Whether or not you have to pay taxes when you sell your house depends on a few different factors like how long you lived in the house and how much you sold it for. For example, if you lived in the house for at least 2 years out of 5 before the sale (i.e., you were not renting out the property), up to $250,000 is tax-free for a single person and double for a married couple filing jointly. If you sold your home for more than the $250 – $500,000 threshold, the excess amount is considered a capital gain, and you will likely be taxed on that profit. Passed property taxes will also need to be payed up. That money can come out of the cash offer.