Community West Bancshares (CWBC) 10-Q 13 Nov 23 2023 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2023	Nov. 08, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2023
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Document Transition Report	false
Entity File Number	000-23575
Entity Registrant Name	COMMUNITY WEST BANCSHARES
Entity Central Index Key	0001051343
Entity Incorporation, State or Country Code	CA
Entity Tax Identification Number	77-0446957
Entity Address, Address Line One	445 Pine Avenue
Entity Address, City or Town	Goleta
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	93117
City Area Code	805
Local Phone Number	692-5821
Title of 12(b) Security	Common Stock, no par value
Trading Symbol	CWBC
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		8,850,312

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands		Sep. 30, 2023	Dec. 31, 2022
Assets:
Cash and due from banks		$ 1,855	$ 1,379
Interest-earning demand deposits in other financial institutions		138,764	63,311
Cash and cash equivalents		140,619	64,690
Investment securities - available-for-sale, at fair value, net of allowance for credit losses of $103 at September 30, 2023 and $0 at December 31, 2022; amortized cost of $16,924 at September 30, 2023 and $27,790 at December 31, 2022		15,124	26,688
Investment securities - held-to-maturity, at amortized cost; fair value of $1,987 at September 30, 2023 and $2,423 at December 31, 2022		2,158	2,557
Investment securities - measured at fair value; amortized cost of $66 at September 30, 2023 and December 31, 2022		309	225
Federal Home Loan Bank and Federal Reserve Bank stock, at cost		4,865	4,533
Loans held for sale, at lower of cost or fair value		18,435	21,033
Loans held for investment		934,247	934,309
Allowance for credit losses	[1]	(12,135)	(10,765)
Total loans held for investment, net		922,112	923,544
Other assets acquired through foreclosure, net		1,511	2,250
Premises and equipment, net		5,891	6,104
Other assets		29,275	39,878
Total assets		1,140,299	1,091,502
Deposits:
Noninterest-bearing demand		190,817	216,494
Interest-bearing demand		456,808	428,173
Savings		16,905	23,490
Certificates of deposit ($250,000 or more)		14,911	6,693
Other certificates of deposit		236,652	200,234
Total deposits		916,093	875,084
Federal Home Loan Bank advances and other borrowings		90,000	90,000
Other liabilities		18,144	13,768
Total liabilities		1,024,237	978,852
Stockholders' equity:
Common stock - no par value, 60,000,000 shares authorized; 8,851,780 shares issued and outstanding at September 30, 2023 and 8,798,412 at December 31, 2022		46,381	45,694
Retained earnings		70,872	67,727
Accumulated other comprehensive loss, net		(1,191)	(771)
Total stockholders' equity		116,062	112,650
Total liabilities and stockholders' equity		$ 1,140,299	$ 1,091,502
[1]On January 1, 2023, the Company adopted the provisions of Accounting Standards Codification Topic 326. The allowance in 2023 is reported using the current expected credit loss (“CECL”) method. Periods prior to adoption are reported in accordance with previous GAAP using the incurred loss method.

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Assets:
Investment securities available-for-sale, allowance for credit losses	$ 103	$ 0
Investment securities available-for-sale, amortized cost	16,924	27,790
Investment securities held-to-maturity, fair value	1,987	2,423
Investment securities measured at fair value, amortized cost	$ 66	$ 66
Stockholders' equity:
Common stock, par value (in dollars per share)	$ 0	$ 0
Common stock, shares authorized (in shares)	60,000,000	60,000,000
Common stock, shares issued (in shares)	8,850,312	8,798,412
Common stock, shares outstanding (in shares)	8,850,312	8,798,412

CONSOLIDATED INCOME STATEMENTS

CONSOLIDATED INCOME STATEMENTS (unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Interest and dividend income:
Loans, including fees	$ 13,331	$ 11,867	$ 38,981	$ 34,190
Investment securities and other	1,222	787	3,872	1,670
Total interest and dividend income	14,553	12,654	42,853	35,860
Interest expense:
Deposits	3,830	528	9,858	1,598
FHLB advances and other borrowings	204	203	729	593
Total interest expense	4,034	731	10,587	2,191
Net interest income	10,519	11,923	32,266	33,669
Provision (credit) for credit losses	43	298	(667)	266
Net interest income after provision (credit) for credit losses	10,476	11,625	32,933	33,403
Non-interest income:
Other loan fees	248	292	703	915
Gains from loan sales, net	24	49	110	245
Document processing fees	88	114	268	337
Service charges	149	114	470	295
Other	572	303	1,438	1,422
Total non-interest income	1,081	872	2,989	3,214
Non-interest expenses:
Salaries and employee benefits	5,114	4,823	15,864	14,784
Occupancy, net	1,093	1,046	3,326	3,064
Professional services	672	653	2,442	1,687
Data processing	349	302	1,075	919
Depreciation	180	173	543	535
FDIC assessment	331	131	789	466
Advertising and marketing	179	196	671	687
Other	445	286	1,341	551
Total non-interest expenses	8,363	7,610	26,051	22,693
Income before provision for income taxes	3,194	4,887	9,871	13,924
Provision for income taxes	942	1,409	3,034	3,851
Net income	$ 2,252	$ 3,478	$ 6,837	$ 10,073
Earnings per share:
Basic (in dollars per share)	$ 0.25	$ 0.4	$ 0.77	$ 1.16
Diluted (in dollars per share)	$ 0.25	$ 0.39	$ 0.76	$ 1.13
Weighted average number of common shares outstanding:
Basic (in shares)	8,849,831	8,748,308	8,834,961	8,708,805
Diluted (in shares)	8,981,234	8,914,711	8,968,481	8,882,739
Dividends declared per common share (in dollars per share)	$ 0.08	$ 0.075	$ 0.24	$ 0.22

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (unaudited) [Abstract]
Net income	$ 2,252	$ 3,478	$ 6,837	$ 10,073
Other comprehensive income (loss), net:
Unrealized gain (loss) on securities available-for-sale ("AFS"), net (tax effect of ($206), $121, $175 and $226 for each respective period presented)	489	(307)	(420)	(846)
Net other comprehensive income (loss)	489	(307)	(420)	(846)
Comprehensive income	$ 2,741	$ 3,171	$ 6,417	$ 9,227

CONSOLIDATED STATEMENTS OF CO_2

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (unaudited) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Other comprehensive income (loss), net:
Unrealized gain (loss) on securities available-for-sale ("AFS"), tax effect	$ (206)	$ 121	$ 175	$ 226

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (unaudited) - USD ($) $ in Thousands	Common Stock [Member]	Accumulated Other Comprehensive (Loss) Income [Member]	Retained Earnings [Member]	Total	Cumulative Effect, Period of Adoption, Adjustment [Member] Common Stock [Member]	[1]	Cumulative Effect, Period of Adoption, Adjustment [Member] Accumulated Other Comprehensive (Loss) Income [Member]	[1]	Cumulative Effect, Period of Adoption, Adjustment [Member] Retained Earnings [Member]		Cumulative Effect, Period of Adoption, Adjustment [Member]
Balance at Dec. 31, 2021	$ 44,431	$ 92	$ 56,852	$ 101,375
Balance (in shares) at Dec. 31, 2021	8,650,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	$ 0	0	10,073	10,073
Exercise of stock options	$ 920	0	0	920
Exercise of stock options (in shares)	105,000
Stock based compensation	$ 215	0	0	215
Stock based compensation (in shares)	0
Dividends on common stock	$ 0	0	(1,916)	(1,916)
Dividends on common stock (in shares)	0
Other comprehensive income (loss), net	$ 0	(846)	0	(846)
Balance at Sep. 30, 2022	$ 45,566	(754)	65,009	109,821
Balance (in shares) at Sep. 30, 2022	8,755,000
Balance at Jun. 30, 2022	$ 45,402	(447)	62,187	107,142
Balance (in shares) at Jun. 30, 2022	8,744,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	$ 0	0	3,478	3,478
Exercise of stock options	$ 93	0	0	93
Exercise of stock options (in shares)	11,000
Stock based compensation	$ 71	0	0	71
Stock based compensation (in shares)	0
Dividends on common stock	$ 0	0	(656)	(656)
Dividends on common stock (in shares)	0
Other comprehensive income (loss), net	$ 0	(307)	0	(307)
Balance at Sep. 30, 2022	$ 45,566	(754)	65,009	109,821
Balance (in shares) at Sep. 30, 2022	8,755,000
Balance at Dec. 31, 2022	$ 45,694	(771)	67,727	$ 112,650	$ 0		$ 0		$ (1,573)	[1]	$ (1,573)	[1]
Balance (in shares) at Dec. 31, 2022	8,798,000			8,798,412	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Accounting Standards Update [Extensible Enumeration]									ASU 2016-13 [Member]		ASU 2016-13 [Member]
Net income	$ 0	0	6,837	$ 6,837
Exercise of stock options	$ 292	0	0	292
Exercise of stock options (in shares)	54,000
Stock based compensation	$ 395	0	0	395
Stock based compensation (in shares)	0
Dividends on common stock	$ 0	0	(2,119)	(2,119)
Dividends on common stock (in shares)	0
Other comprehensive income (loss), net	$ 0	(420)	0	(420)
Balance at Sep. 30, 2023	$ 46,381	(1,191)	70,872	$ 116,062
Balance (in shares) at Sep. 30, 2023	8,852,000			8,850,312
Balance at Jun. 30, 2023	$ 46,293	(1,680)	69,328	$ 113,941
Balance (in shares) at Jun. 30, 2023	8,849,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	$ 0	0	2,252	2,252
Exercise of stock options	$ 13	0	0	13
Exercise of stock options (in shares)	3,000
Stock based compensation	$ 75	0	0	75
Stock based compensation (in shares)	0
Dividends on common stock	$ 0	0	(708)	(708)
Dividends on common stock (in shares)	0
Other comprehensive income (loss), net	$ 0	489	0	489
Balance at Sep. 30, 2023	$ 46,381	$ (1,191)	$ 70,872	$ 116,062
Balance (in shares) at Sep. 30, 2023	8,852,000			8,850,312
[1](1) On January 1, 2023, the Company adopted the provisions of Accounting Standards Codification Topic 326. The allowance in 2023 is reported using the current expected credit loss (“CECL”) method. Periods prior to adoption are reported in accordance with previous GAAP using the incurred loss method.

CONSOLIDATED STATEMENTS OF ST_2

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (unaudited) (Parenthetical) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($)
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (unaudited) [Abstract]
Cumulative effect of change in accounting principle, taxes	$ 659

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities:
Net income	$ 6,837	$ 10,073
Adjustments to reconcile net income to cash provided by operating activities:
Provision (credit) for credit losses	(667)	266
Depreciation	543	535
Stock based compensation	395	215
Deferred taxes	(906)	124
Net (amortization) accretion of discounts and premiums for investment securities	(33)	(33)
Gains on:
Sale of other assets acquired through foreclosure, net	(236)	(104)
Sale of loans, net	(110)	(245)
Loans originated for sale	(7,620)	(14,701)
Proceeds from sales of loans held for sale	7,717	14,629
Proceeds from principal paydowns on loans held for sale	3,346	1,384
Changes in:
Investment securities measured at fair value	(84)	50
Servicing assets, net	14	45
Other assets	12,329	1,496
Other liabilities	4,045	722
Net cash provided by operating activities	25,570	14,456
Cash flows from investing activities:
Principal pay downs and maturities of available-for-sale securities	20,868	1,791
Purchase of available-for-sale securities	(9,964)	(40,360)
Principal pay downs and maturities of held-to-maturity securities	394	217
Purchase of FHLB stock	(332)	(92)
Loan originations and principal collections, net	(2,010)	(54,235)
Purchase of premises and equipment, net	(330)	(291)
Proceeds from sale of other assets acquired through foreclosure, net	2,551	372
Net cash provided by (used in) investing activities	11,177	(92,598)
Cash flows from financing activities:
Net increase (decrease) in deposits	41,009	(97,942)
Proceeds from FHLB advances	20,000	20,000
Repayments of FHLB advances	(20,000)	0
Proceeds from advances from line of credit	10,000	0
Repayments of advances from line of credit	(10,000)	0
Proceeds from exercise of stock options	292	920
Cash dividends paid on common stock	(2,119)	(1,916)
Net cash provided by (used in) financing activities	39,182	(78,938)
Net increase (decrease) in cash and cash equivalents	75,929	(157,080)
Cash and cash equivalents at beginning of period	64,690	208,375
Cash and cash equivalents at end of period	140,619	51,295
Cash paid during the period for:
Interest	8,212	2,204
Income taxes	1,420	3,945
Noncash items:
Transfers from loans to loans held for sale	735	0
Transfers from loans to other assets acquired through foreclosure, net	$ 1,576	$ 0

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Sep. 30, 2023
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations Community West Bancshares (“CWBC”), incorporated under the laws of the state of California, is a bank holding company providing full-service banking through its wholly owned subsidiary Community West Bank, N.A. (“CWB” or the “Bank”) which includes 445 Pine, LLC, the Bank’s wholly owned limited liability company. Unless indicated otherwise or unless the context suggests otherwise, these entities are referred to herein collectively and on a consolidated Basis of Presentation The accounting and reporting policies of the Company are in accordance with accounting principles generally accepted in the United States (“GAAP”) and conform to practices within the banking industry. The accounts of the Company and its consolidated subsidiary are included in these consolidated financial statements. All significant intercompany balances and transactions have been eliminated. Interim Financial Information T he accompanying unaudited consolidated financial statements as of September 30, 2023 and for the three and nine months ended September The information furnished in these interim statements reflects all adjustments which are, in the opinion of management, necessary for a fair statement of the results for each respective period presented. Such adjustments are of a normal recurring nature. The results of operations in the interim statements are not necessarily indicative of the results that may be expected for any other quarter or for the full year. The interim financial information should be read in conjunction with the Company’s audited consolidated financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2022. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant changes in the near term relate to the determination of the allowance for credit losses and the fair value of securities available-for-sale. Although management believes these estimates to be reasonably accurate, actual amounts may differ. In the opinion of management, all necessary adjustments have been reflected in the financial statements during their preparation. Reclassifications Certain amounts in the consolidated financial statements as of December 31, 2022 and for the three and nine months ended September Allowance for Credit Losses - Available-For-Sale (“AFS”) and Held-To-Maturity (“HTM”) Debt Securities Effective January 1, 2023, the allowance for credit losses on investment securities is determined for both HTM and AFS investments in accordance with Accounting Standards Codification (“ASC”) Topic 326 (“ASC 326”) - “Financial Instruments-Credit Losses.” The allowance for credit losses for HTM investment securities is determined on a collective basis, based on shared risk characteristics, and is determined at the individual security level when the Company deems a security to no longer possess shared risk characteristics. For investment securities where the Company has reason to believe the credit loss exposure is remote, a zero-credit loss assumption is applied. Such investment securities typically consist of those guaranteed by the U.S. government or government agencies, where there is an explicit or implicit guarantee by the U.S. government, that are highly rated by rating agencies, and historically have had no credit loss experience. For AFS securities, the Company performs a quarterly qualitative evaluation for securities in an unrealized loss position to determine if the decline in fair value below the security’s amortized cost is credit related or non-credit related. In determining whether a security’s decline in fair value is credit related, the Company considers a number of factors including, but not limited to: (i) the extent to which the fair value of the investment is less than its amortized cost; (ii) the financial condition and near-term prospects of the issuer; (iii) downgrades in credit ratings; (iv) payment structure of the security; (v) the ability of the issuer of the security to make scheduled principal and interest payments; and (vi) general market conditions which reflect prospects for the economy as a whole, including interest rates and sector credit spreads. If it is determined that the unrealized loss, or a portion thereof, is credit related, the Company records the amount of credit loss through a charge to provision for credit losses in current period earnings. However, the amount of credit loss recorded in the current period’s earnings is limited to the amount of the total unrealized loss on the security, which is measured as the amount by which the security’s fair value is below its amortized cost. If the Company intends to sell, or if it is more likely than not that the Company will be required to sell a security in an unrealized loss position before the recovery of its amortized cost basis, the total amount of the unrealized loss is recognized in the current period’s earnings. Unrealized losses deemed non-credit related are recorded, net of tax, through accumulated other comprehensive income (loss). A debt security is placed on nonaccrual status at the time any principal or interest payments become greater than 90 days delinquent. Interest accrued but not received when a security is placed on nonaccrual status is reversed against interest income. Accrued interest receivable on available-for-sale securities is excluded from the estimate of the required allowance for credit losses. Loans Held for Sale Loans which are originated and intended for sale in the secondary market are carried at the lower of their amortized cost or estimated fair value determined on an aggregate basis. Valuation adjustments, if any, are recognized through a valuation allowance by charges to the lower of cost or fair value provision. Loans held for sale are comprised of commercial agriculture loans guaranteed by the USDA Farm Service Agency (“FSA”) and Small Business Association (“SBA”) loans. The Company did not incur any lower of cost or fair value provision expense in the three and nine months ended September 30 Loans Held for Investment Loans are recorded at the principal amount outstanding, net of unearned income, loan participations, and amounts charged off. Unearned income includes deferred loan origination fees reduced by loan origination costs. Interest income on loans is accrued daily using the effective interest method and recognized over the terms of the loans. Loan fees collected for the origination of loans less direct loan origination costs (net deferred loan fees) are amortized over the contractual life of the loan through interest income. If the loan has scheduled payments, the amortization of the net deferred loan fee is calculated using the interest method over the contractual life of the loan. If the loan does not have scheduled payments, such as a line of credit, the net deferred loan fee is recognized as interest income on a straight-line basis over the contractual life of the loan commitment. Commitment fees based on a percentage of a client’s unused line of credit and fees related to standby letters of credit are recognized over the commitment period. When loans are repaid, any remaining unamortized balances of unearned fees, deferred fees and costs, and premiums and discounts paid on purchased loans are accounted for through interest income. When a borrower discontinues making payments as contractually required by the note, the Company must determine whether it is appropriate to continue to accrue interest. Generally, the Company places loans in a nonaccrual status and ceases recognizing interest income when the loan has become delinquent by more than 90 days or when management determines that the full repayment of principal and collection of interest is unlikely. The Company may decide to continue to accrue interest on certain loans more than 90 days delinquent if they are well secured by collateral and in the process of collection. When a loan is placed on nonaccrual status, all interest accrued but uncollected is reversed against interest income in the period in which the status is changed. Subsequent payments received from the borrower are applied to principal and no further interest income is recognized until the principal has been paid in full or until circumstances have changed such that payments are again consistently received as contractually required. The Company occasionally recognizes income on a cash basis for non-accrual loans in which the collection of the remaining principal balance is not in doubt. Allowance for Credit Losses - Loans (Subsequent to the Adoption of ASC 326 on January 1, 2023) Effective January 1, 2023, the Company accounts for credit losses on loans in accordance with ASC 326 – “Financial Instruments-Credit Losses”. The allowance for credit losses for loans (“ACL”) is a valuation account that is deducted from the amortized cost basis of loans to present the net amount expected to be collected on the loans. The Company has elected to exclude accrued interest receivable from the amortized cost basis in the estimate of the ACL . The provision for credit losses on loans (which is a component of the provision for credit losses on the consolidated income ACL at an appropriate level based upon management’s evaluation of the adequacy of collective and individual loss reserves. The Company’s methodologies for determining the adequacy of ACL are set forth in a formal policy and take into consideration the need for an ACL for loans evaluated on a collective pool basis which have similar risk characteristics, as well as allowances that are tied to individual loans that do not share risk characteristics and are individually evaluated. The Company increases its ACL by charging the provision for credit losses on its consolidated income statements. Losses related to specific assets are applied as a reduction of the carrying value of the assets and charged against the ACL when management believes the non-collectability of a loan balance is confirmed. Recoveries on previously charged off loans are credited to the ACL Management conducts an assessment of the ACL on a monthly basis and undertakes a more comprehensive evaluation quarterly. The ACL is estimated using relevant information from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts and is maintained at a level sufficient to provide for expected credit losses over the life of the loan, including expected prepayments, based on evaluating historical credit loss experience and making adjustments to historical loss information for differences in the specific risk characteristics in the current loan portfolio and economic conditions. The ACL is measured on a collective pool basis when similar risk characteristics exist. In estimating the component of the ACL for loans that share common risk characteristics, loans are pooled based on the loan types and areas of risk concentration. For loans evaluated collectively as a pool, the ACL is calculated using the weighted average remaining maturity (“WARM”) method. The WARM method utilizes a historical average annual charge-off rate containing loan loss information over a historical lookback period that is used as a foundation for estimating the ACL for the remaining outstanding balances of loans in a segment at a particular consolidated balance sheet date. The WARM methodology was chosen because each of the loan segments have had loan loss histories dating back as far as 2006 and therefore capture the Company’s historical losses and recoveries and thus established reliable loan loss rates for each loan segment. In the events where there was insufficient historical loan data to establish a reliable loan loss rate, California peer bank data has been utilized to establish loan loss rates. The Company established a general forecast loan policy to calculate the loan loss rates for each loan segment. The general forecast policy projects that the next four quarters will be similar to the Company’s loan loss rates from 2009 to 2016, and then revert to the long-term average over one quarter. The calculation of the ACL is adjusted using qualitative factors for current conditions and for reasonable and supportable forecast periods. These qualitative factors serve to compensate for additional areas of uncertainty inherent in the portfolio that are not directly reflected in the Company’s historical loan losses and may include adjustments for changes in environmental and economic conditions, such as changes in unemployment rates, changes in Gross Domest ic Product, the impact of droughts in the Company’s lending areas, and other relevant facto Portfolio segmentation is defined as the level at which an entity develops and documents a systematic methodology to determine its ACL. The method for determining the ACL described above is used to determine the ACL in each portfolio segment in the Company’s loan portfolio. The Company has designated the following portfolio segments of loans: Manufactured Housing Commercial Real Estate (“CRE”) Commercial Small Business Administration (SBA) Single Family Real Estate and Home Equity Lines of Credit (“HELOC”) Consumer : Loans that do not share risk characteristics with other loans in the portfolio are individually evaluated for a required ACL and are not included in the collective evaluation. Factors involved in determining whether a loan should be individually evaluated include, but are not limited to, the financial condition of the borrower and the value of the underlying collateral. Expected credit losses for loans evaluated individually are measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate or, when the Company determines that foreclosure is probable, the expected credit loss is measured based on the fair value of the collateral as of the reporting date, less estimated selling costs. Collateral may consist of various types of real estate including residential properties, commercial properties, agriculture land, vacant land, and manufactured housing. The Company assesses these loans on each reporting date to determine whether repayment is expected to be provided substantially through the operation or sale of the collateral when the borrower is experiencing financial difficulty. If the fair value of the collateral is less than the amortized cost basis of the loan, the Company will recognize an ACL or partial charge off as the difference between the fair value of the collateral, less costs to sell, and the amortized cost basis of the loan. If the fair value of the collateral exceeds the amortized cost basis of the loan, any expected recovery added to the amortized cost basis will be limited to the amount previously charged off. Subsequent changes in the expected credit losses for loans evaluated individually are included within the provision for credit losses in the same manner in which the expected credit loss initially was recognized or as a reduction in the provision that would otherwise be reported. The process of assessing the adequacy of the ACL is necessarily subjective. Further, and particularly in times of economic downturns, it is reasonably possible that future credit losses may exceed historical loss levels and may also exceed management’s current estimates of expected credit losses within the loan portfolio. As such, there can be no assurance that future charge offs will not exceed management’s current estimate of what constitutes a reasonable ACL. Allowance for Loan Losses (Prior to the Adoption of ASC 326 on January 1, 2023) Prior to the adoption of ASC 326 on January 1, 2023, the allowance for loan losses was intended to be appropriate to provide for probable losses that were considered inherent in the loan portfolio. This process involved deriving probable loss estimates that were based on migration analyses and historical loss rates, in addition to qualitative factors that were based on management’s judgment. The migration analysis and historical loss rate calculations were based on annualized loss rates. Migration analysis was utilized for the commercial real estate, commercial, commercial agriculture, SBA, HELOC, single family residential, and consumer portfolios. The historical loss rate method was utilized primarily for the manufactured housing portfolio. The migration analysis considered the risk rating of loans that were charged off in each loan category. The Company’s allowance for loan losses was maintained at a level believed appropriate by management to absorb known and inherent probable losses on existing loans. The allowance was charged for losses when management believed that full recovery on the loan was unlikely. The allowance for loan losses calculation for the different loan portfolios consisted of the following: • Commercial real estate, commercial, commercial agriculture, SBA, HELOC, single family residential, and consumer: Migration analysis combined with risk rating of the loans was used to determine the required allowance for loan losses for all non-impaired loans. In addition, the migration results were adjusted based upon qualitative factors that affect the specific portfolio category. Reserves on impaired loans were determined based upon the individual characteristics of the loan. • Manufactured housing: The allowance for loan losses was calculated on the basis of loss history and risk rating, which was primarily a function of delinquency. In addition, the loss results were adjusted based upon qualitative factors that affected this specific portfolio. A loan was considered impaired when, based on current information, it was probable that the Company would be unable to collect the scheduled payments of principal and/or interest under the contractual terms of the loan agreement. Factors considered by management in determining impairment included payment status, collateral value, and the probability of collecting scheduled principal and/or interest payments. Loans that experienced insignificant payment delays or payment shortfalls generally were not classified as impaired. Management determined the significance of payment delays or payment shortfalls on a case-by-case basis. When determining the possibility of impairment, management considered the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. For collateral-dependent loans, the Company used the fair value of collateral method to measure impairment. The collateral-dependent loans that recognized impairment were charged down to the fair value of the collateral less costs to sell. All other loans were measured for impairment either based on the present value of future cash flows or the loan’s observable market price. The Company evaluated and individually assessed for impairment loans either on nonaccrual, those that were classified as a troubled debt restructuring, or when other conditions existed which led management to review for possible impairment. Measurement of impairment on impaired loans was determined on a loan-by-loan basis and in total established a specific reserve for impaired loans. Interest income was not recognized on impaired loans except for limited circumstances in which a loan, although impaired, continued to perform in accordance with the loan contract and the borrower provided financial information to support maintaining the loan on accrual. The Company determined the appropriate allowance for loan losses on a monthly basis. Any differences between estimated and actual observed losses from the prior month were reflected in the current period in determining the appropriate allowance for loan losses determination and adjusted as deemed necessary. The review of the appropriateness of the allowance took into consideration such factors as concentrations of credit, changes in the growth, size, and composition of the loan portfolio, overall and individual portfolio quality, review of specific problem loans, collateral, guarantees and economic and environmental conditions that may have affected borrowers’ ability to pay and/or the value of the underlying collateral. Additional factors considered included geographic location of borrowers, changes in the Company’s product-specific credit policy, and lending staff experience. These estimates depended on the outcome of future events and, therefore, contained inherent uncertainties. Another component of the allowance for loan losses considered qualitative factors related to non-impaired loans. The qualitative portion of the allowance on each of the loan pools was based on changes in any of the following factors: • Concentrations of credit • Trends in volume, maturity, and composition of loans • Volume and trend in delinquency, nonaccrual, and classified assets • Economic conditions • Policy and procedures or underwriting standards • Staff experience and ability • Value of underlying collateral • Competition, legal, or regulatory environment • Results of outside exams and quality of loan review and Board oversight Modified Loans to Troubled Borrowers From time to time, the Company will modify certain loans in order to alleviate temporary difficulties in a borrower’s financial condition and/or constraints on a borrower’s ability to repay the loan, and to minimize potential losses to the Company. Such modifications may include changes in the amortization terms of the loan, reductions in interest rates, acceptance of interest only payments, and in limited cases, reductions to the outstanding loan balance. Such loans are typically placed on nonaccrual status when there is doubt concerning the full repayment of principal and interest or the loan has been in default for a period of 90 days or more. These loans may be returned to accrual status when all contractual amounts past due have been brought current, and the borrower’s performance under the modified terms of the loan agreement and the ultimate collectability of all contractual amounts due under the modified terms is no longer in doubt. The Company typically measures the ACL on these loans on an individual basis when the loans are deemed to no longer share risk characteristics that are similar with other loans in the portfolio. The determination of the ACL for these loans is based on a discounted cash flow approach, unless the loan is deemed collateral dependent, which requires measurement of the ACL based on the estimated fair value of the underlying collateral, less estimated selling costs. In addition, GAAP requires the Company to make certain disclosures related to these loans, including certain types of modifications, as well as how such loans have performed since their modifications. See Note 4 - Loans Held for Investment for additional information concerning modified loans to troubled borrowers. Off-Balance Sheet Credit Exposure In the ordinary course of business, the Company has entered into off-balance sheet financial instruments consisting of commitments to extend credit and standby letters of credit. Such financial instruments are recorded in the consolidated financial statements when they are funded. They involve, to varying degrees, elements of credit risk in excess of amounts recognized in the consolidated balance sheets. Losses would be experienced when the Company is contractually obligated to make a payment under these instruments and must seek repayment from the borrower, which may not be as financially sound in the current period as they were when the commitment was originally made. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. The Company enters into credit arrangements that generally provide for the termination of advances in the event of a covenant violation or other event of default. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the party. The commitments are collateralized by the same types of assets used as loan collateral. A fter the adoption of ASC 326 on January 1, 2023, the estimate of the ACL for off-balance sheet commitments provides for current estimated credit losses for the unused portion of collective pools of off-balance sheet credit exposures expected to be funded, except for unconditionally cancellable commitments for which no allowance for credit losses is required under ASC 326. The ACL for off-balance sheet commitments includes factors that are consistent with the ACL methodology for loans using the expected loss factors and an estimated utilization or probability of draw factor, which are based on historical experience. Changes in the ACL for off-balance sheet commitments are reported as a component of provision for credit losses in the consolidated income statements and the allowance for credit losses for off-balance sheet commitments is included in other liabilities in the consolidated balance sheets . Prior to the adoption of ASC 326 on January 1, 2023, the Company applied qualitative factors to its off-balance sheet obligations in determining an estimate of losses inherent in these contractual obligations. The estimate for losses on off-balance sheet instruments is included within other liabilities and the charge to income that established this liability is included in other expense on the consolidated income statement. Income Taxes The Company uses the asset and liability method, which recognizes an asset or liability representing the tax effects of future deductible or taxable amounts that have been recognized in the consolidated financial statements. Due to tax regulations, certain items of income and expense are recognized in different periods for tax return purposes than for financial statement reporting. These items represent “temporary differences.” Deferred income taxes are recognized for the tax effect of temporary differences between the tax basis of assets and liabilities and their financial reporting amounts at each period end based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. A valuation allowance is established for deferred tax assets if, based on the weight of available evidence, it is more likely than not that some portion or all of the deferred tax assets may not be realized. Any interest or penalties assessed by the taxing authorities are classified as income tax expense in the consolidated income statements. Deferred tax assets are included in other assets on the consolidated balance sheets Management evaluates the Company’s deferred tax asset for recoverability using a consistent approach, which considers the relative impact of negative and positive evidence, including the Company’s historical profitability and projections of future taxable income. The Company is required to establish a valuation allowance for deferred tax assets and record a charge to income if management determines, based on available evidence at the time the determination is made, that it is more likely than not that some portion or all of the deferred tax assets may not be realized. The Company is subject to the provisions of ASC 740, Income Taxes Earnings Per Share Basic earnings per common share is computed using the weighted average number of common shares outstanding for the period. Diluted earnings per share includes the effect of all dilutive potential common shares for the period. Potentially dilutive common shares include outstanding stock options. Restricted stock awards are considered to be outstanding common shares for the purpose of computing basic and diluted earnings per share. The components of basic and diluted earnings per share are as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (dollars in thousands, except per share amounts) Net income available to common stockholders $ 2,252 $ 3,478 $ 6,837 $ 10,073 Weighted average number of common shares outstanding - basic 8,849,831 8,748,308 8,834,961 8,708,805 Add: Dilutive effects of assumed exercises of stock options 131,403 166,403 133,520 173,934 Weighted average number of common shares outstanding - diluted 8,981,234 8,914,711 8,968,481 8,882,739 Earnings per share: Basic $ 0.25 $ 0.40 $ 0.77 $ 1.16 Diluted $ 0.25 $ 0.39 $ 0.76 $ 1.13 Stock options for 113,131 and 96,450 shares of common stock were not considered in computing diluted earnings per share for the three months ended September 30, 2023 and 2022 , respectively, because they were antidilutive. Stock options for and shares of common stock were not considered in computing diluted earnings per share for the nine months ended September 30, 2023 and 2022 , respectively, because they were antidilutive Recently Adopted Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13 - “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”. This ASU replaces the incurred loss impairment model in current GAAP with a model that reflects current expected credit losses (“CECL”). The CECL model is applicable to the measurement of credit losses on financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. CECL also requires credit losses on available-for-sale debt securities to be measured through an allowance for credit losses when the fair value is less than the amortized cost basis. It also applies to off-balance sheet credit exposures. The ASU requires that all expected credit losses for financial assets held at the reporting date be measured based on historical experience, current conditions, and reasonable and supportable forecasts. The ASU also requires enhanced disclosure, including qualitative and quantitative disclosures that provide additional information about significant estimates and judgments used in estimating credit losses. The provisions of this Update became effective for the Company for all annual and interim periods beginning January 1, 2023. In April 2019, the FASB issued ASU 2019-04 - “Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments”. This ASU was issued as part of an ongoing project on the FASB’s agenda for improving the Codification or correcting for its unintended application. The FASB issued this ASU, which is specific to ASUs: 2016-13 “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” 2016-01 - “Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities,” and 2017-12 - “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities.” The amendments in this Update became effective for all interim and annual reporting periods for the Company on January 1, 2023. The Company adopted the provisions within this ASU in conjunction with the implementation of ASC 326 - “Financial Instruments - Credit Losses,” including: (i) the election to not measure credit losses on accrued interest receivable when such balances are written-off in a timely manner when deemed uncollectable and (ii) the election to not include the balance of accrued interest receivable as part of the amortized cost of a loan, but rather to present it separately in the consolidated balance sheets. In May 2019, the FASB issued ASU 2019-05 - “Financial Instruments - Credit Losses (Topic 326) - Targeted Transition Relief.” This ASU was issued to allow ent

