Rental Properties, Net

6 Months Ended

Jun. 30, 2019

NOTE 6 - RENTAL PROPERTIES, NET

The following table presents the Company's investment in rental properties:

	June 30, 2019			December 31, 2018
Land	$	31,220,230		$	18,761,123
Building and improvements		169,880,590			118,625,834
Furniture, fixtures, and equipment		3,551,290			2,202,006
Construction in progress		437,898			265,233
		205,090,008			139,854,196
Less: accumulated depreciation		(7,092,917	)		(3,792,610	)
Total rental property, net	$	197,997,091		$	136,061,586

Depreciation expense for the three and six months ended June 30, 2019 was $1.7 million and $3.3 million, respectively. Depreciation expense for the three and six months ended June 30, 2018 was $715,940 and $998,662, respectively.

Loss on disposal of assets: During the three and six months ended June 30, 2019, the Company recorded losses on the disposal of assets of $131,611and $218,473, respectively, due to the replacement of appliances at its rental properties in conjunction with unit upgrades. During the three and six months ended June 30, 2018, the Company recorded losses on the disposal of assets of $3,879 and $6,488, respectively, due to the replacement of appliances at its rental properties in conjunction with unit upgrades.