Resource Real Estate Opportunity REIT II (RREO) 10-Q 13 Nov 17 2017 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2017	Nov. 10, 2017
Document and Entity Information [Abstract]
Entity Registrant Name	Resource Real Estate Opportunity REIT II, Inc.
Entity Central Index Key	1,559,484
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Document Type	10-Q
Document Period End Date	Sep. 30, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Common Stock, Shares Outstanding		60,520,482

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Investments:
Rental properties, net	$ 803,126	$ 754,588
Identified intangible assets, net	286	2,689
Investments	803,412	757,277
Cash	87,457	104,889
Restricted cash	8,420	6,620
Tenant receivables, net	92	68
Due from related parties	121	604
Prepaid expenses and other assets	2,379	1,852
Total assets	901,881	871,310
Liabilities:
Mortgage notes payable, net	531,403	455,361
Accounts payable and accrued expenses	14,002	11,997
Due to related parties	614	2,648
Tenant prepayments	565	546
Security deposits	1,244	1,097
Distributions payable	9,021	8,769
Total liabilities	556,849	480,418
Stockholders’ equity:
Preferred stock (par value $.01, 10,000,000 shares authorized, none issued and outstanding)	0	0
Common stock, outstanding	602	591
Additional paid-in capital	530,602	520,746
Accumulated other comprehensive loss	(437)	(74)
Accumulated deficit	(185,736)	(130,372)
Total stockholders’ equity	345,032	390,892
Total liabilities and stockholders’ equity	901,881	871,310
Convertible Stock
Stockholders’ equity:
Common stock, outstanding	$ 1	$ 1

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parentheticals) - $ / shares	Sep. 30, 2017	Dec. 31, 2016
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	1,000,000,000	1,000,000,000
Common stock, shares issued (in shares)	60,309,199	59,160,177
Common stock, shares outstanding (in shares)	60,309,199	59,160,177
Convertible Stock
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	50,000	50,000
Common stock, shares issued (in shares)	50,000	50,000
Common stock, shares outstanding (in shares)	50,000	50,000

Consolidated Statements of Oper

Consolidated Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Revenues:
Rental income	$ 19,952	$ 15,143	$ 56,850	$ 37,378
Total revenues	19,952	15,143	56,850	37,378
Expenses:
Rental operating	8,167	7,719	23,557	18,619
Acquisition costs	0	2	1,361	6,846
Management fees	3,242	2,635	9,455	6,566
General and administrative	2,066	2,183	6,637	5,848
Loss on disposal of assets	260	474	842	2,323
Depreciation and amortization expense	9,538	8,214	29,033	22,940
Total expenses	23,273	21,227	70,885	63,142
Loss before other income (expense)	(3,321)	(6,084)	(14,035)	(25,764)
Other income (expense):
Interest income	24	54	99	163
Interest expense	(5,221)	(3,369)	(14,458)	(7,524)
Net loss	(8,518)	(9,399)	(28,394)	(33,125)
Other comprehensive loss:
Designated derivatives, fair value adjustment	(33)	(23)	(363)	(106)
Comprehensive loss	$ (8,551)	$ (9,422)	$ (28,757)	$ (33,231)
Weighted average common shares outstanding (in shares)	60,318	58,321	59,626	57,462
Basic and diluted net loss per common share (in dollars per share)	$ (0.14)	$ (0.16)	$ (0.48)	$ (0.58)

Consolidated Statement of Chang

Consolidated Statement of Changes in Stockholders' Equity Statement - 9 months ended Sep. 30, 2017 - USD ($) $ in Thousands	Total	Convertible Stock	Common Stock	Common StockConvertible Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Loss	Accumulated Deficit
Balance, beginning of period at Dec. 31, 2016	$ 390,892		$ 591	$ 1	$ 520,746	$ (74)	$ (130,372)
Balance, beginning of period (in shares) at Dec. 31, 2016	59,160,177	50,000	59,160,000	50,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common stock issued through distribution reinvestment plan	$ 15,482		$ 18		15,464		0
Common stock issued through distribution reinvestment plan (in shares)			1,794,000
Distributions declared	(26,970)						(26,970)
Common stock redemptions	(5,615)		$ (7)		(5,608)
Share redemptions (in shares)			(645,000)
Designated derivatives, fair value adjustment	(363)					(363)
Net loss	(28,394)						(28,394)
Balance, end of period at Sep. 30, 2017	$ 345,032		$ 602	$ 1	$ 530,602	$ (437)	$ (185,736)
Balance, beginning of period (in shares) at Sep. 30, 2017	60,309,199	50,000	60,309,000	50,000

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Cash flows from operating activities:
Net loss	$ (28,394)	$ (33,125)
Adjustments to reconcile net loss to net cash used in operating activities:
Loss on disposal of assets	842	2,323
Depreciation and amortization	29,033	22,940
Amortization of deferred financing costs	864	510
Amortization of mortgage premiums	(89)	(91)
Change in fair value of interest rate swap	7	147
Changes in operating assets and liabilities:
Restricted cash	(2,630)	(2,694)
Tenant receivables, net	(24)	(32)
Due from related parties	484	(284)
Prepaid expenses and other assets	(744)	2,615
Due to related parties	(2,034)	(3,271)
Accounts payable and accrued expenses	1,925	6,959
Tenant prepayments	10	146
Security deposits	58	(41)
Net cash used in operating activities	(692)	(3,898)
Cash flows from investing activities
Property acquisitions	(55,160)	(239,427)
Capital expenditures	(20,730)	(22,832)
Restricted cash - capital reserves	830	(540)
Net cash used in investing activities	(75,060)	(262,799)
Cash flows from financing activities:
Proceeds from issuance of common stock	0	49,599
Redemptions of common stock	(5,615)	0
Payment of deferred financing costs	(1,147)	(3,418)
Increase in borrowings	79,039	240,307
Repayments on borrowings	(2,625)	(1,076)
Purchase of interest rate caps	(97)	(145)
Distributions paid on common stock	(11,235)	(10,433)
Offering costs	0	(6,263)
Net cash provided by financing activities	58,320	268,571
Net (decrease) increase in cash	(17,432)	1,874
Cash at beginning of period	104,889	180,826
Cash at end of period	$ 87,457	$ 182,700

Nature of Business and Operatio

Nature of Business and Operations (Loss)	9 Months Ended
	Sep. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Business and Operations (Loss)	NATURE OF BUSINESS AND OPERATIONS (LOSS) Resource Real Estate Opportunity REIT II, Inc. (the “Company”) was organized in Maryland on September 28, 2012 . During the primary portion of the offering, the Company offered up to 100,000,000 shares of common stock in its primary initial public offering for $10 per share, with volume discounts available to certain categories of investors.The primary portion of the offering closed on February 6, 2016 . The Company is currently offering up to 10,000,000 shares pursuant to the Company’s distribution reinvestment plan at a purchase price equal to $8.65 per share ( $8.56 per share prior to September 30, 2017 and $9.50 per share prior to September 30, 2016 ). The Company has adopted a fiscal year ending December 31. Resource Real Estate Opportunity Advisor II, LLC (the "Advisor”) is a wholly owned subsidiary of Resource Real Estate, Inc. (the "Sponsor") and an indirect wholly owned subsidiary of Resource America, Inc. (“RAI”). The Advisor acts as the Company's external advisor and manages the Company's day-to-day operations and its portfolio of real estate investments and provides asset-management, marketing, investor relations and other administrative services on the Company's behalf, all subject to the supervision of the Company's Board of Directors. RAI is a wholly owned subsidiary of C-III Capital Partners, LLC ("C-III"), a leading commercial real estate investment management and services company engaged in a broad range of activities. C-III controls the Advisor and Resource Real Estate Opportunity Manager II, LLC, the Company's property manager (the "Manager"). C-III also controls all of the shares of common stock held by the Advisor. As of September 30, 2017 , a total of 60,880,525 shares, including the additional shares purchased by the Advisor and shares issued through the distribution reinvestment plan (but excluding shares issued through stock distributions), have been issued resulting in gross offering proceeds of $601.1 million . As of September 30, 2017 , the Company had issued 5,074,228 shares for $44.7 million pursuant to its distribution reinvestment plan. The Company’s objective is to take advantage of the Sponsor's dedicated multifamily investing and lending platforms to invest in multifamily assets across the entire spectrum of investments in order to provide stockholders with growing cash flow and increasing asset values. The Company has acquired and may continue to acquire commercial real estate assets, principally underperforming multifamily rental properties which the Company will renovate and stabilize in order to increase rents, and may acquire, to a lesser extent, real estate related debt. The Company is organized and conducts its operations in a manner intended to allow it to qualify as a real estate investment trust (“REIT”) for U.S. federal income tax purposes under Subchapter M of the Internal Revenue Code of 1986, as amended. The Company also operates its business in a manner intended to maintain its exemption from registration under the Investment Company Act of 1940, as amended. The consolidated financial statements and the information and tables contained in the notes thereto, as of September 30, 2017 , are unaudited and prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP"). Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to the rules and regulations of the U.S. Securities and Exchange Commission ("SEC"). However, in the opinion of management, these interim financial statements include all of the necessary adjustments to fairly present the results of the interim periods presented. The unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in the Company's Annual Report on Form 10-K for the year ended December 31, 2016 . The results of operations for the three and nine months ended September 30, 2017 may not necessarily be indicative of the results of operations for the full year ending December 31, 2017 . The consolidated balance sheet as of December 31, 2016 was derived from the audited consolidated financial statements as of December 31, 2016 .

