Missouri has worked hard to build a reputation as a state that is open for business. We have a strong manufacturing base, a central location, a skilled workforce and a cost of living that makes Missouri an attractive place to live and work. Those advantages are helping Missouri compete for new businesses, investment and jobs.

But if we want Missouri to keep attracting companies and help the businesses already here grow, we need to make sure workers have somewhere to live.

When a company is deciding where to locate a new facility or expand an existing operation, access to a reliable workforce is a major part of that decision. And when a Missouri employer has a job opening, finding the right person is only part of the challenge. That person also needs to be able to find a home in the community where the job is located.

Whether it’s a manufacturer in Joplin, a logistics company outside St. Louis or a growing business in Springfield, Missouri employers need housing options that allow workers and their families to live close to where they work.

That makes housing an economic development issue.

Missouri needs to build more homes, but construction is not the only part of the solution. We should also look at policies that may be keeping existing homes off the market. One of those policies dates back to 1997.

Under current federal law, homeowners can exclude up to $250,000 in gains from the sale of a primary residence, or $500,000 for married couples. Those limits have remained unchanged for nearly 30 years, even as home prices have risen significantly. In Missouri, the average home price in 2026 has nearly tripled – roughly 180% more than in 1997. For some longtime homeowners, the potential tax bill from selling their home can be large enough to make them think twice about moving. They may want to downsize, move closer to family or take a job in another community, but the tax consequences can make staying put seem like the easier choice.

When that happens, a home that could be available to another family, including workers needing to relocate to accept jobs, stays off the market.

That matters for Missouri’s employers. A company can offer a good job, competitive pay and strong benefits, but if a prospective employee cannot find a home that works for their family, that job may be harder to accept. And if enough workers face that challenge, it can make it harder for a business to fill positions and expand.

Elected officials should be doing everything they can to remove barriers to growth, not create new ones.

That’s why Congress should take a fresh look at this outdated policy. The More Homes on the Market Act would double the current home sale tax exclusion and index it to inflation going forward. That would bring the policy more in line with today’s housing market and help prevent it from falling further behind in the future.

The idea is simple: Give homeowners more flexibility to sell when it makes sense for them and put more existing homes within reach of the families and workers looking for them.

For Missouri, that can mean more than just another home changing hands. It can mean a worker being able to accept a new job. It can mean a family being able to move into a home that better fits its needs. And it can mean an employer having a better chance of finding the people it needs to grow.

Missouri has a strong story to tell businesses looking to invest and expand. We are open for business, and we should continue doing everything we can to make Missouri an attractive place for companies and workers alike.

That means thinking about housing as part of our economic development strategy. If we want to attract new businesses, encourage existing businesses to expand and bring new workers to Missouri, those workers need homes to live in.

Updating an outdated federal tax policy is one practical step Congress can take to help make that possible.

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