First Financial Northwest (FFNW) 10-Q 7 Aug 17 2017 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2017	Aug. 03, 2017
Document and Entity Information
Entity Registrant Name	First Financial Northwest, Inc.
Document Type	10-Q
Document Period End Date	Jun. 30, 2017
Amendment Flag	false
Entity Central Index Key	1,401,564
Current Fiscal Year End Date	--12-31
Entity Common Stock, Shares Outstanding		11,039,665
Entity Filer Category	Accelerated Filer
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q2

FIRST FINANCIAL NORTHWEST, INC.

FIRST FINANCIAL NORTHWEST, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Assets
Cash on hand and in banks	$ 7,418	$ 5,779
Interest-earning deposits with banks	10,996	25,573
Investments available-for-sale, at fair value	133,951	129,260
Loans receivable, net of allowance of $11,285 and $10,951	861,672	815,043
Federal Home Loan Bank (FHLB) stock, at cost	8,902	8,031
Accrued interest receivable	3,165	3,147
Deferred tax assets, net	2,620	3,142
Other real estate owned (OREO)	1,825	2,331
Premises and equipment, net	19,501	18,461
Bank owned life insurance (BOLI), net	28,721	24,153
Prepaid expenses and other assets	2,937	2,664
Total assets	1,081,708	1,037,584
Liabilities and Stockholders' Equity
Noninterest-bearing deposits	700,449	684,054
Interest-bearing deposits	35,126	33,422
Total deposits	735,575	717,476
FHLB Advances	191,500	171,500
Advance payments from borrowers for taxes and insurance	2,183	2,259
Accrued interest payable	286	231
Other liabilities	8,650	7,993
Total liabilities	938,194	899,459
Commitments and contingencies
Stockholders' Equity
Preferred stock, $0.01 par value; authorized 10,000,000 shares; no shares issued or outstanding	0	0
Common stock, $0.01 par value; authorized 90,000,000 shares; issued and outstanding 11,041,865 shares at June 30, 2017, and 10,938,251 shares at December 31, 2016	110	109
Additional paid-in capital	98,469	96,852
Retained earnings, substantially restricted	51,844	48,981
Accumulated other comprehensive loss, net of tax	(984)	(1,328)
Unearned Employee Stock Ownership Plan (ESOP) shares	(5,925)	(6,489)
Total stockholders' equity	143,514	138,125
Total liabilities and stockholders' equity	$ 1,081,708	$ 1,037,584

FIRST FINANCIAL NORTHWEST, INC3

FIRST FINANCIAL NORTHWEST, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Assets
Loans receivable allowance for loan losses	$ 11,285	$ 10,951
Stockholders' Equity
Preferred stock par value per share (in usd per share)	$ 0.01	$ 0.01
Preferred stock shares authorized (in shares)	10,000,000	10,000,000
Preferred stock shares issued (in shares)	0	0
Preferred stock shares outstanding (in shares)	0	0
Common stock par value per share (in usd per share)	$ 0.01	$ 0.01
Common stock shares authorized (in shares)	90,000,000	90,000,000
Common stock shares issued (in shares)	11,041,865	10,938,251
Common stock shares outstanding (in shares)	11,041,865	10,938,251