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2017
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A summary of the significant accounting policies consistently applied in the preparation of the accompanying consolidated financial statements follows: Basis of Presentation The consolidated financial statements have been prepared in conformity with GAAP. Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries as follows: Subsidiary Apartment Complex Number Property Location RRE Opportunity Holdings II, LLC N/A N/A N/A RRE Opportunity OP II, LP N/A N/A N/A RRE Bear Creek Holdings, LLC, or Bear Creek Adair off Addison 152 Dallas, TX RRE Oak Hill Holdings, LLC, or Oak Hill Overton Trails Apartment Homes 360 Fort Worth, TX RRE Buckhead Holdings, LLC, or Buckhead Uptown Buckhead 216 Atlanta, GA RRE Farrington Holdings, LLC, or Farrington Crosstown at Chapel Hill 411 Chapel Hill, NC RRE Mayfair Chateau Holdings, LLC, or Mayfair Chateau The Brookwood 274 Homewood, AL RRE Fairways of Bent Tree Holdings, LLC, or Fairways of Bent Tree Adair off Addison Apartment Homes 200 Dallas, TX RRE Montclair Terrace Holdings, LLC, or Montclair Holdings Montclair Terrace 188 Portland, OR RRE Grand Reserve Holdings, LLC, or Grand Reserve Grand Reserve 319 Naperville, IL RRE Canterwood Holdings, LLC, or Canterwood Verdant Apartment Homes 216 Boulder, CO RRE Spalding Crossing Holdings, LLC, or Spalding Crossing 1000 Spalding Apartment Homes 252 Atlanta, GA RRE Fox Ridge Holdings, LLC, or Fox Ridge Arcadia Apartment Homes 300 Centennial, CO RRE Riverlodge Holdings, LLC, or Riverlodge Ravina Apartment Homes 498 Austin, TX RRE Breckenridge Holdings, LLC, or Breckenridge Breckenridge 357 Portland, OR RRE Santa Rosa Holdings, LLC, or Santa Rosa The Palmer at Las Colinas 476 Irving, TX RRE Windbrooke Holdings, LLC, or Windbrooke Crossing Windbrooke Crossing 236 Buffalo Grove, IL RRE Woods Holdings, LLC, or The Woods of Burnsville The Woods of Burnsville 400 Burnsville, MN RRE Indigo Creek Holdings, LLC Indigo Creek 408 Glendale, AZ RRE Martin's Point Holdings, LLC N/A N/A N/A N/A - Not Applicable All intercompany accounts and transactions have been eliminated in consolidation. Segment Reporting The Company does not evaluate performance on a relationship-specific or transactional basis and does not distinguish its principal business or group its operations on a geographical basis for purposes of measuring performance. Accordingly, the Company believes it has a single operating segment for reporting purposes in accordance with GAAP. Use of Estimates The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Rental Properties The Company records acquired rental properties at fair value on their acquisition date. The Company considers the period of future benefit of an asset to determine its appropriate useful life, and depreciates the asset using the straight line method. The Company's estimated useful lives of its assets by class are as follows: Buildings 27.5 years Building improvements 5.0 to 27.5 years Furniture, fixtures and equipment 3.0 to 5.0 years Tenant improvements Shorter of lease term or expected useful life Lease intangibles Remaining term of related lease Improvements and replacements in excess of $1,000 are capitalized when they have a useful life greater than or equal to one year. Resource Real Estate Opportunity Manager II (the "Manager") earns a construction management fee of 5.0% of actual aggregate costs to construct improvements, or to repair, rehab or reconstruct a property. These costs are capitalized along with the related asset. Costs of repairs and maintenance are expensed as incurred. As four of the Company's multifamily properties are located in the Dallas-Fort Worth area, two properties are located in Portland, Oregon, two properties are located in the Atlanta area and two properties are located in the Denver area, the Company's portfolio is currently particularly susceptible to adverse economic developments in these real estate markets. Any adverse economic or real estate developments in these markets, such as business layoffs or downsizing, industry slowdowns, relocations of businesses, changing demographics and other factors, or any decrease in demand for multifamily rentals resulting from the local business climate, could negatively affect the Comapny's liquidity and adversely affect its ability to fund our ongoing operations. Impairment of Long Lived Assets When circumstances indicate the carrying value of a property may not be recoverable, the Company reviews the asset for impairment. This review is based on an estimate of the future undiscounted cash flows, excluding interest charges, expected to result from the property’s use and eventual disposition. These estimates consider factors such as expected future operating income, market and other applicable trends and residual value, as well as the effects of leasing demand, competition and other factors. If impairment exists, due to the inability to recover the carrying value of a property, an impairment loss will be recorded to the extent that the carrying value exceeds the estimated fair value of the property for properties to be held and used. For properties held for sale, the impairment loss is the adjustment to fair value less estimated cost to dispose of the asset. These assessments have a direct impact on net income because recording an impairment loss results in an immediate negative adjustment to net income. The Company did not recognize any impairment charges during the three and nine months ended September 30, 2017 and 2016 . Allocation of Purchase Price of Acquired Assets Upon the acquisition of real properties, the Company allocates the purchase price of properties to acquired tangible assets, consisting of land, buildings, fixtures and improvements, identified intangible lease assets, consisting of the value of above-market and below-market leases, as applicable, the value of in-place leases, the value of tenant relationships, and liabilities, based in each case on their fair values. Fair value estimates are based on information obtained from a number of sources, including information obtained about each property as a result of pre-acquisition due diligence, marketing and leasing activities. In addition, the Company may obtain independent appraisal reports. The information in the appraisal reports, along with the aforementioned information available to the Company's management, is used in allocating the purchase price. The independent appraisers have no involvement in management's allocation decisions other than providing market information. The Company records above-market and below-market in-place lease values for acquired properties based on the present value (using an interest rate that reflects the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the in-place leases and (ii) management’s estimate of fair market lease rates for the corresponding in-place leases, measured over a period equal to the remaining non-cancelable term of the lease. The Company amortizes any capitalized above-market or below-market lease values as an increase or reduction to rental income over the remaining non-cancelable terms of the respective leases. The Company measures the aggregate value of other intangible assets acquired based on the difference between (i) the property valued with existing in-place leases adjusted to market rental rates and (ii) the property valued as if vacant. Management’s estimates of value are expected to be made using methods similar to those used by independent appraisers (e.g., discounted cash flow analysis). Factors to be considered by management in its analysis include an estimate of carrying costs during hypothetical expected lease-up periods considering current market conditions and costs to execute similar leases. In estimating carrying costs, management includes real estate taxes, insurance and other operating expenses and estimates of lost rentals at market rates during the expected lease-up periods. Management also estimates costs to execute similar leases including leasing commissions and legal and other related expenses to the extent that such costs have not already been incurred in connection with a new lease origination as part of the transaction. The total amount of other intangible assets acquired is further allocated to customer relationship intangible values based on management’s evaluation of the specific characteristics of each tenant’s lease and the Company’s overall relationship with that respective tenant. Characteristics considered by management in allocating these values include the nature and extent of the Company’s existing business relationships with the tenant, growth prospects for developing new business with the tenant, the tenant’s credit quality and expectations of lease renewals (including those existing under the terms of the lease agreement), among other factors. The Company amortizes the value of in-place leases to expense over the remaining term of the underlying leases. The value of customer relationship intangibles is amortized to expense over the initial term and any renewal periods in the respective leases, but in no event does amortization periods for the intangible assets exceed the remaining depreciable life of the building. Should a tenant terminate its lease, the unamortized portion of the in-place lease value and relationship intangibles related to that customer would be charged to expense in that period. The determination of the fair value of the assets and liabilities acquired requires the use of significant assumptions with regard to current market rental rates, discount rates and other variables. These estimates are subject to change until all information is finalized, which is generally within one year of the acquisition date. Revenue Recognition The Company recognizes minimum rent, including rental abatements and contractual fixed increases attributable to operating leases, on a straight-line basis over the term of the related lease and includes amounts expected to be received in later years in deferred rents. The Company records property operating expense reimbursements due from tenants for common area maintenance, real estate taxes and other recoverable costs in the period the related expenses are incurred. The specific timing of a sale is measured against various criteria related to the terms of the transaction and any continuing involvement associated with the property. If the criteria for profit recognition under the full-accrual method are not met, the Company defers the gain recognition and accounts for the continued operations of the property by applying the percentage-of-completion, reduced profit, deposit, installment or cost recovery methods, as appropriate, until the appropriate criteria are met. The future minimum rental payments to be received from noncancelable operating leases are $44.4 million and $306,000 for the 12-month periods ending September 30, 2018 and 2019 , respectively, and none thereafter. Revenue is primarily derived from the rental of residential housing units, however, included within rental income is other income such as pet fees, parking fees, and late fees, as well as property operating expense reimbursements due from tenants for common area maintenance, real estate taxes and other recoverable costs. The Company records the ancillary charges in the period in which they are earned or received and records the reimbursements in the period in which the related expenses are incurred.Total other income included within rental income was $1.8 million and $1.4 million for the three months ended September 30, 2017 and 2016 , respectively. Total other income included within rental income was $5.7 million and $3.4 million for the nine months ended September 30, 2017 and 2016 , respectively. Tenant Receivables The Company makes estimates of the collectability of its tenant receivables related to base rents, including straight-line rentals, expense reimbursements and other revenue or income. The Company specifically analyzes accounts receivable and historic bad debts, tenant creditworthiness, current economic trends when evaluating the adequacy of the allowance for doubtful accounts. In addition, with respect to tenants in bankruptcy, the Company makes estimates of the expected recovery of pre-petition and post-petition claims in assessing the estimated collectability of the related receivable. The Company writes off receivables when they become uncollectible. In some cases, the ultimate resolution of these claims can exceed one year . At September 30, 2017 and December 31, 2016 , there were allowances for uncollectible accounts of $1,097 and $5,000 , respectively. Income Taxes The Company elected to be taxed as a REIT, commencing with its taxable year ended December 31, 2014. To maintain its REIT qualification for U.S. federal income tax purposes, the Company is generally required to distribute at least 90% of its taxable net income (excluding net capital gains) to its stockholders as well as comply with other requirements, including certain asset, income and stock ownership tests. As a REIT, the Company is not subject to federal corporate income tax to the extent that it distributes 100% of its REIT taxable income each year. If the Company fails to qualify as a REIT, and does not qualify for certain statutory relief provisions, it is subject to U.S. federal, state and local income taxes and may be precluded from qualifying as a REIT for the subsequent four taxable years following the year in which it fails its REIT qualification. Accordingly, the Company’s failure to qualify as a REIT could have a material adverse impact on its results of operations and amounts available for distribution to its stockholders. The dividends paid deduction of a REIT for qualifying dividends to its stockholders is computed using the Company’s taxable income as opposed to net income reported on the financial statements. Taxable income, generally, will differ from net income reported on the financial statements because the determination of taxable income is based on tax provisions and not financial accounting principles. The Company may elect to treat certain of its subsidiaries as taxable REIT subsidiaries (“TRSs”). In general, the Company’s TRSs may hold assets and engage in activities that the Company cannot hold or engage in directly and generally may engage in any real estate or non-real estate-related business. A TRS is subject to U.S. federal, state and local corporate income taxes. While a TRS may generate net income, a TRS can declare dividends to the Company which will be included in the Company’s taxable income and necessitate a distribution to its stockholders. Conversely, if the Company retains earnings at a TRS level, no distribution is required and the Company can increase book equity of the consolidated entity. As of September 30, 2017 and December 31, 2016 , the Company had no TRSs. Earnings Per Share Basic earnings (loss) per share is calculated on the basis of the weighted-average number of common shares outstanding during the year. Basic earnings (loss) per share is computed by dividing income available to common shareholders by the weighted-average common shares outstanding during the period. Diluted earnings per share takes into account the potential dilution that could occur if securities or other contracts to issue common stock were exercised and converted to common stock. None of the convertible shares (see Note 11) are included in the diluted earnings per share calculations because the necessary conditions for conversion have not been satisfied as of September 30, 2017 (were such date to represent the end of the contingency period). For the three and nine months ended September 30, 2017 and 2016 , common shares potentially issuable to settle distributions payable are excluded from the calculation of diluted earnings per share calculations, as their inclusion would be anti-dilutive. Organization and Offering Costs The Company incurred organizational, accounting, and offering costs in pursuit of its financing. Organization and offering costs (other than selling commissions and dealer-manager fees) of the Company were initially paid by the Advisor on behalf of the Company. Organization costs were expensed as incurred and included all expenses incurred by the Company in connection with the formation of the Company, including, but not limited to, legal fees and other costs to incorporate the Company. Pursuant to the Amended and Restated Advisory Agreement between the Company and the Advisor dated January 9, 2014, as amended (the “Advisory Agreement”), the Company is obligated to reimburse the Advisor for organization and offering costs it incurred on the Company's behalf, but only to the extent that such reimbursements did not cause organization and offering expenses (other than selling commissions and the dealer manager fees) to exceed 2.5% of the gross offering proceeds raised in the offering, when recorded by the Company. The primary portion of the offering closed on February 6, 2016 , at which point total organization and offering costs incurred did not exceed 2.5% of the gross offering proceeds raised in the offering. During the offering period, the Company incurred $11.2 million for the payment of offering costs consisting of accounting, advertising, allocated payroll, due diligence, marketing, legal and similar costs. During the offering period, the Advisor had incurred $7.2 million of these costs on behalf of the Company, all of which had been reimbursed. A portion of these costs was charged to equity upon the sale of each share of common stock sold under the public offering. Similarly, a portion of the proceeds received from the sales of shares in the Company's public offering was paid to the Advisor to reimburse it for the amount incurred on behalf of the Company. Adoption of New Accounting Standards Accounting Standards Issued But Not Yet Effective In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU No. 2014-09, “Revenue from Contracts with Customers”, which will replace most existing revenue recognition guidance in GAAP. The core principle of ASU No. 2014-09 is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. ASU No. 2014-09 requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. ASU No. 2014-09 will be effective for the Company beginning January 1, 2018, including interim periods in 2018, and allows for both retrospective and prospective methods of adoption. In accordance with the Company's plan for adoption of ASU No. 2014-09, the Company has identified revenue streams and is performing an in-depth review to identify the related performance obligations and to evaluate the impact on the Company's consolidated financial statements and internal accounting processes and controls. As the majority of the Company's revenue is derived from lease contracts, the Company does not expect the adoption of ASU No. 2014-09 or related amendments and modifications issued by FASB to have a material effect on its consolidated financial statements. In February 2016, FASB issued ASU No. 2016-02, "Leases" ("ASU No. 2016-02"), which is intended to improve financial reporting about leasing transactions and requires organizations that lease assets to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. In September 2017, FASB issued ASU 2017-13, "Revenue Recognition (Topic 605), Revenue from Contracts with Customers (Topic 606), Leases (Topic 840), and Leases (Topic 842)", which provides additional implementation guidance on the previously issued ASU No. 2016-02 Leases (Topic 842). ASU No. 2016-02 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. The Company is continuing to evaluate this guidance, however, the Company expects that its operating leases where it is the lessor will be accounted for on its balance sheet similar to its current accounting with the underlying leased asset recognized as real estate. The Company expects that executory costs and certain other non-lease components will need to be accounted for separately from the lease component of the lease with the lease component continuing to be recognized on a straight-line basis over the lease term and the executory costs and certain other non-lease components being accounted for under the new revenue recognition guidance in ASU 2014-09. For leases in which the Company is the lessee, primarily consisting of office equipment leases, the Company expects to recognize a right-of-use asset and a lease liability equal to the present value of the minimum lease payments with rental payments being applied to the lease liability and to interest expense and the right-of-use asset being amortized to expense on a straight-line basis over the term of the lease. In June 2016, FASB issued ASU No. 2016-13, “Financial Instruments - Credit Losses”, which requires measurement and recognition of expected credit losses for financial assets held. ASU No. 2016-13 will be effective for the Company beginning January 1, 2019. The Company is evaluating this guidance; however, it does not expect the adoption of ASU No. 2016-13 to have a significant impact on its consolidated financial statements. In January 2017, FASB issued ASU No. 2017-01, "Business Combinations (Topic 850): Clarifying the Definition of Business", which clarifies the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of businesses. ASU No. 2017-01 will be effective for the Company beginning January 1, 2018. Early application is permitted. The Company is evaluating this guidance and assessing the impact of this guidance on its consolidated financial statements. In January 2017, FASB issued ASU No. 2017-04, "Intangibles- Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment", which alters the current goodwill impairment testing procedures. ASU No. 2017-04 will be effective for the Company beginning December 15, 2019. Early application is permitted. The Company is evaluating this guidance and assessing the impact of this guidance on its consolidated financial statements. In August 2017, FASB issued ASU No. 2017-12, "Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities", which expands and refines hedge accounting for both financial and non-financial risk components, aligns the recognition and presentation of the effects of hedging instruments and hedge items in the financial statements, and includes certain targeted improvements to ease the application of current guidance related to the assessment of hedge effectiveness. The update to the standard is effective for the Company on January 1, 2019, with early adoption permitted in any interim period. The Company is continuing to evaluate this guidance.

Supplemental Cash Flow Informat

Supplemental Cash Flow Information	9 Months Ended
	Sep. 30, 2017
Supplemental Cash Flow Elements [Abstract]
Supplemental Cash Flow Information	SUPPLEMENTAL CASH FLOW INFORMATION The following table presents supplemental cash flow information (in thousands): Nine Months Ended September 30, 2017 2016 Non-cash operating, financing and investing activities: Distributions on common stock declared but not yet paid $ 9,021 $ 8,788 Stock issued pursuant to distribution reinvestment plan 15,482 15,410 Rental property and other assets acquired through assumption of mortgage notes payable — 28,074 Cash paid during the period for: Interest $ 13,159 $ 5,723

Restricted Cash

Restricted Cash	9 Months Ended
	Sep. 30, 2017
Cash and Cash Equivalents [Abstract]
Restricted Cash	RESTRICTED CASH Restricted cash represents escrow deposits with lenders to be used to pay real estate taxes, insurance, and capital improvements. A summary of the components of restricted cash follows (in thousands): September 30, December 31, Real estate taxes $ 5,482 $ 3,252 Insurance 722 671 Capital improvements 1,866 2,697 $ 8,420 $ 6,620 In addition, the Company had unrestricted cash earmarked for capital expenditures of $49.2 million and $71.7 million as of September 30, 2017 and December 31, 2016 , respectively.

Rental Properties, Net

Rental Properties, Net	9 Months Ended
	Sep. 30, 2017
Real Estate [Abstract]
Rental Properties, Net	RENTAL PROPERTIES, NET The Company’s investments in rental properties consisted of the following (in thousands): September 30, December 31, Land $ 115,789 $ 108,587 Building and improvements (1) 714,845 650,385 Furniture, fixtures and equipment (1) 19,553 14,982 Construction in progress 5,163 7,641 855,350 781,595 Less: accumulated depreciation (52,224 ) (27,007 ) $ 803,126 $ 754,588 (1) The Company has reclassified $21.3 million at December 31, 2016 from Furniture, fixtures and equipment to Building and improvements. This reclassification had no impact on accumulated depreciation or estimated useful lives. Depreciation expense for the three and nine months ended September 30, 2017 was $9.0 million and $25.5 million , respectively. Depreciation expense for the three and nine months ended September 30, 2016 was $6.3 million and $15.1 million , respectively.

Acquisitions

Acquisitions	9 Months Ended
	Sep. 30, 2017
Business Combinations [Abstract]
Acquisitions	ACQUISITIONS As of September 30, 2017 , the Company owned 17 properties. In order to finalize the fair values of the acquired assets and liabilities, the Company obtained third-party appraisals. The Company has up to 12 months from the date of acquisition to finalize the valuation for each property. All valuations for acquisitions in 2016 and prior had been finalized as of December 31, 2016 . The initial purchase price allocation for Indigo Creek has not been finalized as of September 30, 2017 . The table below summarizes the Company's wholly-owned acquisition during the three and nine months ended September 30, 2017 and the respective fair values assigned (in thousands): Fair Value Assigned Multifamily City and State Date of Contractual Purchase Land Building and Furniture, Fixture and Equipment Intangible Assets Debt assumed Other Indigo Creek Glendale, Arizona 4/4/2017 $ 55,200 $ 7,202 $ 46,348 $ 508 $ 1,143 $ — $ (97 ) (1) Contractual purchase price excludes closing costs and acquisition expenses and other immaterial settlement date adjustments and pro-rations. The table below summarizes the total revenues, net loss, and acquisition costs and fees of the Company's 2017 acquisition (in thousands): Three Months Ended Nine Months Ended September 30, September 30, Multifamily Community 2017 2017 Indigo Creek Total Revenues $ 1,257 $ 2,352 Net Loss (660 ) (1,343 ) Acquisition Costs — 137 Acquisition Fee — 1,141

Identified Intangible Assets, N

Identified Intangible Assets, Net	9 Months Ended
	Sep. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Identified Intangible Assets, Net	IDENTIFIED INTANGIBLE ASSETS, NET Identified intangible assets, net, consist of in-place rental leases. The gross value of acquired in-place leases totaled $17.4 million and $16.3 million as of September 30, 2017 and December 31, 2016 , and the intangible assets are reported net of accumulated amortization of $17.1 million and $13.6 million , respectively . The weighted average remaining life of the in-place rental leases is one month as of September 30, 2017 . Amortization for the three months ended September 30, 2017 and 2016 was $552,846 and $1.9 million , respectively. Amortization for the nine months ended September 30, 2017 and 2016 was $3.5 million and $7.8 million , respectively. As of September 30, 2017 , expected amortization for the in-place rental leases for the next 12 months is $285,746 and none thereafter.