INVESTMENT SECURITIES

INVESTMENT SECURITIES	9 Months Ended
	Sep. 30, 2023
INVESTMENT SECURITIES [Abstract]
INVESTMENT SECURITIES	2. INVESTMENT SECURITIES The amortized cost and estimated fair value of investment securities are as follows: September 30, 2023 Amortized Cost Allowance for Credit Losses Gross Unrealized Gains Gross Unrealized Losses Fair Value Securities available-for-sale (in thousands) U.S. government agency notes $ 3,478 $ — $ 15 $ — $ 3,493 U.S. government agency collateralized mortgage obligations (“CMO”) 4,196 — — (218 ) 3,978 Corporate debt securities 9,250 (103 ) — (1,494 ) 7,653 Total $ 16,924 $ (103 ) $ 15 $ (1,712 ) $ 15,124 Securities held-to-maturity U.S. government agency mortgage-backed securities (“MBS”) $ 2,158 — $ 2 $ (173 ) $ 1,987 Total $ 2,158 — $ 2 $ (173 ) $ 1,987 September 30, 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized (Losses) Fair Value Securities measured at fair value (in thousands) Equity securities: Farmer Mac class A stock $ 66 $ 243 $ — $ 309 Total $ 66 $ 243 $ — $ 309 December 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized (Losses) Fair Value Securities available-for-sale (in thousands) U.S. government agency notes $ 4,081 $ 26 $ — $ 4,107 U.S. government agency CMO 4,475 — (179 ) 4,296 U.S. Treasury securities 9,984 — (14 ) 9,970 Corporate debt securities 9,250 — (935 ) 8,315 Total $ 27,790 $ 26 $ (1,128 ) $ 26,688 Securities held-to-maturity U.S. government agency MBS $ 2,557 $ 3 $ (137 ) $ 2,423 Total $ 2,557 $ 3 $ (137 ) $ 2,423 Securities measured at fair value Equity securities: Farmer Mac class A stock $ 66 $ 159 $ — $ 225 Total $ 66 $ 159 $ — $ 225 At September 30, 2023 and December 31, 2022, securities with carrying values of $9.5 million and $21.1 million, respectively, were pledged to the Federal Home Loan Bank (“FHLB”) as collateral for current and future advances. At September 30, 2023 and December 31, 2022, there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholders’ equity. The maturity periods and weighted average yields of investment securities available-for-sale and held-to-maturity at the period ends indicated were as follows: September 30, 2023 Less than One Year One to Five Years Five to Ten Years Over Ten Years Total Amount Yield Amount Yield Amount Yield Amount Yield Amount Yield Securities available-for-sale (dollars in thousands) U.S. government agency notes $ — — $ — — $ 482 5.60 % $ 3,011 6.35 % $ 3,493 6.25 % U.S. government agency CMO — — — — 429 3.69 % 3,549 5.64 % 3,978 5.43 % Corporate debt securities — — — — 7,653 3.74 % — — 7,653 3.74 % Total $ — — $ — — $ 8,564 3.84 % $ 6,560 5.97 % $ 15,124 4.76 % Securities held-to-maturity U.S. government agency MBS $ — — $ — — $ 731 3.60 % $ 1,427 4.28 % $ 2,158 4.05 % Total $ — — $ — — $ 731 3.60 % $ 1,427 4.28 % $ 2,158 4.05 % December 31, 2022 Less than One Year One to Five Years Five to Ten Years Over Ten Years Total Amount Yield Amount Yield Amount Yield Amount Yield Amount Yield Securities available-for-sale (dollars in thousands) U.S. government agency notes $ — — $ — — $ 519 3.59 % $ 3,588 4.40 % $ 4,107 4.30 % U.S. government agency CMO — — — — — — 4,296 4.63 % 4,296 4.63 % U.S. Treasury securities 9,970 2.06 % — — — — — — 9,970 2.06 % Corporate debt securities — — — — 8,315 3.74 % — — 8,315 3.74 % Total $ 9,970 2.06 % $ — — $ 8,834 3.73 % $ 7,884 4.53 % $ 26,688 3.34 % Securities held-to-maturity U.S. government agency MBS $ — — $ — — $ 746 3.60 % $ 1,811 3.68 % $ 2,557 3.66 % Total $ — — $ — — $ 746 3.60 % $ 1,811 3.68 % $ 2,557 3.66 % The amortized cost and fair value of available-for-sale and held-to-maturity investment securities maturities as of the periods presented are as shown below: September 30, 2023 December 31, 2022 Amortized Cost Estimated Fair Value Amortized Cost Estimated Fair Value Securities available-for-sale (in thousands) Due in less than one year $ — $ — $ 9,984 $ 9,970 After one year through five years — — — — After five years through ten years 10,220 8,564 9,768 8,834 After ten years 6,704 6,560 8,038 7,884 Total $ 16,924 $ 15,124 $ 27,790 $ 26,688 Securities held-to-maturity Due in less than one year $ — $ — $ — $ — After one year through five years — — — — After five years through ten years 731 662 746 705 After ten years 1,427 1,325 1,811 1,718 Total $ 2,158 $ 1,987 $ 2,557 $ 2,423 Actual maturities may differ from contractual maturities as borrowers or issuers have the right to prepay or call the investment securities. Changes in interest rates may also impact prepayments. As of September 30, 2023 and December 31, 2022, securities that are in an unrealized loss position and length of time that individual securities have been in a continuous loss position are summarized as follows: September 30, 2023 Less Than Twelve Months More Than Twelve Months Total Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Securities available-for-sale (in thousands) U.S. government agency CMO $ (23 ) $ 607 $ (195 ) $ 3,371 $ (218 ) $ 3,978 Corporate debt securities — — (1,494 ) 7,653 (1,494 ) 7,653 Total $ (23 ) $ 607 $ (1,689 ) $ 11,024 $ (1,712 ) $ 11,631 Securities held-to-maturity U.S. government agency MBS $ (2 ) $ 134 $ (171 ) $ 1,694 $ (173 ) $ 1,828 Total $ (2 ) $ 134 $ (171 ) $ 1,694 $ (173 ) $ 1,828 December 31, 2022 Less Than Twelve Months More Than Twelve Months Total Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Securities available-for-sale (in thousands) U.S. government agency CMO $ (130 ) $ 3,690 $ (49 ) $ 606 $ (179 ) $ 4,296 U.S. Treasury securities (14 ) 9,970 — — (14 ) 9,970 Corporate debt securities (764 ) 6,986 (171 ) 1,329 (935 ) 8,315 Total $ (908 ) $ 20,646 $ (220 ) $ 1,935 $ (1,128 ) $ 22,581 Securities held-to-maturity U.S. government agency MBS $ (137 ) $ 2,115 $ — $ — $ (137 ) $ 2,115 Total $ (137 ) $ 2,115 $ — $ — $ (137 ) $ 2,115 As of September 30, 2023 and December 31, 2022, there were 36 and 37 securities, respectively, in an unrealized loss position. At September 30, 2023 and December 31, 2022, there were no available-for-sale or held-to-maturity securities that were on nonaccrual status. All securities in the portfolio were current with their contractual principal and interest payments. Accrued interest receivable related to available-for-sale and held-to-maturity securities was $124 thousand and $7 thousand, respectively, at September 30, 2023. Accrued interest receivable related to available-for-sale and held-to-maturity securities was $69 thousand and $8 thousand, respectively, at December 31, 2022. Accrued interest receivable is included in other assets on the consolidated balance sheets. There were no collateral dependent available-for-sale or held-to-maturity securities at September 30, 2023 or December 31, 2022. The Company reviews individual securities classified as available-for-sale to determine whether a decline in fair value below the amortized cost basis is deemed credit related or due to other factors such as changes in interest rates and general market conditions. An ACL on available-for-sale investment securities is recorded when the fair value of the investment is below its amortized cost and the decline in fair value has been deemed, through the Company’s qualitative assessment, to be credit-related. Non-credit-related declines in fair value of available-for-sale investment securities, which may be attributed to changes in interest rates and other market related factors, are not recorded through an ACL. Such declines are recorded as an adjustment to accumulated other comprehensive income (loss), net of tax. In the event the Company is required to sell or has the intent to sell an available-for-sale security that has experienced a decline in fair value below its amortized cost, the Company writes the amortized cost of the security down to fair value in the current period. During the three and nine months ended September 30, 2023, the Company recorded a provision for credit losses for certain corporate debt securities classified as available-for-sale in the amount of $103 thousand. The need for ACL for these securities was in response to downgrades of the credit ratings of the issuers. There were no charge offs of any balances of corporate debt securities. The ending allowance for credit losses for securities at September 30, 2023 was $103 thousand. The Company did not record an allowance for credit losses for held-to-maturity securities as of September 30, 2023, because the likelihood of non-repayment was considered to be remote as the issuers of those securities were U.S. Federal government agencies Prior to the adoption of ASC 326, declines in the fair value of held-to-maturity and available-for-sale securities below their cost that were deemed to be other-than-temporary were reflected in earnings as realized losses. In estimating other-than-temporary impairment losses, management considered, among other things: (i) the length of time and the extent to which the fair value had been less than cost; (ii) the financial condition and near-term prospects of the issuer; and (iii) the Company’s intent to sell an impaired security and if it was more likely than not that it would have been required to sell the security before the recovery of its amortized basis. Management concluded that none of the Company’s securities were impaired due to reasons of credit quality as of December 31, 2022, and therefore management believes the impairments detailed in the table above were temporary and no other-than-temporary impairment loss was recorded in the Company’s consolidated income statements.

LOANS HELD FOR SALE AND LOANS S

LOANS HELD FOR SALE AND LOANS SERVICED FOR OTHERS	9 Months Ended
	Sep. 30, 2023
LOANS HELD FOR SALE AND LOANS SERVICED FOR OTHERS [Abstract]
LOANS HELD FOR SALE AND LOANS SERVICED FOR OTHERS	3. LOANS HELD FOR SALE AND LOANS SERVICED FOR OTHERS As of September 30, 2023 and December 31, 2022, the Company had approximately $4.7 million and $5.2 million of SBA loans included in loans held for sale, respectively. The Company’s agricultural lending program includes loans for agricultural land, agricultural operational lines, and agricultural term loans for crops, equipment, and livestock. The primary products are supported by guarantees issued from the United States Department of Agriculture (“USDA”), USDA Farm Service Agency (“FSA”), and the USDA Business and Industry loan program. As of September 30, 2023 and December 31, 2022, the Company had $13.7 million and $15.9 million of USDA loans included in loans held for sale, respectively. The unpaid balance of loan serviced for others as of the periods presented are as shown below: September 30, 2023 December 31, 2022 (in thousands) SBA $ 1,438 $ 1,926 USDA, FSA, and USDA Business and Industry — 735 Farmer Mac 159,450 155,522 Total loans serviced for others $ 160,888 $ 158,183