FIRST FINANCIAL NORTHWEST, INC4

FIRST FINANCIAL NORTHWEST, INC. AND SUBSIDIARIES CONSOLIDATED INCOME STATEMENTS - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Interest income
Loans, including fees	$ 10,352,000	$ 9,048,000	$ 20,379,000	$ 17,775,000
Investments available-for-sale	887,000	757,000	1,732,000	1,432,000
Interest-earning deposits with banks	42,000	47,000	86,000	160,000
Dividends on FHLB stock	62,000	44,000	144,000	91,000
Total interest income	11,343,000	9,896,000	22,341,000	19,458,000
Interest expense
Deposits	1,776,000	1,441,000	3,467,000	2,924,000
FHLB advances and other borrowings	570,000	272,000	1,015,000	570,000
Total interest expense	2,346,000	1,713,000	4,482,000	3,494,000
Net interest income	8,997,000	8,183,000	17,859,000	15,964,000
Provision for loan losses	100,000	600,000	300,000	500,000
Net interest income after provision for loan losses	8,897,000	7,583,000	17,559,000	15,464,000
Noninterest income
Gain (Loss) on Sale of Investments	56,000	0	56,000	0
BOLI income	116,000	225,000	317,000	391,000
Wealth management revenue	307,000	281,000	447,000	491,000
Other	252,000	202,000	446,000	306,000
Total noninterest income	731,000	708,000	1,266,000	1,188,000
Noninterest expense
Salaries and employee benefits	4,409,000	3,841,000	8,694,000	7,615,000
Occupancy and equipment	579,000	488,000	1,059,000	996,000
Professional fees	482,000	561,000	921,000	1,029,000
Data processing	519,000	251,000	759,000	441,000
(Gain) loss on sale of OREO property, net	(5,000)	89,000	(5,000)	87,000
OREO market value adjustments	0	0	50,000	257,000
OREO related reimbursements, net	(15,000)	(14,000)	(25,000)	(34,000)
Regulatory assessments	112,000	117,000	208,000	237,000
Insurance and bond premiums	98,000	86,000	197,000	174,000
Marketing	52,000	40,000	100,000	78,000
Other general and administrative	605,000	613,000	946,000	965,000
Total noninterest expense	6,836,000	6,072,000	12,904,000	11,845,000
Income before federal income tax provision	2,792,000	2,219,000	5,921,000	4,807,000
Federal income tax provision	924,000	779,000	1,709,000	1,542,000
Net income	$ 1,868,000	$ 1,440,000	$ 4,212,000	$ 3,265,000
Earnings per common share
Basic earnings per share (in dollars per share)	$ 0.18	$ 0.12	$ 0.41	$ 0.26
Diluted earnings per share (in dollars per share)	$ 0.18	$ 0.11	$ 0.40	$ 0.26
Weighted average number of common shares outstanding
Basic shares outstanding (in shares)	10,363,345	12,390,234	10,341,654	12,567,464
Diluted shares outstanding (in shares)	10,500,829	12,530,720	10,503,023	12,718,155

FIRST FINANCIAL NORTHWEST, INC5

FIRST FINANCIAL NORTHWEST, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Net income	$ 1,868	$ 1,440	$ 4,212	$ 3,265
Other comprehensive income, before tax:
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, before Tax	453	866	829	2,308
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax	(159)	(303)	(290)	(808)
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, before Tax	56	0	56	0
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, Tax	20	0	20	0
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, before Tax	(306)	0	(243)	0
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Tax	107	0	84	0
Other comprehensive income, net of tax	59	563	344	1,500
Total comprehensive income	$ 1,927	$ 2,003	$ 4,556	$ 4,765

