A vacation home property won’t be considered passive and won’t be entered on Form 8582 Passive Activity Loss Limitations.

Per IRS Publication 925 Passive Activity and At-Risk Rules, on page 5, vacation home properties are one of the exceptions to the passive activity rules:

Activities That Aren't Passive Activities

3. The rental of a dwelling unit that you also used for personal purposes during the year for more than the greater of 14 days or 10% of the number of days during the year that the home was rented at a fair rental.

CAUTION! You shouldn’t enter income and losses from these activities on Form 8582. Instead, enter them on the forms or schedules you would normally use.

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