LOANS HELD FOR INVESTMENT

LOANS HELD FOR INVESTMENT	9 Months Ended
	Sep. 30, 2023
LOANS HELD FOR INVESTMENT [Abstract]
LOANS HELD FOR INVESTMENT	4. LOANS HELD FOR INVESTMENT The composition of the Company’s loans held for investment loan portfolio follows: September 30, December 31, 2023 2022 (in thousands) Manufactured housing $ 325,068 $ 315,825 Commercial real estate 556,945 545,317 Commercial 38,232 59,070 SBA 1,687 3,482 HELOC 2,556 2,613 Single family real estate 10,615 8,709 Consumer 52 107 Gross loans held for investment 935,155 935,123 Deferred fees, net (883 ) (787 ) Discount on SBA loans (25 ) (27 ) Loans held for investment 934,247 934,309 Allowance for credit losses (12,135 ) (10,765 ) Loans held for investment, net $ 922,112 $ 923,544 The following table presents the contractual aging of the recorded investment in past due held for investment loans by class of loans: September 30, 2023 Current 30-59 Days Past Due 60-89 Days Past Due Over 90 Days Past Due Total Past Due Total (in thousands) Manufactured housing $ 324,276 $ 615 $ — $ 177 $ 792 $ 325,068 Commercial real estate: Commercial real estate 484,172 — 1,576 — 1,576 485,748 SBA 504 1st trust deed 12,335 — — — — 12,335 Land 8,025 — — — — 8,025 Construction 48,887 — 1,950 — 1,950 50,837 Commercial 37,985 — 247 — 247 38,232 SBA 1,613 73 — 1 74 1,687 HELOC 2,556 — — — — 2,556 Single family real estate 10,615 — — — — 10,615 Consumer 52 — — — — 52 Total $ 930,516 $ 688 $ 3,773 $ 178 $ 4,639 $ 935,155 December 31, 2022 Current 30-59 Days Past Due 60-89 Days Past Due Over 90 Days Past Due Total Past Due Total (in thousands) Manufactured housing $ 315,058 $ 665 $ 102 $ — $ 767 $ 315,825 Commercial real estate: Commercial real estate 481,599 1,160 — — 1,160 482,759 SBA 504 1st trust deed 12,947 — — — — 12,947 Land 11,237 — — — — 11,237 Construction 38,374 — — — — 38,374 Commercial 59,070 — — — — 59,070 SBA 2,529 953 — — 953 3,482 HELOC 2,613 — — — — 2,613 Single family real estate 8,709 — — — — 8,709 Consumer 107 — — — — 107 Total $ 932,243 $ 2,778 $ 102 $ — $ 2,880 $ 935,123 The following table presents the composition of nonaccrual loans as of September 30, 2023, and December 31, 2022 September 30, 2023 December 31, 2022 With an ACL Without an ACL Total Nonaccrual With an Allowance Without an Allowance Total Nonaccrual (in thousands) Manufactured housing $ 100 $ 627 $ 727 $ — $ 61 $ 61 Commercial real estate — 327 327 — — — Construction — 1,950 1,950 — — — Commercial — 50 50 — — — HELOC — 141 141 — — — Single family real estate — — — — 150 150 Total $ 100 $ 3,095 $ 3,195 $ — $ 211 $ 211 There were $1 thousand of loans past due by 90 days or more that were not on nonaccrual status at September 30, 2023. There were no loans past due by 90 days or more that were not on nonaccrual status at December 31, 2022. The accrual of interest is discontinued when substantial doubt exists as to collectability of the loan; generally, at the time the loan is 90 days delinquent. Any unpaid but accrued interest is reversed from interest income at that time. Thereafter, interest income is no longer recognized on the loan. Interest income may be recognized on impaired loans to the extent they are not past due by 90 days. Interest on nonaccrual loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Foregone interest on nonaccrual loans for the three months ended September September Accrued interest receivable related to loans was $5.3 million and $5.1 million at September Allowance for Credit Losses for Loans The Company adopted the CECL requirements of ASC 326 on January 1, 2023. As discussed further in Note 1 - Summary of Significant Accounting Policies, the Company uses the WARM method as the basis for the estimation of expected credit losses under CECL. The calculation of the ACL is adjusted using qualitative factors for current conditions and for reasonable and supportable forecast periods. Loans that do not share risk characteristics with other loans in the portfolio are individually evaluated for a required ACL and are not included in the collective evaluation. Expected credit losses for loans evaluated individually are measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate or, when the Company determines that foreclosure is probable, the fair value of the collateral securing the loan, less estimated selling costs. During the three months ended September During the nine months ended September 23 allowance for credit losses This decrease in allowance for credit losses during the nine months ended September The following tables summarize the changes in the allowance for credit losses by portfolio type. Prior to the adoption of ASC 326 on January 1, 2023, the allowance for loan losses was determined in accordance with ASC 450 and ASC 310. For the Three Months Ended September 30, Manufactured Housing Commercial Real Estate Commercial SBA HELOC Single Family Real Estate Consumer Total 2023 (in thousands) Beginning balance $ 5,519 $ 5,896 $ 515 $ 5 $ 41 $ 171 $ 1 $ 12,148 Charge-offs — — — — — — — — Recoveries 8 20 13 4 — — — 45 Net recoveries 8 20 13 4 — — — 45 Provision (credit) for credit losses (54 ) 44 (46 ) (4 ) 1 1 — (58 ) Ending balance $ 5,473 $ 5,960 $ 482 $ 5 $ 42 $ 172 $ 1 $ 12,135 2022 Beginning balance $ 3,976 $ 6,120 $ 594 $ 23 $ 37 $ 115 $ 1 $ 10,866 Charge-offs — — — (182 ) — — — (182 ) Recoveries 88 20 13 4 6 — — 131 Net recoveries (charge-offs) 88 20 13 (178 ) 6 — — (51 ) Provision (credit) for credit losses (77 ) 182 24 174 (6 ) — 1 298 Ending balance $ 3,987 $ 6,322 $ 631 $ 19 $ 37 $ 115 $ 2 $ 11,113 For the Nine Months Ended September 30, Manufactured Housing Commercial Real Estate Commercial SBA HELOC Single Family Real Estate Consumer Total 2023 (in thousands) Beginning balance, prior to adoption of ASC 326 $ 3,879 $ 5,980 $ 747 $ 21 $ 27 $ 107 $ 4 $ 10,765 Impact of adoption of ASC 326 1,671 31 70 (15 ) 17 39 (2 ) 1,811 Charge-offs — — — — — — — — Recoveries 74 59 37 69 — — — 239 Net recoveries 74 59 37 69 — — — 239 Provision (credit) for credit losses (151 ) (110 ) (372 ) (70 ) (2 ) 26 (1 ) (680 ) Ending balance $ 5,473 $ 5,960 $ 482 $ 5 $ 42 $ 172 $ 1 $ 12,135 2022 Beginning balance $ 2,606 $ 6,729 $ 923 $ 22 $ 18 $ 105 $ 1 $ 10,404 Charge-offs — — — (182 ) — — — (182 ) Recoveries 123 60 183 246 12 — 1 625 Net recoveries 123 60 183 64 12 — 1 443 Provision (credit) for credit losses 1,258 (467 ) (475 ) (67 ) 7 10 — 266 Ending balance $ 3,987 $ 6,322 $ 631 $ 19 $ 37 $ 115 $ 2 $ 11,113 As of September 30, 2023, and December 31, 2022, the Company had an allowance for credit losses Beginning on January 1, 2023, the Company evaluates loans collectively for purposes of determining the allowance for credit losses allowance for credit losses allowance for credit losses allowance for credit losses allowance for credit losses The following table presents the amortized cost basis and the associated allowance for credit losses by portfolio segment for loans that were individually evaluated as of September Manufactured Housing Commercial Real Estate Commercial SBA HELOC Single Family Real Estate Consumer Total Loans (in thousand s) Amortized Cost Basis: Individually evaluated loans with an allowance for credit losses recorded $ 853 $ — $ — $ — $ — $ — $ — $ 853 Individually evaluated loans with no allowance for credit losses recorded 1,359 2,277 1,210 — — 141 — 4,987 Total individually evaluated loans 2,212 2,277 1,210 — — 141 — 5,840 Collectively evaluated loans 322,856 554,668 37,022 1,687 2,556 10,474 52 929,315 Total loans held for investment $ 325,068 $ 556,945 $ 38,232 $ 1,687 $ 2,556 $ 10,615 $ 52 $ 935,155 Allowance for Credit Losses: Individually evaluated loans $ 16 $ — $ — $ — $ — $ — $ — $ 16 Collectively evaluated loans 5,457 5,960 482 5 42 172 1 12,119 Total allowance for credit losses $ 5,473 $ 5,960 $ 482 $ 5 $ 42 $ 172 $ 1 $ 12,135 Prior to the adoption of ASC 326 on January 1, 2023, the Company classified loans as impaired when, based on current information and events, it was probable that the Company would be unable to collect all amounts due according to the contractual terms of the loan agreement or it was determined that the likelihood of the Company receiving all scheduled payments, including interest, when due was remote. Credit losses on impaired loans were determined separately based on the guidance in ASC 310. Beginning January 1, 2023, the Company accounts for credit losses on all loans in accordance with ASC 326, which eliminates the concept of an impaired loan within the context of determining credit losses. The following table presents impairment method information related to loans and allowance for loan losses by loan portfolio segment as of December 31, 2022: Manufactured Housing Commercial Real Estate Commercial SBA HELOC Single Family Real Estate Consumer Total Loans (in thousands) Recorded Investment: Impaired loans with an allowance recorded $ 2,918 $ 209 $ 67 $ 41 $ — $ 208 $ — $ 3,443 Impaired loans with no allowance recorded 1,166 — 1,297 — — 151 — 2,614 Total loans individually evaluated for impairment 4,084 209 1,364 41 — 359 — 6,057 Loans collectively evaluated for impairment 311,741 545,108 57,706 3,441 2,613 8,350 107 929,066 Total loans held for investment $ 315,825 $ 545,317 $ 59,070 $ 3,482 $ 2,613 $ 8,709 $ 107 $ 935,123 Related Allowance for Loan Losses Loans individually evaluated for impairment 157 18 — 1 — 8 — 184 Loans collectively evaluated for impairment 3,722 5,962 747 20 27 99 4 10,581 Total allowance for loan losses $ 3,879 $ 5,980 $ 747 $ 21 $ 27 $ 107 $ 4 $ 10,765 The recorded investment in impaired loans approximated the unpaid balance of the loans as of December 31, 2022. Prior to the adoption of ASC 326, a valuation allowance was established for an impaired loan when the fair value of the loan was less than the recorded investment. In certain cases, portions of impaired loans were charged-off to realizable value instead of establishing a valuation allowance and were included, when applicable, in the table above as “Impaired loans without specific valuation allowance.” The valuation allowance disclosed above is included in the allowance for loan losses reported in the consolidated balance sheets as of December 31, 2022. The following table presents the amortized cost basis of collateral dependent loans by class of loans and by collateral type as of the dates indicated Manufactured Homes Single Family Residence Machinery & Equipment Total September 30, 2023 (in thousands) Manufactured housing $ 1,014 $ — $ — $ 1,014 Commercial real estate 2,277 — — 2,277 Commercial — — 1,210 1,210 Single family real estate — 141 — 141 Total $ 3,291 $ 141 $ 1,210 $ 4,642 Manufactured Homes Single Family Residence Machinery & Equipment Total December 31, 2022 (in thousand s) Manufactured housing $ 574 $ — $ — $ 574 Commercial — — 1,297 1,297 Single family real estate — 150 — 150 Total $ 574 $ 150 $ 1,297 $ 2,021 There was no associated allowance for credit losses (or allowance for loan losses prior to the adoption of ASC 326 on January 1, 2023) for collateral dependent loans as of September 30, 2023, or December 31, 2022. The Company utilizes an internal asset classification system as a means of reporting problem and potential problem loans. Loan ratings are reviewed as part of the Company’s normal loan monitoring process, but, at a minimum, updated on an annual basis. Under the Company’s risk rating system, the Company rates loans with potential problems as “Special Mention,” “Substandard,” “Doubtful,” and “Loss”. The following is a description of the characteristics of loan ratings. Special Mention - A Special Mention loan has potential weaknesses that require management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or in the Company’s credit position at some future date. Special mention assets are not adversely classified and do not expose the Company to sufficient risk to warrant adverse classification. Substandard - A Substandard loan is inadequately protected by the current sound net worth and paying capacity of the obligor or of the collateral pledged, if any. These loans have a well-defined weakness or weaknesses that jeopardize the full collection of amounts due. They are characterized by the distinct possibility that the Company will sustain some loss if the borrower’s deficiencies are not corrected. Doubtful A loan classified Doubtful has all the weaknesses inherent in one classified as Substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. The possibility of loss is extremely high, but because of certain important and reasonably specific pending factors, which may work to the advantage and strengthening of the loan, its classification as an estimated loss is deferred until its more exact status may be determined. Pending factors include proposed merger, acquisition or liquidation procedures, capital injection, perfecting liens on additional collateral and refinancing plans. Loss Loans classified Loss are considered uncollectible and of such little value that their continuance as bankable loans is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing off this loan even though partial recovery may be realized in the future. Losses are taken in the period in which they are considered uncollectible. Loans not meeting the criteria above are considered to be pass-rated loans. The following tables present the risk categories for gross loans by class of loans and by year of origination as of the dates indicated Term Loans Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Total September 30, 2023 (in thousands) Manufactured housing: Pass $ 38,199 $ 57,135 $ 49,553 $ 46,564 $ 24,731 $ 106,655 $ — $ 322,837 Substandard — — 101 219 — 1,911 — 2,231 Total 38,199 57,135 49,654 46,783 24,731 108,566 — 325,068 Commercial real estate: Pass 34,298 152,500 122,794 58,350 49,489 121,401 — 538,832 Special mention — — 464 211 4,145 1,014 — 5,834 Substandard — — 500 2,993 — 8,786 — 12,279 Total 34,298 152,500 123,758 61,554 53,634 131,201 — 556,945 Commercial: Pass 1,589 5,497 2,663 1,094 738 13,418 8,176 33,175 Special mention — — 1,996 407 — — — 2,403 Substandard — — — — — 2,654 — 2,654 Total 1,589 5,497 4,659 1,501 738 16,072 8,176 38,232 SBA: Pass — — — 192 — 1,454 — 1,646 Special mention — — — — — 40 — 40 Loss — — — — — 1 — 1 Total — — — 192 — 1,495 — 1,687 HELOC: Pass — — — — — 2,556 — 2,556 Total — — — — — 2,556 — 2,556 Single family real estate: Pass 2,242 826 1,997 1,989 748 2,667 — 10,469 Substandard — — — — — 146 — 146 Total 2,242 826 1,997 1,989 748 2,813 — 10,615 Consumer: Pass 52 — — — — — — 52 Total 52 — — — — — — 52 Total loans $ 76,380 $ 215,958 $ 180,068 $ 112,019 $ 79,851 $ 262,703 $ 8,176 $ 935,155 Term Loans Amortized Cost Basis by Origination Year 2022 2021 2020 2019 2018 Prior Revolving Total December 31, 2022 (in thousands) (Manufactured housing: Pass $ 62,591 $ 54,403 $ 51,158 $ 26,745 $ 25,768 $ 94,106 $ — $ 314,771 Substandard — — — — 121 933 — 1,054 Total 62,591 54,403 51,158 26,745 25,889 95,039 — 315,825 Commercial real estate: Pass 161,023 125,074 57,441 50,134 32,662 95,174 — 521,508 Special mention — — 10,092 4,206 1,033 — — 15,331 Substandard — — 1,056 — — 7,422 — 8,478 Total 161,023 125,074 68,589 54,340 33,695 102,596 — 545,317 Commercial: Pass 8,804 2,924 1,505 1,107 6,956 10,889 20,699 52,884 Special mention — 2,723 — — — — — 2,723 Substandard — — — — — 3,463 — 3,463 Total 8,804 5,647 1,505 1,107 6,956 14,352 20,699 59,070 SBA: Pass — 690 1,083 — — 1,709 — 3,482 Total — 690 1,083 — — 1,709 — 3,482 HELOC: Pass — — — — — — 2,613 2,613 Total — — — — — — 2,613 2,613 Single family real estate: Pass 817 2,187 2,028 761 364 2,398 — 8,555 Substandard — — — — 150 4 — 154 Total 817 2,187 2,028 761 514 2,402 — 8,709 Consumer: Pass 13 — — — — 94 — 107 Total 13 — — — — 94 — 107 Total loans $ 233,248 $ 188,001 $ 124,363 $ 82,953 $ 67,054 $ 216,192 $ 23,312 $ 935,123 Loan Modifications In certain instances, the Company may make modifications to the terms of loans to borrowers that are experiencing financial distress by providing a term extension, a payment deferral, a reduction of the contractual interest rate on the loan, or a partial forgiveness of principal (or a combination of these modifications). When principal forgiveness is provided to a borrower, the amount of forgiveness is charged off against the ACL . The following table presents the amortized cost basis of loans at September 30, 2023, that were both experiencing financial difficulty and were modified during the nine months ended September 30, 2023, by loan class and by type of modification; the only type of modification that was granted to borrowers that were experiencing financial difficulty during the nine months ended September 30, 2023, was a term extension. The percentage of the amortized cost basis of loans that were modified to borrowers in financial distress as compared to the total amortized cost basis of the loan class, as well as the financial effects of the modifications, is presented below. For the Nine Months Ended September 30, 2023 Amortized Cost of Modified Loans % of Total Class of Loans Term Extension (Weighted Average years) (dollars in thousands) Commercial real estate $ 500 0.09 % 5.00 Commercial 1,417 2.40 % 60.00 Total $ 1,917 0.20 % 45.65 The Company does not have any commitments to lend any additional amounts to the borrowers included in the previous table. All of the loans listed in the previous table were considered to be current as of September 30, 2023. Troubled Debt Restructured Loan (TDR) Prior to the adoption of ASU 2022-02 on January 1, 2023, the Company, in infrequent situations would modify or restructure loans as a TDR. A TDR is a loan on which the Company, for reasons related to a borrower’s financial difficulties, grants a concession to the borrower that the bank would not otherwise consider. The loan terms that have been modified or restructured due to a borrower’s financial situation include, but are not limited to, a reduction in the stated interest rate, an extension of the maturity or renewal of the loan at an interest rate below current market, a reduction in the face amount of the debt, a reduction in the accrued interest, extensions, deferrals, renewals, and rewrites. The majority of the Company’s modifications were extensions in terms or deferral of payments which result in no lost principal or interest followed by reductions in interest rates or accrued interest The total carrying amount of loans that were classified as TDRs at December 31, 2022, was $6.0 million; of these, $5.8 million were performing according to their modified terms.

OTHER ASSETS ACQUIRED THROUGH F

OTHER ASSETS ACQUIRED THROUGH FORECLOSURE	9 Months Ended
	Sep. 30, 2023
OTHER ASSETS ACQUIRED THROUGH FORECLOSURE [Abstract]
OTHER ASSETS ACQUIRED THROUGH FORECLOSURE	5. OTHER ASSETS ACQUIRED THROUGH FORECLOSURE Other assets acquired through foreclosure consist primarily of properties acquired as a result of, or in-lieu-of, foreclosure. Properties or other assets (primarily manufactured housing) are reported at fair value at the time of foreclosure less estimated costs to sell. Costs relating to development or improvement of the assets are capitalized to the extent that they are deemed to be recoverable and increase the value of the property; otherwise, those costs are expensed. Costs related to holding the assets are charged to expense. The following table summarizes the changes in other assets acquired through foreclosure for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (in thousands) Balance, beginning of period $ 65 $ 2,250 $ 2,250 $ 2,518 Additions 1,511 — 1,576 — Proceeds from dispositions (46 ) — (2,551 ) (372 ) (Loss)/gain on sales, net (19 ) — 236 104 Balance, end of period $ 1,511 $ 2,250 $ 1,511 $ 2,250 Gains or losses on sale are included in other non-interest income on the consolidated income statements.

FAIR VALUE MEASUREMENT

FAIR VALUE MEASUREMENT	9 Months Ended
	Sep. 30, 2023
FAIR VALUE MEASUREMENT [Abstract]
FAIR VALUE MEASUREMENT	6. FAIR VALUE MEASUREMENT The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities. ASC 820 - Fair Value Measurements and Disclosures • Level 1— Observable quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. • Level 2— Observable quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, matrix pricing, or model-based valuation techniques where all significant assumptions are observable, either directly or indirectly in the market. • Level 3— Model-based techniques where significant assumptions are not observable, either directly or indirectly, in the market. These unobservable assumptions reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. Valuation techniques may include use of discounted cash flow models and similar techniques. The availability of observable inputs varies based on the nature of the specific financial instrument. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized in Level 3. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Management uses its best judgment in estimating the fair value of the Company’s financial instruments; however, there are inherent limitations in any estimation technique. Therefore, for substantially all financial instruments, the fair value estimates presented herein are not necessarily indicative of the amounts the Company could have realized in a sales transaction at September 30, 2023, or December 31, 2022. The estimated fair value amounts for September 30, 2023, and December 31, 2022, have been measured as of period-end, and have not been reevaluated or updated for purposes of these consolidated financial statements subsequent to those dates. As such, the estimated fair values of these financial instruments subsequent to the reporting date may be different than the amounts reported at the period-end. This information should not be interpreted as an estimate of the fair value of the entire Company since a fair value calculation is only required for a limited portion of the Company’s assets and liabilities. Due to the wide range of valuation techniques and the degree of subjectivity used in making the estimate, comparisons between the Company’s disclosures and those of other companies or banks may not be meaningful. The following tables summarize the fair value of assets measured on a recurring basis: Fair Value Measurements at the End of the September 30 2023 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Fair Value Assets: (in thousands) Investment securities - measured at fair value $ 309 $ — $ — $ 309 Investment securities - available-for-sale: U.S. government agency notes — 3,493 — 3,493 U.S. government agency CMO — 3,978 — 3,978 Corporate debt securities — 7,653 — 7,653 Interest only strips — — 5 5 Servicing assets — — 40 40 Total $ 309 $ 15,124 $ 45 $ 15,478 Fair Value Measurements at the End of the Reporting Period Using: December 31, 2022 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Fair Value Assets: (in thousands) Investment securities - measured at fair value $ 225 $ — $ — $ 225 Investment securities - available-for-sale: U.S. government agency notes — 4,107 — 4,107 U.S. government agency CMO — 4,296 — 4,296 U.S. Treasury securities — 9,970 — 9,970 Corporate debt securities — 8,315 — 8,315 Interest only strips — — 7 7 Servicing assets — — 26 26 Total $ 225 $ 26,688 $ 33 $ 26,946 The change in servicing assets that are measured using Level 3 inputs and are carried at fair value on a recurring basis was as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (in thousands) Servicing Assets: Balance, beginning of period $ 3 $ 36 $ 26 $ 44 Valuation adjustments 37 (2 ) 14 (10 ) Balance, end of period $ 40 $ 34 $ 40 $ 34 Market valuations of the Company’s investment securities, which are classified as Level 2, are provided by an independent third party. The fair values are determined by using several sources for valuing fixed income securities. Their techniques include pricing models that vary based on the type of asset being valued and incorporate available trade, bid, and other market information. In accordance with the fair value hierarchy, the market valuation sources include observable market inputs and are therefore considered Level 2 inputs for purposes of determining the fair values. On certain SBA loan sales, the Company retained interest only strip assets (“I/O strips”) which represent the present value of excess net cash flows generated by the difference between (a) interest at the stated rate paid by borrowers and (b) the sum of (i) pass-through interest paid to third-party investors and (ii) contractual servicing fees. I/O strips are classified as Level 3 in the fair value hierarchy. The fair value is determined on a quarterly basis through a discounted cash flow analysis prepared by an independent third-party using industry prepayment speeds. I/O strip valuation adjustments are recorded as additions or offsets to loan servicing income. For certain servicing assets, the Company had elected to use the amortization method for the treatment of servicing assets and had measured for impairment on a periodic basis through a discounted cash flow analysis prepared by an independent third-party using industry prepayment speeds and discount rates. In connection with the sale of certain SBA and USDA loans, the Company recorded servicing assets and elected to measure those assets at fair value in accordance with ASC 825-10. Significant assumptions in the valuation of servicing assets include estimated loan repayment rates, the discount rate, and servicing costs, among others. Servicing assets are classified as Level 3 measurements due to the use of significant unobservable inputs, as well as significant management judgment and estimation. The Company also has assets that, under certain conditions, are subject to measurement at fair value on a non-recurring basis. These assets include assets acquired through foreclosure and certain loans that are collateral dependent and recorded at the fair value of collateral (less costs to sell). The following summarizes the fair value measurements of assets measured on a non-recurring basis: Fair Value Measurements at the End of the Reporting Period Using: Total Quoted Prices in Active Markets for Identical Assets (Level 1) Active Markets for Similar Assets (Level 2) Unobservable Inputs (Level 3) (in thousands) September 30 2023 Other assets acquired through foreclosure $ 1,511 $ — $ 1,511 $ — Total $ 1,511 $ — $ 1,511 $ — Fair Value Measurements at the End of the Reporting Period Using: Total Quoted Prices in Active Markets for Identical Assets (Level 1) Active Markets for Similar Assets (Level 2) Unobservable Inputs (Level 3) (in thousands) December 31, 2022 Impaired loans $ 3,805 $ — $ 3,805 $ — Other assets acquired through foreclosure 2,250 — 2,250 — Total $ 6,055 $ — $ 6,055 $ — The Company records certain loans at fair value on a non-recurring basis. When a loan is considered collateral dependent, the need for an ACL is evaluated. Such loans are measured at the fair value of the loan’s collateral. The fair value of the loan’s collateral is determined by appraisals or independent valuations which may contain a wide range of values and therefore the Company classifies the fair value of the collateral dependent loans as a non-recurring valuation within Level 2 of the valuation hierarchy. Other assets acquired through foreclosure are carried at the lower of book value or fair value less estimated costs to sell. Fair value is based upon independent market prices obtained from certified appraisers or the current listing price, if lower. When the fair value of the collateral is based on a current appraised value, the Company reports the fair value of the foreclosed collateral as non-recurring valuation within Level 2 of the valuation hierarchy. When a current appraised value is not available or if management determines the fair value of the collateral is further impaired, the Company reports the foreclosed collateral as non-recurring Level 3 Fair Values of Financial Instruments The estimated fair values of financial instruments have been determined by the Company using available market information and appropriate valuation methodologies. However, considerable judgment is required to interpret market data to develop estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. The estimated fair value of the Company’s financial instruments are as follows: September 30, 2023 Carrying Fair Value Amount Level 1 Level 2 Level 3 Total Financial assets: (in thousands) Cash and cash equivalents $ 140,619 $ 140,619 $ — $ — $ 140,619 FHLB and FRB stock 4,865 — 4,865 — 4,865 Investment securities - available-for-sale 15,124 — 15,124 — 15,124 Investment securities - held-to-maturity 2,158 — 1,987 — 1,987 Investment securities - measured at fair value 309 309 — — 309 Loans, net and loans held for sale 940,547 — 884,199 — 884,199 Accrued interest receivable 5,626 — 5,626 — 5,626 Servicing assets 1,323 — — 2,439 2,439 Interest only strips 5 — — 5 5 Financial liabilities: Deposits 916,093 — 912,521 — 912,521 FHLB advances 90,000 — 83,876 — 83,876 Accrued interest payable 2,501 — 2,501 — 2,501 December 31, 2022 Carrying Fair Value Amount Level 1 Level 2 Level 3 Total Financial assets: (in thousands) Cash and cash equivalents $ 64,690 $ 64,690 $ — $ — $ 64,690 FHLB and FRB stock 4,533 — 4,533 — 4,533 Investment securities - available-for-sale 26,688 — 26,688 — 26,688 Investment securities - held-to-maturity 2,557 — 2,423 — 2,423 Investment securities - measured at fair value 225 225 — — 225 Loans, net and loans held for sale 944,577 — 892,134 3,805 895,939 Accrued interest receivable 5,295 — 5,295 — 5,295 Servicing assets 1,480 — — 2,646 2,646 Interest only strips 7 — — 7 7 Financial liabilities: Deposits 875,084 — 867,697 — 867,697 FHLB advances 90,000 — 83,322 — 83,322 Accrued interest payable 126 — 126 — 126

BORROWINGS

BORROWINGS	9 Months Ended
	Sep. 30, 2023
BORROWINGS [Abstract]
BORROWINGS	7. BORROWINGS Federal Home Loan Bank Advances April June of 2025 Total FHLB interest expense was $198 thousand and $695 September Federal Reserve Bank The Company has established a credit line with the FRB. Advances are collateralized in the aggregate by eligible loans for up to 28 days. At September 30, 2023 and December 31, 2022, there were $289.3 million and $248.6 million, respectively, of loans pledged to the FRB. There were no outstanding FRB advances as of September 30, 2023 and December 31, 2022. Available borrowing capacity was $98.0 million as of September Federal Funds Purchased Lines – The Company has federal funds borrowing lines at correspondent banks totaling $20.0 million. There were no amounts outstanding as of September Line of Credit - The Company has an unsecured line of credit agreement to borrow up to $10.0 million at Prime + 0.25%. The Company must maintain a compensating deposit with the lender of $1.0 million. In addition, the Company must maintain a minimum debt service coverage ratio of 1.65 to 1, a minimum Tier 1 leverage ratio of 7.0%, a minimum total risked based capital ratio of 10.0% and a maximum net non-accrual ratio of not more than 3%. The line of credit matured in September 2023 and the Company renewed the line of credit for an additional two-year term with no other changes to the financial terms or covenants. As of September 30, 2023 and December 31, 2021, there were no outstanding balances on the revolving line of credit.

STOCKHOLDERS' EQUITY

STOCKHOLDERS' EQUITY	9 Months Ended
	Sep. 30, 2023
STOCKHOLDERS' EQUITY [Abstract]
STOCKHOLDERS' EQUITY	8. STOCKHOLDERS’ EQUITY The following table summarizes the changes in accumulated other comprehensive income (loss) by component, net of tax for the period indicated: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Unrealized holding gains (losses) on AFS Unrealized holding gains (losses) on AFS (in thousands) Beginning balance $ (1,680 ) $ (447 ) $ (771 ) $ 92 Other comprehensive income (loss) before reclassifications 489 (307 ) (420 ) (846 ) Amounts reclassified from accumulated other comprehensive income — — — — Net current-period other comprehensive income (loss) 489 (307 ) (420 ) (846 ) Ending balance $ (1,191 ) $ (754 ) $ (1,191 ) $ (754 ) Common Stock On February 28, 2019, the Board of Directors increased the common stock repurchase program to $4.5 million and extended the repurchase program until August 31, 2023. On August 30, 2023, the Board of Directors approved an extension of the expiration date of the repurchase program to August 31, 2025. Under this program the Company has repurchased 350,189 common stock shares for $3.0 million at an average price of $8.71 per share. There were no repurchased shares of common stock under this program during the three and nine months ended September 30, 2023. During the three and nine months ended September 30, 2023, the Company declared and paid common stock dividends of $0.7 million and $2.1 million, respectively. During the three and nine months ended September 30, 2022, the Company declared and paid common stock dividends of $0.7 and $1.9 million, respectively.

