You will owe capital gains taxes on the sale of the primary personal residence if the Sale Price less the Adjusted Basis (Purchase price plus improvements) less Sales expenses is greater than $250,000 if filing as Single or greater than $500,000 if filing as Married Filing Jointly.
The requirement to purchase another primary personal residence at the same or greater price than the sale of the prior home to defer capital gains was removed from the tax code in 1997.
