I was able to find a solution that didn't involve designating myself as a Real Estate Professional (as I'm not one) by following @AmeliesUncle's advice here. In short, as soon as I clicked "Other passive exceptions," my refund amount immediately adjusted, indicating that the losses were applied against my ordinary income. Note that I also had to manually check the box indicating material participation.
What's strange is that TurboTax has obviously programmed TurboTax to be able to apply these losses against ordinary income by clicking the "Other passive exceptions" box on the form, and yet the software has no way of completing the same by going through the step-by-step walkthrough. There are no questions about length-of-stay exceptions, and no questions about material participation (other than for those who designate themselves as Real Estate Professionals).
Huge thanks to @AmeliesUncle for finding a solution!