CAPITAL REQUIREMENTS

CAPITAL REQUIREMENTS	9 Months Ended
	Sep. 30, 2023
CAPITAL REQUIREMENTS [Abstract]
CAPITAL REQUIREMENTS	9. CAPITAL REQUIREMENTS At September 30, 2023 and December 31, 2022, the Company qualified for treatment under the Small Bank Holding Company Policy Statement (Regulation Y, Appendix C) and, therefore, is not subject to consolidated capital rules at the holding company level. CWB is subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements could trigger certain mandatory or discretionary actions that, if undertaken, could have a material effect on the Company’s business and financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, CWB must meet specific capital guidelines that involve quantitative measures of its assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The capital amounts and classifications are also subject to qualitative judgements by the regulators about components, risk weightings and other factors. The following tables illustrate the Bank’s regulatory ratios and the Federal Reserve’s current adequacy guidelines as of September 30, 2023 and December 31, 2022. Total Capital (To Risk- Weighted Assets) Tier 1 Capital (To Risk- Weighted Assets) Common Equity Tier 1 (To Risk- Weighted Assets) Leverage Ratio/Tier 1 Capital (To Average Assets) September 30 2023 CWB’s actual regulatory ratios 13.27 % 12.09 % 12.09 % 10.84 % Minimum capital requirements 8.00 % 6.00 % 4.50 % 4.00 % Well-capitalized requirements 10.00 % 8.00 % 6.50 % 5.00 % Total Capital (To Risk- Weighted Assets) Tier 1 Capital (To Risk- Weighted Assets) Common Equity Tier 1 (To Risk- Weighted Assets) Leverage Ratio/Tier 1 Capital (To Average Assets) December 31 2022 CWB’s actual regulatory ratios 12.56 % 11.44 % 11.44 % 10.34 % Minimum capital requirements 8.00 % 6.00 % 4.50 % 4.00 % Well-capitalized requirements 10.00 % 8.00 % 6.50 % 5.00 % The adoption of CECL on January 1, 2023 resulted in a $1.6 million reduction to stockholders’ equity, net of $0.7 million in taxes. Banking organizations that experienced a reduction in retained earnings from the adoption of CECL have the option to elect a phase-in approach for up to 3 years of the “day 1 ” adverse impact to regulatory capital. The Company made this election and will phase in the impact of the transition to CECL over a period, starting with the first quarter of 2023. There are no conditions or events since September 30, 2023 that management believes have changed the Company’s or the Bank’s risk-based capital category.

REVENUE RECOGNITION

REVENUE RECOGNITION	9 Months Ended
	Sep. 30, 2023
REVENUE RECOGNITION [Abstract]
REVENUE RECOGNITION	10. REVENUE RECOGNITION ASC 606 requires recognition of revenue at an amount that reflects the consideration to which the Company expects to be entitled to in exchange for transferring goods or services to a customer. The majority of the Company’s revenue is from sources outside of the scope of ASC 606. Revenue from service charges and fees and interchange fees on credit and debit cards are within the scope of ASC 606. Service Charges on Deposit Accounts Service charges on deposit accounts consist of monthly service fees, check orders, account analysis fees, and other deposit account related fees. The Company’s performance obligation for monthly service fees and account analysis fees is generally satisfied, and the related income recognized, over the period in which the service is provided. Check orders and other deposit-related fees are largely transactional based and, therefore, the Company’s performance obligation is satisfied, and related income recognized, at a point in time. Payment for service charges on deposit accounts is primarily received immediately or in the following month through a direct charge to customers’ accounts. Exchange Fees and Other Service Charges Exchange fees and other service charges are primarily comprised of debit and credit card income, merchant services income, ATM fees, and other service charges. Debit and credit card income is primarily comprised of interchange fees earned whenever the Company’s debit and credit cards are processed through card payment networks such as Visa or MasterCard. Merchant services income is primarily fees charged to merchants to process their debit and credit card transactions. ATM fees are primarily generated when a Company cardholder uses a non-Company ATM, or a non-Company cardholder uses a Company ATM. Other service charges include fees from processing wire transfers, cashier’s checks, and other services. The Company’s performance obligations for exchange and other service charges are largely satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month. The following table presents non-interest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, for periods indicated. Non-interest income Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 In-scope of Topic 606: (in thousands) Service charges on deposit accounts $ 275 $ 87 $ 408 $ 225 Exchange fees and other service charges 231 129 337 379 Non-interest income (in-scope of ASC 606) 506 216 745 604 Non-interest income (out-of-scope of ASC 606) 575 656 2,244 2,610 Total $ 1,081 $ 872 $ 2,989 $ 3,214 Contract Balances A contract asset balance occurs when an entity performs a service for a customer customer customer customer customers

LEASES

LEASES	9 Months Ended
	Sep. 30, 2023
LEASES [Abstract]
LEASES	11. LEASES The Company has operating leases for office space. The Company’s office leases are typically for terms of between 2 and 10 years. As of September 30, 2023, and December 31, 2022, the balance of the right-of-use assets lease liabilities The right-of-use assets are included in other assets and the lease liabilities are included in other liabilities Nine Months Ended September 30, 2023 2022 (in thousands) Lease cost: Operating lease cost $ 765 $ 1,008 Sublease income — — Total lease cost $ 765 $ 1,008 Other information: Operating cash flows from operating leases $ 762 $ 999 Weighted average remaining lease term - operating leases 6.49 7.21 Weighted average discount rate - operating leases 3.66 % 3.25 % Future minimum operating lease payments for the years shown are as follows (in thousands): 2023 $ 260 2024 1,041 2025 991 2026 891 2027 488 Thereafter 1,554 Total future minimum lease payments 5,225 Less remaining imputed interest 606 Total lease liabilities $ 4,619

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Sep. 30, 2023
SUBSEQUENT EVENTS [Abstract]
SUBSEQUENT EVENTS	12. SUBSEQUENT EVENTS On October 10, 2023, the Company announced the signing of an Agreement of Reorganization and Merger with Central Valley Community Bancorp (NASDAQ: CVCY), headquartered in Fresno, California, together with its banking subsidiary, Central Valley Community Bank, pursuant to which the companies will combine in an all-stock merger transaction. Under the terms of the agreement, Community West Bancshares will merge with and into Central Valley Community Bancorp and Community West Bank will merge with and into Central Valley Community Bank. The Central Valley Community Bancorp and Community West Bancshares Boards of Directors have unanimously approved the transaction, which is expected to close in the second quarter of 2024. The resulting merged company will be named Community West Bancshares, and the merged Bank will be Community West Bank. On October 27, 2023, the Company’s Board of Directors declared a quarterly cash dividend of $0.08 per common share, payable on November 30, 2023, to common shareholders of record on November 14, 2023.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Sep. 30, 2023
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]
Nature of Operations	Nature of Operations Community West Bancshares (“CWBC”), incorporated under the laws of the state of California, is a bank holding company providing full-service banking through its wholly owned subsidiary Community West Bank, N.A. (“CWB” or the “Bank”) which includes 445 Pine, LLC, the Bank’s wholly owned limited liability company. Unless indicated otherwise or unless the context suggests otherwise, these entities are referred to herein collectively and on a consolidated
Basis of Presentation	Basis of Presentation The accounting and reporting policies of the Company are in accordance with accounting principles generally accepted in the United States (“GAAP”) and conform to practices within the banking industry. The accounts of the Company and its consolidated subsidiary are included in these consolidated financial statements. All significant intercompany balances and transactions have been eliminated.
Interim Financial Information	Interim Financial Information T he accompanying unaudited consolidated financial statements as of September 30, 2023 and for the three and nine months ended September The information furnished in these interim statements reflects all adjustments which are, in the opinion of management, necessary for a fair statement of the results for each respective period presented. Such adjustments are of a normal recurring nature. The results of operations in the interim statements are not necessarily indicative of the results that may be expected for any other quarter or for the full year. The interim financial information should be read in conjunction with the Company’s audited consolidated financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2022.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant changes in the near term relate to the determination of the allowance for credit losses and the fair value of securities available-for-sale. Although management believes these estimates to be reasonably accurate, actual amounts may differ. In the opinion of management, all necessary adjustments have been reflected in the financial statements during their preparation.
Reclassifications	Reclassifications Certain amounts in the consolidated financial statements as of December 31, 2022 and for the three and nine months ended September
Allowance for Credit Losses - Available-For-Sale ("AFS") and Held-To-Maturity ("HTM") Debt Securities	Allowance for Credit Losses - Available-For-Sale (“AFS”) and Held-To-Maturity (“HTM”) Debt Securities Effective January 1, 2023, the allowance for credit losses on investment securities is determined for both HTM and AFS investments in accordance with Accounting Standards Codification (“ASC”) Topic 326 (“ASC 326”) - “Financial Instruments-Credit Losses.” The allowance for credit losses for HTM investment securities is determined on a collective basis, based on shared risk characteristics, and is determined at the individual security level when the Company deems a security to no longer possess shared risk characteristics. For investment securities where the Company has reason to believe the credit loss exposure is remote, a zero-credit loss assumption is applied. Such investment securities typically consist of those guaranteed by the U.S. government or government agencies, where there is an explicit or implicit guarantee by the U.S. government, that are highly rated by rating agencies, and historically have had no credit loss experience. For AFS securities, the Company performs a quarterly qualitative evaluation for securities in an unrealized loss position to determine if the decline in fair value below the security’s amortized cost is credit related or non-credit related. In determining whether a security’s decline in fair value is credit related, the Company considers a number of factors including, but not limited to: (i) the extent to which the fair value of the investment is less than its amortized cost; (ii) the financial condition and near-term prospects of the issuer; (iii) downgrades in credit ratings; (iv) payment structure of the security; (v) the ability of the issuer of the security to make scheduled principal and interest payments; and (vi) general market conditions which reflect prospects for the economy as a whole, including interest rates and sector credit spreads. If it is determined that the unrealized loss, or a portion thereof, is credit related, the Company records the amount of credit loss through a charge to provision for credit losses in current period earnings. However, the amount of credit loss recorded in the current period’s earnings is limited to the amount of the total unrealized loss on the security, which is measured as the amount by which the security’s fair value is below its amortized cost. If the Company intends to sell, or if it is more likely than not that the Company will be required to sell a security in an unrealized loss position before the recovery of its amortized cost basis, the total amount of the unrealized loss is recognized in the current period’s earnings. Unrealized losses deemed non-credit related are recorded, net of tax, through accumulated other comprehensive income (loss). A debt security is placed on nonaccrual status at the time any principal or interest payments become greater than 90 days delinquent. Interest accrued but not received when a security is placed on nonaccrual status is reversed against interest income. Accrued interest receivable on available-for-sale securities is excluded from the estimate of the required allowance for credit losses.
Loans Held for Sale	Loans Held for Sale Loans which are originated and intended for sale in the secondary market are carried at the lower of their amortized cost or estimated fair value determined on an aggregate basis. Valuation adjustments, if any, are recognized through a valuation allowance by charges to the lower of cost or fair value provision. Loans held for sale are comprised of commercial agriculture loans guaranteed by the USDA Farm Service Agency (“FSA”) and Small Business Association (“SBA”) loans. The Company did not incur any lower of cost or fair value provision expense in the three and nine months ended September 30
Loans Held for Investment	Loans Held for Investment Loans are recorded at the principal amount outstanding, net of unearned income, loan participations, and amounts charged off. Unearned income includes deferred loan origination fees reduced by loan origination costs. Interest income on loans is accrued daily using the effective interest method and recognized over the terms of the loans. Loan fees collected for the origination of loans less direct loan origination costs (net deferred loan fees) are amortized over the contractual life of the loan through interest income. If the loan has scheduled payments, the amortization of the net deferred loan fee is calculated using the interest method over the contractual life of the loan. If the loan does not have scheduled payments, such as a line of credit, the net deferred loan fee is recognized as interest income on a straight-line basis over the contractual life of the loan commitment. Commitment fees based on a percentage of a client’s unused line of credit and fees related to standby letters of credit are recognized over the commitment period. When loans are repaid, any remaining unamortized balances of unearned fees, deferred fees and costs, and premiums and discounts paid on purchased loans are accounted for through interest income. When a borrower discontinues making payments as contractually required by the note, the Company must determine whether it is appropriate to continue to accrue interest. Generally, the Company places loans in a nonaccrual status and ceases recognizing interest income when the loan has become delinquent by more than 90 days or when management determines that the full repayment of principal and collection of interest is unlikely. The Company may decide to continue to accrue interest on certain loans more than 90 days delinquent if they are well secured by collateral and in the process of collection. When a loan is placed on nonaccrual status, all interest accrued but uncollected is reversed against interest income in the period in which the status is changed. Subsequent payments received from the borrower are applied to principal and no further interest income is recognized until the principal has been paid in full or until circumstances have changed such that payments are again consistently received as contractually required. The Company occasionally recognizes income on a cash basis for non-accrual loans in which the collection of the remaining principal balance is not in doubt.
Allowance for Credit Losses - Loans (Subsequent to the Adoption of ASC 326 on January 1, 2023)	Allowance for Credit Losses - Loans (Subsequent to the Adoption of ASC 326 on January 1, 2023) Effective January 1, 2023, the Company accounts for credit losses on loans in accordance with ASC 326 – “Financial Instruments-Credit Losses”. The allowance for credit losses for loans (“ACL”) is a valuation account that is deducted from the amortized cost basis of loans to present the net amount expected to be collected on the loans. The Company has elected to exclude accrued interest receivable from the amortized cost basis in the estimate of the ACL . The provision for credit losses on loans (which is a component of the provision for credit losses on the consolidated income ACL at an appropriate level based upon management’s evaluation of the adequacy of collective and individual loss reserves. The Company’s methodologies for determining the adequacy of ACL are set forth in a formal policy and take into consideration the need for an ACL for loans evaluated on a collective pool basis which have similar risk characteristics, as well as allowances that are tied to individual loans that do not share risk characteristics and are individually evaluated. The Company increases its ACL by charging the provision for credit losses on its consolidated income statements. Losses related to specific assets are applied as a reduction of the carrying value of the assets and charged against the ACL when management believes the non-collectability of a loan balance is confirmed. Recoveries on previously charged off loans are credited to the ACL Management conducts an assessment of the ACL on a monthly basis and undertakes a more comprehensive evaluation quarterly. The ACL is estimated using relevant information from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts and is maintained at a level sufficient to provide for expected credit losses over the life of the loan, including expected prepayments, based on evaluating historical credit loss experience and making adjustments to historical loss information for differences in the specific risk characteristics in the current loan portfolio and economic conditions. The ACL is measured on a collective pool basis when similar risk characteristics exist. In estimating the component of the ACL for loans that share common risk characteristics, loans are pooled based on the loan types and areas of risk concentration. For loans evaluated collectively as a pool, the ACL is calculated using the weighted average remaining maturity (“WARM”) method. The WARM method utilizes a historical average annual charge-off rate containing loan loss information over a historical lookback period that is used as a foundation for estimating the ACL for the remaining outstanding balances of loans in a segment at a particular consolidated balance sheet date. The WARM methodology was chosen because each of the loan segments have had loan loss histories dating back as far as 2006 and therefore capture the Company’s historical losses and recoveries and thus established reliable loan loss rates for each loan segment. In the events where there was insufficient historical loan data to establish a reliable loan loss rate, California peer bank data has been utilized to establish loan loss rates. The Company established a general forecast loan policy to calculate the loan loss rates for each loan segment. The general forecast policy projects that the next four quarters will be similar to the Company’s loan loss rates from 2009 to 2016, and then revert to the long-term average over one quarter. The calculation of the ACL is adjusted using qualitative factors for current conditions and for reasonable and supportable forecast periods. These qualitative factors serve to compensate for additional areas of uncertainty inherent in the portfolio that are not directly reflected in the Company’s historical loan losses and may include adjustments for changes in environmental and economic conditions, such as changes in unemployment rates, changes in Gross Domest ic Product, the impact of droughts in the Company’s lending areas, and other relevant facto Portfolio segmentation is defined as the level at which an entity develops and documents a systematic methodology to determine its ACL. The method for determining the ACL described above is used to determine the ACL in each portfolio segment in the Company’s loan portfolio. The Company has designated the following portfolio segments of loans: Manufactured Housing Commercial Real Estate (“CRE”) Commercial Small Business Administration (SBA) Single Family Real Estate and Home Equity Lines of Credit (“HELOC”) Consumer : Loans that do not share risk characteristics with other loans in the portfolio are individually evaluated for a required ACL and are not included in the collective evaluation. Factors involved in determining whether a loan should be individually evaluated include, but are not limited to, the financial condition of the borrower and the value of the underlying collateral. Expected credit losses for loans evaluated individually are measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate or, when the Company determines that foreclosure is probable, the expected credit loss is measured based on the fair value of the collateral as of the reporting date, less estimated selling costs. Collateral may consist of various types of real estate including residential properties, commercial properties, agriculture land, vacant land, and manufactured housing. The Company assesses these loans on each reporting date to determine whether repayment is expected to be provided substantially through the operation or sale of the collateral when the borrower is experiencing financial difficulty. If the fair value of the collateral is less than the amortized cost basis of the loan, the Company will recognize an ACL or partial charge off as the difference between the fair value of the collateral, less costs to sell, and the amortized cost basis of the loan. If the fair value of the collateral exceeds the amortized cost basis of the loan, any expected recovery added to the amortized cost basis will be limited to the amount previously charged off. Subsequent changes in the expected credit losses for loans evaluated individually are included within the provision for credit losses in the same manner in which the expected credit loss initially was recognized or as a reduction in the provision that would otherwise be reported. The process of assessing the adequacy of the ACL is necessarily subjective. Further, and particularly in times of economic downturns, it is reasonably possible that future credit losses may exceed historical loss levels and may also exceed management’s current estimates of expected credit losses within the loan portfolio. As such, there can be no assurance that future charge offs will not exceed management’s current estimate of what constitutes a reasonable ACL.
Allowance for Loan Losses (Prior to the Adoption of ASC 326 on January 1, 2023)	Allowance for Loan Losses (Prior to the Adoption of ASC 326 on January 1, 2023) Prior to the adoption of ASC 326 on January 1, 2023, the allowance for loan losses was intended to be appropriate to provide for probable losses that were considered inherent in the loan portfolio. This process involved deriving probable loss estimates that were based on migration analyses and historical loss rates, in addition to qualitative factors that were based on management’s judgment. The migration analysis and historical loss rate calculations were based on annualized loss rates. Migration analysis was utilized for the commercial real estate, commercial, commercial agriculture, SBA, HELOC, single family residential, and consumer portfolios. The historical loss rate method was utilized primarily for the manufactured housing portfolio. The migration analysis considered the risk rating of loans that were charged off in each loan category. The Company’s allowance for loan losses was maintained at a level believed appropriate by management to absorb known and inherent probable losses on existing loans. The allowance was charged for losses when management believed that full recovery on the loan was unlikely. The allowance for loan losses calculation for the different loan portfolios consisted of the following: • Commercial real estate, commercial, commercial agriculture, SBA, HELOC, single family residential, and consumer: Migration analysis combined with risk rating of the loans was used to determine the required allowance for loan losses for all non-impaired loans. In addition, the migration results were adjusted based upon qualitative factors that affect the specific portfolio category. Reserves on impaired loans were determined based upon the individual characteristics of the loan. • Manufactured housing: The allowance for loan losses was calculated on the basis of loss history and risk rating, which was primarily a function of delinquency. In addition, the loss results were adjusted based upon qualitative factors that affected this specific portfolio. A loan was considered impaired when, based on current information, it was probable that the Company would be unable to collect the scheduled payments of principal and/or interest under the contractual terms of the loan agreement. Factors considered by management in determining impairment included payment status, collateral value, and the probability of collecting scheduled principal and/or interest payments. Loans that experienced insignificant payment delays or payment shortfalls generally were not classified as impaired. Management determined the significance of payment delays or payment shortfalls on a case-by-case basis. When determining the possibility of impairment, management considered the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. For collateral-dependent loans, the Company used the fair value of collateral method to measure impairment. The collateral-dependent loans that recognized impairment were charged down to the fair value of the collateral less costs to sell. All other loans were measured for impairment either based on the present value of future cash flows or the loan’s observable market price. The Company evaluated and individually assessed for impairment loans either on nonaccrual, those that were classified as a troubled debt restructuring, or when other conditions existed which led management to review for possible impairment. Measurement of impairment on impaired loans was determined on a loan-by-loan basis and in total established a specific reserve for impaired loans. Interest income was not recognized on impaired loans except for limited circumstances in which a loan, although impaired, continued to perform in accordance with the loan contract and the borrower provided financial information to support maintaining the loan on accrual. The Company determined the appropriate allowance for loan losses on a monthly basis. Any differences between estimated and actual observed losses from the prior month were reflected in the current period in determining the appropriate allowance for loan losses determination and adjusted as deemed necessary. The review of the appropriateness of the allowance took into consideration such factors as concentrations of credit, changes in the growth, size, and composition of the loan portfolio, overall and individual portfolio quality, review of specific problem loans, collateral, guarantees and economic and environmental conditions that may have affected borrowers’ ability to pay and/or the value of the underlying collateral. Additional factors considered included geographic location of borrowers, changes in the Company’s product-specific credit policy, and lending staff experience. These estimates depended on the outcome of future events and, therefore, contained inherent uncertainties. Another component of the allowance for loan losses considered qualitative factors related to non-impaired loans. The qualitative portion of the allowance on each of the loan pools was based on changes in any of the following factors: • Concentrations of credit • Trends in volume, maturity, and composition of loans • Volume and trend in delinquency, nonaccrual, and classified assets • Economic conditions • Policy and procedures or underwriting standards • Staff experience and ability • Value of underlying collateral • Competition, legal, or regulatory environment • Results of outside exams and quality of loan review and Board oversight
Modified Loans to Troubled Borrowers	Modified Loans to Troubled Borrowers From time to time, the Company will modify certain loans in order to alleviate temporary difficulties in a borrower’s financial condition and/or constraints on a borrower’s ability to repay the loan, and to minimize potential losses to the Company. Such modifications may include changes in the amortization terms of the loan, reductions in interest rates, acceptance of interest only payments, and in limited cases, reductions to the outstanding loan balance. Such loans are typically placed on nonaccrual status when there is doubt concerning the full repayment of principal and interest or the loan has been in default for a period of 90 days or more. These loans may be returned to accrual status when all contractual amounts past due have been brought current, and the borrower’s performance under the modified terms of the loan agreement and the ultimate collectability of all contractual amounts due under the modified terms is no longer in doubt. The Company typically measures the ACL on these loans on an individual basis when the loans are deemed to no longer share risk characteristics that are similar with other loans in the portfolio. The determination of the ACL for these loans is based on a discounted cash flow approach, unless the loan is deemed collateral dependent, which requires measurement of the ACL based on the estimated fair value of the underlying collateral, less estimated selling costs. In addition, GAAP requires the Company to make certain disclosures related to these loans, including certain types of modifications, as well as how such loans have performed since their modifications. See Note 4 - Loans Held for Investment for additional information concerning modified loans to troubled borrowers.
Off-Balance Sheet Credit Exposure	Off-Balance Sheet Credit Exposure In the ordinary course of business, the Company has entered into off-balance sheet financial instruments consisting of commitments to extend credit and standby letters of credit. Such financial instruments are recorded in the consolidated financial statements when they are funded. They involve, to varying degrees, elements of credit risk in excess of amounts recognized in the consolidated balance sheets. Losses would be experienced when the Company is contractually obligated to make a payment under these instruments and must seek repayment from the borrower, which may not be as financially sound in the current period as they were when the commitment was originally made. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. The Company enters into credit arrangements that generally provide for the termination of advances in the event of a covenant violation or other event of default. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the party. The commitments are collateralized by the same types of assets used as loan collateral. A fter the adoption of ASC 326 on January 1, 2023, the estimate of the ACL for off-balance sheet commitments provides for current estimated credit losses for the unused portion of collective pools of off-balance sheet credit exposures expected to be funded, except for unconditionally cancellable commitments for which no allowance for credit losses is required under ASC 326. The ACL for off-balance sheet commitments includes factors that are consistent with the ACL methodology for loans using the expected loss factors and an estimated utilization or probability of draw factor, which are based on historical experience. Changes in the ACL for off-balance sheet commitments are reported as a component of provision for credit losses in the consolidated income statements and the allowance for credit losses for off-balance sheet commitments is included in other liabilities in the consolidated balance sheets . Prior to the adoption of ASC 326 on January 1, 2023, the Company applied qualitative factors to its off-balance sheet obligations in determining an estimate of losses inherent in these contractual obligations. The estimate for losses on off-balance sheet instruments is included within other liabilities and the charge to income that established this liability is included in other expense on the consolidated income statement.
Income Taxes	Income Taxes The Company uses the asset and liability method, which recognizes an asset or liability representing the tax effects of future deductible or taxable amounts that have been recognized in the consolidated financial statements. Due to tax regulations, certain items of income and expense are recognized in different periods for tax return purposes than for financial statement reporting. These items represent “temporary differences.” Deferred income taxes are recognized for the tax effect of temporary differences between the tax basis of assets and liabilities and their financial reporting amounts at each period end based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. A valuation allowance is established for deferred tax assets if, based on the weight of available evidence, it is more likely than not that some portion or all of the deferred tax assets may not be realized. Any interest or penalties assessed by the taxing authorities are classified as income tax expense in the consolidated income statements. Deferred tax assets are included in other assets on the consolidated balance sheets Management evaluates the Company’s deferred tax asset for recoverability using a consistent approach, which considers the relative impact of negative and positive evidence, including the Company’s historical profitability and projections of future taxable income. The Company is required to establish a valuation allowance for deferred tax assets and record a charge to income if management determines, based on available evidence at the time the determination is made, that it is more likely than not that some portion or all of the deferred tax assets may not be realized. The Company is subject to the provisions of ASC 740, Income Taxes
Earnings Per Share	Earnings Per Share Basic earnings per common share is computed using the weighted average number of common shares outstanding for the period. Diluted earnings per share includes the effect of all dilutive potential common shares for the period. Potentially dilutive common shares include outstanding stock options. Restricted stock awards are considered to be outstanding common shares for the purpose of computing basic and diluted earnings per share. The components of basic and diluted earnings per share are as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (dollars in thousands, except per share amounts) Net income available to common stockholders $ 2,252 $ 3,478 $ 6,837 $ 10,073 Weighted average number of common shares outstanding - basic 8,849,831 8,748,308 8,834,961 8,708,805 Add: Dilutive effects of assumed exercises of stock options 131,403 166,403 133,520 173,934 Weighted average number of common shares outstanding - diluted 8,981,234 8,914,711 8,968,481 8,882,739 Earnings per share: Basic $ 0.25 $ 0.40 $ 0.77 $ 1.16 Diluted $ 0.25 $ 0.39 $ 0.76 $ 1.13 Stock options for 113,131 and 96,450 shares of common stock were not considered in computing diluted earnings per share for the three months ended September 30, 2023 and 2022 , respectively, because they were antidilutive. Stock options for and shares of common stock were not considered in computing diluted earnings per share for the nine months ended September 30, 2023 and 2022 , respectively, because they were antidilutive
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13 - “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”. This ASU replaces the incurred loss impairment model in current GAAP with a model that reflects current expected credit losses (“CECL”). The CECL model is applicable to the measurement of credit losses on financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. CECL also requires credit losses on available-for-sale debt securities to be measured through an allowance for credit losses when the fair value is less than the amortized cost basis. It also applies to off-balance sheet credit exposures. The ASU requires that all expected credit losses for financial assets held at the reporting date be measured based on historical experience, current conditions, and reasonable and supportable forecasts. The ASU also requires enhanced disclosure, including qualitative and quantitative disclosures that provide additional information about significant estimates and judgments used in estimating credit losses. The provisions of this Update became effective for the Company for all annual and interim periods beginning January 1, 2023. In April 2019, the FASB issued ASU 2019-04 - “Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments”. This ASU was issued as part of an ongoing project on the FASB’s agenda for improving the Codification or correcting for its unintended application. The FASB issued this ASU, which is specific to ASUs: 2016-13 “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” 2016-01 - “Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities,” and 2017-12 - “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities.” The amendments in this Update became effective for all interim and annual reporting periods for the Company on January 1, 2023. The Company adopted the provisions within this ASU in conjunction with the implementation of ASC 326 - “Financial Instruments - Credit Losses,” including: (i) the election to not measure credit losses on accrued interest receivable when such balances are written-off in a timely manner when deemed uncollectable and (ii) the election to not include the balance of accrued interest receivable as part of the amortized cost of a loan, but rather to present it separately in the consolidated balance sheets. In May 2019, the FASB issued ASU 2019-05 - “Financial Instruments - Credit Losses (Topic 326) - Targeted Transition Relief.” This ASU was issued to allow entities that have certain financial instruments within the scope of ASC 326-20 - “Financial Instruments - Credit Losses - Measured at Amortized Cost” to make an irrevocable election to elect the fair value option for those instruments in ASC 825-10 - “Financial Instruments - Overall” upon the adoption of ASC 326, which for the Company was January 1, 2023. The fair value option is not applicable to held-to-maturity debt securities. Entities are required to make this election on an instrument-by-instrument basis. The Company did not elect the fair value option for any of its financial assets upon the adoption of ASC 326 on January 1, 2023. The Company has developed an expected credit loss estimation model in accordance with ASC 326. The Company established a committee comprised of executive management and members of Accounting and Credit Administration and utilizes a third-party software provider specializing in CECL loss modeling. For loans evaluated collectively as a pool, the allowance for credit losses is calculated using the weighted average remaining maturity (“WARM”) method, as described more fully above. The Company’s model incorporates reasonable and supportable economic forecasts into the estimate of expected credit losses, which requires significant judgment. Effective January 1, 2023, the Company adopted the provisions of ASC 326 through the application of the modified retrospective transition approach, and recorded a net decrease of $1.6 million to the beginning balance of retained earnings as of January 1, 2023, for the cumulative effect adjustment. The following table illustrates the impact of adoption of the CECL methodology on the Company’s consolidated balance sheet as of January 1, 2023: Pre-CECL Adoption Impact of CECL As Reported Under CECL (in thousands) Assets: Allowance for credit losses on securities: Available-for-sale $ — $ — $ — Held-to-maturity — — — Allowance for credit losses - loans 10,765 1,811 12,576 Deferred tax assets 5,053 659 5,712 Liabilities: Allowance for credit losses for off-balance sheet commitments 94 421 515 Stockholders’ equity: Retained earnings 67,727 (1,573 ) 66,154 The Company’s assessment of held-to-maturity and available-for-sale investment securities as of January 1, 2023, indicated that an allowance for credit losses was not required. The Company determined the likelihood of default on held-to-maturity investment securities was remote, and the amount of expected non-repayment on those investments was zero. The Company also analyzed available-for-sale investment securities that were in an unrealized loss position as of January 1, 2023, and determined the decline in fair value for those securities was not related to credit, but rather related to changes in interest rates and general market conditions. As such, no allowance for credit losses was recorded for held-to-maturity and available-for-sale securities as of January 1, 2023. In February 2019, the U.S. federal bank regulatory agencies approved a final rule modifying their regulatory capital rules and providing an option to phase in over a three-year period the Day 1 adverse regulatory capital effects of ASU 2016-13. As a result, entities have the option to gradually phase in the full effect of CECL on regulatory capital over a three-year transition period. The Company elected to phase in the full effect of CECL on regulatory capital over the three-year transition period. In March 2022, the FASB issued ASU No. 2022-02, “Financial Instruments—Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures” (“ASU 2022-02”). ASU 2022-02 eliminates the accounting guidance for troubled debt restructurings while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Under the provisions of this ASU, an entity must determine whether a modification results in a new loan or the continuation of an existing loan. Further, the amendments in this ASU require that an entity disclose current period gross charge-offs on loans by year of origination and class of financing receivable. This guidance became effective for the Company on January 1, 2023. The new guidance did not have a material impact on the Company’s consolidated financial statements; however, the required disclosures were added to the consolidated financial statements.

