I would rely on advise from my CPA

   See IRS Publication 544, Sales and Others Dispositions of Assets

   Look specifically at Section 1231 Gains and Losses

   Have your CPA explain this to you!

Great question for a CPA or tax adviser. 

Dear Anonymous.

As much as we would like to share our two cents worth, we are ignoramuses compared to your CPA who has the big picture.  He//She know what is your situation and can give you the best advice.  Wishing you the best outcome. A

Get a good CPA and follow their advice.

You need to let your CPA guide you. You will probably have recapture and he can tell you how much.

As a real estate broker I never provide investment or tax advice on anything. A very good way to lose my license if my advice is bad and somene follows it.

Best to check with an accountant.  I can't begin to answer this.

That is definitely a CPA question.  

Mary Yonkers nailed this one!

Great question for a CPA forum although I think they would want to sit down with you and look at your overall financial situation before coming to a conclusion. 

If you cannot trust your CPA for the correct answer, you need to find another CPA...

Eve

That is for your CPA to decide but losses are carried forward to my understanding.

That why I use a tax attorney/CPA

That's why I have a CPA, to answer questions like that 

The advice from your CPA, based on your personal situation, will serve you best, I think.

Try this link:     Depreciation after capital loss

I can't speak for your situation but we have sold several estate properties with a high basis that came no where near the sale price and the "loss" was much, much smaller and  sometimes actually a GAIN due to the recapture of depreciation.  Don't worry the IRS is going to get their share that is legally due!      ^_~

They also add back all the capital improvements you have made on the property that you took a tax deduction for previously if I remember correctly.  

The bright side is there is no depreciation on the land value of the property and therefore no depreciation recapture on that portion of the investment.

Please check back and update us on what your accountant said!

My guess is No

The depreciation will cut your loss.

As Fred Griffin wrote

If you can't trust the advice of your CPA in this regard, it may be time to find another professional to assist you.  Good luck.  

Good luck.

It is an accountant question - let buyer finalize everything!

Listen to that person

Qs like this give me a headache. There's no way any of us could advise you, and we wouldn't if we could. You have a CPA . . . this is what they do. Why would you risk getting bad info on the internet?

and your CPA will have that answer roll off his tongue.... real estate agents would be wise to bite their tongue on this one....

I agree with the others: talk to your CPA about this issue.

best to ask ones tax person

That is a question only you and your accountantcpa can answer - good luck

Only your CPA can give you the answers you need to make an informed decision. 

You won't really know until your CPA runs the numbers.

Your CPA will provide the advice you need. 

Rely on the guy who prepares your return. All else is idle fodder.