Mortgage Notes Payable, Net

Mortgage Notes Payable, Net	9 Months Ended
	Sep. 30, 2017
Debt Disclosure [Abstract]
Mortgage Notes Payable, Net	MORTGAGE NOTES PAYABLE, NET The following is a summary of the Company's mortgage notes payable (in thousands): Outstanding borrowings Premium, net Deferred Finance Costs, net Carrying Value Outstanding borrowings Premium, net Deferred Finance Costs, net Carrying Value Collateral September 30, 2017 December 31, 2016 Overton Trails Apartment Homes $ 30,646 $ — $ (302 ) $ 30,344 $ 31,075 $ — $ (344 ) $ 30,731 Uptown Buckhead 20,135 — (257 ) 19,878 20,200 — (284 ) 19,916 Crosstown at Chapel Hill 31,930 — (292 ) 31,638 32,000 — (373 ) 31,627 The Brookwood - Key Bank 17,968 426 (200 ) 18,194 18,247 508 (239 ) 18,516 The Brookwood - Capital One 2,668 33 (35 ) 2,666 2,699 39 (41 ) 2,697 Adair off Addison and Adair off Addison Apartment Homes 25,205 — (377 ) 24,828 25,500 — (464 ) 25,036 1000 Spalding Apartment Homes 24,600 — (245 ) 24,355 24,600 — (289 ) 24,311 Ravina Apartment Homes 27,802 — (335 ) 27,467 28,292 — (393 ) 27,899 Verdant Apartment Homes 37,300 — (303 ) 36,997 37,300 — (345 ) 36,955 Arcadia Apartment Homes 40,200 — (333 ) 39,867 40,200 — (379 ) 39,821 Grand Reserve 41,738 — (390 ) 41,348 42,395 — (446 ) 41,949 Montclair Terrace 20,774 — (302 ) 20,472 21,083 — (345 ) 20,738 Breckenridge 52,975 — (613 ) 52,362 52,975 — (697 ) 52,278 The Palmer at Las Colinas 45,700 — (591 ) 45,109 45,700 — (643 ) 45,057 Windbrooke Crossing 38,320 — (431 ) 37,889 38,320 — (490 ) 37,830 Woods of Burnsville 38,250 — (558 ) 37,692 — — — — Indigo Creek 40,789 — (492 ) 40,297 — — — — $ 537,000 $ 459 $ (6,056 ) $ 531,403 $ 460,586 $ 547 $ (5,772 ) $ 455,361 Maturity Margin over LIBOR Annual Interest Rate Average Average Overton Trails Apartment Homes 1/1/2025 1.91 % 3.14 % 118 117 (1) (3) (6) Uptown Buckhead 7/1/2025 2.22 % 3.45 % 79 58 (1) (3) (5) Crosstown at Chapel Hill 7/10/2020 1.70 % 2.93 % 100 — (1) (4) (5) The Brookwood - Key Bank 11/1/2021 N/A 4.73 % 104 48 (2) (7) The Brookwood - Capital One 11/1/2021 N/A 5.40 % 16 — (2) (7) Adair off Addison and Adair off Addison Apartment Homes 1/1/2021 1.55 % 2.78 % 88 — (1) (3) 1000 Spalding Apartment Homes 1/1/2022 N/A 3.88 % 113 47 (2) (5) Ravina Apartment Homes 5/1/2022 N/A 3.76 % 144 157 (2) (7) Verdant Apartment Homes 5/1/2023 N/A 3.89 % 159 29 (2) (5) Arcadia Apartment Homes 5/1/2023 N/A 3.89 % 172 20 (2) (5) Grand Reserve 6/1/2023 2.57 % 3.80 % 184 86 (1) (3) (6) Montclair Terrace 6/1/2023 2.45 % 3.68 % 93 24 (1) (3) (7) Breckenridge 7/1/2023 2.36 % 3.59 % 223 58 (1) (3) (5) The Palmer at Las Colinas 9/1/2026 2.11 % 3.34 % 149 146 (1) (3) (5) Windbrooke Crossing 1/1/2024 2.69 % 3.92 % 203 67 (1) (3) (5) Woods of Burnsville 2/1/2024 2.13 % 3.36 % 171 67 (1) (3) (5) Indigo Creek 4/1/2024 1.93 % 3.16 % 220 52 (1) (3) (5) (1) Variable rate based on one-month LIBOR of 1.2322% (as of September 30, 2017 ) plus a fixed margin (2) Fixed rate (3) Variable rate hedged with interest rate cap cash flow hedge (4) Fixed rate interest swap associated with the variable rate debt (5) Monthly interest-only payment currently required (6) Monthly fixed principal plus interest payment required (7) Fixed monthly payment of principal and interest payment required On August 21, 2015, the Company recorded a premium, which represented the fair value of the debt assumed over its principal amount in connection with The Brookwood Apartment Homes acquisition. The premium will be amortized to interest expense over the term of the related mortgages loans using the effective interest method. As of September 30, 2017 , the net unamortized premium was $459,000 and was included as a component of mortgage loans payable in the accompanying consolidated balance sheets. At September 30, 2017 , the weighted average interest rate of all the Company's outstanding indebtedness was 3.57% . All mortgage notes are collateralized by mortgage liens on the assets of the respective property as named in the table above. The amount outstanding on the mortgages may be prepaid in full during the entire term with a prepayment penalty on the majority of the mortgages held. As of September 30, 2017 and December 31, 2016 , the Company had $8.4 million and $6.6 million , respectively of restricted cash related to escrow deposits held by mortgage lenders for real estate taxes, insurance and capital reserves (see Note 4). Annual principal payments on the mortgage notes payable, excluding amortization of the mortgage premium, for each of the next five 12-month periods ending September 30, and thereafter, are as follows (in thousands): 2018 $ 5,668 2019 9,391 2020 42,877 2021 35,261 2022 77,360 Thereafter 366,443 Total principal payments $ 537,000 The mortgage notes payable are recourse only with respect to the properties that secure the notes, subject to certain limited standard exceptions, as defined in each mortgage note. These exceptions are referred to as “carveouts.” The Company has guaranteed the mortgage notes by executing a guarantee with respect to the properties. In general, carveouts relate to damages suffered by the lender for a borrower’s failure to pay rents, insurance or condemnation proceeds to lender, failure to pay water, sewer and other public assessments or charges, failure to pay environmental compliance costs or to deliver books and records, in each case as required in the loan documents. The exceptions also require the Company to guarantee payment of audit costs, lender’s enforcement of its rights under the loan documents and payment of the loan if the borrower voluntarily files for bankruptcy or seeks reorganization, or if a related party of the borrower does so with respect to the subsidiary. The Company had also guaranteed the completion and payment of costs of completion of no less than $1.8 million for renovations at Uptown Buckhead by June 30, 2017 , all of which were completed as of September 30, 2017 . For the Crosstown at Chapel Hill Mortgage Loan, beginning with the calendar quarter ending December 31, 2017, the property must maintain a certain level of debt service coverage. Deferred financing costs incurred to obtain financing are amortized over the term of the related debt. As of September 30, 2017 and December 31, 2016 , accumulated amortization of deferred financing costs was $1.7 million and $877,000 , respectively. Amortization of deferred financing costs for the next five 12-month periods ending September 30, and thereafter, is as follows (in thousands): 2018 $ 1,176 2019 1,159 2020 1,110 2021 931 2022 750 Thereafter 930 $ 6,056

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	9 Months Ended
	Sep. 30, 2017
Equity [Abstract]
Accumulated Other Comprehensive Loss	ACCUMULATED OTHER COMPREHENSIVE LOSS The following table presents the changes in accumulated other comprehensive loss (in thousands): Net unrealized loss January 1, 2017 (74 ) Designated derivatives, fair value adjustment (363 ) Balance, September 30, 2017 $ (437 )

Related Party Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2017
Related Party Transactions [Abstract]
Related Party Transactions	RELATED PARTY TRANSACTIONS Relationship with the Advisor Pursuant to the terms of the Advisory Agreement, the Advisor provides the Company with the services of its management team, including its officers, along with appropriate support personnel. The Advisor is reimbursed for the Company’s allocable share of costs for Advisor personnel, including allocable personnel salaries and benefits. Each of the Company’s officers is an employee of the Sponsor or one of its affiliates. The Company does not have any employees. The Advisor is not obligated to dedicate any specific portion of its time or the time of its personnel to the Company’s business. The Advisor is at all times subject to the supervision and oversight of the Company’s Board of Directors and has only such functions and authority as the Company delegates to it. During the course of the primary offering, the Advisor provided offering-related services to the Company and advanced funds to the Company for both operating costs and organization and offering costs. These amounts were reimbursed to the Advisor from the proceeds from the offering. During the offering period, which closed in 2016, the Advisor had incurred costs on a cumulative basis on behalf of the Company of approximately $7.2 million , all of which had been reimbursed as of December 31, 2016 . The Advisory Agreement has a one -year term and renews for an unlimited number of successive one -year terms upon the approval of the conflicts committee of the Company's Board of Directors. Under the Advisory Agreement, the Advisor receives fees and is reimbursed for its expenses as set forth below: Acquisition fees. The Advisor earns an acquisition fee of 2.0% of the cost of investments acquired on behalf of the Company, plus any capital expenditure reserves allocated, or the amount funded by the Company to acquire loans, including acquisition expenses and any debt attributable to such investments. Asset management fees. The Advisor earns a monthly asset management fee equal to one-twelfth of 1.0% of the cost of each asset, without deduction for depreciation, bad debts or other non-cash reserves. The asset management fee is based only on the portion of the costs or value attributable to the Company’s investment in an asset if the Company does not own all of an asset and does not manage or control the asset. Disposition fees. The Advisor earns a disposition fee in connection with the sale of a property equal to the lesser of one-half of the aggregate brokerage commission paid, or if none is paid, 2.0% of the contract sales price. Debt financing fees. The Advisor earns a debt financing fee equal to 0.5% of the amount available under any debt financing obtained for which it provided substantial services. Expense reimbursements. The Company also pays directly or reimburses the Advisor for all of the expenses paid or incurred by the Advisor or its affiliates on behalf of the Company or in connection with the services provided to the Company in relation to its public offering, including its distribution reinvestment plan offering. This included all organization and offering costs of up to 2.5% of gross offering proceeds. Reimbursements also include expenses the Advisor incurs in connection with providing services to the Company, including the Company’s allocable share of costs for Advisor personnel and overhead, out-of-pocket expenses incurred in connection with the selection and acquisition of properties or other real estate related debt investments, whether or not the Company ultimately acquires the investment. However, the Company will not reimburse the Advisor or its affiliates for employee costs in connection with services for which the Advisor earns acquisition or disposition fees. Relationship with RAI and C-III Property loss pool : The Company's properties participate in a property loss self-insurance pool with other properties directly and indirectly managed by RAI and C-III, which is backed by a catastrophic insurance policy. Substantially all of the receivables from related parties represent insurance deposits held in escrow by RAI and C-III related to the self-insurance pool which, if unused, will be returned to the Company. The pool covers losses up to $2.5 million , in aggregate, after a $25,000 deductible per incident. Claims beyond the insurance pool limits will be covered by the catastrophic insurance policy, which covers claims up to $250.0 million , after a $100,000 deductible per incident. Therefore, unforeseen or catastrophic losses in excess of the Company's insured limits could have a material adverse effect on the Company's financial condition and operating results. During the nine months ended September 30, 2017 , the Company paid $398,000 into the insurance pool. General liability loss pool : The Company's properties also participated in a general liability pool with other properties directly or indirectly managed by RAI and C-III until April 22, 2017. The pool covers claims up to $50,000 per incident through April 22, 2017. Effective April 23, 2017, the loss pool was eliminated and the Company now participates (with other properties directly or indirectly managed by RAI and C-III) in a general liability policy. The insured limit for the general liability policy is $76.0 million in total claims, after a $25,000 deductible per incident. Internal audit fees. RAI performs internal audit services for the Company. The Company utilizes the services of The Planning and Zoning Resource Company, an affiliate of C-III, for zoning reports for acquisitions. Relationship with Resource Real Estate Opportunity Manager II The Manager manages real estate properties and real estate-related debt investments and coordinates the leasing of, and manages construction activities related to the Company’s real estate properties pursuant to the terms of the management agreement with the Manager. Property management fees. The Manager earns a property management fee equal to 4.5% of actual gross cash receipts from the operations of real property investments. Construction management fees. The Manager earns a construction management fee of 5.0% of actual aggregate costs to construct improvements, or to repair, rehab or reconstruct a property. Debt servicing fees. The Manager earns a debt servicing fee of 2.75% on payments received from loans held by the Company for investment. No debt servicing fees were earned during the nine months ended September 30, 2017 and 2016 . Expense reimbursement. During the ordinary course of business, the Manager or other affiliates of RAI may pay certain shared operating expenses on behalf of the Company. Relationship with Resource Securities Resource Securities LLC. (“Resource Securities”), an affiliate of the Advisor, serves as the Company’s dealer-manager and was responsible for marketing the Company’s shares during the primary portion of its public offering. Pursuant to the terms of the dealer-manager agreement with Resource Securities, the Company paid Resource Securities a selling commission of up to 7% of gross primary offering proceeds and a dealer-manager fee of up to 3% of gross primary offering proceeds. Resource Securities reallowed all selling commissions earned and a portion of the dealer-manager fee as a marketing fee to participating broker-dealers. No selling commissions or dealer-manager fees are earned by Resource Securities in connection with sales under the distribution reinvestment plan. Relationship with Other Related Party The Company utilizes the services of a printing company, Graphic Images, LLC (“Graphic Images”), the principal owner of which is the father of RAI’s Chief Financial Officer. The fees earned/expenses incurred and the amounts payable to such related parties are summarized in the following tables (in thousands): September 30, December 31, Due from related parties: RAI - self-insurance funds held $ 121 $ 604 $ 121 $ 604 Due to related parties: Advisor Acquisition fees $ — $ 1,022 Operating expense reimbursements 44 1,078 Manager Property management fees 296 244 Operating expense reimbursements 238 304 RAI Internal audit fees 36 — $ 614 $ 2,648 Three Months Ended Nine Months Ended September 30, September 30, 2017 2016 2017 2016 Fees earned / expenses incurred: Advisor Acquisition fees (1) $ — $ — $ 1,142 $ 6,450 Asset management fees (2) $ 2,362 $ 1,955 $ 6,935 $ 4,910 Debt financing fees (3) $ — $ 229 $ 395 $ 1,346 Organization and offering costs (4) $ — $ — $ — $ 86 Operating expense reimbursements (5) $ 961 $ 832 $ 3,011 $ 2,135 Manager Property management fees (2) $ 880 $ 672 $ 2,519 $ 1,602 Construction management fees (7) $ 342 $ 389 $ 1,174 $ 910 Operating expense reimbursements (5) $ — $ 36 $ — $ 97 Information technology fees (5) $ — 46 $ — $ 118 Resource Securities Selling commissions and dealer-manager fees (6) $ — $ — $ — $ 4,192 Other Graphic Images (5) $ — $ — $ 9 $ 3 The Planning & Zoning Resource Company (1) $ — $ — $ 1 $ — (1) Included in Acquisition costs on the consolidated statements of operations and comprehensive loss per income statement. (2) Included in Management fees on the consolidated statements of operations and comprehensive loss per income statement. (3) Included in Mortgage notes payable, net on the consolidated balance sheets. (4) Included in Deferred offering costs and Stockholders' Equity on the consolidated balance sheets. (5) Included in General and administrative on the consolidated statements of operations and comprehensive loss per income statement. (6) Included in Stockholders' equity on the consolidated balance sheets. (7) Included in Rental properties, net on the consolidated balance sheets.