FIRST FINANCIAL NORTHWEST, INC6

FIRST FINANCIAL NORTHWEST, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Income (Loss), net of tax	Unearned ESOP Shares
Balances at beginning of period (in shares) at Dec. 31, 2015	13,768,814
Balances at beginning of period at Dec. 31, 2015	$ 170,673	$ 138	$ 136,338	$ 42,892	$ (1,077)	$ (7,618)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	3,265			3,265
Other comprehensive income	$ 1,500				1,500
Exercise of stock options (in shares)	55,673
Exercise of stock options	$ 244	0	244	0	0	0
Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures	14,052
Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures	$ 0	0	0	0	0	0
Stock or Unit Option Plan Expense	383	0
Compensation related to stock options and restricted stock awards	383		383
Allocation of ESOP shares	$ 754		189			565
Repurchase and retirement of common stock (in shares)	(436,154)
Repurchase and retirement of common stock	$ (5,847)	(4)	(5,843)	0	0	0
Stock Canceled During Period, Shares, Restricted Stock Award, Gross	(74,478)
Stock Canceled During Period, Value, Restricted Stock Award, Gross	$ 0	(1)	1	0	0	0
Cash dividend declared and paid	$ (1,517)	0	0	(1,517)	0	0
Balances at end of period (in shares) at Jun. 30, 2016	13,327,907
Balances at end of period at Jun. 30, 2016	$ 169,455	133	131,312	44,640	423	(7,053)
Balances at beginning of period (in shares) at Dec. 31, 2016	10,938,251
Balances at beginning of period at Dec. 31, 2016	$ 138,125	109	96,852	48,981	(1,328)	(6,489)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	4,212			4,212
Other comprehensive income	$ 344				344
Exercise of stock options (in shares)	115,880
Exercise of stock options	$ 1,133	1	1,132
Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures	10,434
Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures	$ 0	0	0	0	0	0
Stock or Unit Option Plan Expense	401
Compensation related to stock options and restricted stock awards	401		401
Allocation of ESOP shares	$ 1,010		446			564
Repurchase and retirement of common stock (in shares)	(22,700)
Repurchase and retirement of common stock	$ (362)	0	(362)
Cash dividend declared and paid	$ (1,349)			(1,349)
Balances at end of period (in shares) at Jun. 30, 2017	11,041,865
Balances at end of period at Jun. 30, 2017	$ 143,514	$ 110	$ 98,469	$ 51,844	$ (984)	$ (5,925)

FIRST FINANCIAL NORTHWEST, INC7

FIRST FINANCIAL NORTHWEST, INC. AND SUBSIDIARIES CONSOLIDATED STATEMETNS OF STOCKHOLDERS' EQUITY (PARENTHETICALS) - $ / shares	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Statement of Stockholders' Equity [Abstract]
Common Stock, Dividends, Per Share, Cash Paid	$ 0.13	$ 0.12
Allocated shares	56,428	56,426

FIRST FINANCIAL NORTHWEST, INC8

FIRST FINANCIAL NORTHWEST, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Cash flows from operating activities
Net income	$ 4,212,000	$ 3,265,000
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for loan losses	300,000	500,000
OREO market value adjustments	50,000	257,000
(Gain) loss on sale of OREO property, net	(5,000)	87,000
Gain on sale of investments available-for-sale	(56,000)	0
Loss on sale of premises and equipment	23,000	0
Depreciation of premises and equipment	536,000	524,000
Amortization of premiums and discounts on investments available-for-sale, net	331,000	498,000
Deferred federal income taxes	336,000	309,000
Allocation of ESOP shares	1,010,000	754,000
Stock compensation expense	401,000	383,000
Increase in cash surrender value of BOLI	(317,000)	(391,000)
Changes in operating assets and liabilities:
(Increase) decrease in prepaid expenses and other assets	(516,000)	32,000
Net (decrease) increase in advance payments from borrowers for taxes and insurance	(76,000)	350,000
Increase in accrued interest receivable	(18,000)	(190,000)
Increase (decrease) in accrued interest payable	55,000	(21,000)
Increase (decrease) in other liabilities	657,000	(591,000)
Net cash provided by operating activities	6,923,000	5,766,000
Cash flows from investing activities:
Proceeds from sales of OREO properties	461,000	988,000
Proceeds from calls and sales of investments available-for-sale	4,742,000	430,000
Principal repayments on investments available-for-sale	5,253,000	8,203,000
Purchases of investments available-for-sale	(14,188,000)	(13,285,000)
Net increase in loans receivable	(46,929,000)	(81,474,000)
Purchase of FHLB stock	(871,000)	(1,494,000)
Purchases of premises and equipment	(1,599,000)	(1,023,000)
Surrender of BOLI	0	10,182,000
Purchase of BOLI	(4,251,000)	(10,182,000)
Net cash used by investing activities	(57,382,000)	(87,655,000)
Cash flows from financing activities:
Net increase (decrease) in deposits	18,099,000	(15,197,000)
Advances from the FHLB	40,000,000	160,000,000
Repayments of advances from the FHLB	(20,000,000)	(124,000,000)
Proceeds from stock options exercises	1,133,000	244,000
Repurchase and retirement of common stock	(362,000)	(5,847,000)
Dividends paid	(1,349,000)	(1,517,000)
Net cash provided by financing activities	37,521,000	13,683,000
Cash and cash equivalents:
Net decrease in cash and cash equivalents	(12,938,000)	(68,206,000)
Cash and cash equivalents at beginning of period	31,352,000	105,711,000
Cash and cash equivalents at end of period	18,414,000	37,505,000
Cash paid during the period for:
Interest paid	4,427,000	3,515,000
Federal income taxes paid	1,900,000	1,175,000
Noncash transactions:
Change in unrealized loss on investments available-for-sale	773,000	2,308,000
Change in gain on cash flow hedge	$ (243,000)	$ 0

