Yes, you can claim the loss in the year you dispose of the house.
You'll need to set up a rental property in TurboTax to deduct the loss carryover. In the interview portion, indicate that you sold the property in the current year. On the page that says Do Any of These Situations Apply to This Property? check the box that says I have passive activity real estate losses carried over from a prior year. On the next screen you will enter the loss as negative number. You will need to indicate that you rented the property for the full year or TurboTax will delete your rental entry. Go through the rental entries but don't enter anything and the loss will be appear on your Schedule E when you are done.
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