Equity

Equity	9 Months Ended
	Sep. 30, 2017
Equity [Abstract]
Equity	EQUITY Preferred Stock The Company’s charter authorizes the Company to issue 10,000,000 shares of its $0.01 par value preferred stock. As of September 30, 2017 , no shares of preferred stock were issued or outstanding. Convertible Stock As of September 30, 2017 , the Company had 50,000 shares of $0.01 par value convertible stock outstanding, which are owned by the Advisor and affiliated persons. The convertible stock will convert into shares of the Company’s common stock upon the occurrence of (a) the Company having paid distributions to common stockholders that in the aggregate equal 100% of the price at which the Company originally sold the shares plus an amount sufficient to produce a 7% cumulative, non-compounded annual return on the shares at that price; or (b) if the Company lists its common stock on a national securities exchange and, on or after the 31st trading day following the listing, the Company’s value based on the average trading price of its common stock since the listing, plus prior distributions, combine to meet the same 7% return threshold. Each of these two events is a “Triggering Event.” Upon a Triggering Event, the Company's convertible stock will, unless its advisory agreement has been terminated or not renewed on account of a material breach by its Advisor, generally be converted into a number of shares of common stock equal to 1/50,000 of the quotient of: (A) the lesser of (i) 15% of the amount, if any, by which (1) the value of the Company as of the date of the event triggering the conversion plus the total distributions paid to its stockholders through such date on the then-outstanding shares of its common stock exceeds (2) the sum of the aggregate issue price of those outstanding shares plus a 7% cumulative, non-compounded, annual return on the issue price of those outstanding shares as of the date of the event triggering the conversion, divided by (B) the value of the Company divided by the number of outstanding shares of common stock, in each case, as of the date of the event triggering the conversion. No triggering events have occurred as of September 30, 2017 . Common Stock As of September 30, 2017 , the Company had an aggregate of 60,309,199 shares of $0.01 par value common stock outstanding, including the Advisor's additional purchase of 117,778 shares of common stock for $1.1 million , as follows (dollars in thousands): Shares Issued Gross Proceeds Shares issued through initial public offering 55,791,297 $ 556,197 Shares issued through stock distributions 246,365 — Shares issued through distribution reinvestment plan 5,074,228 44,729 Advisor's initial investment, net of 5,000 share conversion 15,000 150 Total 61,126,890 601,076 Shares redeemed and retired (817,691 ) (7,064 ) Total shares outstanding 60,309,199 $ 594,012 Redemptions During the nine months ended September 30, 2017 , the Company redeemed shares as follows (in thousands, except per share data): Month Total Number Average Price Paid per Share Cumulative Number (1) Approximate Dollar January 2017 — $— — (2) February 2017 — $— — (2) March 2017 121 $8.74 121 (2) April 2017 — $— — (2) May 2017 — $— — (2) June 2017 188 $8.58 309 (2) July 2017 — $— — (2) August 2017 — $— — (2) September 2017 336 $8.51 645 (2) (1) All purchases of equity securities by the Company in the nine months ended September 30, 2017 were made pursuant to the Company's share redemption program. (2) The Company currently limits the dollar value and number of shares that may be repurchased under the program, as discussed below. All redemption requests tendered were honored during the nine months ended September 30, 2017 . The Company will not redeem in excess of 5% of the weighted-average number of shares outstanding during the 12 -month period immediately prior to the effective date of redemption. Generally, the cash available for redemption will be limited to proceeds from the distribution reinvestment plan plus, if the Company had positive operating cash flow from the previous fiscal year, 1% of all operating cash flow from the previous fiscal year. These limitations apply to all redemptions, including redemptions sought upon a stockholder’s death, qualifying disability or confinement to a long-term care facility. The Company's board of directors, in its sole discretion, may suspend, terminate or amend the Company's share redemption program without stockholder approval upon 30 days' notice if it determines that such suspension, termination or amendment is in the Company's best interest. The Company's board may also reduce the number of shares purchased under the share redemption program if it determines the funds otherwise available to fund the Company's share redemption program are needed for other purposes. These limitations apply to all redemptions, including redemptions sought upon a stockholder's death, qualifying disability or confinement to a long-term care facility. Distributions For the nine months ended September 30, 2017 , the Company paid aggregate distributions of $26.7 million , including $11.2 million of distributions paid in cash and $15.5 million of distributions reinvested in shares of common stock through the Company's distribution reinvestment plan, as follows (in thousands): Authorization Date Per Record Dates Distribution Date Distributions Net Cash Distributions Total Aggregate December 15, 2016 $ 0.00164384 December 30, 2016 through January 30, 2017 January 31, 2017 $ 1,748 $ 1,265 $ 3,013 December 15, 2016 0.00164384 January 31, 2017 through February 27, 2017 February 28, 2017 1,587 1,144 2,731 December 15, 2016 0.00164384 February 28, 2017 through March 30, 2017 March 31, 2017 1,755 1,276 3,031 March 28, 2017 0.00164384 March 31, 2017 through April 27, 2017 April 28, 2017 1,593 1,156 2,749 March 28, 2017 0.00164384 April 28, 2017 through May 30, 2017 May 31, 2017 1,877 1,366 3,243 March 28, 2017 0.00164384 May 31, 2017 through June 29, 2017 June 30, 2017 1,713 1,243 2,956 June 16, 2017 0.00164384 June 30, 2017 through July 30, 2017 July 31, 2017 $ 1,774 1,286 $ 3,060 June 16, 2017 0.00164384 July 31, 2017 through August 30, 2017 August 31, 2017 $ 1,777 1,292 $ 3,069 June 16, 2017 0.00164384 August 31, 2017 through September 28, 2017 September 29, 2017 1,658 1,208 $ 2,866 $ 15,482 $ 11,236 $ 26,718 On September 12, 2017 , the Board of Directors approved distributions in an amount of $0.00164384 per share of common stock for stockholders of record each day in the period from September 29, 2017 through and including December 28, 2017 , payable on October 31, 2017 , November 30, 2017 and December 29, 2017 . The following is a reconciliation of total aggregate distributions paid to total distributions declared for the nine months ended September 30, 2017 (in thousands): Total aggregate distributions paid $ 26,718 Less: distribution payable at December 31, 2016 (8,769 ) Add: distribution payable at September 30, 2017 9,021 Total distributions declared $ 26,970 Distributions are payable in cash or reinvested in shares of common stock at the discretion of the shareholder.

Fair Value Measures and Disclos

Fair Value Measures and Disclosures	9 Months Ended
	Sep. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value Measures and Disclosures	FAIR VALUE MEASURES AND DISCLOSURES In analyzing the fair value of its investments accounted for on a fair value basis, the Company follows the fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The Company determines fair value based on quoted prices when available or, if quoted prices are not available, through the use of alternative approaches, such as discounting the expected cash flows using market interest rates commensurate with the credit quality and duration of the investment. The fair value of cash, tenant receivables and accounts payable, approximate their carrying value due to their short nature. The hierarchy followed defines three levels of inputs that may be used to measure fair value: Level 1 - Quoted prices in active markets for identical assets and liabilities that the reporting entity has the ability to access at the measurement date. Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset and liability or can be corroborated with observable market data for substantially the entire contractual term of the asset or liability. Level 3 - Unobservable inputs that reflect the entity’s own assumptions about the assumptions that market participants would use in the pricing of the asset or liability and are consequently not based on market activity, but rather through particular valuation techniques. The determination of where an asset or liability falls in the hierarchy requires significant judgment. The Company evaluates its hierarchy disclosures each quarter; depending on various factors, it is possible that an asset or liability may be classified differently from quarter to quarter. However, the Company expects that changes in classifications between levels will be rare. The fair value of rental properties is usually estimated based on information obtained from a number of sources, including information obtained about each property as a result of pre-acquisition due diligence, marketing and leasing activities. The Company allocates the purchase price of properties to acquired tangible assets, consisting of land, buildings, fixtures and improvements, and identified intangible lease assets and liabilities, consisting of the value of above-market and below-market leases, as applicable, the value of in-place leases and the value of tenant relationships, based in each case on their fair values. Derivatives (interest rate caps) which are reported at fair value in the consolidated balance sheets are valued by a third party pricing agent using an income approach with models that use, as their primary inputs, readily observable market parameters. This valuation process considers factors including interest rate yield curves, time value, credit and volatility factors (Level 2). The following table presents information about the Company's assets measured at fair value on a recurring basis and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value as follows (in thousands): Level 1 Level 2 Level 3 Total September 30, 2017 Assets: Interest rate caps $ — $ 57 $ — $ 57 Cancelable swap — 37 — 37 $ — $ 94 $ — $ 94 Level 1 Level 2 Level 3 Total December 31, 2016 Assets: Interest rate caps $ — $ 365 $ — $ 365 Canceleable swap — 43 — 43 $ — $ 408 $ — $ 408 Interest rate caps and the cancelable swap are included in Prepaid expenses and other assets on the consolidated balance sheets. The outstanding balance and estimated fair value of the Company’s mortgage notes payable are as follows (in thousands): September 30, 2017 December 31, 2016 Outstanding Balance Estimated Fair Outstanding Balance Estimated Fair Mortgage notes payable $ 537,000 $ 510,765 $ 460,586 $ 449,977 The carrying amount of the mortgage notes payable presented is the outstanding borrowings excluding premium and deferred finance costs, net. The fair value of the mortgage notes payable was estimated using rates available to the Company for debt with similar terms and remaining maturities (Level 3).

Derivatives and Hedging Activit

Derivatives and Hedging Activities	9 Months Ended
	Sep. 30, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivatives and Hedging Activities	DERIVATIVES AND HEDGING ACTIVITIES Risk Management Objective of Using Derivatives The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its debt funding and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s investments and borrowings. As a condition of the Company’s mortgage loans, from time to time the Company may be required to enter into certain derivative transactions as may be required by the lender. These transactions would generally be in line with the Company’s own risk management objectives and also serve to protect the lender. Interest Rate Caps The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company entered into interest rate caps that were designated as cash flow hedges. Interest rate caps designated as cash flow hedges involve the receipt of variable amounts from a counterparty if interest rates rise above the strike rate on the contract in exchange for an up-front premium. The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges is recorded in accumulated other comprehensive income and is subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. During the nine months ended September 30, 2017 , such derivatives were used to hedge the variable cash flows, indexed to London InterBank Offered Rate ("LIBOR"), associated with existing variable-rate loan agreements. The ineffective portion of the change in fair value of the derivatives is recognized directly in earnings. During the nine months ended September 30, 2017 , the Company did not record any hedge ineffectiveness in earnings. Amounts reported in accumulated other comprehensive income related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. During the next 12 months, the Company estimates that an additional $92,298 will be reclassified as an increase to interest expense. Cancelable swap To manage its exposure to interest rate movements, the Company has also entered into a cancelable interest rate swap that was not designated as a hedging instrument. Interest rate swaps involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. Derivatives not designated as hedges are not speculative and are used to manage the Company’s exposure to interest rate movements but do not meet the strict hedge accounting requirements. As of September 30, 2017 , the Company had the following outstanding interest rate derivatives (dollars in thousands): Interest Rate Derivatives Number of Instruments Notional Maturity Dates Derivatives designated as hedging instruments: Interest rate caps 10 $ 358,941 January 1, 2018 through September 1, 2020 Derivatives not designated as hedging instruments Cancelable swap 1 $ 31,930 July 28, 2020 Tabular Disclosure of Fair Value of Derivative Instrument on the Balance Sheet The table below presents the fair value of the Company’s derivative financial instruments on the consolidated balance sheets as of September 30, 2017 and December 31, 2016 (in thousands): Asset Derivatives Liabilities Derivatives September 30, 2017 December 31, 2016 September 30, 2017 December 31, 2016 Balance Sheet Fair Value Balance Sheet Fair Value Balance Sheet Fair Value Balance Sheet Fair Value Derivatives designated as hedging instruments: Interest rate caps $ 57 Interest rate caps $ 365 NA $ — NA $ — Derivatives not designated as hedging instruments: Cancelable swap $ 37 Cancelable swap 43 NA — NA — Interest rate caps and the cancelable swap are included in Prepaid expenses and other assets on the consolidated balance sheets. The table below presents the effect of the Company's derivative financial instruments on the consolidated statements of operations and comprehensive loss for the three and nine months ended September 30, 2017 and 2016 (in thousands): Amount of Gain (Loss) Recognized in Income for the Three Months Ended Amount of Gain (Loss) Recognized in Income for the Nine Months Ended Derivatives Designated as Hedging Instruments Location of Gain (Loss) Recognized in Income September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Interest rate caps Interest expense $ (20 ) (3 ) $ (42 ) (6 ) Amount of Gain (Loss) Recognized in Income for the Three Months Ended Amount of Gain (Loss) Recognized in Income for the Nine Months Ended Derivatives Not Designated as Hedging Instruments Location of Gain (Loss) Recognized in Income September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Cancelable swap Interest expense $ (58 ) 42 $ (217 ) (492 ) Derivatives in Cash Flow Hedging Relationships Amount of Gain (Loss) Recognized in OCI on Derivative (Effective Portion) for the Three Months Ended Location of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) for the Three Months Ended September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Interest rate products $ (53 ) $ (26 ) Interest expense $ (20 ) $ (3 ) Derivatives in Cash Flow Hedging Relationships Amount of Gain (Loss) Recognized in OCI on Derivative (Effective Portion) for the Nine Months Ended Location of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) for the Nine Months Ended September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Interest rate products $ (405 ) $ (111 ) Interest expense $ (42 ) $ (5 ) Credit-risk-related Contingent Features The Company has agreements with its derivative counterparties that contain provisions where if the Company defaults on any of its indebtedness, including default where repayment of the indebtedness has not been accelerated by the lender, then the Company could also be declared in default on its derivative obligations. As of September 30, 2017 , the Company has not posted any collateral related to these agreements.

Operating Expense Limitation

Operating Expense Limitation	9 Months Ended
	Sep. 30, 2017
Other Income and Expenses [Abstract]
Operating Expense Limitation	OPERATING EXPENSE LIMITATION As required under the Company's charter, the Advisor must reimburse the Company the amount by which the aggregate total operating expenses for the four fiscal quarters then ended exceed the greater of 2% of the average invested assets or 25% of net income, unless the conflicts committee has determined that such excess expenses were justified based on unusual and non-recurring factors. “Average invested assets” means the average monthly book value of assets invested, directly or indirectly, in equity interests in and loans secured by real estate during the 12-month period before deducting depreciation, bad debts or other non-cash reserves. “Total operating expenses” means all expenses paid or incurred by the Company, as determined under GAAP, that are in any way related to operations, including advisory fees, but excluding (a) the expenses of raising capital such as organization and offering expenses, legal, audit, accounting, underwriting, brokerage, listing, registration and other fees, printing and other such expenses and taxes incurred in connection with the issuance, distribution, transfer, registration and stock exchange listing of stock; (b) interest payments; (c) taxes; (d) non-cash expenditures such as depreciation, amortization and bad debt reserves; (e) reasonable incentive fees based on the gain in the sale of assets; and (f) acquisition fees, acquisition expenses (including expenses relating to potential investments that do not close), disposition fees on the resale of property and other expenses connected with the acquisition, disposition and ownership of real estate interests, loans or other property (including the costs of foreclosure, insurance premiums, legal services, maintenance, repair and improvement of property). Operating expenses for the four quarters ended September 30, 2017 did not exceed the charter imposed limitation. Allocated payroll associated with a portion of the compensation paid by the Advisor or its affiliates to the Company’s executive officers was included in general and administrative expenses in the consolidated statements of operations and comprehensive loss and was reimbursed to the Advisor during the three and nine months ended September 30, 2017 and 2016 . This expense is included in "operating expense reimbursements" in Note 10. Allocated payroll expense from the Manager is included in rental operating expenses in the consolidated statements of operations and comprehensive loss. Allocated payroll for the three months ended September 30, 2017 and 2016 was $110,312 and $279,027 , respectively. Allocated payroll for the nine months ended September 30, 2017 and 2016 was $404,095 and $762,304 , respectively.

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2017
Subsequent Events [Abstract]
Subsequent Events	SUBSEQUENT EVENTS On October 31, 2017, the Company purchased a 256 -unit multifamily community located in Lombard, Illinois from an unaffiliated seller for $38.3 million . The Company has evaluated subsequent events and determined that no additional events have occurred which would require an adjustment to or additional disclosure in the consolidated financial statements.

