Thank you so much the reply. I was googling and noticed this other response. What happens if I have 2 rental properties and only sold one of them this year. Both are reported on Schedule E. Would I have to wait until both are sold in order to deduct the loss?
"If you own only one rental property and sell it, then you can take the deduction because that property is your entire rental activity. The same holds true if you own several properties and treat them each as separate activities for tax purposes. However, many landlords with multiple properties elect to combine them as one activity for tax purposes. In this event, if you own several rental properties and only sell one, you can't take the deduction because you won't have sold "substantially all" of your interest in your rental activity."
https://ttlc.intuit.com/community/investments-and-rental-properties/discussion/i-have-carry-over-los...
