If I own two houses and have family members living in both, will I be liable to pay taxes on capital gains if I decide to sell one of the houses ?

Yes. You may be liable to pay taxes on the capital gains if you sell one of the houses, depending on various factors such as the usage of the property, its designation as your primary residence, and the duration of ownership.

If the house you sell is considered your primary residence for tax purposes, you may be eligible for the Principal Residence Exemption (PRE), which allows you to shelter some or all of the capital gains from taxation. However, if the property is not designated as your primary residence or if it is considered an investment property, you may be subject to capital gains tax on any profit earned from the sale.