Summary of Significant Accoun22

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2017
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The consolidated financial statements have been prepared in conformity with GAAP.
Principles of Consolidation	All intercompany accounts and transactions have been eliminated in consolidation.
Segment Reporting	Segment Reporting The Company does not evaluate performance on a relationship-specific or transactional basis and does not distinguish its principal business or group its operations on a geographical basis for purposes of measuring performance. Accordingly, the Company believes it has a single operating segment for reporting purposes in accordance with GAAP.
Use of Estimates	Use of Estimates The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates.
Rental Properties	Rental Properties The Company records acquired rental properties at fair value on their acquisition date. The Company considers the period of future benefit of an asset to determine its appropriate useful life, and depreciates the asset using the straight line method. The Company's estimated useful lives of its assets by class are as follows: Buildings 27.5 years Building improvements 5.0 to 27.5 years Furniture, fixtures and equipment 3.0 to 5.0 years Tenant improvements Shorter of lease term or expected useful life Lease intangibles Remaining term of related lease Improvements and replacements in excess of $1,000 are capitalized when they have a useful life greater than or equal to one year. Resource Real Estate Opportunity Manager II (the "Manager") earns a construction management fee of 5.0% of actual aggregate costs to construct improvements, or to repair, rehab or reconstruct a property. These costs are capitalized along with the related asset. Costs of repairs and maintenance are expensed as incurred. As four of the Company's multifamily properties are located in the Dallas-Fort Worth area, two properties are located in Portland, Oregon, two properties are located in the Atlanta area and two properties are located in the Denver area, the Company's portfolio is currently particularly susceptible to adverse economic developments in these real estate markets. Any adverse economic or real estate developments in these markets, such as business layoffs or downsizing, industry slowdowns, relocations of businesses, changing demographics and other factors, or any decrease in demand for multifamily rentals resulting from the local business climate, could negatively affect the Comapny's liquidity and adversely affect its ability to fund our ongoing operations.
Impairment of Long Lived Assets	Impairment of Long Lived Assets When circumstances indicate the carrying value of a property may not be recoverable, the Company reviews the asset for impairment. This review is based on an estimate of the future undiscounted cash flows, excluding interest charges, expected to result from the property’s use and eventual disposition. These estimates consider factors such as expected future operating income, market and other applicable trends and residual value, as well as the effects of leasing demand, competition and other factors. If impairment exists, due to the inability to recover the carrying value of a property, an impairment loss will be recorded to the extent that the carrying value exceeds the estimated fair value of the property for properties to be held and used. For properties held for sale, the impairment loss is the adjustment to fair value less estimated cost to dispose of the asset. These assessments have a direct impact on net income because recording an impairment loss results in an immediate negative adjustment to net income. The Company did not recognize any impairment charges during the three and nine months ended September 30, 2017 and 2016 .
Allocation of Purchase Price of Acquired Assets	Allocation of Purchase Price of Acquired Assets Upon the acquisition of real properties, the Company allocates the purchase price of properties to acquired tangible assets, consisting of land, buildings, fixtures and improvements, identified intangible lease assets, consisting of the value of above-market and below-market leases, as applicable, the value of in-place leases, the value of tenant relationships, and liabilities, based in each case on their fair values. Fair value estimates are based on information obtained from a number of sources, including information obtained about each property as a result of pre-acquisition due diligence, marketing and leasing activities. In addition, the Company may obtain independent appraisal reports. The information in the appraisal reports, along with the aforementioned information available to the Company's management, is used in allocating the purchase price. The independent appraisers have no involvement in management's allocation decisions other than providing market information. The Company records above-market and below-market in-place lease values for acquired properties based on the present value (using an interest rate that reflects the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the in-place leases and (ii) management’s estimate of fair market lease rates for the corresponding in-place leases, measured over a period equal to the remaining non-cancelable term of the lease. The Company amortizes any capitalized above-market or below-market lease values as an increase or reduction to rental income over the remaining non-cancelable terms of the respective leases. The Company measures the aggregate value of other intangible assets acquired based on the difference between (i) the property valued with existing in-place leases adjusted to market rental rates and (ii) the property valued as if vacant. Management’s estimates of value are expected to be made using methods similar to those used by independent appraisers (e.g., discounted cash flow analysis). Factors to be considered by management in its analysis include an estimate of carrying costs during hypothetical expected lease-up periods considering current market conditions and costs to execute similar leases. In estimating carrying costs, management includes real estate taxes, insurance and other operating expenses and estimates of lost rentals at market rates during the expected lease-up periods. Management also estimates costs to execute similar leases including leasing commissions and legal and other related expenses to the extent that such costs have not already been incurred in connection with a new lease origination as part of the transaction. The total amount of other intangible assets acquired is further allocated to customer relationship intangible values based on management’s evaluation of the specific characteristics of each tenant’s lease and the Company’s overall relationship with that respective tenant. Characteristics considered by management in allocating these values include the nature and extent of the Company’s existing business relationships with the tenant, growth prospects for developing new business with the tenant, the tenant’s credit quality and expectations of lease renewals (including those existing under the terms of the lease agreement), among other factors. The Company amortizes the value of in-place leases to expense over the remaining term of the underlying leases. The value of customer relationship intangibles is amortized to expense over the initial term and any renewal periods in the respective leases, but in no event does amortization periods for the intangible assets exceed the remaining depreciable life of the building. Should a tenant terminate its lease, the unamortized portion of the in-place lease value and relationship intangibles related to that customer would be charged to expense in that period. The determination of the fair value of the assets and liabilities acquired requires the use of significant assumptions with regard to current market rental rates, discount rates and other variables. These estimates are subject to change until all information is finalized, which is generally within one year of the acquisition date.
Revenue Recognition	Revenue Recognition The Company recognizes minimum rent, including rental abatements and contractual fixed increases attributable to operating leases, on a straight-line basis over the term of the related lease and includes amounts expected to be received in later years in deferred rents. The Company records property operating expense reimbursements due from tenants for common area maintenance, real estate taxes and other recoverable costs in the period the related expenses are incurred. The specific timing of a sale is measured against various criteria related to the terms of the transaction and any continuing involvement associated with the property. If the criteria for profit recognition under the full-accrual method are not met, the Company defers the gain recognition and accounts for the continued operations of the property by applying the percentage-of-completion, reduced profit, deposit, installment or cost recovery methods, as appropriate, until the appropriate criteria are met. The future minimum rental payments to be received from noncancelable operating leases are $44.4 million and $306,000 for the 12-month periods ending September 30, 2018 and 2019 , respectively, and none thereafter. Revenue is primarily derived from the rental of residential housing units, however, included within rental income is other income such as pet fees, parking fees, and late fees, as well as property operating expense reimbursements due from tenants for common area maintenance, real estate taxes and other recoverable costs. The Company records the ancillary charges in the period in which they are earned or received and records the reimbursements in the period in which the related expenses are incurred.
Tenant Receivables	Tenant Receivables The Company makes estimates of the collectability of its tenant receivables related to base rents, including straight-line rentals, expense reimbursements and other revenue or income. The Company specifically analyzes accounts receivable and historic bad debts, tenant creditworthiness, current economic trends when evaluating the adequacy of the allowance for doubtful accounts. In addition, with respect to tenants in bankruptcy, the Company makes estimates of the expected recovery of pre-petition and post-petition claims in assessing the estimated collectability of the related receivable. The Company writes off receivables when they become uncollectible. In some cases, the ultimate resolution of these claims can exceed one year .
Income Taxes	Income Taxes The Company elected to be taxed as a REIT, commencing with its taxable year ended December 31, 2014. To maintain its REIT qualification for U.S. federal income tax purposes, the Company is generally required to distribute at least 90% of its taxable net income (excluding net capital gains) to its stockholders as well as comply with other requirements, including certain asset, income and stock ownership tests. As a REIT, the Company is not subject to federal corporate income tax to the extent that it distributes 100% of its REIT taxable income each year. If the Company fails to qualify as a REIT, and does not qualify for certain statutory relief provisions, it is subject to U.S. federal, state and local income taxes and may be precluded from qualifying as a REIT for the subsequent four taxable years following the year in which it fails its REIT qualification. Accordingly, the Company’s failure to qualify as a REIT could have a material adverse impact on its results of operations and amounts available for distribution to its stockholders. The dividends paid deduction of a REIT for qualifying dividends to its stockholders is computed using the Company’s taxable income as opposed to net income reported on the financial statements. Taxable income, generally, will differ from net income reported on the financial statements because the determination of taxable income is based on tax provisions and not financial accounting principles. The Company may elect to treat certain of its subsidiaries as taxable REIT subsidiaries (“TRSs”). In general, the Company’s TRSs may hold assets and engage in activities that the Company cannot hold or engage in directly and generally may engage in any real estate or non-real estate-related business. A TRS is subject to U.S. federal, state and local corporate income taxes. While a TRS may generate net income, a TRS can declare dividends to the Company which will be included in the Company’s taxable income and necessitate a distribution to its stockholders. Conversely, if the Company retains earnings at a TRS level, no distribution is required and the Company can increase book equity of the consolidated entity. As of September 30, 2017 and December 31, 2016 , the Company had no TRSs.
Earnings Per Share	Earnings Per Share Basic earnings (loss) per share is calculated on the basis of the weighted-average number of common shares outstanding during the year. Basic earnings (loss) per share is computed by dividing income available to common shareholders by the weighted-average common shares outstanding during the period. Diluted earnings per share takes into account the potential dilution that could occur if securities or other contracts to issue common stock were exercised and converted to common stock. None of the convertible shares (see Note 11) are included in the diluted earnings per share calculations because the necessary conditions for conversion have not been satisfied as of September 30, 2017 (were such date to represent the end of the contingency period). For the three and nine months ended September 30, 2017 and 2016 , common shares potentially issuable to settle distributions payable are excluded from the calculation of diluted earnings per share calculations, as their inclusion would be anti-dilutive.
Organization and Offering Costs	Organization and Offering Costs The Company incurred organizational, accounting, and offering costs in pursuit of its financing. Organization and offering costs (other than selling commissions and dealer-manager fees) of the Company were initially paid by the Advisor on behalf of the Company. Organization costs were expensed as incurred and included all expenses incurred by the Company in connection with the formation of the Company, including, but not limited to, legal fees and other costs to incorporate the Company. Pursuant to the Amended and Restated Advisory Agreement between the Company and the Advisor dated January 9, 2014, as amended (the “Advisory Agreement”), the Company is obligated to reimburse the Advisor for organization and offering costs it incurred on the Company's behalf, but only to the extent that such reimbursements did not cause organization and offering expenses (other than selling commissions and the dealer manager fees) to exceed 2.5% of the gross offering proceeds raised in the offering, when recorded by the Company. The primary portion of the offering closed on February 6, 2016 , at which point total organization and offering costs incurred did not exceed 2.5% of the gross offering proceeds raised in the offering. During the offering period, the Company incurred $11.2 million for the payment of offering costs consisting of accounting, advertising, allocated payroll, due diligence, marketing, legal and similar costs. During the offering period, the Advisor had incurred $7.2 million of these costs on behalf of the Company, all of which had been reimbursed. A portion of these costs was charged to equity upon the sale of each share of common stock sold under the public offering. Similarly, a portion of the proceeds received from the sales of shares in the Company's public offering was paid to the Advisor to reimburse it for the amount incurred on behalf of the Company.
Adoption of New Accounting Standards	Adoption of New Accounting Standards Accounting Standards Issued But Not Yet Effective In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU No. 2014-09, “Revenue from Contracts with Customers”, which will replace most existing revenue recognition guidance in GAAP. The core principle of ASU No. 2014-09 is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. ASU No. 2014-09 requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. ASU No. 2014-09 will be effective for the Company beginning January 1, 2018, including interim periods in 2018, and allows for both retrospective and prospective methods of adoption. In accordance with the Company's plan for adoption of ASU No. 2014-09, the Company has identified revenue streams and is performing an in-depth review to identify the related performance obligations and to evaluate the impact on the Company's consolidated financial statements and internal accounting processes and controls. As the majority of the Company's revenue is derived from lease contracts, the Company does not expect the adoption of ASU No. 2014-09 or related amendments and modifications issued by FASB to have a material effect on its consolidated financial statements. In February 2016, FASB issued ASU No. 2016-02, "Leases" ("ASU No. 2016-02"), which is intended to improve financial reporting about leasing transactions and requires organizations that lease assets to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. In September 2017, FASB issued ASU 2017-13, "Revenue Recognition (Topic 605), Revenue from Contracts with Customers (Topic 606), Leases (Topic 840), and Leases (Topic 842)", which provides additional implementation guidance on the previously issued ASU No. 2016-02 Leases (Topic 842). ASU No. 2016-02 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. The Company is continuing to evaluate this guidance, however, the Company expects that its operating leases where it is the lessor will be accounted for on its balance sheet similar to its current accounting with the underlying leased asset recognized as real estate. The Company expects that executory costs and certain other non-lease components will need to be accounted for separately from the lease component of the lease with the lease component continuing to be recognized on a straight-line basis over the lease term and the executory costs and certain other non-lease components being accounted for under the new revenue recognition guidance in ASU 2014-09. For leases in which the Company is the lessee, primarily consisting of office equipment leases, the Company expects to recognize a right-of-use asset and a lease liability equal to the present value of the minimum lease payments with rental payments being applied to the lease liability and to interest expense and the right-of-use asset being amortized to expense on a straight-line basis over the term of the lease. In June 2016, FASB issued ASU No. 2016-13, “Financial Instruments - Credit Losses”, which requires measurement and recognition of expected credit losses for financial assets held. ASU No. 2016-13 will be effective for the Company beginning January 1, 2019. The Company is evaluating this guidance; however, it does not expect the adoption of ASU No. 2016-13 to have a significant impact on its consolidated financial statements. In January 2017, FASB issued ASU No. 2017-01, "Business Combinations (Topic 850): Clarifying the Definition of Business", which clarifies the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of businesses. ASU No. 2017-01 will be effective for the Company beginning January 1, 2018. Early application is permitted. The Company is evaluating this guidance and assessing the impact of this guidance on its consolidated financial statements. In January 2017, FASB issued ASU No. 2017-04, "Intangibles- Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment", which alters the current goodwill impairment testing procedures. ASU No. 2017-04 will be effective for the Company beginning December 15, 2019. Early application is permitted. The Company is evaluating this guidance and assessing the impact of this guidance on its consolidated financial statements. In August 2017, FASB issued ASU No. 2017-12, "Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities", which expands and refines hedge accounting for both financial and non-financial risk components, aligns the recognition and presentation of the effects of hedging instruments and hedge items in the financial statements, and includes certain targeted improvements to ease the application of current guidance related to the assessment of hedge effectiveness. The update to the standard is effective for the Company on January 1, 2019, with early adoption permitted in any interim period. The Company is continuing to evaluate this guidance.

Summary of Significant Accoun23

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2017
Accounting Policies [Abstract]
Schedule of Wholly-Owned Subsidiaries	The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries as follows: Subsidiary Apartment Complex Number Property Location RRE Opportunity Holdings II, LLC N/A N/A N/A RRE Opportunity OP II, LP N/A N/A N/A RRE Bear Creek Holdings, LLC, or Bear Creek Adair off Addison 152 Dallas, TX RRE Oak Hill Holdings, LLC, or Oak Hill Overton Trails Apartment Homes 360 Fort Worth, TX RRE Buckhead Holdings, LLC, or Buckhead Uptown Buckhead 216 Atlanta, GA RRE Farrington Holdings, LLC, or Farrington Crosstown at Chapel Hill 411 Chapel Hill, NC RRE Mayfair Chateau Holdings, LLC, or Mayfair Chateau The Brookwood 274 Homewood, AL RRE Fairways of Bent Tree Holdings, LLC, or Fairways of Bent Tree Adair off Addison Apartment Homes 200 Dallas, TX RRE Montclair Terrace Holdings, LLC, or Montclair Holdings Montclair Terrace 188 Portland, OR RRE Grand Reserve Holdings, LLC, or Grand Reserve Grand Reserve 319 Naperville, IL RRE Canterwood Holdings, LLC, or Canterwood Verdant Apartment Homes 216 Boulder, CO RRE Spalding Crossing Holdings, LLC, or Spalding Crossing 1000 Spalding Apartment Homes 252 Atlanta, GA RRE Fox Ridge Holdings, LLC, or Fox Ridge Arcadia Apartment Homes 300 Centennial, CO RRE Riverlodge Holdings, LLC, or Riverlodge Ravina Apartment Homes 498 Austin, TX RRE Breckenridge Holdings, LLC, or Breckenridge Breckenridge 357 Portland, OR RRE Santa Rosa Holdings, LLC, or Santa Rosa The Palmer at Las Colinas 476 Irving, TX RRE Windbrooke Holdings, LLC, or Windbrooke Crossing Windbrooke Crossing 236 Buffalo Grove, IL RRE Woods Holdings, LLC, or The Woods of Burnsville The Woods of Burnsville 400 Burnsville, MN RRE Indigo Creek Holdings, LLC Indigo Creek 408 Glendale, AZ RRE Martin's Point Holdings, LLC N/A N/A N/A N/A - Not Applicable
Schedule of Estimated Useful Lives	The Company's estimated useful lives of its assets by class are as follows: Buildings 27.5 years Building improvements 5.0 to 27.5 years Furniture, fixtures and equipment 3.0 to 5.0 years Tenant improvements Shorter of lease term or expected useful life Lease intangibles Remaining term of related lease

Supplemental Cash Flow Inform24

Supplemental Cash Flow Information (Tables)	9 Months Ended
	Sep. 30, 2017
Supplemental Cash Flow Elements [Abstract]
Supplemental Cash Flow Information	The following table presents supplemental cash flow information (in thousands): Nine Months Ended September 30, 2017 2016 Non-cash operating, financing and investing activities: Distributions on common stock declared but not yet paid $ 9,021 $ 8,788 Stock issued pursuant to distribution reinvestment plan 15,482 15,410 Rental property and other assets acquired through assumption of mortgage notes payable — 28,074 Cash paid during the period for: Interest $ 13,159 $ 5,723

Restricted Cash (Tables)

Restricted Cash (Tables)	9 Months Ended
	Sep. 30, 2017
Cash and Cash Equivalents [Abstract]
Summary of Components of Restricted Cash	A summary of the components of restricted cash follows (in thousands): September 30, December 31, Real estate taxes $ 5,482 $ 3,252 Insurance 722 671 Capital improvements 1,866 2,697 $ 8,420 $ 6,620 In addition, the Company had unrestricted cash earmarked for capital expenditures of $49.2 million and $71.7 million as of September 30, 2017 and December 31, 2016 , respectively.

