The sale of your current home is completely unrelated to the purchase of your new home. They are two separate transactions for tax purposes.
When you sell your home, you may be able to exclude up to $250,000 ($500,000 if married filing jointly if you meet the following conditions:
- Ownership - you should have owned the home for at least 2 years out of the last 5 years
- Residence - you must have lived in the home for at least 2 out of the last 5 years
- Look-Back - you must not have sold another home and claimed the exclusion within the last 2 years
For a more detailed discussion, please refer to this link: Tax Aspects of Home Ownership: Selling a Home - TurboTax Tax Tips & Videos (intuit.com)
The new home will have no impact on your taxes other than the deduction of mortgage interest and property taxes.
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