Even for active participants, the maximum loss you can take is $25,000 per year.  That amount declines as your other income hits $100,000, and reaches zero at $150,000 in other income.  At that point, any loss for the year is carried forward until such time as the property is sold in a fully taxable sale.  

If you are Married Filing Separately, no loss is allowed if you lived with your spouse at any time during the year and only $12,500 maximum if you lived apart all year and met all the other conditions.