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	9 Months Ended
	Sep. 30, 2023
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]
Components of Basic and Diluted Earnings Per Share	The components of basic and diluted earnings per share are as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (dollars in thousands, except per share amounts) Net income available to common stockholders $ 2,252 $ 3,478 $ 6,837 $ 10,073 Weighted average number of common shares outstanding - basic 8,849,831 8,748,308 8,834,961 8,708,805 Add: Dilutive effects of assumed exercises of stock options 131,403 166,403 133,520 173,934 Weighted average number of common shares outstanding - diluted 8,981,234 8,914,711 8,968,481 8,882,739 Earnings per share: Basic $ 0.25 $ 0.40 $ 0.77 $ 1.16 Diluted $ 0.25 $ 0.39 $ 0.76 $ 1.13
Impact of Adoption of CECL Methodology on Consolidated Balance Sheet	The following table illustrates the impact of adoption of the CECL methodology on the Company’s consolidated balance sheet as of January 1, 2023: Pre-CECL Adoption Impact of CECL As Reported Under CECL (in thousands) Assets: Allowance for credit losses on securities: Available-for-sale $ — $ — $ — Held-to-maturity — — — Allowance for credit losses - loans 10,765 1,811 12,576 Deferred tax assets 5,053 659 5,712 Liabilities: Allowance for credit losses for off-balance sheet commitments 94 421 515 Stockholders’ equity: Retained earnings 67,727 (1,573 ) 66,154

INVESTMENT SECURITIES (Tables)

INVESTMENT SECURITIES (Tables)	9 Months Ended
	Sep. 30, 2023
INVESTMENT SECURITIES [Abstract]
Amortized Cost and Estimated Fair Value of Investment Securities	The amortized cost and estimated fair value of investment securities are as follows: September 30, 2023 Amortized Cost Allowance for Credit Losses Gross Unrealized Gains Gross Unrealized Losses Fair Value Securities available-for-sale (in thousands) U.S. government agency notes $ 3,478 $ — $ 15 $ — $ 3,493 U.S. government agency collateralized mortgage obligations (“CMO”) 4,196 — — (218 ) 3,978 Corporate debt securities 9,250 (103 ) — (1,494 ) 7,653 Total $ 16,924 $ (103 ) $ 15 $ (1,712 ) $ 15,124 Securities held-to-maturity U.S. government agency mortgage-backed securities (“MBS”) $ 2,158 — $ 2 $ (173 ) $ 1,987 Total $ 2,158 — $ 2 $ (173 ) $ 1,987 September 30, 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized (Losses) Fair Value Securities measured at fair value (in thousands) Equity securities: Farmer Mac class A stock $ 66 $ 243 $ — $ 309 Total $ 66 $ 243 $ — $ 309 December 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized (Losses) Fair Value Securities available-for-sale (in thousands) U.S. government agency notes $ 4,081 $ 26 $ — $ 4,107 U.S. government agency CMO 4,475 — (179 ) 4,296 U.S. Treasury securities 9,984 — (14 ) 9,970 Corporate debt securities 9,250 — (935 ) 8,315 Total $ 27,790 $ 26 $ (1,128 ) $ 26,688 Securities held-to-maturity U.S. government agency MBS $ 2,557 $ 3 $ (137 ) $ 2,423 Total $ 2,557 $ 3 $ (137 ) $ 2,423 Securities measured at fair value Equity securities: Farmer Mac class A stock $ 66 $ 159 $ — $ 225 Total $ 66 $ 159 $ — $ 225
Maturity Periods and Weighted Average Yields of Investment Securities	The maturity periods and weighted average yields of investment securities available-for-sale and held-to-maturity at the period ends indicated were as follows: September 30, 2023 Less than One Year One to Five Years Five to Ten Years Over Ten Years Total Amount Yield Amount Yield Amount Yield Amount Yield Amount Yield Securities available-for-sale (dollars in thousands) U.S. government agency notes $ — — $ — — $ 482 5.60 % $ 3,011 6.35 % $ 3,493 6.25 % U.S. government agency CMO — — — — 429 3.69 % 3,549 5.64 % 3,978 5.43 % Corporate debt securities — — — — 7,653 3.74 % — — 7,653 3.74 % Total $ — — $ — — $ 8,564 3.84 % $ 6,560 5.97 % $ 15,124 4.76 % Securities held-to-maturity U.S. government agency MBS $ — — $ — — $ 731 3.60 % $ 1,427 4.28 % $ 2,158 4.05 % Total $ — — $ — — $ 731 3.60 % $ 1,427 4.28 % $ 2,158 4.05 % December 31, 2022 Less than One Year One to Five Years Five to Ten Years Over Ten Years Total Amount Yield Amount Yield Amount Yield Amount Yield Amount Yield Securities available-for-sale (dollars in thousands) U.S. government agency notes $ — — $ — — $ 519 3.59 % $ 3,588 4.40 % $ 4,107 4.30 % U.S. government agency CMO — — — — — — 4,296 4.63 % 4,296 4.63 % U.S. Treasury securities 9,970 2.06 % — — — — — — 9,970 2.06 % Corporate debt securities — — — — 8,315 3.74 % — — 8,315 3.74 % Total $ 9,970 2.06 % $ — — $ 8,834 3.73 % $ 7,884 4.53 % $ 26,688 3.34 % Securities held-to-maturity U.S. government agency MBS $ — — $ — — $ 746 3.60 % $ 1,811 3.68 % $ 2,557 3.66 % Total $ — — $ — — $ 746 3.60 % $ 1,811 3.68 % $ 2,557 3.66 %
Amortized Cost and Fair Value of Investment Securities by Contractual Maturities	The amortized cost and fair value of available-for-sale and held-to-maturity investment securities maturities as of the periods presented are as shown below: September 30, 2023 December 31, 2022 Amortized Cost Estimated Fair Value Amortized Cost Estimated Fair Value Securities available-for-sale (in thousands) Due in less than one year $ — $ — $ 9,984 $ 9,970 After one year through five years — — — — After five years through ten years 10,220 8,564 9,768 8,834 After ten years 6,704 6,560 8,038 7,884 Total $ 16,924 $ 15,124 $ 27,790 $ 26,688 Securities held-to-maturity Due in less than one year $ — $ — $ — $ — After one year through five years — — — — After five years through ten years 731 662 746 705 After ten years 1,427 1,325 1,811 1,718 Total $ 2,158 $ 1,987 $ 2,557 $ 2,423
Fair Value and Unrealized Losses of Securities in Unrealized Loss Position	As of September 30, 2023 and December 31, 2022, securities that are in an unrealized loss position and length of time that individual securities have been in a continuous loss position are summarized as follows: September 30, 2023 Less Than Twelve Months More Than Twelve Months Total Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Securities available-for-sale (in thousands) U.S. government agency CMO $ (23 ) $ 607 $ (195 ) $ 3,371 $ (218 ) $ 3,978 Corporate debt securities — — (1,494 ) 7,653 (1,494 ) 7,653 Total $ (23 ) $ 607 $ (1,689 ) $ 11,024 $ (1,712 ) $ 11,631 Securities held-to-maturity U.S. government agency MBS $ (2 ) $ 134 $ (171 ) $ 1,694 $ (173 ) $ 1,828 Total $ (2 ) $ 134 $ (171 ) $ 1,694 $ (173 ) $ 1,828 December 31, 2022 Less Than Twelve Months More Than Twelve Months Total Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Securities available-for-sale (in thousands) U.S. government agency CMO $ (130 ) $ 3,690 $ (49 ) $ 606 $ (179 ) $ 4,296 U.S. Treasury securities (14 ) 9,970 — — (14 ) 9,970 Corporate debt securities (764 ) 6,986 (171 ) 1,329 (935 ) 8,315 Total $ (908 ) $ 20,646 $ (220 ) $ 1,935 $ (1,128 ) $ 22,581 Securities held-to-maturity U.S. government agency MBS $ (137 ) $ 2,115 $ — $ — $ (137 ) $ 2,115 Total $ (137 ) $ 2,115 $ — $ — $ (137 ) $ 2,115

LOANS HELD FOR SALE AND LOANS_2

LOANS HELD FOR SALE AND LOANS SERVICED FOR OTHERS (Tables)	9 Months Ended
	Sep. 30, 2023
LOANS HELD FOR SALE AND LOANS SERVICED FOR OTHERS [Abstract]
Unpaid Balance of Loan Serviced for Others	The unpaid balance of loan serviced for others as of the periods presented are as shown below: September 30, 2023 December 31, 2022 (in thousands) SBA $ 1,438 $ 1,926 USDA, FSA, and USDA Business and Industry — 735 Farmer Mac 159,450 155,522 Total loans serviced for others $ 160,888 $ 158,183

LOANS HELD FOR INVESTMENT (Tabl

LOANS HELD FOR INVESTMENT (Tables)	9 Months Ended
	Sep. 30, 2023
LOANS HELD FOR INVESTMENT [Abstract]
Composition of Loans Held for Investment Loan Portfolio	The composition of the Company’s loans held for investment loan portfolio follows: September 30, December 31, 2023 2022 (in thousands) Manufactured housing $ 325,068 $ 315,825 Commercial real estate 556,945 545,317 Commercial 38,232 59,070 SBA 1,687 3,482 HELOC 2,556 2,613 Single family real estate 10,615 8,709 Consumer 52 107 Gross loans held for investment 935,155 935,123 Deferred fees, net (883 ) (787 ) Discount on SBA loans (25 ) (27 ) Loans held for investment 934,247 934,309 Allowance for credit losses (12,135 ) (10,765 ) Loans held for investment, net $ 922,112 $ 923,544
Contractual Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans	The following table presents the contractual aging of the recorded investment in past due held for investment loans by class of loans: September 30, 2023 Current 30-59 Days Past Due 60-89 Days Past Due Over 90 Days Past Due Total Past Due Total (in thousands) Manufactured housing $ 324,276 $ 615 $ — $ 177 $ 792 $ 325,068 Commercial real estate: Commercial real estate 484,172 — 1,576 — 1,576 485,748 SBA 504 1st trust deed 12,335 — — — — 12,335 Land 8,025 — — — — 8,025 Construction 48,887 — 1,950 — 1,950 50,837 Commercial 37,985 — 247 — 247 38,232 SBA 1,613 73 — 1 74 1,687 HELOC 2,556 — — — — 2,556 Single family real estate 10,615 — — — — 10,615 Consumer 52 — — — — 52 Total $ 930,516 $ 688 $ 3,773 $ 178 $ 4,639 $ 935,155 December 31, 2022 Current 30-59 Days Past Due 60-89 Days Past Due Over 90 Days Past Due Total Past Due Total (in thousands) Manufactured housing $ 315,058 $ 665 $ 102 $ — $ 767 $ 315,825 Commercial real estate: Commercial real estate 481,599 1,160 — — 1,160 482,759 SBA 504 1st trust deed 12,947 — — — — 12,947 Land 11,237 — — — — 11,237 Construction 38,374 — — — — 38,374 Commercial 59,070 — — — — 59,070 SBA 2,529 953 — — 953 3,482 HELOC 2,613 — — — — 2,613 Single family real estate 8,709 — — — — 8,709 Consumer 107 — — — — 107 Total $ 932,243 $ 2,778 $ 102 $ — $ 2,880 $ 935,123
Composition of Nonaccrual Loans	The following table presents the composition of nonaccrual loans as of September 30, 2023, and December 31, 2022 September 30, 2023 December 31, 2022 With an ACL Without an ACL Total Nonaccrual With an Allowance Without an Allowance Total Nonaccrual (in thousands) Manufactured housing $ 100 $ 627 $ 727 $ — $ 61 $ 61 Commercial real estate — 327 327 — — — Construction — 1,950 1,950 — — — Commercial — 50 50 — — — HELOC — 141 141 — — — Single family real estate — — — — 150 150 Total $ 100 $ 3,095 $ 3,195 $ — $ 211 $ 211
Analysis of Allowance for Loan Losses for Loans Held for Investment	The following tables summarize the changes in the allowance for credit losses by portfolio type. Prior to the adoption of ASC 326 on January 1, 2023, the allowance for loan losses was determined in accordance with ASC 450 and ASC 310. For the Three Months Ended September 30, Manufactured Housing Commercial Real Estate Commercial SBA HELOC Single Family Real Estate Consumer Total 2023 (in thousands) Beginning balance $ 5,519 $ 5,896 $ 515 $ 5 $ 41 $ 171 $ 1 $ 12,148 Charge-offs — — — — — — — — Recoveries 8 20 13 4 — — — 45 Net recoveries 8 20 13 4 — — — 45 Provision (credit) for credit losses (54 ) 44 (46 ) (4 ) 1 1 — (58 ) Ending balance $ 5,473 $ 5,960 $ 482 $ 5 $ 42 $ 172 $ 1 $ 12,135 2022 Beginning balance $ 3,976 $ 6,120 $ 594 $ 23 $ 37 $ 115 $ 1 $ 10,866 Charge-offs — — — (182 ) — — — (182 ) Recoveries 88 20 13 4 6 — — 131 Net recoveries (charge-offs) 88 20 13 (178 ) 6 — — (51 ) Provision (credit) for credit losses (77 ) 182 24 174 (6 ) — 1 298 Ending balance $ 3,987 $ 6,322 $ 631 $ 19 $ 37 $ 115 $ 2 $ 11,113 For the Nine Months Ended September 30, Manufactured Housing Commercial Real Estate Commercial SBA HELOC Single Family Real Estate Consumer Total 2023 (in thousands) Beginning balance, prior to adoption of ASC 326 $ 3,879 $ 5,980 $ 747 $ 21 $ 27 $ 107 $ 4 $ 10,765 Impact of adoption of ASC 326 1,671 31 70 (15 ) 17 39 (2 ) 1,811 Charge-offs — — — — — — — — Recoveries 74 59 37 69 — — — 239 Net recoveries 74 59 37 69 — — — 239 Provision (credit) for credit losses (151 ) (110 ) (372 ) (70 ) (2 ) 26 (1 ) (680 ) Ending balance $ 5,473 $ 5,960 $ 482 $ 5 $ 42 $ 172 $ 1 $ 12,135 2022 Beginning balance $ 2,606 $ 6,729 $ 923 $ 22 $ 18 $ 105 $ 1 $ 10,404 Charge-offs — — — (182 ) — — — (182 ) Recoveries 123 60 183 246 12 — 1 625 Net recoveries 123 60 183 64 12 — 1 443 Provision (credit) for credit losses 1,258 (467 ) (475 ) (67 ) 7 10 — 266 Ending balance $ 3,987 $ 6,322 $ 631 $ 19 $ 37 $ 115 $ 2 $ 11,113
Amortized Cost Basis and Associated Allowance for Credit Losses by Portfolio Segment for Loans That Were Individually Evaluated	The following table presents the amortized cost basis and the associated allowance for credit losses by portfolio segment for loans that were individually evaluated as of September Manufactured Housing Commercial Real Estate Commercial SBA HELOC Single Family Real Estate Consumer Total Loans (in thousand s) Amortized Cost Basis: Individually evaluated loans with an allowance for credit losses recorded $ 853 $ — $ — $ — $ — $ — $ — $ 853 Individually evaluated loans with no allowance for credit losses recorded 1,359 2,277 1,210 — — 141 — 4,987 Total individually evaluated loans 2,212 2,277 1,210 — — 141 — 5,840 Collectively evaluated loans 322,856 554,668 37,022 1,687 2,556 10,474 52 929,315 Total loans held for investment $ 325,068 $ 556,945 $ 38,232 $ 1,687 $ 2,556 $ 10,615 $ 52 $ 935,155 Allowance for Credit Losses: Individually evaluated loans $ 16 $ — $ — $ — $ — $ — $ — $ 16 Collectively evaluated loans 5,457 5,960 482 5 42 172 1 12,119 Total allowance for credit losses $ 5,473 $ 5,960 $ 482 $ 5 $ 42 $ 172 $ 1 $ 12,135
Impairment Method Information Related to Loans and Allowance for Loan Losses by Loan Portfolio Segment	The following table presents impairment method information related to loans and allowance for loan losses by loan portfolio segment as of December 31, 2022: Manufactured Housing Commercial Real Estate Commercial SBA HELOC Single Family Real Estate Consumer Total Loans (in thousands) Recorded Investment: Impaired loans with an allowance recorded $ 2,918 $ 209 $ 67 $ 41 $ — $ 208 $ — $ 3,443 Impaired loans with no allowance recorded 1,166 — 1,297 — — 151 — 2,614 Total loans individually evaluated for impairment 4,084 209 1,364 41 — 359 — 6,057 Loans collectively evaluated for impairment 311,741 545,108 57,706 3,441 2,613 8,350 107 929,066 Total loans held for investment $ 315,825 $ 545,317 $ 59,070 $ 3,482 $ 2,613 $ 8,709 $ 107 $ 935,123 Related Allowance for Loan Losses Loans individually evaluated for impairment 157 18 — 1 — 8 — 184 Loans collectively evaluated for impairment 3,722 5,962 747 20 27 99 4 10,581 Total allowance for loan losses $ 3,879 $ 5,980 $ 747 $ 21 $ 27 $ 107 $ 4 $ 10,765
Amortized Cost Basis of Collateral Dependent Loans by Class of Loans and by Collateral Type	The following table presents the amortized cost basis of collateral dependent loans by class of loans and by collateral type as of the dates indicated Manufactured Homes Single Family Residence Machinery & Equipment Total September 30, 2023 (in thousands) Manufactured housing $ 1,014 $ — $ — $ 1,014 Commercial real estate 2,277 — — 2,277 Commercial — — 1,210 1,210 Single family real estate — 141 — 141 Total $ 3,291 $ 141 $ 1,210 $ 4,642 Manufactured Homes Single Family Residence Machinery & Equipment Total December 31, 2022 (in thousand s) Manufactured housing $ 574 $ — $ — $ 574 Commercial — — 1,297 1,297 Single family real estate — 150 — 150 Total $ 574 $ 150 $ 1,297 $ 2,021
Gross Loans by Risk Rating	The following tables present the risk categories for gross loans by class of loans and by year of origination as of the dates indicated Term Loans Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Total September 30, 2023 (in thousands) Manufactured housing: Pass $ 38,199 $ 57,135 $ 49,553 $ 46,564 $ 24,731 $ 106,655 $ — $ 322,837 Substandard — — 101 219 — 1,911 — 2,231 Total 38,199 57,135 49,654 46,783 24,731 108,566 — 325,068 Commercial real estate: Pass 34,298 152,500 122,794 58,350 49,489 121,401 — 538,832 Special mention — — 464 211 4,145 1,014 — 5,834 Substandard — — 500 2,993 — 8,786 — 12,279 Total 34,298 152,500 123,758 61,554 53,634 131,201 — 556,945 Commercial: Pass 1,589 5,497 2,663 1,094 738 13,418 8,176 33,175 Special mention — — 1,996 407 — — — 2,403 Substandard — — — — — 2,654 — 2,654 Total 1,589 5,497 4,659 1,501 738 16,072 8,176 38,232 SBA: Pass — — — 192 — 1,454 — 1,646 Special mention — — — — — 40 — 40 Loss — — — — — 1 — 1 Total — — — 192 — 1,495 — 1,687 HELOC: Pass — — — — — 2,556 — 2,556 Total — — — — — 2,556 — 2,556 Single family real estate: Pass 2,242 826 1,997 1,989 748 2,667 — 10,469 Substandard — — — — — 146 — 146 Total 2,242 826 1,997 1,989 748 2,813 — 10,615 Consumer: Pass 52 — — — — — — 52 Total 52 — — — — — — 52 Total loans $ 76,380 $ 215,958 $ 180,068 $ 112,019 $ 79,851 $ 262,703 $ 8,176 $ 935,155 Term Loans Amortized Cost Basis by Origination Year 2022 2021 2020 2019 2018 Prior Revolving Total December 31, 2022 (in thousands) (Manufactured housing: Pass $ 62,591 $ 54,403 $ 51,158 $ 26,745 $ 25,768 $ 94,106 $ — $ 314,771 Substandard — — — — 121 933 — 1,054 Total 62,591 54,403 51,158 26,745 25,889 95,039 — 315,825 Commercial real estate: Pass 161,023 125,074 57,441 50,134 32,662 95,174 — 521,508 Special mention — — 10,092 4,206 1,033 — — 15,331 Substandard — — 1,056 — — 7,422 — 8,478 Total 161,023 125,074 68,589 54,340 33,695 102,596 — 545,317 Commercial: Pass 8,804 2,924 1,505 1,107 6,956 10,889 20,699 52,884 Special mention — 2,723 — — — — — 2,723 Substandard — — — — — 3,463 — 3,463 Total 8,804 5,647 1,505 1,107 6,956 14,352 20,699 59,070 SBA: Pass — 690 1,083 — — 1,709 — 3,482 Total — 690 1,083 — — 1,709 — 3,482 HELOC: Pass — — — — — — 2,613 2,613 Total — — — — — — 2,613 2,613 Single family real estate: Pass 817 2,187 2,028 761 364 2,398 — 8,555 Substandard — — — — 150 4 — 154 Total 817 2,187 2,028 761 514 2,402 — 8,709 Consumer: Pass 13 — — — — 94 — 107 Total 13 — — — — 94 — 107 Total loans $ 233,248 $ 188,001 $ 124,363 $ 82,953 $ 67,054 $ 216,192 $ 23,312 $ 935,123
Modifications to Borrowers Experiencing Financial Difficulty	The following table presents the amortized cost basis of loans at September 30, 2023, that were both experiencing financial difficulty and were modified during the nine months ended September 30, 2023, by loan class and by type of modification; the only type of modification that was granted to borrowers that were experiencing financial difficulty during the nine months ended September 30, 2023, was a term extension. The percentage of the amortized cost basis of loans that were modified to borrowers in financial distress as compared to the total amortized cost basis of the loan class, as well as the financial effects of the modifications, is presented below. For the Nine Months Ended September 30, 2023 Amortized Cost of Modified Loans % of Total Class of Loans Term Extension (Weighted Average years) (dollars in thousands) Commercial real estate $ 500 0.09 % 5.00 Commercial 1,417 2.40 % 60.00 Total $ 1,917 0.20 % 45.65