Description of Business

Description of Business	6 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Description of Business	Description of Business First Financial Northwest, Inc. (“First Financial Northwest”), a Washington corporation, was formed on June 1, 2007 for the purpose of becoming the holding company for First Financial Northwest Bank (“the Bank”) in connection with the conversion from a mutual holding company structure to a stock holding company structure completed on October 9, 2007. First Financial Northwest’s business activities generally are limited to passive investment activities and oversight of its investment in First Financial Northwest Bank. Accordingly, the information presented in the consolidated financial statements and accompanying data, relates primarily to First Financial Northwest Bank. First Financial Northwest is a bank holding company, having converted from a savings and loan holding company on March 31, 2015, and as a bank holding company is subject to regulation by the Federal Reserve Bank of San Francisco. First Financial Northwest Bank is regulated by the Federal Deposit Insurance Corporation (“FDIC”) and the Washington State Department of Financial Institutions (“DFI”). First Financial Northwest Bank is headquartered in Renton, Washington, where it has a full-service retail branch as well as a smaller branch located in a commercial development known as the “Landing”. Three additional, smaller branches are located in Mill Creek and Edmonds, both in Snohomish County, Washington and the community of Crossroads in Bellevue, in King County, Washington. The Bank has received regulatory approval to open a new branch in Bothell, also in King County, Washington, which is expected to open in the fourth quarter of 2017. The Bank’s primary market area consists of King, Snohomish, Pierce and Kitsap counties, Washington. In addition to these de novo branches, the Bank has received FDIC, DFI and California Department of Business Oversight approvals on the acquisition of four Washington branches located in the Clearview area in Snohomish, the Smokey Point area in Arlington, and Lake Stevens, all in Snohomish County, and Woodinville, in King County. The acquisition is scheduled to close during the third quarter of 2017, subject to customary closing conditions. The Bank is a portfolio lender, originating one-to-four family residential, multifamily, commercial real estate, construction/land development, business, and consumer loans. Loans are primarily funded by deposits from the general public, supplemented by borrowings from the Federal Home Loan Bank of Des Moines (“FHLB”) and deposits raised in the national brokered deposit market. As used throughout this report, the terms “we,” “our,” “us,” or the “Company” refer to First Financial Northwest, Inc. and its consolidated subsidiary First Financial Northwest Bank, unless the context otherwise requires.

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited interim consolidated financial statements have been prepared pursuant to the rules and regulations of the U.S. Securities and Exchange Commission ("SEC"). Accordingly, they do not include all of the information and footnotes required by U.S. Generally Accepted Accounting Principles (“GAAP”) for complete financial statements. These unaudited interim consolidated financial statements should be read in conjunction with the Company's Annual Report on Form 10-K for the year ended December 31, 2016 , as filed with the SEC. In our opinion, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair presentation of the unaudited interim consolidated financial statements in accordance with GAAP have been included. All significant intercompany balances and transactions between the Company and its subsidiaries have been eliminated in consolidation. Operating results for the six months ended June 30, 2017 , are not necessarily indicative of the results that may be expected for the year ending December 31, 2017 . In preparing the unaudited consolidated financial statements, we are required to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the allowance for loan and lease losses (“ALLL”), the valuation of other real estate owned (“OREO”) and the underlying collateral of impaired loans, deferred tax assets, and the fair value of financial instruments. The Company’s activities are considered to be a single industry segment for financial reporting purposes. The Company is engaged in the business of attracting deposits from the general public and originating and purchasing loans for its portfolio. Substantially all income is derived from a diverse base of commercial, multifamily, and residential real estate loans, consumer lending activities, and investments. Certain amounts in the unaudited interim consolidated financial statements for prior periods have been reclassified to conform to the current unaudited financial statement presentation with no effect on consolidated net income or stockholders’ equity.

