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Yes you can offset other income with the loss from the sale of the property because of the fact that it was used for rental. Under section 1231 of the Internal Revenue Code, gains or losses for sales of real property or depreciable property used in a business or rental activity, gains are treated as capital gains, but losses are treated as ordinary losses. Thus, the ordinary loss from the sale of the property can be used to offset ordinary income from other sources.
In addition, you mentioned that you may have some suspended losses to carry forward. I'm assuming this is because of the passive loss limitations. When an activity is disposed of, it releases all of the prior year suspended losses from that activity. So you will also be able to deduct those losses against ordinary income.