However, as W2 earners, these losses are considered passive and can only offset passive income unless you or your spouse qualify as a Real Estate Professional (REPS) by meeting the 750-hour and material participation requirements or STR is used.

I think if the industry as a whole was a little more honest with it self and with market participants you might not have as many waiting for something that is not likely to happen in the short term. if you need a house, you need a house. but, if you think something will change in 6 months you might be able to hold on, but if it likely will not change in the near term you might just bite the bullet and buy. 

I recently participated in the Howard county tax lien sale and have a property that I can now start the foreclosure process on.

Material participation.I discussed STR material participation requirement in my other post, linked at the top of this one.

I don't have to participate in the program in my state, and I don't participate. 

Sites such as biggerpockets.com have many syndicators that participate in the forums.

My posting and commenting has decreased significantly in the last several months but after the LA fires, I'm participating more. 

However, participating in a syndication or fund tied to real estate activities might help if the income flows through as rental or pass-through income.

my SS deal is one of my participation deals were I provide the capital to the operator via a debt instrument then take a participation as part of the note agreement. 

@Brett Danehey sounds like an interesting idea, I’d be more than happy to participate.