OTHER ASSETS ACQUIRED THROUGH_2

OTHER ASSETS ACQUIRED THROUGH FORECLOSURE (Tables)	9 Months Ended
	Sep. 30, 2023
OTHER ASSETS ACQUIRED THROUGH FORECLOSURE [Abstract]
Other Assets Acquired through Foreclosure	The following table summarizes the changes in other assets acquired through foreclosure for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (in thousands) Balance, beginning of period $ 65 $ 2,250 $ 2,250 $ 2,518 Additions 1,511 — 1,576 — Proceeds from dispositions (46 ) — (2,551 ) (372 ) (Loss)/gain on sales, net (19 ) — 236 104 Balance, end of period $ 1,511 $ 2,250 $ 1,511 $ 2,250

FAIR VALUE MEASUREMENT (Tables)

FAIR VALUE MEASUREMENT (Tables)	9 Months Ended
	Sep. 30, 2023
FAIR VALUE MEASUREMENT [Abstract]
Fair Value Measurements of Assets Measured on a Recurring Basis	The following tables summarize the fair value of assets measured on a recurring basis: Fair Value Measurements at the End of the September 30 2023 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Fair Value Assets: (in thousands) Investment securities - measured at fair value $ 309 $ — $ — $ 309 Investment securities - available-for-sale: U.S. government agency notes — 3,493 — 3,493 U.S. government agency CMO — 3,978 — 3,978 Corporate debt securities — 7,653 — 7,653 Interest only strips — — 5 5 Servicing assets — — 40 40 Total $ 309 $ 15,124 $ 45 $ 15,478 Fair Value Measurements at the End of the Reporting Period Using: December 31, 2022 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Fair Value Assets: (in thousands) Investment securities - measured at fair value $ 225 $ — $ — $ 225 Investment securities - available-for-sale: U.S. government agency notes — 4,107 — 4,107 U.S. government agency CMO — 4,296 — 4,296 U.S. Treasury securities — 9,970 — 9,970 Corporate debt securities — 8,315 — 8,315 Interest only strips — — 7 7 Servicing assets — — 26 26 Total $ 225 $ 26,688 $ 33 $ 26,946
Change in Servicing Assets Measured using Level 3 Inputs at Fair Value on a Recurring Basis	The change in servicing assets that are measured using Level 3 inputs and are carried at fair value on a recurring basis was as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (in thousands) Servicing Assets: Balance, beginning of period $ 3 $ 36 $ 26 $ 44 Valuation adjustments 37 (2 ) 14 (10 ) Balance, end of period $ 40 $ 34 $ 40 $ 34
Fair Value Measurements of Assets Measured on a Non-recurring Basis	The following summarizes the fair value measurements of assets measured on a non-recurring basis: Fair Value Measurements at the End of the Reporting Period Using: Total Quoted Prices in Active Markets for Identical Assets (Level 1) Active Markets for Similar Assets (Level 2) Unobservable Inputs (Level 3) (in thousands) September 30 2023 Other assets acquired through foreclosure $ 1,511 $ — $ 1,511 $ — Total $ 1,511 $ — $ 1,511 $ — Fair Value Measurements at the End of the Reporting Period Using: Total Quoted Prices in Active Markets for Identical Assets (Level 1) Active Markets for Similar Assets (Level 2) Unobservable Inputs (Level 3) (in thousands) December 31, 2022 Impaired loans $ 3,805 $ — $ 3,805 $ — Other assets acquired through foreclosure 2,250 — 2,250 — Total $ 6,055 $ — $ 6,055 $ —
Estimated Fair Values and Carrying Values of Financial Instruments	The estimated fair value of the Company’s financial instruments are as follows: September 30, 2023 Carrying Fair Value Amount Level 1 Level 2 Level 3 Total Financial assets: (in thousands) Cash and cash equivalents $ 140,619 $ 140,619 $ — $ — $ 140,619 FHLB and FRB stock 4,865 — 4,865 — 4,865 Investment securities - available-for-sale 15,124 — 15,124 — 15,124 Investment securities - held-to-maturity 2,158 — 1,987 — 1,987 Investment securities - measured at fair value 309 309 — — 309 Loans, net and loans held for sale 940,547 — 884,199 — 884,199 Accrued interest receivable 5,626 — 5,626 — 5,626 Servicing assets 1,323 — — 2,439 2,439 Interest only strips 5 — — 5 5 Financial liabilities: Deposits 916,093 — 912,521 — 912,521 FHLB advances 90,000 — 83,876 — 83,876 Accrued interest payable 2,501 — 2,501 — 2,501 December 31, 2022 Carrying Fair Value Amount Level 1 Level 2 Level 3 Total Financial assets: (in thousands) Cash and cash equivalents $ 64,690 $ 64,690 $ — $ — $ 64,690 FHLB and FRB stock 4,533 — 4,533 — 4,533 Investment securities - available-for-sale 26,688 — 26,688 — 26,688 Investment securities - held-to-maturity 2,557 — 2,423 — 2,423 Investment securities - measured at fair value 225 225 — — 225 Loans, net and loans held for sale 944,577 — 892,134 3,805 895,939 Accrued interest receivable 5,295 — 5,295 — 5,295 Servicing assets 1,480 — — 2,646 2,646 Interest only strips 7 — — 7 7 Financial liabilities: Deposits 875,084 — 867,697 — 867,697 FHLB advances 90,000 — 83,322 — 83,322 Accrued interest payable 126 — 126 — 126

STOCKHOLDERS' EQUITY (Tables)

STOCKHOLDERS' EQUITY (Tables)	9 Months Ended
	Sep. 30, 2023
STOCKHOLDERS' EQUITY [Abstract]
Changes in Accumulated Other Comprehensive Income (Loss) by Component, Net of Tax	The following table summarizes the changes in accumulated other comprehensive income (loss) by component, net of tax for the period indicated: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Unrealized holding gains (losses) on AFS Unrealized holding gains (losses) on AFS (in thousands) Beginning balance $ (1,680 ) $ (447 ) $ (771 ) $ 92 Other comprehensive income (loss) before reclassifications 489 (307 ) (420 ) (846 ) Amounts reclassified from accumulated other comprehensive income — — — — Net current-period other comprehensive income (loss) 489 (307 ) (420 ) (846 ) Ending balance $ (1,191 ) $ (754 ) $ (1,191 ) $ (754 )

CAPITAL REQUIREMENTS (Tables)

CAPITAL REQUIREMENTS (Tables)	9 Months Ended
	Sep. 30, 2023
CAPITAL REQUIREMENTS [Abstract]
Bank's Regulatory Ratios and Federal Reserve's Current Adequacy Guidelines	The following tables illustrate the Bank’s regulatory ratios and the Federal Reserve’s current adequacy guidelines as of September 30, 2023 and December 31, 2022. Total Capital (To Risk- Weighted Assets) Tier 1 Capital (To Risk- Weighted Assets) Common Equity Tier 1 (To Risk- Weighted Assets) Leverage Ratio/Tier 1 Capital (To Average Assets) September 30 2023 CWB’s actual regulatory ratios 13.27 % 12.09 % 12.09 % 10.84 % Minimum capital requirements 8.00 % 6.00 % 4.50 % 4.00 % Well-capitalized requirements 10.00 % 8.00 % 6.50 % 5.00 % Total Capital (To Risk- Weighted Assets) Tier 1 Capital (To Risk- Weighted Assets) Common Equity Tier 1 (To Risk- Weighted Assets) Leverage Ratio/Tier 1 Capital (To Average Assets) December 31 2022 CWB’s actual regulatory ratios 12.56 % 11.44 % 11.44 % 10.34 % Minimum capital requirements 8.00 % 6.00 % 4.50 % 4.00 % Well-capitalized requirements 10.00 % 8.00 % 6.50 % 5.00 %

REVENUE RECOGNITION (Tables)

REVENUE RECOGNITION (Tables)	9 Months Ended
	Sep. 30, 2023
REVENUE RECOGNITION [Abstract]
Non-Interest Income	The following table presents non-interest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, for periods indicated. Non-interest income Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 In-scope of Topic 606: (in thousands) Service charges on deposit accounts $ 275 $ 87 $ 408 $ 225 Exchange fees and other service charges 231 129 337 379 Non-interest income (in-scope of ASC 606) 506 216 745 604 Non-interest income (out-of-scope of ASC 606) 575 656 2,244 2,610 Total $ 1,081 $ 872 $ 2,989 $ 3,214

LEASES (Tables)

LEASES (Tables)	9 Months Ended
	Sep. 30, 2023
LEASES [Abstract]
Lease Cost and Other Information	The right-of-use assets are included in other assets and the lease liabilities are included in other liabilities Nine Months Ended September 30, 2023 2022 (in thousands) Lease cost: Operating lease cost $ 765 $ 1,008 Sublease income — — Total lease cost $ 765 $ 1,008 Other information: Operating cash flows from operating leases $ 762 $ 999 Weighted average remaining lease term - operating leases 6.49 7.21 Weighted average discount rate - operating leases 3.66 % 3.25 %
Future Minimum Operating Lease Payments	Future minimum operating lease payments for the years shown are as follows (in thousands): 2023 $ 260 2024 1,041 2025 991 2026 891 2027 488 Thereafter 1,554 Total future minimum lease payments 5,225 Less remaining imputed interest 606 Total lease liabilities $ 4,619

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Allowance for Credit Losses and Loans Held for Investment (Details)	9 Months Ended
	Sep. 30, 2023
Allowance for Credit Losses - Available-For-Sale ("AFS") and Held-To-Maturity ("HTM") Debt Securities [Abstract]
Period of delinquency after which a loan is placed in a nonaccrual status	90 days
Minimum [Member]
Allowance for Credit Losses - Available-For-Sale ("AFS") and Held-To-Maturity ("HTM") Debt Securities [Abstract]
Period of delinquency after which a loan is placed in a nonaccrual status	90 days

SUMMARY OF SIGNIFICANT ACCOUN_5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Basic and Diluted Earnings Per Share [Abstract]
Net income available to common stockholders	$ 2,252	$ 3,478	$ 6,837	$ 10,073
Weighted average number of common shares outstanding - basic (in shares)	8,849,831	8,748,308	8,834,961	8,708,805
Add: Dilutive effects of assumed exercises of stock options (in shares)	131,403	166,403	133,520	173,934
Weighted average number of common shares outstanding - diluted (in shares)	8,981,234	8,914,711	8,968,481	8,882,739
Earnings per share [Abstract]
Basic (in dollars per share)	$ 0.25	$ 0.4	$ 0.77	$ 1.16
Diluted (in dollars per share)	$ 0.25	$ 0.39	$ 0.76	$ 1.13
Stock Options [Member]
Antidilutive Securities [Abstract]
Antidilutive stock not considered in computing diluted earnings per common share (in shares)	113,131	96,450	129,276	90,243

SUMMARY OF SIGNIFICANT ACCOUN_6

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Recently Adopted Accounting Pronouncements (Details) - USD ($) $ in Thousands	Sep. 30, 2023		Jun. 30, 2023	Dec. 31, 2022		Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Allowance for credit losses on securities [Abstract]
Available-for-sale	$ 103			$ 0
Held-to-maturity	0			0
Allowance for credit losses - loans	12,135	[1]	$ 12,148	10,765	[1]	$ 11,113	$ 10,866	$ 10,404
Deferred tax assets				5,053
Liabilities [Abstract]
Allowance for credit losses for off-balance sheet commitments	424			94
Stockholders' Equity [Abstract]
Retained earnings	$ 70,872			67,727
ASU 2016-13 [Member] | Impact of CECL Adoption [Member]
Allowance for credit losses on securities [Abstract]
Available-for-sale				0
Held-to-maturity				0
Allowance for credit losses - loans				1,811
Deferred tax assets				659
Liabilities [Abstract]
Allowance for credit losses for off-balance sheet commitments				421
Stockholders' Equity [Abstract]
Retained earnings				(1,573)
ASU 2016-13 [Member] | As Reported Under CECL [Member]
Allowance for credit losses on securities [Abstract]
Available-for-sale				0
Held-to-maturity				0
Allowance for credit losses - loans				12,576
Deferred tax assets				5,712
Liabilities [Abstract]
Allowance for credit losses for off-balance sheet commitments				515
Stockholders' Equity [Abstract]
Retained earnings				$ 66,154
[1]On January 1, 2023, the Company adopted the provisions of Accounting Standards Codification Topic 326. The allowance in 2023 is reported using the current expected credit loss (“CECL”) method. Periods prior to adoption are reported in accordance with previous GAAP using the incurred loss method.

INVESTMENT SECURITIES, Securiti

INVESTMENT SECURITIES, Securities Available-for-Sale (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Securities available-for-sale [Abstract]
Amortized cost	$ 16,924	$ 27,790
Allowance for credit losses	(103)	0
Gross unrealized gains	15	26
Gross unrealized (losses)	(1,712)	(1,128)
Fair value	15,124	26,688
U.S. Government Agency Notes [Member]
Securities available-for-sale [Abstract]
Amortized cost	3,478	4,081
Allowance for credit losses	0
Gross unrealized gains	15	26
Gross unrealized (losses)	0	0
Fair value	3,493	4,107
U.S. Government Agency Collateralized Mortgage Obligations ("CMO") [Member]
Securities available-for-sale [Abstract]
Amortized cost	4,196	4,475
Allowance for credit losses	0
Gross unrealized gains	0	0
Gross unrealized (losses)	(218)	(179)
Fair value	3,978	4,296
U.S. Treasury Securities [Member]
Securities available-for-sale [Abstract]
Amortized cost		9,984
Gross unrealized gains		0
Gross unrealized (losses)		(14)
Fair value		9,970
Corporate Debt Securities [Member]
Securities available-for-sale [Abstract]
Amortized cost	9,250	9,250
Allowance for credit losses	(103)
Gross unrealized gains	0	0
Gross unrealized (losses)	(1,494)	(935)
Fair value	$ 7,653	$ 8,315

INVESTMENT SECURITIES, Securi_2

INVESTMENT SECURITIES, Securities Held-to-Maturity (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Securities held-to-maturity [Abstract]
Amortized cost	$ 2,158	$ 2,557
Allowance for credit losses	0	0
Gross unrealized gains	2	3
Gross unrealized (losses)	(173)	(137)
Fair value	1,987	2,423
U.S. Government Agency Mortgage Backed Securities ("MBS") [Member]
Securities held-to-maturity [Abstract]
Amortized cost	2,158	2,557
Allowance for credit losses	0
Gross unrealized gains	2	3
Gross unrealized (losses)	(173)	(137)
Fair value	$ 1,987	$ 2,423

INVESTMENT SECURITIES, Securi_3

INVESTMENT SECURITIES, Securities Measured at Fair Value (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Securities measured at fair value [Abstract]
Amortized cost	$ 66	$ 66
Gross unrealized gains	243	159
Gross unrealized (losses)	0	0
Fair value	309	225
Equity Securities: Farmer Mac Class A Stock [Member]
Securities measured at fair value [Abstract]
Amortized cost	66	66
Gross unrealized gains	243	159
Gross unrealized (losses)	0	0
Fair value	$ 309	$ 225

INVESTMENT SECURITIES, Securi_4

INVESTMENT SECURITIES, Securities Pledged as Collateral (Details) - USD ($) $ in Millions	9 Months Ended	12 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
INVESTMENT SECURITIES [Abstract]
Securities pledged as collateral to the Federal Home Loan Bank ("FHLB")	$ 9.5	$ 21.1
Number of securities held by issuer greater than 10% of stockholders' equity	$ 0	$ 0

INVESTMENT SECURITIES, Maturity

INVESTMENT SECURITIES, Maturity Periods and Weighted Average Yields (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Maturity periods and weighted average yields of investment securities available-for-sale [Abstract]
Less than one year, amount	$ 0	$ 9,970
Less than one year, yield	0%	2.06%
One to five years, amount	$ 0	$ 0
One to five years, yield	0%	0%
Five to ten years, amount	$ 8,564	$ 8,834
Five to ten years, yield	3.84%	3.73%
Over ten years, amount	$ 6,560	$ 7,884
Over ten years, yield	5.97%	4.53%
Total amount	$ 15,124	$ 26,688
Total yield	4.76%	3.34%
Maturity periods and weighted average yields of investment securities held-to-maturity [Abstract]
Less than one year, amount	$ 0	$ 0
Less than one year, yield	0%	0%
One to five years, amount	$ 0	$ 0
One to five years, yield	0%	0%
Five to ten years, amount	$ 731	$ 746
Five to ten years, yield	3.60%	3.60%
Over ten years, amount	$ 1,427	$ 1,811
Over ten years, yield	4.28%	3.68%
Total amount	$ 2,158	$ 2,557
Total yield	4.05%	3.66%
U.S. Government Agency Notes [Member]
Maturity periods and weighted average yields of investment securities available-for-sale [Abstract]
Less than one year, amount	$ 0	$ 0
Less than one year, yield	0%	0%
One to five years, amount	$ 0	$ 0
One to five years, yield	0%	0%
Five to ten years, amount	$ 482	$ 519
Five to ten years, yield	5.60%	3.59%
Over ten years, amount	$ 3,011	$ 3,588
Over ten years, yield	6.35%	4.40%
Total amount	$ 3,493	$ 4,107
Total yield	6.25%	4.30%
U.S. Government Agency CMO [Member]
Maturity periods and weighted average yields of investment securities available-for-sale [Abstract]
Less than one year, amount	$ 0	$ 0
Less than one year, yield	0%	0%
One to five years, amount	$ 0	$ 0
One to five years, yield	0%	0%
Five to ten years, amount	$ 429	$ 0
Five to ten years, yield	3.69%	0%
Over ten years, amount	$ 3,549	$ 4,296
Over ten years, yield	5.64%	4.63%
Total amount	$ 3,978	$ 4,296
Total yield	5.43%	4.63%
U.S. Treasury Securities [Member]
Maturity periods and weighted average yields of investment securities available-for-sale [Abstract]
Less than one year, amount		$ 9,970
Less than one year, yield		2.06%
One to five years, amount		$ 0
One to five years, yield		0%
Five to ten years, amount		$ 0
Five to ten years, yield		0%
Over ten years, amount		$ 0
Over ten years, yield		0%
Total amount		$ 9,970
Total yield		2.06%
Corporate Debt Securities [Member]
Maturity periods and weighted average yields of investment securities available-for-sale [Abstract]
Less than one year, amount	$ 0	$ 0
Less than one year, yield	0%	0%
One to five years, amount	$ 0	$ 0
One to five years, yield	0%	0%
Five to ten years, amount	$ 7,653	$ 8,315
Five to ten years, yield	3.74%	3.74%
Over ten years, amount	$ 0	$ 0
Over ten years, yield	0%	0%
Total amount	$ 7,653	$ 8,315
Total yield	3.74%	3.74%
U.S. Government Agency MBS [Member]
Maturity periods and weighted average yields of investment securities held-to-maturity [Abstract]
Less than one year, amount	$ 0	$ 0
Less than one year, yield	0%	0%
One to five years, amount	$ 0	$ 0
One to five years, yield	0%	0%
Five to ten years, amount	$ 731	$ 746
Five to ten years, yield	3.60%	3.60%
Over ten years, amount	$ 1,427	$ 1,811
Over ten years, yield	4.28%	3.68%
Total amount	$ 2,158	$ 2,557
Total yield	4.05%	3.66%

INVESTMENT SECURITIES, Investme

INVESTMENT SECURITIES, Investment Securities by Contractual Maturities (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Securities available-for-sale, Amortized Cost [Abstract]
Due in less than one year	$ 0	$ 9,984
After one year through five years	0	0
After five years through ten years	10,220	9,768
After ten years	6,704	8,038
Amortized cost	16,924	27,790
Securities available for sale, Estimated Fair Value [Abstract]
Due in less than one year	0	9,970
After one year through five years	0	0
After five years through ten years	8,564	8,834
After ten years	6,560	7,884
Estimated fair value	15,124	26,688
Securities held to maturity, Amortized Cost [Abstract]
Due in less than one year	0	0
After one year through five years	0	0
After five years through ten years	731	746
After ten years	1,427	1,811
Amortized cost	2,158	2,557
Securities held to maturity, Estimated Fair Value [Abstract]
Due in less than one year	0	0
After one year through five years	0	0
After five years through ten years	662	705
After ten years	1,325	1,718
Estimated fair value	$ 1,987	$ 2,423

