Real esteate loss limits

[Redneck]

Clients had a rental house for 20 years. During 2008 no rental income, but $28,000 in losses.
Client sold house in 2008. AGI is $198000, included in this is profit from sale $117000 and
the losses $28,000.
Is the client allowed the losses because the rental house was disposed of during the year.

[Burke]

Unallowed losses on rental property due to income limitations would be suspended, but then taken upon sale of the property. So the answer is yes.

[Redneck]

Thanks

Thanks Burke I thought I was reading it right just needed someone else to explain it.