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Fair Value Measurements
 3 Months Ended
Mar. 31, 2017
Fair Value Disclosures [Abstract]  
Fair Value Measurements
Note 11—Fair Value Measurements
The carrying amounts of restricted cash, certain components of other assets, accounts payable and accrued expenses, resident security deposits, and other liabilities approximate fair value due to the short maturity of these amounts. Our interest rate swap agreements are the only financial instruments recorded at fair value on a recurring basis within our condensed consolidated financial statements. The fair values of our interest rate caps and swaps, which are classified as Level 2 in the fair value hierarchy, are estimated using market values of instruments with similar attributes and maturities. See Note 7 for the details of the balance sheet classification and the fair values for the interest rate caps and swaps.
The following table displays the carrying values and fair values of financial instruments as of March 31, 2017 and December 31, 2016:
 
 
 
 
March 31, 2017
 
December 31, 2016
 
 
 
 
Carrying Value
 
Fair
Value
 
Carrying Value
 
Fair
Value
Assets carried at historical cost on the consolidated balance sheets
 
 
 
 
 
 
 
 
 
 
Investments in debt securities
 
Level 2
 
$
209,386

 
$
209,744

 
$
209,337

 
$
209,390

 
 
 
 
 
 
 
 
 
 
 
Liabilities carried at historical cost on the consolidated balance sheets
 
 
 
 
 
 
 
 
 
 
Mortgage loans(1)
 
Level 2
 
$
4,233,578

 
$
4,245,640

 
$
5,263,994

 
$
5,265,180

Term loan facility(2)
 
Level 3
 
1,500,000

 
1,501,639

 
—

 
—

Credit facilities(3)
 
Level 3
 
—

 
—

 
2,321,585

 
2,329,551

 
(1)
The carrying values of the mortgage loans are shown net of discount and exclude $5,053 and $9,256 of deferred financing costs as of March 31, 2017 and December 31, 2016, respectively.
(2)
The carrying value of the term loan facility excludes $14,134 of deferred financing costs as of March 31, 2017.
(3)
The carrying values of the credit facilities exclude $6,044 of deferred financing costs as of December 31, 2016.

The fair values of our investments in debt securities and of our mortgage loans, which are classified as Level 2 in the fair value hierarchy, are estimated based on market bid prices of comparable instruments at the end of the period. The fair values of our credit facilities and Term Loan Facility, which are classified as Level 3 in the fair value hierarchy, are estimated using a discounted cash flow methodology based on market interest rate data and other market factors available at the end of the period.
Our assets measured at fair value on a nonrecurring basis are those assets for which we have recorded impairments. The assets for which we have recorded impairments, measured at fair value on a nonrecurring basis, are summarized below:
 
 
Three Months Ended March 31,
 
 
2017
 
2016
Investments in single-family residential properties, net held for use (Level 3)
 
 
 
 
Pre-impairment amount
 
$
496

 
$
—

Total impairments
 
(267
)
 
—

Fair value
 
$
229

 
$
—

 
 
Three Months Ended March 31,
 
 
2017
 
2016
Investments in single-family residential properties, net held for sale (Level 3)
 
 
 
 
Pre-impairment amount
 
$
7,242

 
$
—

Total impairments
 
(770
)
 
—

Fair value
 
$
6,472

 
$
—



For additional information related to our single-family residential properties during the years ended March 31, 2017 and 2016, refer to Note 3.