When you sell your home that has had prior depreciation, gain is taxable to the extent of depreciation claimed, assuming the rest of the gain is excludable under Section 121. This taxable gain is Unrecaptured 1250 Gain. EDIT: This gain is taxed at a maximum rate of 25% instead of being ordinary income.

This is different than the old 1250 depreciation recapture which was the excess of deprecation claimed over straight-line depreciation.