Recently Issued Accounting Pron

Recently Issued Accounting Pronouncements	6 Months Ended
	Jun. 30, 2017
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers (Topic 606) . In August 2015, FASB issued ASU No. 2015-14, Revenue from Contracts with Customers (Topic 606) which postponed the effective date of 2014-09. Subsequently, in March 2016, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations. This amendment clarifies that an entity should determine if it is the principal or the agent for each specified good or service promised in a contract with a customer. In April 2016, the FASB issued ASU No. 2016-10 , Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing. The core principle of Topic 606 is that an entity must recognize revenue when it has satisfied a performance obligation of transferring promised goods or services to a customer. The standard is effective for public entities for interim and annual periods beginning after December 15, 2017; early adoption is not permitted. The standard allows for full retrospective adoption for all periods presented or modified retrospective adoption to only the most current period presented in the financial statements. The cumulative effect of initially applying the standard is recognized at the date of the initial application. Our primary source of revenue is interest income, which is recognized as it is earned and is deemed to be in compliance with this ASU. With respect to noninterest income, the Company is in its preliminary stages of identifying and evaluating the revenue streams and underlying revenue contracts within the scope of the guidance. The Company is expecting to begin developing processes and procedures during 2017 to ensure it is fully compliant with these amendments. To date, the Company has not yet identified any significant changes in the timing of revenue recognition when considering the amended accounting guidance; however, the Company’s implementation efforts are ongoing and such assessments may change prior to the January 1, 2018 implementation date. Accordingly, the Company does not expect implementation of this standard to have a material impact on our consolidated financial statements. In January 2016, FASB issued ASU No. 2016-01, Financial Instruments--Overall, Recognition and Measurement of Financial Assets and Financial Liabilities. ASU 2016-01 requires equity investments (except those accounted for under the equity method of accounting) to be measured at fair value with changes in fair value recognized in net income. The amendments in this ASU also require an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in instrument-specific credit risk. In addition, the ASU eliminates the requirement to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet. The ASU also clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities in combination with the entity’s other deferred tax assets. The amendments in this ASU are effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. Early application is permitted for fiscal years or interim periods that have not yet been issued if adopted at the beginning of the fiscal year. The Company is reviewing our available-for-sale investment portfolio in accordance with the provision of this standard. The adoption of ASU 2016-01 is not expected to have a material impact on the Company’s consolidated financial statements. In February 2016, FASB issued ASU No. 2016-02, Leases (Topic 842) . ASU No. 2016-02 requires lessees to recognize on the balance sheet the assets and liabilities arising from operating leases. A lessee should recognize a liability to make lease payments and a right-of-use asset representing its right to use the underlying asset for the lease term. A lessee should include payments to be made in an optional period only if the lessee is reasonably certain to exercise an option to extend the lease or not to exercise an option to terminate the lease. For a finance lease, interest payments should be recognized separately from amortization of the right-of-use asset in the statement of comprehensive income. For operating leases, the lease cost should be allocated over the lease term on a generally straight-line basis. The amendments in ASU 2016-02 are effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early application of the amendments in the ASU is permitted. The effect of the adoption will depend on leases at the time of adoption. Once adopted, we expect to report higher assets and liabilities as a result of including right-of-use assets and lease liabilities related to certain banking offices and certain equipment under noncancelable operating lease agreements, however, based on current leases, the adoption is expected to increase our consolidated balance sheets by less than 5% and not to have a material impact on our regulatory capital ratios. In June 2016, FASB issued ASU No. 2016-13, Financial Instruments--Credit Losses (Topic 326). This ASU replaces the existing incurred loss impairment methodology that recognizes credit losses when a probable loss has been incurred with new methodology where loss estimates are based upon lifetime expected credit losses. The amendments in this ASU require a financial asset that is measured at amortized cost to be presented at the net amount expected to be collected. The income statement would then reflect the measurement of credit losses for newly recognized financial assets as well as changes to the expected credit losses that have taken place during the reporting period. The measurement of expected credit losses will be based on historical information, current conditions, and reasonable and supportable forecasts that impact the collectability of the reported amount. Available-for-sale securities will bifurcate the fair value mark and establish an allowance for credit losses through the income statement for the credit portion of that mark. The interest portion will continue to be recognized through accumulated other comprehensive income or loss. The change in allowance recognized as a result of adoption will occur through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the ASU is adopted. The amendments in this ASU are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, with early adoption permitted for fiscal years beginning after December 15, 2018. The Company is evaluating our current expected loss methodology of our loan and investment portfolios to identify the necessary modifications in accordance with this standard and expects a change in the processes and procedures to calculate the ALLL, including changes in assumptions and estimates to consider expected credit losses over the life of