Rental Properties, Net (Tables)

Rental Properties, Net (Tables)	9 Months Ended
	Sep. 30, 2017
Real Estate [Abstract]
Schedule of Investments in Rental Properties	The Company’s investments in rental properties consisted of the following (in thousands): September 30, December 31, Land $ 115,789 $ 108,587 Building and improvements (1) 714,845 650,385 Furniture, fixtures and equipment (1) 19,553 14,982 Construction in progress 5,163 7,641 855,350 781,595 Less: accumulated depreciation (52,224 ) (27,007 ) $ 803,126 $ 754,588 (1) The Company has reclassified $21.3 million at December 31, 2016 from Furniture, fixtures and equipment to Building and improvements. This reclassification had no impact on accumulated depreciation or estimated useful lives.

Acquisitions (Tables)

Acquisitions (Tables)	9 Months Ended
	Sep. 30, 2017
Business Combinations [Abstract]
Summary of Acquisitions	The table below summarizes the Company's wholly-owned acquisition during the three and nine months ended September 30, 2017 and the respective fair values assigned (in thousands): Fair Value Assigned Multifamily City and State Date of Contractual Purchase Land Building and Furniture, Fixture and Equipment Intangible Assets Debt assumed Other Indigo Creek Glendale, Arizona 4/4/2017 $ 55,200 $ 7,202 $ 46,348 $ 508 $ 1,143 $ — $ (97 ) (1) Contractual purchase price excludes closing costs and acquisition expenses and other immaterial settlement date adjustments and pro-rations.
Schedule of Business Acquisitions	The table below summarizes the total revenues, net loss, and acquisition costs and fees of the Company's 2017 acquisition (in thousands): Three Months Ended Nine Months Ended September 30, September 30, Multifamily Community 2017 2017 Indigo Creek Total Revenues $ 1,257 $ 2,352 Net Loss (660 ) (1,343 ) Acquisition Costs — 137 Acquisition Fee — 1,141

Mortgage Notes Payable, Net (Ta

Mortgage Notes Payable, Net (Tables)	9 Months Ended
	Sep. 30, 2017
Debt Disclosure [Abstract]
Summary of Mortgage Notes Payable	The following is a summary of the Company's mortgage notes payable (in thousands): Outstanding borrowings Premium, net Deferred Finance Costs, net Carrying Value Outstanding borrowings Premium, net Deferred Finance Costs, net Carrying Value Collateral September 30, 2017 December 31, 2016 Overton Trails Apartment Homes $ 30,646 $ — $ (302 ) $ 30,344 $ 31,075 $ — $ (344 ) $ 30,731 Uptown Buckhead 20,135 — (257 ) 19,878 20,200 — (284 ) 19,916 Crosstown at Chapel Hill 31,930 — (292 ) 31,638 32,000 — (373 ) 31,627 The Brookwood - Key Bank 17,968 426 (200 ) 18,194 18,247 508 (239 ) 18,516 The Brookwood - Capital One 2,668 33 (35 ) 2,666 2,699 39 (41 ) 2,697 Adair off Addison and Adair off Addison Apartment Homes 25,205 — (377 ) 24,828 25,500 — (464 ) 25,036 1000 Spalding Apartment Homes 24,600 — (245 ) 24,355 24,600 — (289 ) 24,311 Ravina Apartment Homes 27,802 — (335 ) 27,467 28,292 — (393 ) 27,899 Verdant Apartment Homes 37,300 — (303 ) 36,997 37,300 — (345 ) 36,955 Arcadia Apartment Homes 40,200 — (333 ) 39,867 40,200 — (379 ) 39,821 Grand Reserve 41,738 — (390 ) 41,348 42,395 — (446 ) 41,949 Montclair Terrace 20,774 — (302 ) 20,472 21,083 — (345 ) 20,738 Breckenridge 52,975 — (613 ) 52,362 52,975 — (697 ) 52,278 The Palmer at Las Colinas 45,700 — (591 ) 45,109 45,700 — (643 ) 45,057 Windbrooke Crossing 38,320 — (431 ) 37,889 38,320 — (490 ) 37,830 Woods of Burnsville 38,250 — (558 ) 37,692 — — — — Indigo Creek 40,789 — (492 ) 40,297 — — — — $ 537,000 $ 459 $ (6,056 ) $ 531,403 $ 460,586 $ 547 $ (5,772 ) $ 455,361 Maturity Margin over LIBOR Annual Interest Rate Average Average Overton Trails Apartment Homes 1/1/2025 1.91 % 3.14 % 118 117 (1) (3) (6) Uptown Buckhead 7/1/2025 2.22 % 3.45 % 79 58 (1) (3) (5) Crosstown at Chapel Hill 7/10/2020 1.70 % 2.93 % 100 — (1) (4) (5) The Brookwood - Key Bank 11/1/2021 N/A 4.73 % 104 48 (2) (7) The Brookwood - Capital One 11/1/2021 N/A 5.40 % 16 — (2) (7) Adair off Addison and Adair off Addison Apartment Homes 1/1/2021 1.55 % 2.78 % 88 — (1) (3) 1000 Spalding Apartment Homes 1/1/2022 N/A 3.88 % 113 47 (2) (5) Ravina Apartment Homes 5/1/2022 N/A 3.76 % 144 157 (2) (7) Verdant Apartment Homes 5/1/2023 N/A 3.89 % 159 29 (2) (5) Arcadia Apartment Homes 5/1/2023 N/A 3.89 % 172 20 (2) (5) Grand Reserve 6/1/2023 2.57 % 3.80 % 184 86 (1) (3) (6) Montclair Terrace 6/1/2023 2.45 % 3.68 % 93 24 (1) (3) (7) Breckenridge 7/1/2023 2.36 % 3.59 % 223 58 (1) (3) (5) The Palmer at Las Colinas 9/1/2026 2.11 % 3.34 % 149 146 (1) (3) (5) Windbrooke Crossing 1/1/2024 2.69 % 3.92 % 203 67 (1) (3) (5) Woods of Burnsville 2/1/2024 2.13 % 3.36 % 171 67 (1) (3) (5) Indigo Creek 4/1/2024 1.93 % 3.16 % 220 52 (1) (3) (5) (1) Variable rate based on one-month LIBOR of 1.2322% (as of September 30, 2017 ) plus a fixed margin (2) Fixed rate (3) Variable rate hedged with interest rate cap cash flow hedge (4) Fixed rate interest swap associated with the variable rate debt (5) Monthly interest-only payment currently required (6) Monthly fixed principal plus interest payment required (7) Fixed monthly payment of principal and interest payment required
Schedule of Annual Principal Payments	Annual principal payments on the mortgage notes payable, excluding amortization of the mortgage premium, for each of the next five 12-month periods ending September 30, and thereafter, are as follows (in thousands): 2018 $ 5,668 2019 9,391 2020 42,877 2021 35,261 2022 77,360 Thereafter 366,443 Total principal payments $ 537,000
Amortization of Deferred Financing Costs	Amortization of deferred financing costs for the next five 12-month periods ending September 30, and thereafter, is as follows (in thousands): 2018 $ 1,176 2019 1,159 2020 1,110 2021 931 2022 750 Thereafter 930 $ 6,056

Accumulated Other Comprehensi29

Accumulated Other Comprehensive Loss (Tables)	9 Months Ended
	Sep. 30, 2017
Equity [Abstract]
Schedule of Accumulated Other Comprehensive Loss	The following table presents the changes in accumulated other comprehensive loss (in thousands): Net unrealized loss January 1, 2017 (74 ) Designated derivatives, fair value adjustment (363 ) Balance, September 30, 2017 $ (437 )

Related Party Transactions (Tab

Related Party Transactions (Tables)	9 Months Ended
	Sep. 30, 2017
Related Party Transactions [Abstract]
Fees Earned/Expenses Incurred and Amounts Payable to Related Parties	The fees earned/expenses incurred and the amounts payable to such related parties are summarized in the following tables (in thousands): September 30, December 31, Due from related parties: RAI - self-insurance funds held $ 121 $ 604 $ 121 $ 604 Due to related parties: Advisor Acquisition fees $ — $ 1,022 Operating expense reimbursements 44 1,078 Manager Property management fees 296 244 Operating expense reimbursements 238 304 RAI Internal audit fees 36 — $ 614 $ 2,648 Three Months Ended Nine Months Ended September 30, September 30, 2017 2016 2017 2016 Fees earned / expenses incurred: Advisor Acquisition fees (1) $ — $ — $ 1,142 $ 6,450 Asset management fees (2) $ 2,362 $ 1,955 $ 6,935 $ 4,910 Debt financing fees (3) $ — $ 229 $ 395 $ 1,346 Organization and offering costs (4) $ — $ — $ — $ 86 Operating expense reimbursements (5) $ 961 $ 832 $ 3,011 $ 2,135 Manager Property management fees (2) $ 880 $ 672 $ 2,519 $ 1,602 Construction management fees (7) $ 342 $ 389 $ 1,174 $ 910 Operating expense reimbursements (5) $ — $ 36 $ — $ 97 Information technology fees (5) $ — 46 $ — $ 118 Resource Securities Selling commissions and dealer-manager fees (6) $ — $ — $ — $ 4,192 Other Graphic Images (5) $ — $ — $ 9 $ 3 The Planning & Zoning Resource Company (1) $ — $ — $ 1 $ — (1) Included in Acquisition costs on the consolidated statements of operations and comprehensive loss per income statement. (2) Included in Management fees on the consolidated statements of operations and comprehensive loss per income statement. (3) Included in Mortgage notes payable, net on the consolidated balance sheets. (4) Included in Deferred offering costs and Stockholders' Equity on the consolidated balance sheets. (5) Included in General and administrative on the consolidated statements of operations and comprehensive loss per income statement. (6) Included in Stockholders' equity on the consolidated balance sheets. (7) Included in Rental properties, net on the consolidated balance sheets.

Equity (Tables)

Equity (Tables)	9 Months Ended
	Sep. 30, 2017
Equity [Abstract]
Schedule of Common Stock	During the nine months ended September 30, 2017 , the Company redeemed shares as follows (in thousands, except per share data): Month Total Number Average Price Paid per Share Cumulative Number (1) Approximate Dollar January 2017 — $— — (2) February 2017 — $— — (2) March 2017 121 $8.74 121 (2) April 2017 — $— — (2) May 2017 — $— — (2) June 2017 188 $8.58 309 (2) July 2017 — $— — (2) August 2017 — $— — (2) September 2017 336 $8.51 645 (2) (1) All purchases of equity securities by the Company in the nine months ended September 30, 2017 were made pursuant to the Company's share redemption program. (2) The Company currently limits the dollar value and number of shares that may be repurchased under the program, as discussed below. As of September 30, 2017 , the Company had an aggregate of 60,309,199 shares of $0.01 par value common stock outstanding, including the Advisor's additional purchase of 117,778 shares of common stock for $1.1 million , as follows (dollars in thousands): Shares Issued Gross Proceeds Shares issued through initial public offering 55,791,297 $ 556,197 Shares issued through stock distributions 246,365 — Shares issued through distribution reinvestment plan 5,074,228 44,729 Advisor's initial investment, net of 5,000 share conversion 15,000 150 Total 61,126,890 601,076 Shares redeemed and retired (817,691 ) (7,064 ) Total shares outstanding 60,309,199 $ 594,012
Schedule of Distributions	For the nine months ended September 30, 2017 , the Company paid aggregate distributions of $26.7 million , including $11.2 million of distributions paid in cash and $15.5 million of distributions reinvested in shares of common stock through the Company's distribution reinvestment plan, as follows (in thousands): Authorization Date Per Record Dates Distribution Date Distributions Net Cash Distributions Total Aggregate December 15, 2016 $ 0.00164384 December 30, 2016 through January 30, 2017 January 31, 2017 $ 1,748 $ 1,265 $ 3,013 December 15, 2016 0.00164384 January 31, 2017 through February 27, 2017 February 28, 2017 1,587 1,144 2,731 December 15, 2016 0.00164384 February 28, 2017 through March 30, 2017 March 31, 2017 1,755 1,276 3,031 March 28, 2017 0.00164384 March 31, 2017 through April 27, 2017 April 28, 2017 1,593 1,156 2,749 March 28, 2017 0.00164384 April 28, 2017 through May 30, 2017 May 31, 2017 1,877 1,366 3,243 March 28, 2017 0.00164384 May 31, 2017 through June 29, 2017 June 30, 2017 1,713 1,243 2,956 June 16, 2017 0.00164384 June 30, 2017 through July 30, 2017 July 31, 2017 $ 1,774 1,286 $ 3,060 June 16, 2017 0.00164384 July 31, 2017 through August 30, 2017 August 31, 2017 $ 1,777 1,292 $ 3,069 June 16, 2017 0.00164384 August 31, 2017 through September 28, 2017 September 29, 2017 1,658 1,208 $ 2,866 $ 15,482 $ 11,236 $ 26,718 The following is a reconciliation of total aggregate distributions paid to total distributions declared for the nine months ended September 30, 2017 (in thousands): Total aggregate distributions paid $ 26,718 Less: distribution payable at December 31, 2016 (8,769 ) Add: distribution payable at September 30, 2017 9,021 Total distributions declared $ 26,970

Fair Value Measures and Discl32

Fair Value Measures and Disclosures (Tables)	9 Months Ended
	Sep. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value, Assets Measured on Recurring Basis	The following table presents information about the Company's assets measured at fair value on a recurring basis and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value as follows (in thousands): Level 1 Level 2 Level 3 Total September 30, 2017 Assets: Interest rate caps $ — $ 57 $ — $ 57 Cancelable swap — 37 — 37 $ — $ 94 $ — $ 94 Level 1 Level 2 Level 3 Total December 31, 2016 Assets: Interest rate caps $ — $ 365 $ — $ 365 Canceleable swap — 43 — 43 $ — $ 408 $ — $ 408
Carrying Amounts and Fair Values of Mortgage Notes Payable	The outstanding balance and estimated fair value of the Company’s mortgage notes payable are as follows (in thousands): September 30, 2017 December 31, 2016 Outstanding Balance Estimated Fair Outstanding Balance Estimated Fair Mortgage notes payable $ 537,000 $ 510,765 $ 460,586 $ 449,977

Derivatives and Hedging Activ33

Derivatives and Hedging Activities (Tables)	9 Months Ended
	Sep. 30, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Outstanding Interest Rate Derivatives	As of September 30, 2017 , the Company had the following outstanding interest rate derivatives (dollars in thousands): Interest Rate Derivatives Number of Instruments Notional Maturity Dates Derivatives designated as hedging instruments: Interest rate caps 10 $ 358,941 January 1, 2018 through September 1, 2020 Derivatives not designated as hedging instruments Cancelable swap 1 $ 31,930 July 28, 2020
Fair Value of Derivative Financial Instruments and Balance Sheet Classification	The table below presents the fair value of the Company’s derivative financial instruments on the consolidated balance sheets as of September 30, 2017 and December 31, 2016 (in thousands): Asset Derivatives Liabilities Derivatives September 30, 2017 December 31, 2016 September 30, 2017 December 31, 2016 Balance Sheet Fair Value Balance Sheet Fair Value Balance Sheet Fair Value Balance Sheet Fair Value Derivatives designated as hedging instruments: Interest rate caps $ 57 Interest rate caps $ 365 NA $ — NA $ — Derivatives not designated as hedging instruments: Cancelable swap $ 37 Cancelable swap 43 NA — NA —
Summary of Effects on Statements of Operations and Comprehensive Loss	The table below presents the effect of the Company's derivative financial instruments on the consolidated statements of operations and comprehensive loss for the three and nine months ended September 30, 2017 and 2016 (in thousands): Amount of Gain (Loss) Recognized in Income for the Three Months Ended Amount of Gain (Loss) Recognized in Income for the Nine Months Ended Derivatives Designated as Hedging Instruments Location of Gain (Loss) Recognized in Income September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Interest rate caps Interest expense $ (20 ) (3 ) $ (42 ) (6 ) Amount of Gain (Loss) Recognized in Income for the Three Months Ended Amount of Gain (Loss) Recognized in Income for the Nine Months Ended Derivatives Not Designated as Hedging Instruments Location of Gain (Loss) Recognized in Income September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Cancelable swap Interest expense $ (58 ) 42 $ (217 ) (492 ) Derivatives in Cash Flow Hedging Relationships Amount of Gain (Loss) Recognized in OCI on Derivative (Effective Portion) for the Three Months Ended Location of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) for the Three Months Ended September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Interest rate products $ (53 ) $ (26 ) Interest expense $ (20 ) $ (3 ) Derivatives in Cash Flow Hedging Relationships Amount of Gain (Loss) Recognized in OCI on Derivative (Effective Portion) for the Nine Months Ended Location of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) for the Nine Months Ended September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Interest rate products $ (405 ) $ (111 ) Interest expense $ (42 ) $ (5 )

