CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands		Dec. 31, 2017		Dec. 31, 2016
ASSETS
Cash and cash equivalents		$ 53,721		$ 35,723
Cash held in trust		301		1,185
Mortgage loans, net	[1]	1,253,541	[2]	869,091
Property held-for-sale	[3]	24,947		23,882
Rental property, net		1,284		1,289
Investment in debt securities		6,285		6,323
Receivable from servicer		17,005		12,481
Investment in affiliates		7,020		4,253
Loans purchase deposit		26,740		50
Prepaid expenses and other assets		4,894		3,125
Total assets		1,395,738		957,402
Liabilities:
Secured borrowings	[1]	694,040	[2],[4]	442,670
Borrowings under repurchase transactions		276,385		227,440
Convertible senior notes, net		102,571	[4]	0
Management fee payable		750		750
Accrued expenses and other liabilities		4,554		3,819
Total liabilities		1,078,300		674,679
Commitments and contingencies – see Note 7
Equity:
Preferred stock $0.01 par value; 25,000,000 shares authorized, none issued or outstanding		0		0
Common stock $.01 par value; 125,000,000 shares authorized, 18,588,228 shares at December 31, 2017 and 18,122,387 shares at December 31, 2016 issued and outstanding		186		181
Additional paid-in capital		254,847		244,880
Retained earnings		35,556		27,231
Accumulated other comprehensive loss		(233)		0
Equity attributable to stockholders		290,356		272,292
Non-controlling interests		27,082	[2]	10,431
Total equity		317,438		282,723
Total liabilities and equity		$ 1,395,738		$ 957,402

[1] Mortgage loans, net include $996,203 and $598,643 of loans at December 31, 2017 and December 31, 2016, respectively, transferred to securitization trusts that are variable interest entities (“VIEs”); these loans can only be used to settle obligations of the VIEs. Secured borrowings consist of notes issued by VIEs that can only be settled with the assets and cash flows of the VIEs. The creditors do not have recourse to the primary beneficiary (Great Ajax Corp.). See Note 8 — Debt.

[2] Mortgage loans, net include​s $177.1 million, Secured borrowings, net of deferred costs includes $88.4 million, and Non-controlling interests includes $14.0 million from a 50% owned joint venture, which we consolidate under GAAP.

[3] Property held-for-sale, net, includes valuation allowances of $1,784 and $1,620 at December 31, 2017, and December 31, 2016, respectively.

[4] Secured borrowings and Convertible senior notes are presented net of deferred issuance costs.