INVESTMENT SECURITIES, Unrealiz

INVESTMENT SECURITIES, Unrealized Loss Positions (Details) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2023 USD ($) Security	Sep. 30, 2023 USD ($) Security	Dec. 31, 2022 USD ($) Security
Securities available-for-sale, continuous unrealized loss position [Abstract]
Less than twelve months, gross unrealized losses	$ (23)	$ (23)	$ (908)
More than twelve months, gross unrealized losses	(1,689)	(1,689)	(220)
Total, gross unrealized losses	(1,712)	(1,712)	(1,128)
Less than twelve months, fair value	607	607	20,646
More than twelve months, fair value	11,024	11,024	1,935
Total, fair value	11,631	11,631	22,581
Securities held-to-maturity, continuous unrealized loss position [Abstract]
Less than twelve months, gross unrealized losses	(2)	(2)	(137)
More than twelve months, gross unrealized losses	(171)	(171)	0
Total, gross unrealized losses	(173)	(173)	(137)
Less than twelve months, fair value	134	134	2,115
More than twelve months, fair value	1,694	1,694	0
Total, fair value	$ 1,828	$ 1,828	$ 2,115
Securities in unrealized loss positions | Security	36	36	37
Accrued interest receivable on available-for-sale securities	$ 124	$ 124	$ 69
Accrued interest receivable related to held-to-maturity securities	7	7	8
Available-for-sale securities on nonaccrual status	0	0	0
Held-to-maturity securities on nonaccrual status	0	0	0
Collateral dependent available-for-sale securities	0	0	0
Collateral dependent held-to-maturity securities	0	0	0
Investment securities available-for-sale, allowance for credit losses	103	103	0
Allowance for credit losses on securities held-to-maturity	0	0	0
Provision for credit losses related to held-to-maturity securities	0	0
U.S. Government Agency CMO [Member]
Securities available-for-sale, continuous unrealized loss position [Abstract]
Less than twelve months, gross unrealized losses	(23)	(23)	(130)
More than twelve months, gross unrealized losses	(195)	(195)	(49)
Total, gross unrealized losses	(218)	(218)	(179)
Less than twelve months, fair value	607	607	3,690
More than twelve months, fair value	3,371	3,371	606
Total, fair value	3,978	3,978	4,296
Securities held-to-maturity, continuous unrealized loss position [Abstract]
Investment securities available-for-sale, allowance for credit losses	0	0
U.S. Treasury Securities [Member]
Securities available-for-sale, continuous unrealized loss position [Abstract]
Less than twelve months, gross unrealized losses			(14)
More than twelve months, gross unrealized losses			0
Total, gross unrealized losses			(14)
Less than twelve months, fair value			9,970
More than twelve months, fair value			0
Total, fair value			9,970
Corporate Debt Securities [Member]
Securities available-for-sale, continuous unrealized loss position [Abstract]
Less than twelve months, gross unrealized losses	0	0	(764)
More than twelve months, gross unrealized losses	(1,494)	(1,494)	(171)
Total, gross unrealized losses	(1,494)	(1,494)	(935)
Less than twelve months, fair value	0	0	6,986
More than twelve months, fair value	7,653	7,653	1,329
Total, fair value	7,653	7,653	8,315
Securities held-to-maturity, continuous unrealized loss position [Abstract]
Provision for credit losses on securities available-for-sale	103	103
Charge offs on securities available-for-sale	0	0
Investment securities available-for-sale, allowance for credit losses	103	103
U.S. Government Agency MBS [Member]
Securities held-to-maturity, continuous unrealized loss position [Abstract]
Less than twelve months, gross unrealized losses	(2)	(2)	(137)
More than twelve months, gross unrealized losses	(171)	(171)	0
Total, gross unrealized losses	(173)	(173)	(137)
Less than twelve months, fair value	134	134	2,115
More than twelve months, fair value	1,694	1,694	0
Total, fair value	1,828	1,828	$ 2,115
Allowance for credit losses on securities held-to-maturity	$ 0	$ 0

LOANS HELD FOR SALE AND LOANS_3

LOANS HELD FOR SALE AND LOANS SERVICED FOR OTHERS (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Loans Held for Sale and Serviced for Others [Abstract]
Loans included in loans held for sale	$ 18,435	$ 21,033
Loans serviced for others	160,888	158,183
SBA [Member]
Loans Held for Sale and Serviced for Others [Abstract]
Loans included in loans held for sale	4,700	5,200
Loans serviced for others	1,438	1,926
US Department of Agriculture [Member]
Loans Held for Sale and Serviced for Others [Abstract]
Loans included in loans held for sale	13,700	15,900
USDA, FSA, and USDA Business and Industry [Member]
Loans Held for Sale and Serviced for Others [Abstract]
Loans serviced for others	0	735
Farmer Mac [Member]
Loans Held for Sale and Serviced for Others [Abstract]
Loans serviced for others	$ 159,450	$ 155,522

LOANS HELD FOR INVESTMENT, Comp

LOANS HELD FOR INVESTMENT, Composition of Loans Held for Investment Portfolio (Details) - USD ($) $ in Thousands	Sep. 30, 2023		Jun. 30, 2023	Dec. 31, 2022		Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Loans held for investment [Abstract]
Gross loans held for investment	$ 935,155			$ 935,123
Deferred fees, net	(883)			(787)
Discount on SBA loans	(25)			(27)
Loans held for investment	934,247			934,309
Allowance for credit losses	(12,135)	[1]	$ (12,148)	(10,765)	[1]	$ (11,113)	$ (10,866)	$ (10,404)
Total loans held for investment, net	922,112			923,544
Manufactured Housing [Member]
Loans held for investment [Abstract]
Gross loans held for investment	325,068			315,825
Allowance for credit losses	(5,473)		(5,519)	(3,879)		(3,987)	(3,976)	(2,606)
Commercial Real Estate [Member]
Loans held for investment [Abstract]
Gross loans held for investment	556,945			545,317
Allowance for credit losses	(5,960)		(5,896)	(5,980)		(6,322)	(6,120)	(6,729)
Commercial [Member]
Loans held for investment [Abstract]
Gross loans held for investment	38,232			59,070
Allowance for credit losses	(482)		(515)	(747)		(631)	(594)	(923)
SBA [Member]
Loans held for investment [Abstract]
Gross loans held for investment	1,687			3,482
Allowance for credit losses	(5)		(5)	(21)		(19)	(23)	(22)
HELOC [Member]
Loans held for investment [Abstract]
Gross loans held for investment	2,556			2,613
Allowance for credit losses	(42)		(41)	(27)		(37)	(37)	(18)
Single Family Real Estate [Member]
Loans held for investment [Abstract]
Gross loans held for investment	10,615			8,709
Allowance for credit losses	(172)		(171)	(107)		(115)	(115)	(105)
Consumer [Member]
Loans held for investment [Abstract]
Gross loans held for investment	52			107
Allowance for credit losses	$ (1)		$ (1)	$ (4)		$ (2)	$ (1)	$ (1)
[1]On January 1, 2023, the Company adopted the provisions of Accounting Standards Codification Topic 326. The allowance in 2023 is reported using the current expected credit loss (“CECL”) method. Periods prior to adoption are reported in accordance with previous GAAP using the incurred loss method.

LOANS HELD FOR INVESTMENT, Fina

LOANS HELD FOR INVESTMENT, Financing Receivables Past Due (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	$ 935,155	$ 935,123
Current [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	930,516	932,243
Total Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	4,639	2,880
30-59 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	688	2,778
60-89 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	3,773	102
Over 90 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	178	0
Manufactured Housing [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	325,068	315,825
Manufactured Housing [Member] | Current [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	324,276	315,058
Manufactured Housing [Member] | Total Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	792	767
Manufactured Housing [Member] | 30-59 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	615	665
Manufactured Housing [Member] | 60-89 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	102
Manufactured Housing [Member] | Over 90 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	177	0
Commercial Real Estate [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	556,945	545,317
Commercial Real Estate [Member] | Commercial Real Estate [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	485,748	482,759
Commercial Real Estate [Member] | Commercial Real Estate [Member] | Current [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	484,172	481,599
Commercial Real Estate [Member] | Commercial Real Estate [Member] | Total Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	1,576	1,160
Commercial Real Estate [Member] | Commercial Real Estate [Member] | 30-59 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	1,160
Commercial Real Estate [Member] | Commercial Real Estate [Member] | 60-89 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	1,576	0
Commercial Real Estate [Member] | Commercial Real Estate [Member] | Over 90 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Commercial Real Estate [Member] | SBA 504 1st Trust Deed [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	12,335	12,947
Commercial Real Estate [Member] | SBA 504 1st Trust Deed [Member] | Current [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	12,335	12,947
Commercial Real Estate [Member] | SBA 504 1st Trust Deed [Member] | Total Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Commercial Real Estate [Member] | SBA 504 1st Trust Deed [Member] | 30-59 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Commercial Real Estate [Member] | SBA 504 1st Trust Deed [Member] | 60-89 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Commercial Real Estate [Member] | SBA 504 1st Trust Deed [Member] | Over 90 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Commercial Real Estate [Member] | Land [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	8,025	11,237
Commercial Real Estate [Member] | Land [Member] | Current [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	8,025	11,237
Commercial Real Estate [Member] | Land [Member] | Total Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Commercial Real Estate [Member] | Land [Member] | 30-59 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Commercial Real Estate [Member] | Land [Member] | 60-89 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Commercial Real Estate [Member] | Land [Member] | Over 90 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Commercial Real Estate [Member] | Construction [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	50,837	38,374
Commercial Real Estate [Member] | Construction [Member] | Current [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	48,887	38,374
Commercial Real Estate [Member] | Construction [Member] | Total Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	1,950	0
Commercial Real Estate [Member] | Construction [Member] | 30-59 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Commercial Real Estate [Member] | Construction [Member] | 60-89 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	1,950	0
Commercial Real Estate [Member] | Construction [Member] | Over 90 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Commercial [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	38,232	59,070
Commercial [Member] | Current [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	37,985	59,070
Commercial [Member] | Total Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	247	0
Commercial [Member] | 30-59 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Commercial [Member] | 60-89 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	247	0
Commercial [Member] | Over 90 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
SBA [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	1,687	3,482
SBA [Member] | Current [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	1,613	2,529
SBA [Member] | Total Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	74	953
SBA [Member] | 30-59 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	73	953
SBA [Member] | 60-89 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
SBA [Member] | Over 90 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	1	0
HELOC [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	2,556	2,613
HELOC [Member] | Current [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	2,556	2,613
HELOC [Member] | Total Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
HELOC [Member] | 30-59 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
HELOC [Member] | 60-89 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
HELOC [Member] | Over 90 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Single Family Real Estate [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	10,615	8,709
Single Family Real Estate [Member] | Current [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	10,615	8,709
Single Family Real Estate [Member] | Total Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Single Family Real Estate [Member] | 30-59 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Single Family Real Estate [Member] | 60-89 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Single Family Real Estate [Member] | Over 90 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Consumer [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	52	107
Consumer [Member] | Current [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	52	107
Consumer [Member] | Total Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Consumer [Member] | 30-59 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Consumer [Member] | 60-89 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	0	0
Consumer [Member] | Over 90 Days Past Due [Member]
Aging of Recorded Investment in Past Due Held for Investment Loans by Class of Loans [Abstract]
Total loans held for investment	$ 0	$ 0

LOANS HELD FOR INVESTMENT, Nona

LOANS HELD FOR INVESTMENT, Nonaccrual Loans (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Composition of Nonaccrual Loans [Abstract]
With an ACL/allowance	$ 100		$ 100		$ 0
Without an ACL/allowance	3,095		3,095		211
Total nonaccrual	3,195		3,195		211
Loans past due by 90 days or more that were not on nonaccrual status	1		$ 1		0
Period past due after which accrual of interest is discontinued			90 days
Foregone interest on nonaccrual loans	117	$ 9	$ 296	$ 32
Accrued interest receivable related to loans	5,300		5,300		5,100
Manufactured Housing [Member]
Composition of Nonaccrual Loans [Abstract]
With an ACL/allowance	100		100		0
Without an ACL/allowance	627		627		61
Total nonaccrual	727		727		61
Commercial Real Estate [Member]
Composition of Nonaccrual Loans [Abstract]
With an ACL/allowance	0		0		0
Without an ACL/allowance	327		327		0
Total nonaccrual	327		327		0
Construction [Member]
Composition of Nonaccrual Loans [Abstract]
With an ACL/allowance	0		0		0
Without an ACL/allowance	1,950		1,950		0
Total nonaccrual	1,950		1,950		0
Commercial [Member]
Composition of Nonaccrual Loans [Abstract]
With an ACL/allowance	0		0		0
Without an ACL/allowance	50		50		0
Total nonaccrual	50		50		0
HELOC [Member]
Composition of Nonaccrual Loans [Abstract]
With an ACL/allowance	0		0		0
Without an ACL/allowance	141		141		0
Total nonaccrual	141		141		0
Single Family Real Estate [Member]
Composition of Nonaccrual Loans [Abstract]
With an ACL/allowance	0		0		0
Without an ACL/allowance	0		0		150
Total nonaccrual	$ 0		$ 0		$ 150

LOANS HELD FOR INVESTMENT, Allo

LOANS HELD FOR INVESTMENT, Allowance for Credit Losses by Portfolio Type (Details) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2023		Sep. 30, 2022	Sep. 30, 2023		Sep. 30, 2022	Dec. 31, 2022
Summary of allowance for loan losses [Roll Forward]
Beginning balance	$ 12,148		$ 10,866	$ 10,765	[1]	$ 10,404
Charge-offs	0		(182)	0		(182)
Recoveries	45		131	239		625
Net recoveries (charge offs)	45		(51)	239		443
Provision (credit) for credit losses	(58)		298	(680)		266
Ending balance	12,135	[1]	11,113	12,135	[1]	11,113
Increase (decrease) in ACL on loans	(13)			1,400
Decrease in allowance for credit losses due to decrease in required allowance for loans evaluated on collective basis				(140)
Allowance for credit losses for off-balance sheet commitments	424			424			$ 94
Provision (credit) for credit losses associated with the allowance for off-balance sheet commitments	(2)			(90)
Period of Adoption [Member] | ASU 2016-13 [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance				1,811
Allowance for credit losses for off-balance sheet commitments							$ 421
Manufactured Housing [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance	5,519		3,976	3,879		2,606
Charge-offs	0		0	0		0
Recoveries	8		88	74		123
Net recoveries (charge offs)	8		88	74		123
Provision (credit) for credit losses	(54)		(77)	(151)		1,258
Ending balance	5,473		3,987	5,473		3,987
Manufactured Housing [Member] | Period of Adoption [Member] | ASU 2016-13 [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance				1,671
Commercial Real Estate [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance	5,896		6,120	5,980		6,729
Charge-offs	0		0	0		0
Recoveries	20		20	59		60
Net recoveries (charge offs)	20		20	59		60
Provision (credit) for credit losses	44		182	(110)		(467)
Ending balance	5,960		6,322	5,960		6,322
Commercial Real Estate [Member] | Period of Adoption [Member] | ASU 2016-13 [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance				31
Commercial [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance	515		594	747		923
Charge-offs	0		0	0		0
Recoveries	13		13	37		183
Net recoveries (charge offs)	13		13	37		183
Provision (credit) for credit losses	(46)		24	(372)		(475)
Ending balance	482		631	482		631
Commercial [Member] | Period of Adoption [Member] | ASU 2016-13 [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance				70
SBA [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance	5		23	21		22
Charge-offs	0		(182)	0		(182)
Recoveries	4		4	69		246
Net recoveries (charge offs)	4		(178)	69		64
Provision (credit) for credit losses	(4)		174	(70)		(67)
Ending balance	5		19	5		19
SBA [Member] | Period of Adoption [Member] | ASU 2016-13 [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance				(15)
HELOC [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance	41		37	27		18
Charge-offs	0		0	0		0
Recoveries	0		6	0		12
Net recoveries (charge offs)	0		6	0		12
Provision (credit) for credit losses	1		(6)	(2)		7
Ending balance	42		37	42		37
HELOC [Member] | Period of Adoption [Member] | ASU 2016-13 [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance				17
Single Family Real Estate [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance	171		115	107		105
Charge-offs	0		0	0		0
Recoveries	0		0	0		0
Net recoveries (charge offs)	0		0	0		0
Provision (credit) for credit losses	1		0	26		10
Ending balance	172		115	172		115
Single Family Real Estate [Member] | Period of Adoption [Member] | ASU 2016-13 [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance				39
Consumer [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance	1		1	4		1
Charge-offs	0		0	0		0
Recoveries	0		0	0		1
Net recoveries (charge offs)	0		0	0		1
Provision (credit) for credit losses	0		1	(1)		0
Ending balance	$ 1		$ 2	1		$ 2
Consumer [Member] | Period of Adoption [Member] | ASU 2016-13 [Member]
Summary of allowance for loan losses [Roll Forward]
Beginning balance				$ (2)
[1]On January 1, 2023, the Company adopted the provisions of Accounting Standards Codification Topic 326. The allowance in 2023 is reported using the current expected credit loss (“CECL”) method. Periods prior to adoption are reported in accordance with previous GAAP using the incurred loss method.

LOANS HELD FOR INVESTMENT, Amor

LOANS HELD FOR INVESTMENT, Amortized Cost Basis and Associated Allowance for Credit Losses by Portfolio Segment for Loans That Were Individually Evaluated (Details) - USD ($) $ in Thousands	Sep. 30, 2023		Jun. 30, 2023	Dec. 31, 2022		Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Amortized Cost Basis [Abstract]
Individually evaluated loans with an allowance for credit losses recorded	$ 853
Individually evaluated loans with no allowance for credit losses recorded	4,987
Total loans individually evaluated for impairment	5,840			$ 6,057
Collectively evaluated loans	929,315			929,066
Total loans held for investment	935,155			935,123
Allowance for Credit Losses [Abstract]
Individually evaluated loans	16
Collectively evaluated loans	12,119
Total allowance for loan losses	12,135	[1]	$ 12,148	10,765	[1]	$ 11,113	$ 10,866	$ 10,404
Manufactured Housing [Member]
Amortized Cost Basis [Abstract]
Individually evaluated loans with an allowance for credit losses recorded	853
Individually evaluated loans with no allowance for credit losses recorded	1,359
Total loans individually evaluated for impairment	2,212			4,084
Collectively evaluated loans	322,856			311,741
Total loans held for investment	325,068			315,825
Allowance for Credit Losses [Abstract]
Individually evaluated loans	16
Collectively evaluated loans	5,457
Total allowance for loan losses	5,473		5,519	3,879		3,987	3,976	2,606
Commercial Real Estate [Member]
Amortized Cost Basis [Abstract]
Individually evaluated loans with an allowance for credit losses recorded	0
Individually evaluated loans with no allowance for credit losses recorded	2,277
Total loans individually evaluated for impairment	2,277			209
Collectively evaluated loans	554,668			545,108
Total loans held for investment	556,945			545,317
Allowance for Credit Losses [Abstract]
Individually evaluated loans	0
Collectively evaluated loans	5,960
Total allowance for loan losses	5,960		5,896	5,980		6,322	6,120	6,729
Commercial [Member]
Amortized Cost Basis [Abstract]
Individually evaluated loans with an allowance for credit losses recorded	0
Individually evaluated loans with no allowance for credit losses recorded	1,210
Total loans individually evaluated for impairment	1,210			1,364
Collectively evaluated loans	37,022			57,706
Total loans held for investment	38,232			59,070
Allowance for Credit Losses [Abstract]
Individually evaluated loans	0
Collectively evaluated loans	482
Total allowance for loan losses	482		515	747		631	594	923
SBA [Member]
Amortized Cost Basis [Abstract]
Individually evaluated loans with an allowance for credit losses recorded	0
Individually evaluated loans with no allowance for credit losses recorded	0
Total loans individually evaluated for impairment	0			41
Collectively evaluated loans	1,687			3,441
Total loans held for investment	1,687			3,482
Allowance for Credit Losses [Abstract]
Individually evaluated loans	0
Collectively evaluated loans	5
Total allowance for loan losses	5		5	21		19	23	22
HELOC [Member]
Amortized Cost Basis [Abstract]
Individually evaluated loans with an allowance for credit losses recorded	0
Individually evaluated loans with no allowance for credit losses recorded	0
Total loans individually evaluated for impairment	0			0
Collectively evaluated loans	2,556			2,613
Total loans held for investment	2,556			2,613
Allowance for Credit Losses [Abstract]
Individually evaluated loans	0
Collectively evaluated loans	42
Total allowance for loan losses	42		41	27		37	37	18
Single Family Real Estate [Member]
Amortized Cost Basis [Abstract]
Individually evaluated loans with an allowance for credit losses recorded	0
Individually evaluated loans with no allowance for credit losses recorded	141
Total loans individually evaluated for impairment	141			359
Collectively evaluated loans	10,474			8,350
Total loans held for investment	10,615			8,709
Allowance for Credit Losses [Abstract]
Individually evaluated loans	0
Collectively evaluated loans	172
Total allowance for loan losses	172		171	107		115	115	105
Consumer [Member]
Amortized Cost Basis [Abstract]
Individually evaluated loans with an allowance for credit losses recorded	0
Individually evaluated loans with no allowance for credit losses recorded	0
Total loans individually evaluated for impairment	0			0
Collectively evaluated loans	52			107
Total loans held for investment	52			107
Allowance for Credit Losses [Abstract]
Individually evaluated loans	0
Collectively evaluated loans	1
Total allowance for loan losses	$ 1		$ 1	$ 4		$ 2	$ 1	$ 1
[1]On January 1, 2023, the Company adopted the provisions of Accounting Standards Codification Topic 326. The allowance in 2023 is reported using the current expected credit loss (“CECL”) method. Periods prior to adoption are reported in accordance with previous GAAP using the incurred loss method.

LOANS HELD FOR INVESTMENT, Impa

LOANS HELD FOR INVESTMENT, Impaired Financing Receivables (Details) - USD ($) $ in Thousands	Sep. 30, 2023		Jun. 30, 2023	Dec. 31, 2022		Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Recorded Investment [Abstract]
Impaired loans with an allowance recorded				$ 3,443
Impaired loans with no allowance recorded				2,614
Total loans individually evaluated for impairment	$ 5,840			6,057
Loans collectively evaluated for impairment	929,315			929,066
Total loans held for investment	935,155			935,123
Related Allowance for Loan Losses [Abstract]
Loans individually evaluated for impairment				184
Loans collectively evaluated for impairment				10,581
Total allowance for loan losses	12,135	[1]	$ 12,148	10,765	[1]	$ 11,113	$ 10,866	$ 10,404
Manufactured Housing [Member]
Recorded Investment [Abstract]
Impaired loans with an allowance recorded				2,918
Impaired loans with no allowance recorded				1,166
Total loans individually evaluated for impairment	2,212			4,084
Loans collectively evaluated for impairment	322,856			311,741
Total loans held for investment	325,068			315,825
Related Allowance for Loan Losses [Abstract]
Loans individually evaluated for impairment				157
Loans collectively evaluated for impairment				3,722
Total allowance for loan losses	5,473		5,519	3,879		3,987	3,976	2,606
Commercial Real Estate [Member]
Recorded Investment [Abstract]
Impaired loans with an allowance recorded				209
Impaired loans with no allowance recorded				0
Total loans individually evaluated for impairment	2,277			209
Loans collectively evaluated for impairment	554,668			545,108
Total loans held for investment	556,945			545,317
Related Allowance for Loan Losses [Abstract]
Loans individually evaluated for impairment				18
Loans collectively evaluated for impairment				5,962
Total allowance for loan losses	5,960		5,896	5,980		6,322	6,120	6,729
Commercial [Member]
Recorded Investment [Abstract]
Impaired loans with an allowance recorded				67
Impaired loans with no allowance recorded				1,297
Total loans individually evaluated for impairment	1,210			1,364
Loans collectively evaluated for impairment	37,022			57,706
Total loans held for investment	38,232			59,070
Related Allowance for Loan Losses [Abstract]
Loans individually evaluated for impairment				0
Loans collectively evaluated for impairment				747
Total allowance for loan losses	482		515	747		631	594	923
SBA [Member]
Recorded Investment [Abstract]
Impaired loans with an allowance recorded				41
Impaired loans with no allowance recorded				0
Total loans individually evaluated for impairment	0			41
Loans collectively evaluated for impairment	1,687			3,441
Total loans held for investment	1,687			3,482
Related Allowance for Loan Losses [Abstract]
Loans individually evaluated for impairment				1
Loans collectively evaluated for impairment				20
Total allowance for loan losses	5		5	21		19	23	22
HELOC [Member]
Recorded Investment [Abstract]
Impaired loans with an allowance recorded				0
Impaired loans with no allowance recorded				0
Total loans individually evaluated for impairment	0			0
Loans collectively evaluated for impairment	2,556			2,613
Total loans held for investment	2,556			2,613
Related Allowance for Loan Losses [Abstract]
Loans individually evaluated for impairment				0
Loans collectively evaluated for impairment				27
Total allowance for loan losses	42		41	27		37	37	18
Single Family Real Estate [Member]
Recorded Investment [Abstract]
Impaired loans with an allowance recorded				208
Impaired loans with no allowance recorded				151
Total loans individually evaluated for impairment	141			359
Loans collectively evaluated for impairment	10,474			8,350
Total loans held for investment	10,615			8,709
Related Allowance for Loan Losses [Abstract]
Loans individually evaluated for impairment				8
Loans collectively evaluated for impairment				99
Total allowance for loan losses	172		171	107		115	115	105
Consumer [Member]
Recorded Investment [Abstract]
Impaired loans with an allowance recorded				0
Impaired loans with no allowance recorded				0
Total loans individually evaluated for impairment	0			0
Loans collectively evaluated for impairment	52			107
Total loans held for investment	52			107
Related Allowance for Loan Losses [Abstract]
Loans individually evaluated for impairment				0
Loans collectively evaluated for impairment				4
Total allowance for loan losses	$ 1		$ 1	$ 4		$ 2	$ 1	$ 1
[1]On January 1, 2023, the Company adopted the provisions of Accounting Standards Codification Topic 326. The allowance in 2023 is reported using the current expected credit loss (“CECL”) method. Periods prior to adoption are reported in accordance with previous GAAP using the incurred loss method.