Nature of Business and Operat34

Nature of Business and Operations (Loss) (Details) - USD ($) $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2017	Aug. 31, 2017	Jul. 31, 2017	Jun. 30, 2017	Jun. 29, 2017	May 31, 2017	Apr. 30, 2017	Mar. 31, 2017	Feb. 28, 2017	Jan. 31, 2017	Dec. 31, 2016	Jun. 29, 2016	Sep. 28, 2012
Class of Stock [Line Items]
Common stock, shares authorized (in shares)	1,000,000,000										1,000,000,000
Common stock, initial public offering price (in dollars per share)	$ 8.51	$ 0	$ 0	$ 8.58		$ 0	$ 0	$ 8.74	$ 0	$ 0
Common stock, shares issued (in shares)	60,309,199										59,160,177
Issuance of common stock	$ 601,076
Shares issued through initial public offering
Class of Stock [Line Items]
Common stock, shares authorized (in shares)													100,000,000
Common stock, initial public offering price (in dollars per share)													$ 10
Shares issued through the distribution reinvestment plan (in shares)	60,880,525
Gross offering proceeds	$ 601,100
Common stock, shares issued (in shares)	55,791,297
Issuance of common stock	$ 556,197
Shares issued through distribution reinvestment plan
Class of Stock [Line Items]
Common stock, shares authorized (in shares)	10,000,000
Common stock, initial public offering price (in dollars per share)	$ 8.65				$ 8.56							$ 9.50
Common stock, shares issued (in shares)	5,074,228
Issuance of common stock	$ 44,729

Summary of Significant Accoun35

Summary of Significant Accounting Policies (Details)	Feb. 06, 2016	Jan. 09, 2014	Sep. 30, 2017USD ($)propertyunit	Sep. 30, 2016USD ($)	Sep. 30, 2017USD ($)propertyunit	Sep. 30, 2016USD ($)	Dec. 31, 2016USD ($)property
Property, Plant and Equipment [Line Items]
Improvements and replacements in excess of threshold, capitalized amount | $			$ 1,000		$ 1,000
Improvements and replacements, useful life greater than or equal to one year, capitalization threshold (in years)					1 year
Management fee (as a percentage)					5.00%
Number of properties owned (in property) | property			17		17
Acquisitions, period to finalize valuation					1 year
Future minimum rental payments to be received from noncancelable operating leases, current | $			$ 44,400,000		$ 44,400,000
Future minimum rental payments to be received from noncancelable operating leases, in two years | $			306,000		306,000
Future minimum rental payments to be received from noncancelable operating leases, thereafter | $			0		0
Other income included within rental income | $			19,952,000	$ 15,143,000	$ 56,850,000	$ 37,378,000
Resolution of claims					1 year
Allowance for uncollectible accounts | $			1,097		$ 1,097		$ 5,000
Deferred offering costs to date | $							11,200,000
Advisor
Property, Plant and Equipment [Line Items]
Maximum reimbursement of organizational and offering costs, percent of offering proceeds	2.50%	2.50%			2.50%
Cumulative advances from related party | $							$ 7,200,000
Other Income
Property, Plant and Equipment [Line Items]
Other income included within rental income | $			$ 1,800,000	$ 1,400,000	$ 5,700,000	$ 3,400,000
Dallas-Fort Worth area | Geographic concentration risk
Property, Plant and Equipment [Line Items]
Number of properties owned (in property) | property			4		4
Portland, Oregon | Geographic concentration risk
Property, Plant and Equipment [Line Items]
Number of properties owned (in property) | property			2		2
Atlanta area | Geographic concentration risk
Property, Plant and Equipment [Line Items]
Number of properties owned (in property) | property							2
Denver area | Geographic concentration risk
Property, Plant and Equipment [Line Items]
Number of properties owned (in property) | property			2		2
Buildings
Property, Plant and Equipment [Line Items]
Real estate investments, useful life					27 years 6 months
Building improvements | Minimum
Property, Plant and Equipment [Line Items]
Real estate investments, useful life					5 years
Building improvements | Maximum
Property, Plant and Equipment [Line Items]
Real estate investments, useful life					27 years 6 months
Furniture, Fixtures, and Equipment | Minimum
Property, Plant and Equipment [Line Items]
Real estate investments, useful life					3 years
Furniture, Fixtures, and Equipment | Maximum
Property, Plant and Equipment [Line Items]
Real estate investments, useful life					5 years
Adair off Addison
Property, Plant and Equipment [Line Items]
Number of Units			152		152
Overton Trails Apartment Homes
Property, Plant and Equipment [Line Items]
Number of Units			360		360
Uptown Buckhead
Property, Plant and Equipment [Line Items]
Number of Units			216		216
Crosstown at Chapel Hill
Property, Plant and Equipment [Line Items]
Number of Units			411		411
The Brookwood
Property, Plant and Equipment [Line Items]
Number of Units			274		274
Adair off Addison Apartment Homes
Property, Plant and Equipment [Line Items]
Number of Units			200		200
Montclair Terrace
Property, Plant and Equipment [Line Items]
Number of Units			188		188
Grand Reserve
Property, Plant and Equipment [Line Items]
Number of Units			319		319
Verdant Apartment Homes
Property, Plant and Equipment [Line Items]
Number of Units			216		216
1000 Spalding Apartment Homes
Property, Plant and Equipment [Line Items]
Number of Units			252		252
Arcadia Apartment Homes
Property, Plant and Equipment [Line Items]
Number of Units			300		300
Ravina Apartment Homes
Property, Plant and Equipment [Line Items]
Number of Units			498		498
Breckenridge
Property, Plant and Equipment [Line Items]
Number of Units			357		357
The Palmer at Las Colinas
Property, Plant and Equipment [Line Items]
Number of Units			476		476
Windbrooke Crossing
Property, Plant and Equipment [Line Items]
Number of Units			236		236
The Woods of Burnsville
Property, Plant and Equipment [Line Items]
Number of Units			400		400
Indigo Creek
Property, Plant and Equipment [Line Items]
Number of Units			408		408

Supplemental Cash Flow Inform36

Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Non-cash operating, financing and investing activities:
Distributions on common stock declared but not yet paid	$ 9,021	$ 8,788	$ 8,769
Stock issued pursuant to distribution reinvestment plan	15,482	15,410
Rental property and other assets acquired through assumption of mortgage notes payable	0	28,074
Cash paid during the period for:
Interest	$ 13,159	$ 5,723

Restricted Cash (Details)

Restricted Cash (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash	$ 8,420	$ 6,620
Unrestricted cash designated for capital expenditures	49,200	71,700
Real estate taxes
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash	5,482	3,252
Insurance
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash	722	671
Capital improvements
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash	$ 1,866	$ 2,697

Rental Properties, Net (Details

Rental Properties, Net (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Rental Properties, Net:
Land	$ 115,789		$ 115,789		$ 108,587
Building and improvements (1)	714,845		714,845		650,385
Furniture, fixtures and equipment (1)	19,553		19,553		14,982
Construction in progress	5,163		5,163		7,641
Rental properties, gross	855,350		855,350		781,595
Less: accumulated depreciation	(52,224)		(52,224)		(27,007)
Rental properties, net	803,126		803,126		754,588
Reclass to building and improvements					$ 21,300
Depreciation expense	$ 9,000	$ 6,300	$ 25,500	$ 15,100

Acquisitions - Summary of Acqui

Acquisitions - Summary of Acquisitions (Details) $ in Thousands	Apr. 04, 2017USD ($)	Sep. 30, 2017property
Business Acquisition [Line Items]
Number of properties owned (in property) | property		17
Indigo Creek
Business Acquisition [Line Items]
Contractual Purchase Price	$ 55,200
Land	7,202
Building and Improvements	46,348
Furniture, Fixture and Equipment	508
Intangible Assets	1,143
Debt assumed	0
Other Liabilities	$ (97)

Acquisitions - Schedule of Reve

Acquisitions - Schedule of Revenues, Losses, and Acquisition Costs (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Business Acquisition [Line Items]
Total Revenues	$ 19,952	$ 15,143	$ 56,850	$ 37,378
Acquisition Costs	0	$ 2	1,361	$ 6,846
Indigo Creek
Business Acquisition [Line Items]
Total Revenues	1,257		2,352
Net Loss	(660)		(1,343)
Acquisition Costs	0		137
Acquisition Fee	$ 0		$ 1,141

Identified Intangible Assets,41

Identified Intangible Assets, Net (Details) - Acquired in-place leases - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Finite-Lived Intangible Assets [Line Items]
Gross value of leases	$ 17,400,000		$ 17,400,000		$ 16,300,000
Acquired in-place leases, accumulated amortization	17,100,000		$ 17,100,000		$ 13,600,000
Weighted-average remaining life of rental leases			1 month
Amortization expense	552,846	$ 1,900,000	$ 3,500,000	$ 7,800,000
Expected amortization for the rental leases	285,746		285,746
Expected amortization for the rental leases, thereafter	$ 0		$ 0

Mortgage Notes Payable, Net - S

Mortgage Notes Payable, Net - Summary of Mortgage Notes Payable (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Dec. 31, 2016
Debt Instrument [Line Items]
Outstanding borrowings	$ 537,000
Deferred Finance Costs, net	(6,056)
Carrying Value	531,403	$ 455,361
Mortgage notes payable
Debt Instrument [Line Items]
Outstanding borrowings	537,000	460,586
Premium, net	459	547
Deferred Finance Costs, net	(6,056)	(5,772)
Carrying Value	$ 531,403	455,361
Mortgage notes payable | LIBOR
Debt Instrument [Line Items]
Margin over LIBOR	1.2322%
Mortgage notes payable | Overton Trails Apartment Homes
Debt Instrument [Line Items]
Outstanding borrowings	$ 30,646	31,075
Deferred Finance Costs, net	(302)	(344)
Carrying Value	$ 30,344	30,731
Margin over LIBOR	1.91%
Annual Interest Rate	3.14%
Average Monthly Debt Service	$ 118
Average Monthly Escrow	117
Mortgage notes payable | Uptown Buckhead
Debt Instrument [Line Items]
Outstanding borrowings	20,135	20,200
Deferred Finance Costs, net	(257)	(284)
Carrying Value	$ 19,878	19,916
Margin over LIBOR	2.22%
Annual Interest Rate	3.45%
Average Monthly Debt Service	$ 79
Average Monthly Escrow	58
Mortgage notes payable | Crosstown at Chapel Hill
Debt Instrument [Line Items]
Outstanding borrowings	31,930	32,000
Deferred Finance Costs, net	(292)	(373)
Carrying Value	$ 31,638	31,627
Margin over LIBOR	1.70%
Annual Interest Rate	2.93%
Average Monthly Debt Service	$ 100
Average Monthly Escrow	0
Mortgage notes payable | Mayfair Chateau - Key Bank
Debt Instrument [Line Items]
Outstanding borrowings	17,968	18,247
Premium, net	426	508
Deferred Finance Costs, net	(200)	(239)
Carrying Value	$ 18,194	18,516
Annual Interest Rate	4.73%
Average Monthly Debt Service	$ 104
Average Monthly Escrow	48
Mortgage notes payable | Mayfair Chateau - Capital One
Debt Instrument [Line Items]
Outstanding borrowings	2,668	2,699
Premium, net	33	39
Deferred Finance Costs, net	(35)	(41)
Carrying Value	$ 2,666	2,697
Annual Interest Rate	5.40%
Average Monthly Debt Service	$ 16
Average Monthly Escrow	0
Mortgage notes payable | Adair off Addison and Adair off Addison Apartment Homes
Debt Instrument [Line Items]
Outstanding borrowings	25,205	25,500
Deferred Finance Costs, net	(377)	(464)
Carrying Value	$ 24,828	25,036
Margin over LIBOR	1.55%
Annual Interest Rate	2.78%
Average Monthly Debt Service	$ 88
Average Monthly Escrow	0
Mortgage notes payable | 1000 Spalding Apartment Homes
Debt Instrument [Line Items]
Outstanding borrowings	24,600	24,600
Deferred Finance Costs, net	(245)	(289)
Carrying Value	$ 24,355	24,311
Annual Interest Rate	3.88%
Average Monthly Debt Service	$ 113
Average Monthly Escrow	47
Mortgage notes payable | Ravina Apartment Homes
Debt Instrument [Line Items]
Outstanding borrowings	27,802	28,292
Deferred Finance Costs, net	(335)	(393)
Carrying Value	$ 27,467	27,899
Annual Interest Rate	3.76%
Average Monthly Debt Service	$ 144
Average Monthly Escrow	157
Mortgage notes payable | Verdant Apartment Homes
Debt Instrument [Line Items]
Outstanding borrowings	37,300	37,300
Deferred Finance Costs, net	(303)	(345)
Carrying Value	$ 36,997	36,955
Annual Interest Rate	3.89%
Average Monthly Debt Service	$ 159
Average Monthly Escrow	29
Mortgage notes payable | Arcadia Apartment Homes
Debt Instrument [Line Items]
Outstanding borrowings	40,200	40,200
Deferred Finance Costs, net	(333)	(379)
Carrying Value	$ 39,867	39,821
Annual Interest Rate	3.89%
Average Monthly Debt Service	$ 172
Average Monthly Escrow	20
Mortgage notes payable | Grand Reserve
Debt Instrument [Line Items]
Outstanding borrowings	41,738	42,395
Deferred Finance Costs, net	(390)	(446)
Carrying Value	$ 41,348	41,949
Margin over LIBOR	2.57%
Annual Interest Rate	3.80%
Average Monthly Debt Service	$ 184
Average Monthly Escrow	86
Mortgage notes payable | Montclair Terrace
Debt Instrument [Line Items]
Outstanding borrowings	20,774	21,083
Deferred Finance Costs, net	(302)	(345)
Carrying Value	$ 20,472	20,738
Margin over LIBOR	2.45%
Annual Interest Rate	3.68%
Average Monthly Debt Service	$ 93
Average Monthly Escrow	24
Mortgage notes payable | Breckenridge
Debt Instrument [Line Items]
Outstanding borrowings	52,975	52,975
Deferred Finance Costs, net	(613)	(697)
Carrying Value	$ 52,362	52,278
Margin over LIBOR	2.36%
Annual Interest Rate	3.59%
Average Monthly Debt Service	$ 223
Average Monthly Escrow	58
Mortgage notes payable | The Palmer at Las Colinas
Debt Instrument [Line Items]
Outstanding borrowings	45,700	45,700
Deferred Finance Costs, net	(591)	(643)
Carrying Value	$ 45,109	45,057
Margin over LIBOR	2.11%
Annual Interest Rate	3.34%
Average Monthly Debt Service	$ 149
Average Monthly Escrow	146
Mortgage notes payable | Windbrooke Crossing
Debt Instrument [Line Items]
Outstanding borrowings	38,320	38,320
Deferred Finance Costs, net	(431)	(490)
Carrying Value	$ 37,889	37,830
Margin over LIBOR	2.69%
Annual Interest Rate	3.92%
Average Monthly Debt Service	$ 203
Average Monthly Escrow	67
Mortgage notes payable | Woods of Burnsville
Debt Instrument [Line Items]
Outstanding borrowings	38,250	0
Deferred Finance Costs, net	(558)	0
Carrying Value	$ 37,692	0
Margin over LIBOR	2.13%
Annual Interest Rate	3.36%
Average Monthly Debt Service	$ 171
Average Monthly Escrow	67
Mortgage notes payable | Indigo Creek
Debt Instrument [Line Items]
Outstanding borrowings	40,789	0
Deferred Finance Costs, net	(492)	0
Carrying Value	$ 40,297	$ 0
Margin over LIBOR	1.93%
Annual Interest Rate	3.16%
Average Monthly Debt Service	$ 220
Average Monthly Escrow	$ 52

