1040 Schedule E question

[Thomas Brady]

Hey, 

I'm new to the investing world and just requested the 1040 Schedule E from the seller. 

As I was reading through it, all the numbers looked good to cash flow with, until I came to depreciation expense, which was $9,175. I'm just making sure that it is just what the government depreciated the building by this year, and not an actual expense paid by the homeowner....if so, this property is a NO GO! 

if it is just depreciation, then he profited $4,850 this year. 

Thanks