LOANS HELD FOR INVESTMENT, Am_2

LOANS HELD FOR INVESTMENT, Amortized Cost basis of Collateral Dependent Loans by Class of Loans and by Collateral Type (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	$ 935,155	$ 935,123
Manufactured Housing [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	325,068	315,825
Commercial Real Estate [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	556,945	545,317
Commercial [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	38,232	59,070
Single Family Real Estate [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	10,615	8,709
Collateral [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	4,642	2,021
Collateral [Member] | Manufactured Housing [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	1,014	574
Collateral [Member] | Commercial Real Estate [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	2,277
Collateral [Member] | Commercial [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	1,210	1,297
Collateral [Member] | Single Family Real Estate [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	141	150
Manufactured Homes [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	3,291	574
Manufactured Homes [Member] | Manufactured Housing [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	1,014	574
Manufactured Homes [Member] | Commercial Real Estate [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	2,277
Manufactured Homes [Member] | Commercial [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	0	0
Manufactured Homes [Member] | Single Family Real Estate [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	0	0
Single Family Residence [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	141	150
Single Family Residence [Member] | Manufactured Housing [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	0	0
Single Family Residence [Member] | Commercial Real Estate [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	0
Single Family Residence [Member] | Commercial [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	0	0
Single Family Residence [Member] | Single Family Real Estate [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	141	150
Machinery & Equipment [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	1,210	1,297
Machinery & Equipment [Member] | Manufactured Housing [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	0	0
Machinery & Equipment [Member] | Commercial Real Estate [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	0
Machinery & Equipment [Member] | Commercial [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	1,210	1,297
Machinery & Equipment [Member] | Single Family Real Estate [Member]
Collateral Dependent Loans by Class of Loans and by Collateral Type [Abstract]
Loans	$ 0	$ 0

LOANS HELD FOR INVESTMENT, Risk

LOANS HELD FOR INVESTMENT, Risk Categories for Gross Loans by Class of Loans and by Year of Origination (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	$ 76,380	$ 233,248
2022	215,958	188,001
2021	180,068	124,363
2020	112,019	82,953
2019	79,851	67,054
Prior	262,703	216,192
Revolving	8,176	23,312
Total loans held for investment	935,155	935,123
Manufactured Housing [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	38,199	62,591
2022	57,135	54,403
2021	49,654	51,158
2020	46,783	26,745
2019	24,731	25,889
Prior	108,566	95,039
Revolving	0	0
Total loans held for investment	325,068	315,825
Manufactured Housing [Member] | Pass [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	38,199	62,591
2022	57,135	54,403
2021	49,553	51,158
2020	46,564	26,745
2019	24,731	25,768
Prior	106,655	94,106
Revolving	0	0
Total loans held for investment	322,837	314,771
Manufactured Housing [Member] | Substandard [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	0	0
2022	0	0
2021	101	0
2020	219	0
2019	0	121
Prior	1,911	933
Revolving	0	0
Total loans held for investment	2,231	1,054
Commercial Real Estate [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	34,298	161,023
2022	152,500	125,074
2021	123,758	68,589
2020	61,554	54,340
2019	53,634	33,695
Prior	131,201	102,596
Revolving	0	0
Total loans held for investment	556,945	545,317
Commercial Real Estate [Member] | Pass [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	34,298	161,023
2022	152,500	125,074
2021	122,794	57,441
2020	58,350	50,134
2019	49,489	32,662
Prior	121,401	95,174
Revolving	0	0
Total loans held for investment	538,832	521,508
Commercial Real Estate [Member] | Special Mention [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	0	0
2022	0	0
2021	464	10,092
2020	211	4,206
2019	4,145	1,033
Prior	1,014	0
Revolving	0	0
Total loans held for investment	5,834	15,331
Commercial Real Estate [Member] | Substandard [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	0	0
2022	0	0
2021	500	1,056
2020	2,993	0
2019	0	0
Prior	8,786	7,422
Revolving	0	0
Total loans held for investment	12,279	8,478
Commercial [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	1,589	8,804
2022	5,497	5,647
2021	4,659	1,505
2020	1,501	1,107
2019	738	6,956
Prior	16,072	14,352
Revolving	8,176	20,699
Total loans held for investment	38,232	59,070
Commercial [Member] | Pass [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	1,589	8,804
2022	5,497	2,924
2021	2,663	1,505
2020	1,094	1,107
2019	738	6,956
Prior	13,418	10,889
Revolving	8,176	20,699
Total loans held for investment	33,175	52,884
Commercial [Member] | Special Mention [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	0	0
2022	0	2,723
2021	1,996	0
2020	407	0
2019	0	0
Prior	0	0
Revolving	0	0
Total loans held for investment	2,403	2,723
Commercial [Member] | Substandard [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019	0	0
Prior	2,654	3,463
Revolving	0	0
Total loans held for investment	2,654	3,463
SBA [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	0	0
2022	0	690
2021	0	1,083
2020	192	0
2019	0	0
Prior	1,495	1,709
Revolving	0	0
Total loans held for investment	1,687	3,482
SBA [Member] | Pass [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	0	0
2022	0	690
2021	0	1,083
2020	192	0
2019	0	0
Prior	1,454	1,709
Revolving	0	0
Total loans held for investment	1,646	3,482
SBA [Member] | Special Mention [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	0
2022	0
2021	0
2020	0
2019	0
Prior	40
Revolving	0
Total loans held for investment	40
SBA [Member] | Doubtful [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	0
2022	0
2021	0
2020	0
2019	0
Prior	1
Revolving	0
Total loans held for investment	1
HELOC [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019	0	0
Prior	2,556	0
Revolving	0	2,613
Total loans held for investment	2,556	2,613
HELOC [Member] | Pass [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019	0	0
Prior	2,556	0
Revolving	0	2,613
Total loans held for investment	2,556	2,613
Single Family Real Estate [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	2,242	817
2022	826	2,187
2021	1,997	2,028
2020	1,989	761
2019	748	514
Prior	2,813	2,402
Revolving	0	0
Total loans held for investment	10,615	8,709
Single Family Real Estate [Member] | Pass [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	2,242	817
2022	826	2,187
2021	1,997	2,028
2020	1,989	761
2019	748	364
Prior	2,667	2,398
Revolving	0	0
Total loans held for investment	10,469	8,555
Single Family Real Estate [Member] | Substandard [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	0	0
2022	0	0
2021	0	0
2020	0	0
2019	0	150
Prior	146	4
Revolving	0	0
Total loans held for investment	146	154
Consumer [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	52	13
2022	0	0
2021	0	0
2020	0	0
2019	0	0
Prior	0	94
Revolving	0	0
Total loans held for investment	52	107
Consumer [Member] | Pass [Member]
Financing Receivable Risk Category of Loans by Class and by Year of Origination [Abstract]
2023	52	13
2022	0	0
2021	0	0
2020	0	0
2019	0	0
Prior	0	94
Revolving	0	0
Total loans held for investment	$ 52	$ 107

LOANS HELD FOR INVESTMENT, Loan

LOANS HELD FOR INVESTMENT, Loan Modifications (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
Loan Modifications [Abstract]
Amortized cost of modified loans	$ 1,917	$ 6,000
% of total class of loans	0.20%
Term extension (weighted average years)	45 years 7 months 24 days
Defaults on loans to borrowers experiencing financial difficulty	$ 0
Commercial Real Estate [Member]
Loan Modifications [Abstract]
Amortized cost of modified loans	$ 500
% of total class of loans	0.09%
Term extension (weighted average years)	5 years
Commercial [Member]
Loan Modifications [Abstract]
Amortized cost of modified loans	$ 1,417
% of total class of loans	2.40%
Term extension (weighted average years)	60 years

LOANS HELD FOR INVESTMENT, Trou

LOANS HELD FOR INVESTMENT, Troubled Debt Restructuring (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Troubled Debt Restructurings [Abstract]
Loans classified as TDRs	$ 1,917	$ 6,000
Performing Financial Instruments [Member]
Troubled Debt Restructurings [Abstract]
Loans classified as TDRs		$ 5,800

OTHER ASSETS ACQUIRED THROUGH_3

OTHER ASSETS ACQUIRED THROUGH FORECLOSURE (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
OTHER ASSETS ACQUIRED THROUGH FORECLOSURE [Abstract]
Balance, beginning of period	$ 65	$ 2,250	$ 2,250	$ 2,518
Additions	1,511	0	1,576	0
Proceeds from dispositions	(46)	0	(2,551)	(372)
(Loss)/gain on sales, net	(19)	0	236	104
Balance, end of period	$ 1,511	$ 2,250	$ 1,511	$ 2,250

FAIR VALUE MEASUREMENT, Fair Va

FAIR VALUE MEASUREMENT, Fair Value of Assets Measured on Recurring Basis (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Assets [Abstract]
Investment securities - measured at fair value	$ 309	$ 225
Investment securities - available-for-sale	15,124	26,688
U.S. Government Agency Notes [Member]
Assets [Abstract]
Investment securities - available-for-sale	3,493	4,107
U.S. Government Agency CMO [Member]
Assets [Abstract]
Investment securities - available-for-sale	3,978	4,296
U.S. Treasury Securities [Member]
Assets [Abstract]
Investment securities - available-for-sale		9,970
Corporate Debt Securities [Member]
Assets [Abstract]
Investment securities - available-for-sale	7,653	8,315
Recurring [Member]
Assets [Abstract]
Investment securities - measured at fair value	309	225
Interest only strips	5	7
Servicing assets	40	26
Total	15,478	26,946
Recurring [Member] | U.S. Government Agency Notes [Member]
Assets [Abstract]
Investment securities - available-for-sale	3,493	4,107
Recurring [Member] | U.S. Government Agency CMO [Member]
Assets [Abstract]
Investment securities - available-for-sale	3,978	4,296
Recurring [Member] | U.S. Treasury Securities [Member]
Assets [Abstract]
Investment securities - available-for-sale		9,970
Recurring [Member] | Corporate Debt Securities [Member]
Assets [Abstract]
Investment securities - available-for-sale	7,653	8,315
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Assets [Abstract]
Investment securities - measured at fair value	309	225
Interest only strips	0	0
Servicing assets	0	0
Total	309	225
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | U.S. Government Agency Notes [Member]
Assets [Abstract]
Investment securities - available-for-sale	0	0
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | U.S. Government Agency CMO [Member]
Assets [Abstract]
Investment securities - available-for-sale	0	0
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | U.S. Treasury Securities [Member]
Assets [Abstract]
Investment securities - available-for-sale		0
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Corporate Debt Securities [Member]
Assets [Abstract]
Investment securities - available-for-sale	0	0
Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member]
Assets [Abstract]
Investment securities - measured at fair value	0	0
Interest only strips	0	0
Servicing assets	0	0
Total	15,124	26,688
Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | U.S. Government Agency Notes [Member]
Assets [Abstract]
Investment securities - available-for-sale	3,493	4,107
Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | U.S. Government Agency CMO [Member]
Assets [Abstract]
Investment securities - available-for-sale	3,978	4,296
Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | U.S. Treasury Securities [Member]
Assets [Abstract]
Investment securities - available-for-sale		9,970
Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | Corporate Debt Securities [Member]
Assets [Abstract]
Investment securities - available-for-sale	7,653	8,315
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member]
Assets [Abstract]
Investment securities - measured at fair value	0	0
Interest only strips	5	7
Servicing assets	40	26
Total	45	33
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | U.S. Government Agency Notes [Member]
Assets [Abstract]
Investment securities - available-for-sale	0	0
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | U.S. Government Agency CMO [Member]
Assets [Abstract]
Investment securities - available-for-sale	0	0
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | U.S. Treasury Securities [Member]
Assets [Abstract]
Investment securities - available-for-sale		0
Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | Corporate Debt Securities [Member]
Assets [Abstract]
Investment securities - available-for-sale	$ 0	$ 0

FAIR VALUE MEASUREMENT, Change

FAIR VALUE MEASUREMENT, Change in Servicing Assets Measured using Level 3 Inputs at Fair Value on a Recurring Basis (Details) - Servicing Assets [Member] - Recurring [Member] - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Servicing Assets [Abstract]
Balance, beginning of period	$ 3	$ 36	$ 26	$ 44
Valuation adjustments	37	(2)	14	(10)
Balance, end of period	$ 40	$ 34	$ 40	$ 34

FAIR VALUE MEASUREMENT, Assets

FAIR VALUE MEASUREMENT, Assets Measured on Non-recurring Basis (Details) - Non-recurring [Member] - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Summary of fair value measurements of assets measured on a non-recurring basis [Abstract]
Impaired loans		$ 3,805
Other assets acquired through foreclosure	$ 1,511	2,250
Total	1,511	6,055
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Summary of fair value measurements of assets measured on a non-recurring basis [Abstract]
Impaired loans		0
Other assets acquired through foreclosure	0	0
Total	0	0
Active Markets for Similar Assets (Level 2) [Member]
Summary of fair value measurements of assets measured on a non-recurring basis [Abstract]
Impaired loans		3,805
Other assets acquired through foreclosure	1,511	2,250
Total	1,511	6,055
Unobservable Inputs (Level 3) [Member]
Summary of fair value measurements of assets measured on a non-recurring basis [Abstract]
Impaired loans		0
Other assets acquired through foreclosure	0	0
Total	$ 0	$ 0

FAIR VALUE MEASUREMENT, Fair _2

FAIR VALUE MEASUREMENT, Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Financial assets [Abstract]
Investment securities - available-for-sale	$ 15,124	$ 26,688
Investment securities - held-to-maturity	2,158	2,557
Investment securities - measured at fair value	309	225
Carrying Amount [Member]
Financial assets [Abstract]
Cash and cash equivalents	140,619	64,690
FHLB and FRB stock	4,865	4,533
Investment securities - available-for-sale	15,124	26,688
Investment securities - held-to-maturity	2,158	2,557
Investment securities - measured at fair value	309	225
Loans, net and loans held for sale	940,547	944,577
Accrued interest receivable	5,626	5,295
Servicing assets	1,323	1,480
Interest only strips	5	7
Financial liabilities [Abstract]
Deposits	916,093	875,084
FHLB advances	90,000	90,000
Accrued interest payable	2,501	126
Fair Value [Member]
Financial assets [Abstract]
Cash and cash equivalents	140,619	64,690
FHLB and FRB stock	4,865	4,533
Investment securities - available-for-sale	15,124	26,688
Investment securities - held-to-maturity	1,987	2,423
Investment securities - measured at fair value	309	225
Loans, net and loans held for sale	884,199	895,939
Accrued interest receivable	5,626	5,295
Servicing assets	2,439	2,646
Interest only strips	5	7
Financial liabilities [Abstract]
Deposits	912,521	867,697
FHLB advances	83,876	83,322
Accrued interest payable	2,501	126
Fair Value [Member] | Level 1 [Member]
Financial assets [Abstract]
Cash and cash equivalents	140,619	64,690
FHLB and FRB stock	0	0
Investment securities - available-for-sale	0	0
Investment securities - held-to-maturity	0	0
Investment securities - measured at fair value	309	225
Loans, net and loans held for sale	0	0
Accrued interest receivable	0	0
Servicing assets	0	0
Interest only strips	0	0
Financial liabilities [Abstract]
Deposits	0	0
FHLB advances	0	0
Accrued interest payable	0	0
Fair Value [Member] | Level 2 [Member]
Financial assets [Abstract]
Cash and cash equivalents	0	0
FHLB and FRB stock	4,865	4,533
Investment securities - available-for-sale	15,124	26,688
Investment securities - held-to-maturity	1,987	2,423
Investment securities - measured at fair value	0	0
Loans, net and loans held for sale	884,199	892,134
Accrued interest receivable	5,626	5,295
Servicing assets	0	0
Interest only strips	0	0
Financial liabilities [Abstract]
Deposits	912,521	867,697
FHLB advances	83,876	83,322
Accrued interest payable	2,501	126
Fair Value [Member] | Level 3 [Member]
Financial assets [Abstract]
Cash and cash equivalents	0	0
FHLB and FRB stock	0	0
Investment securities - available-for-sale	0	0
Investment securities - held-to-maturity	0	0
Investment securities - measured at fair value	0	0
Loans, net and loans held for sale	0	3,805
Accrued interest receivable	0	0
Servicing assets	2,439	2,646
Interest only strips	5	7
Financial liabilities [Abstract]
Deposits	0	0
FHLB advances	0	0
Accrued interest payable	$ 0	$ 0

BORROWINGS (Details)

BORROWINGS (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021
Financial Home Loan Bank Advances [Abstract]
Securities pledged to FHLB	$ 9,500		$ 9,500		$ 21,100
Loans	935,155		935,155		935,123
Total FHLB interest expense	204	$ 203	729	$ 593
Federal Funds Purchased Lines [Abstract]
Federal funds borrowing lines at correspondent banks	20,000		20,000
Federal funds amount outstanding	$ 0		$ 0		0
Federal Home Loan Bank Advances - Fixed Rate [Member] | Minimum [Member]
Line of Credit [Abstract]
Federal home loan bank, interest rate	0.76%		0.76%
Federal Home Loan Bank Advances - Fixed Rate [Member] | Maximum [Member]
Line of Credit [Abstract]
Federal home loan bank, interest rate	0.95%		0.95%
Federal Home Loan Bank Advances [Member]
Financial Home Loan Bank Advances [Abstract]
Letter of credit with FHLB	$ 27,000		$ 27,000
Available for additional borrowing	124,800		124,800
Total FHLB interest expense	198	$ 203	$ 695	$ 663
Federal Home Loan Bank Advances [Member] | Minimum [Member]
Line of Credit [Abstract]
Federal home loan bank, advance maturity date			Apr. 30, 2025
Federal Home Loan Bank Advances [Member] | Maximum [Member]
Line of Credit [Abstract]
Federal home loan bank, advance maturity date			Jun. 30, 2025
Federal Home Loan Bank Advances [Member] | Asset Pledged as Collateral [Member]
Financial Home Loan Bank Advances [Abstract]
Securities pledged to FHLB	9,500		$ 9,500		21,100
Loans	382,700		$ 382,700		232,600
Federal Reserve Bank Advances [Member]
Financial Home Loan Bank Advances [Abstract]
Period for advances to be collateralized			28 days
Line of Credit [Abstract]
Available borrowing capacity	98,000		$ 98,000
Outstanding balance	0		0		0
Federal Reserve Bank Advances [Member] | Asset Pledged as Collateral [Member]
Financial Home Loan Bank Advances [Abstract]
Loans	289,300		289,300		$ 248,600
Line of Credit [Member]
Line of Credit [Abstract]
Maximum borrowing capacity	10,000		10,000
Required compensating deposit	$ 1,000		$ 1,000
Minimum debt service coverage ratio	1.65		1.65
Minimum Tier 1 leverage ratio	7%		7%
Minimum total risk-based capital ratio	10%		10%
Maximum net non-accrual ratio	3%		3%
Renewal term			2 years
Outstanding balance	$ 0		$ 0			$ 0
Line of Credit [Member] | Prime Rate [Member]
Line of Credit [Abstract]
Basis spread on variable rate			0.25%

STOCKHOLDERS' EQUITY, Changes i

STOCKHOLDERS' EQUITY, Changes in Other Comprehensive Income (Loss) by Component (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Changes in other comprehensive income (loss) by component, net of tax [Roll Forward]
Balance	$ 113,941	$ 107,142	$ 112,650	$ 101,375
Net other comprehensive income (loss)	489	(307)	(420)	(846)
Balance	116,062	109,821	116,062	109,821
Unrealized Holding Gains (Losses) on AFS [Member]
Changes in other comprehensive income (loss) by component, net of tax [Roll Forward]
Balance	(1,680)	(447)	(771)	92
Other comprehensive income (loss) before reclassifications	489	(307)	(420)	(846)
Amounts reclassified from accumulated other comprehensive income	0	0	0	0
Net other comprehensive income (loss)	489	(307)	(420)	(846)
Balance	$ (1,191)	$ (754)	$ (1,191)	$ (754)

STOCKHOLDERS' EQUITY, Common St

STOCKHOLDERS' EQUITY, Common Stock (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended		9 Months Ended
	Aug. 30, 2023	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Feb. 28, 2019
Common Stock [Abstract]
Common stock dividend paid		$ 700	$ 700	$ 2,119	$ 1,916
Common Stock [Member] | Stock Repurchase Program [Member]
Common Stock [Abstract]
Amount of common stock repurchase program authorized						$ 4,500
Expiration date				Aug. 31, 2025
Common stock shares repurchased to date (in shares)	350,189
Common stock shares repurchased to date, value	$ 3,000
Common stock shares repurchased to date, average price (in dollars per share)	$ 8.71
Common stock shares repurchased during the period (in shares)		0		0

CAPITAL REQUIREMENTS, Bank's Re

CAPITAL REQUIREMENTS, Bank's Regulatory Ratios and Federal Reserve's Current Adequacy Guidelines (Details)	Sep. 30, 2023	Dec. 31, 2022
Regulatory Ratios [Abstract]
Total capital ratio, minimum capital ratios	0.08	0.08
Total capital ratio, well-capitalized ratios	0.10	0.10
Tier 1 risk-based capital ratio, minimum capital ratios	0.06	0.06
Tier 1 risk-based capital ratio, well-capitalized ratios	0.08	0.08
Common Equity Tier 1 ratio, minimum capital ratios	0.045	0.045
Common Equity Tier 1 ratio, well-capitalized ratios	0.065	0.065
Tier 1 leverage ratio, minimum capital ratios	0.04	0.04
Tier 1 leverage ratio, well-capitalized ratios	0.05	0.05
CWB [Member]
Regulatory Ratios [Abstract]
Total capital ratio	0.1327	0.1256
Tier 1 risk-based capital ratio	0.1209	0.1144
Common Equity Tier 1 ratio	0.1209	0.1144
Tier 1 leverage ratio	0.1084	0.1034

CAPITAL REQUIREMENTS, Adoption

CAPITAL REQUIREMENTS, Adoption of CECL (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Sep. 30, 2023	Jun. 30, 2023	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reduction in stockholders' equity	$ 112,650	$ 116,062	$ 113,941	$ 109,821	$ 107,142	$ 101,375
Income tax allocated to stockholders' equity	659
Retained Earnings [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reduction in stockholders' equity	67,727	$ 70,872	$ 69,328	$ 65,009	$ 62,187	$ 56,852
Retained Earnings [Member] | Accounting Standards Update 2016-13 [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reduction in stockholders' equity	$ (1,600)

REVENUE RECOGNITION (Details)

REVENUE RECOGNITION (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Noninterest Income [Abstract]
Non-interest income (in-scope of ASC 606)	$ 506	$ 216	$ 745	$ 604
Non-interest income (out-of-scope of ASC 606)	575	656	2,244	2,610
Total non-interest income	1,081	872	2,989	3,214
Service Charges on Deposit Accounts [Member]
Noninterest Income [Abstract]
Non-interest income (in-scope of ASC 606)	275	87	408	225
Exchange Fees and Other Service Charges [Member]
Noninterest Income [Abstract]
Non-interest income (in-scope of ASC 606)	$ 231	$ 129	$ 337	$ 379

LEASES (Details)

LEASES (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Operating leases [Abstract]
Operating lease, right-of-use assets	$ 4,500		$ 5,200
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List]	Other Assets		Other Assets
Lease cost [Abstract]
Operating lease cost	$ 765	$ 1,008
Sublease income	0	0
Total lease cost	765	1,008
Other information [Abstract]
Operating cash flows from operating leases	$ 762	$ 999
Weighted average remaining lease term - operating leases	6 years 5 months 26 days	7 years 2 months 15 days
Weighted average discount rate - operating leases	3.66%	3.25%
Future minimum operating lease payments [Abstract]
2023	$ 260
2024	1,041
2025	991
2026	891
2027	488
Thereafter	1,554
Total future minimum lease payments	5,225
Less remaining imputed interest	606
Total lease liabilities	$ 4,619		$ 5,300
Operating Lease, Liability, Statement of Financial Position [Extensible List]	Other Liabilities		Other Liabilities
Minimum [Member]
Operating leases [Abstract]
Term of operating leases	2 years
Maximum [Member]
Operating leases [Abstract]
Term of operating leases	10 years

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) - $ / shares		3 Months Ended		9 Months Ended
	Oct. 27, 2023	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Dividends [Abstract]
Dividends declared per common share (in dollars per share)		$ 0.08	$ 0.075	$ 0.24	$ 0.22
Subsequent Event [Member]
Dividends [Abstract]
Dividend payable, date declared	Oct. 27, 2023
Dividends declared per common share (in dollars per share)	$ 0.08
Dividend payable, date to be paid	Nov. 30, 2023
Dividend payable, date of record	Nov. 14, 2023