the loan versus the current accounting practice that utilizes the incurred loss model. A valuation adjustment to our ALLL or investment portfolio that is identified in this process will be reflected as a one-time adjustment in equity rather than earnings. We are evaluating the potential impact adoption of this standard will have on our consolidated financial statements and expect to shortly begin developing and implementing processes and procedures to ensure we are fully compliant with the amendments at the adoption date. Once adopted, we expect our allowance for loan losses to increase, however, until our evaluation is complete the magnitude of the increase will be unknown. In August 2016, FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments . This ASU was to address the appropriate classification of eight specific cash flow issues on the cash flow statement. Debt prepayment costs should be classified as an outflow for financing activities. Settlement of zero-coupon debt instruments divides the interest portion as an outflow for operating activities and the principal portion as an outflow for financing activities. Contingent consideration payments made after a business combination should be classified as outflows for financing and operating activities. Proceeds from the settlement of bank-owned life insurance policies should be classified as inflows from investing activities. Other specific areas are identified in the ASU as to the appropriate classification of the cash inflows or outflows. The amendments in this ASU are effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. Early adoption is permitted and must be applied using a retrospective transition method to each period presented. The Company is evaluating our current cash flow statement classifications in accordance with the standard. Adoption of ASU 2016-15 is not expected to have a material impact on the Company’s consolidated financial statements. In January 2017, FASB issued ASU 2017-01, Business Combinations (Topic 805) . This ASU clarifies the definition of a business to assist in determining whether transactions should be accounted for as acquisitions (or disposals) or assets or businesses. The amendments in this ASU provide a screen to determine when a set of assets and activities is not a business, thereby reducing the number of transactions requiring further evaluation. If the screen is not met, the amendments in this ASU further provide a framework to evaluate if the criteria is present to qualify for a business. This ASU is effective for annual periods beginning after December 15, 2017 and should be applied prospectively on or after the effective date. Adoption of ASU 2017-01 is not expected to have a material impact on the Company’s consolidated financial statements. In January 2017, FASB issued ASU 2017-03, Accounting Changes and Error Corrections (Topic 250) and Investments-Equity Method and Joint Ventures (Topic 323) . The ASU amends the Codification for SEC staff announcements made at recent Emerging Issues Task Force (EITF) meetings. The SEC guidance that specifically relates to the Company’s consolidated financial statements was from the September 2016 meeting, where the SEC staff expressed their expectations about the extent of disclosures registrants should make about the effects of the new FASB guidance as well as any amendments issued prior to adoption, in particular on revenue (ASU 2014-09), leases (ASU 2016-02) and credit losses on financial instruments (ASU 2016-13) in accordance with Staff Accounting Bulletin Topic 11.M. Registrants are required to disclose the effect that recently issued accounting standards will have on their financial statements when adopted in a future period. In cases where a registrant cannot reasonably estimate the impact of the adoption, then additional qualitative disclosures should be considered. The ASU incorporates these SEC staff views into Topic 250 and adds references to that guidance in the transition paragraphs of each of the three new standards. The Company has adopted the amendments in this ASU and appropriate disclosures have been included in this Note for each recently issued accounting standard. In January 2017, FASB issued ASU No. 2017-04, Intangibles--Goodwill and Other (Topic 350). This ASU simplifies the impairment calculation for subsequent measurement of goodwill by eliminating the step of comparing the implied fair value of a reporting unit’s goodwill with the carrying amount of that goodwill. Under the amendments in this ASU, an entity will evaluate the carrying amount of a reporting unit to its fair value, as if the reporting unit had been acquired in a business combination. An impairment charge should be recognized for the amount that the carrying amount exceeds the fair value, not to exceed the amount of goodwill. The income tax effect should be considered for any tax deductible goodwill when measuring the impairment loss. While the Company does not have any goodwill to recognize from any previous transaction, this ASU will apply to the impairment analysis of goodwill recognized in future transactions. The amendments in this ASU are effective for goodwill impairment tests in fiscal years beginning after December 15, 2019. Early adoption is permitted for reporting periods after January 1, 2017. Adoption of ASU 2017-04 is not expected to have a material impact on the Company’s consolidated financial statements. In March 2017, FASB issued ASU No. 2017-08, Receivables - Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities . The ASU shortens the amortization period for certain callable debt securities held at a premium. The standard will take effect for SEC filers for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. The adoption of ASU No. 2017-08 is not expected to have a material impact on the Company's consolidated financial statements. In May 2017, FASB issued ASU No. 2017-09, Compensation--Stock Compensation (Topic 718): Scope of Modification Accounting . The ASU was issued to provide clarity as to when to apply modification accounting when there is a change in the terms or conditions of a share-based payment award. According to this ASU, an entity should account for the effects of a modification unless the fair value, vesting conditions, and balance sheet classification of the award is the same after the modification as compared to the original award prior to the modification. The standard is effective for reporting periods beginning after December 15, 2017, with early adoption permitted. The adoption of ASU No. 2017-09 is not expected to have a material impact on the Company’s consolidated financial statements.