Mortgage Notes Payable, Net - N

Mortgage Notes Payable, Net - Narrative (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Debt Instrument [Line Items]
Weighted average interest rate	3.57%
Restricted cash	$ 8,420	$ 6,620
Accumulated amortization of deferred financing costs	1,700	877
Restricted cash related to escrow deposits	8,400	$ 6,600
The Brookwood
Debt Instrument [Line Items]
Net unamortized fair value of debt assumed adjustment	459
Uptown Buckhead
Debt Instrument [Line Items]
Building and improvements in process	$ 1,800

Mortgage Notes Payable, Net - A

Mortgage Notes Payable, Net - Annual Principal Payments on Mortgage Notes Payable (Details) $ in Thousands	Sep. 30, 2017USD ($)
Debt Disclosure [Abstract]
2,018	$ 5,668
2,019	9,391
2,020	42,877
2,021	35,261
2,022	77,360
Thereafter	366,443
Total principal payments	$ 537,000

Mortgage Notes Payable, Net - D

Mortgage Notes Payable, Net - Deferred Finance Costs (Details) $ in Thousands	Sep. 30, 2017USD ($)
Debt Disclosure [Abstract]
2,018	$ 1,176
2,019	1,159
2,020	1,110
2,021	931
2,022	750
Thereafter	930
Total deferred finance costs	$ 6,056

Accumulated Other Comprehensi46

Accumulated Other Comprehensive Loss (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2017USD ($)
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Balance, beginning of period	$ 390,892
Balance, end of period	345,032
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Balance, beginning of period	(74)
Designated derivatives, fair value adjustment	(363)
Balance, end of period	$ (437)

Related Party Transactions - Na

Related Party Transactions - Narrative (Details) - USD ($)	Feb. 06, 2016	Jan. 09, 2014	Sep. 30, 2017	Apr. 23, 2017	Apr. 22, 2017	Dec. 31, 2016
Related Party Transaction [Line Items]
Insurance pool, loss limit			$ 2,500,000
Property loss pool, deductible amount per incident			25,000
Catastrophic insurance, losses in excess of insurance pool, limit			250,000,000
Catastrophic insurance, deductible amount per incident			100,000
Payment into insurance pools			398,000
General liability pool, deductible amount per incident				$ 25,000	$ 50,000
Loss covered in excess of insurance pool, limit			$ 76,000,000
Advisor
Related Party Transaction [Line Items]
Due to related parties						$ 7,200,000
Term of Advisory Agreement			1 year
Advisory Agreement, renewal period			1 year
Acquisition fee			2.00%
Monthly asset management fee			0.083%
Disposition fee			2.00%
Debt financing fee			0.50%
Maximum reimbursement of organizational and offering costs, percent of offering proceeds	2.50%	2.50%	2.50%
Manager
Related Party Transaction [Line Items]
Property management fee			4.50%
Construction management fee			5.00%
Debt servicing fee			2.75%
Resource Securities
Related Party Transaction [Line Items]
Selling commission			7.00%
Dealer-manager fee			3.00%

Related Party Transactions - Fe

Related Party Transactions - Fees Earned/Expenses Incurred and Amounts Payable to Related Parties (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Related Party Transaction [Line Items]
Due from related parties:	$ 121		$ 121		$ 604
Due to related parties:	614		614		2,648
RAI | RAI - self-insurance funds held
Related Party Transaction [Line Items]
Due from related parties:	121		121		604
RAI | Internal audit fees
Related Party Transaction [Line Items]
Due to related parties:	36		36		0
Advisor | Acquisition fees
Related Party Transaction [Line Items]
Due to related parties:	0		0		1,022
Fees earned / expenses incurred:	0	$ 0	1,142	$ 6,450
Advisor | Operating expense reimbursements
Related Party Transaction [Line Items]
Due to related parties:	44		44		1,078
Fees earned / expenses incurred:	961	832	3,011	2,135
Advisor | Asset management fees
Related Party Transaction [Line Items]
Fees earned / expenses incurred:	2,362	1,955	6,935	4,910
Advisor | Debt financing fees
Related Party Transaction [Line Items]
Fees earned / expenses incurred:	0	229	395	1,346
Advisor | Organization and offering costs
Related Party Transaction [Line Items]
Fees earned / expenses incurred:	0	0	0	86
Manager | Operating expense reimbursements
Related Party Transaction [Line Items]
Due to related parties:	238		238		304
Fees earned / expenses incurred:	0	36	0	97
Manager | Property management fees
Related Party Transaction [Line Items]
Due to related parties:	296		296		$ 244
Fees earned / expenses incurred:	880	672	2,519	1,602
Manager | Construction management fees
Related Party Transaction [Line Items]
Fees earned / expenses incurred:	342	389	1,174	910
Manager | Information technology fees
Related Party Transaction [Line Items]
Fees earned / expenses incurred:	0	46	0	118
Resource Securities | Selling commissions and dealer-manager fees (6)
Related Party Transaction [Line Items]
Fees earned / expenses incurred:	0	0	0	4,192
Other | Graphic Images
Related Party Transaction [Line Items]
Fees earned / expenses incurred:	0	0	9	3
Other | The Planning & Zoning Resource Company
Related Party Transaction [Line Items]
Fees earned / expenses incurred:	$ 0	$ 0	$ 1	$ 0

Equity - Preferred Stock and Co

Equity - Preferred Stock and Convertible Stock (Details)	9 Months Ended
	Sep. 30, 2017event$ / sharesshares	Dec. 31, 2016$ / sharesshares
Class of Stock [Line Items]
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Preferred stock, par value (in dollars per share) | $ / shares	$ 0.01	$ 0.01
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, shares outstanding (in shares)	60,309,199	59,160,177
Common stock, par value (in dollars per share) | $ / shares	$ 0.01	$ 0.01
Number of triggering events | event	2
Conversion basis	0.00002
Converted if the lesser of, option 2	15.00%
Non-compounded annual return, option 2	7.00%
Advisor
Class of Stock [Line Items]
Common stock, shares outstanding (in shares)	117,778
Convertible Stock
Class of Stock [Line Items]
Common stock, shares outstanding (in shares)	50,000	50,000
Common stock, par value (in dollars per share) | $ / shares	$ 0.01	$ 0.01
Common stock, conversion terms, percent of paid distributions equal to price at which shares were originally sold	100.00%
Percent of annual return on shares at price equal to distributions paid	7.00%
Convertible Stock | Advisor
Class of Stock [Line Items]
Common stock, shares outstanding (in shares)	50,000
Common stock, par value (in dollars per share) | $ / shares	$ 0.01

Equity - Common Stock (Details)

Equity - Common Stock (Details) - USD ($) $ / shares in Units, $ in Thousands	45 Months Ended
	Sep. 30, 2017	Dec. 31, 2016
Class of Stock [Line Items]
Common stock, shares outstanding (in shares)	60,309,199	59,160,177
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock	$ 594,012
Shares Issued (in shares)	60,309,199	59,160,177
Gross Proceeds	$ 601,076
Shares issued before redemption and retirement	61,126,890
Share redemptions (in shares)	(817,691)
Gross Proceeds, Share redemptions	$ (7,064)
Common stock, outstanding	$ 602	$ 591
Shares issued through initial public offering
Class of Stock [Line Items]
Shares Issued (in shares)	55,791,297
Gross Proceeds	$ 556,197
Shares issued through stock distributions
Class of Stock [Line Items]
Shares Issued (in shares)	246,365
Gross Proceeds	$ 0
Shares issued through distribution reinvestment plan
Class of Stock [Line Items]
Shares Issued (in shares)	5,074,228
Gross Proceeds	$ 44,729
Advisor's initial investment
Class of Stock [Line Items]
Shares Issued (in shares)	15,000
Gross Proceeds	$ 150
Conversion of stock (in shares)	5,000
Advisor
Class of Stock [Line Items]
Common stock, shares outstanding (in shares)	117,778
Common stock, outstanding	$ 1,100

Equity - Redemptions (Details)

Equity - Redemptions (Details) - $ / shares shares in Thousands	1 Months Ended									9 Months Ended
	Sep. 30, 2017	Aug. 31, 2017	Jul. 31, 2017	Jun. 30, 2017	May 31, 2017	Apr. 30, 2017	Mar. 31, 2017	Feb. 28, 2017	Jan. 31, 2017	Sep. 30, 2017
Equity [Abstract]
Number of Shares (in shares)	336	0	0	188	0	0	121	0	0
Average Price Paid per Share (in dollars per share)	$ 8.51	$ 0	$ 0	$ 8.58	$ 0	$ 0	$ 8.74	$ 0	$ 0	$ 8.51
Cumulative Number of Shares Purchased as Part of a Publicly Announced Plan or Program (in shares)	645	0	0	309	0	0	121	0	0
Maximum redemption of stock based on weighted-average number of shares outstanding										5.00%
Measurement period for weighting the average number of shares available for redemption										12 months
Percentage of operating cash flow from prior fiscal year available for stock redemption										1.00%
Changes that do not require stockholder approval										30 days

Equity - Distributions (Details

Equity - Distributions (Details) - USD ($) $ / shares in Units, $ in Thousands

Sep. 30, 2017

Sep. 29, 2017

Sep. 12, 2017

Aug. 31, 2017

Jul. 31, 2017

Jun. 30, 2017

May 31, 2017

Apr. 28, 2017

Mar. 31, 2017

Feb. 28, 2017

Jan. 31, 2017

Sep. 30, 2017

Dec. 31, 2016

Sep. 30, 2016

Class of Stock [Line Items]

Total Aggregate Distributions

$ 26,718

Net Cash Distributions

11,236

Distributions reinvested in shares of Common Stock

15,482

Dividends declared, daily accrual amount (in dollars per share)

$ 0.00164384

Dividends Payable

$ (9,021)

(9,021)

$ (8,769)

$ (8,788)

Distributions declared

$ 26,970

December 30, 2016 through January 30, 2017

Class of Stock [Line Items]

Total Aggregate Distributions

$ 3,013

Net Cash Distributions

1,265

Distributions reinvested in shares of Common Stock

$ 1,748

Per Common Share (in dollars per share)

$ 0.00164384

January 31, 2017 through February 27, 2017

Class of Stock [Line Items]

Total Aggregate Distributions

$ 2,731

Net Cash Distributions

1,144

Distributions reinvested in shares of Common Stock

$ 1,587

Per Common Share (in dollars per share)

$ 0.00164384

February 28, 2017 through March 30, 2017

Class of Stock [Line Items]

Total Aggregate Distributions

$ 3,031

Net Cash Distributions

1,276

Distributions reinvested in shares of Common Stock

$ 1,755

Per Common Share (in dollars per share)

$ 0.00164384

March 31, 2017 through April 27, 2017

Class of Stock [Line Items]

Total Aggregate Distributions

$ 2,749

Net Cash Distributions

1,156

Distributions reinvested in shares of Common Stock

$ 1,593

Per Common Share (in dollars per share)

$ 0.00164384

April 28, 2017 through May 30, 2017

Class of Stock [Line Items]

Total Aggregate Distributions

$ 3,243

Net Cash Distributions

1,366

Distributions reinvested in shares of Common Stock

$ 1,877

Per Common Share (in dollars per share)

$ 0.00164384

May 31, 2017 through June 29, 2017

Class of Stock [Line Items]

Total Aggregate Distributions

$ 2,956

Net Cash Distributions

$ 1,286

1,243

Distributions reinvested in shares of Common Stock

$ 1,713

Per Common Share (in dollars per share)

$ 0.00164384

June 30, 2017 through July 30, 2017

Class of Stock [Line Items]

Total Aggregate Distributions

3,060

Distributions reinvested in shares of Common Stock

$ 1,774

Per Common Share (in dollars per share)

$ 0.00164384

July 31, 2017 through August 30, 2017

Class of Stock [Line Items]

Total Aggregate Distributions

$ 3,069

Net Cash Distributions

1,292

Distributions reinvested in shares of Common Stock

$ 1,777

Per Common Share (in dollars per share)

$ 0.00164384

August 31, 2017 through September 28, 2017

Class of Stock [Line Items]

Total Aggregate Distributions

2,866

Net Cash Distributions

$ 1,208

Distributions reinvested in shares of Common Stock

$ 1,658

Per Common Share (in dollars per share)

$ 0.00164384

Fair Value Measures and Discl53

Fair Value Measures and Disclosures (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Outstanding Balance | Mortgage notes payable
Assets:
Mortgage notes payable	$ 537,000	$ 460,586
Estimated Fair Value | Mortgage notes payable
Assets:
Mortgage notes payable	510,765	449,977
Fair Value, Measurements, Recurring
Assets:
Assets at fair value	94	408
Fair Value, Measurements, Recurring | Interest rate caps
Assets:
Derivative asset	57	365
Fair Value, Measurements, Recurring | Cancelable swap
Assets:
Derivative asset	37	43
Fair Value, Measurements, Recurring | Level 1
Assets:
Assets at fair value	0	0
Fair Value, Measurements, Recurring | Level 1 | Interest rate caps
Assets:
Derivative asset	0	0
Fair Value, Measurements, Recurring | Level 2
Assets:
Assets at fair value	94	408
Fair Value, Measurements, Recurring | Level 2 | Interest rate caps
Assets:
Derivative asset	57	365
Fair Value, Measurements, Recurring | Level 2 | Cancelable swap
Assets:
Derivative asset	37	43
Fair Value, Measurements, Recurring | Level 3
Assets:
Assets at fair value	0	0
Fair Value, Measurements, Recurring | Level 3 | Interest rate caps
Assets:
Derivative asset	$ 0	$ 0

Derivatives and Hedging Activ54

Derivatives and Hedging Activities - Narrative (Details)	Sep. 30, 2017USD ($)
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Estimated loss that will be reclassified to interest expense	$ 92,298

Derivatives and Hedging Activ55

Derivatives and Hedging Activities - Outstanding Interest Rate Derivatives (Details) $ in Thousands	Sep. 30, 2017USD ($)derivative_contract
Derivatives Designated as Hedging Instruments
Number of Instruments
Interest rate derivatives (in derivative contracts) | derivative_contract	10
Notional Amount
Interest rate derivatives | $	$ 358,941
Derivatives Not Designated as Hedging Instruments
Number of Instruments
Derivatives not designated as hedging instruments (in derivative contracts) | derivative_contract	1
Notional Amount
Cancelable swap | $	$ 31,930

Derivatives and Hedging Activ56

Derivatives and Hedging Activities - Fair Value of Derivative Instruments and Balance Sheet Classification (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Derivatives Designated as Hedging Instruments
Derivative [Line Items]
Interest Rate Derivative Liabilities, at Fair Value	$ 0	$ 0
Derivatives Not Designated as Hedging Instruments
Derivative [Line Items]
Interest Rate Derivative Liabilities, at Fair Value	0	0
Interest rate caps | Derivatives Designated as Hedging Instruments
Derivative [Line Items]
Interest Rate Derivative Assets, at Fair Value	57	365
Cancelable swap | Derivatives Not Designated as Hedging Instruments
Derivative [Line Items]
Interest Rate Derivative Assets, at Fair Value	$ 37	$ 43

Derivatives and Hedging Activ57

Derivatives and Hedging Activities - Gain (Loss) Recognized in Income (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Interest expense | Derivatives Designated as Hedging Instruments
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) for the Three Months Ended	$ (20)	$ (3)	$ (42)	$ (5)
Interest rate caps | Interest expense | Derivatives Designated as Hedging Instruments
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in Income for the Three Months Ended	(20)	(3)	(42)	(6)
Cancelable swap | Interest expense | Derivatives Not Designated as Hedging Instruments
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in Income for the Three Months Ended	(58)	42	(217)	(492)
Interest rate products | Derivatives Designated as Hedging Instruments
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain (Loss) Recognized in OCI on Derivative (Effective Portion) for the Three Months Ended	$ (53)	$ (26)	$ (405)	$ (111)

Operating Expense Limitation (D

Operating Expense Limitation (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Related Party Transaction [Line Items]
Limitation on total operating expenses, percentage of average invested assets for the four most recently completed fiscal quarter			2.00%
Limitation on total operating expenses, percentage of net income for the four most recently completed fiscal quarter			25.00%
Advisor | Affiliated Entity
Related Party Transaction [Line Items]
Compensation	$ 110,312	$ 279,027	$ 404,095	$ 762,304

Subsequent Events Narrative (De

Subsequent Events Narrative (Details) - Lombard, Illinois - Subsequent Event $ in Millions	Oct. 31, 2017USD ($)unit
Subsequent Event [Line Items]
Number of units | unit	256
Contractual purchase price | $	$ 38.3