclusion will apply to sales occurring after December 31, 2026, but is set to terminate for any sales made after December 31, 2031.