Investments

Investments	6 Months Ended
	Jun. 30, 2017
Investments [Abstract]
Investments	Investments Investments available-for-sale are summarized as follows at the dates indicated: June 30, 2017 Amortized Gross Gross Fair Value (In thousands) Mortgage-backed investments: Fannie Mae $ 46,664 $ 164 $ (625 ) $ 46,203 Freddie Mac 15,865 87 (72 ) 15,880 Ginnie Mae 18,425 28 (559 ) 17,894 Municipal bonds 14,137 210 (29 ) 14,318 U.S. Government agencies 15,175 90 (127 ) 15,138 Corporate bonds 24,504 412 (398 ) 24,518 Total $ 134,770 $ 991 $ (1,810 ) $ 133,951 December 31, 2016 Amortized Gross Gross Fair Value (In thousands) Mortgage-backed investments: Fannie Mae $ 42,060 $ 126 $ (854 ) $ 41,332 Freddie Mac 18,013 95 (99 ) 18,009 Ginnie Mae 19,133 41 (540 ) 18,634 Municipal bonds 13,203 11 (107 ) 13,107 U.S. Government agencies 15,937 75 (155 ) 15,857 Corporate bonds 22,506 241 (426 ) 22,321 Total $ 130,852 $ 589 $ (2,181 ) $ 129,260 The tables below summarize the aggregate fair value and gross unrealized loss by length of time those investment securities have been continuously in an unrealized loss position at the dates indicated: June 30, 2017 Less Than 12 Months 12 Months or Longer Total Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss (In thousands) Mortgage-backed investments: Fannie Mae $ 35,902 $ (625 ) $ — $ — $ 35,902 $ (625 ) Freddie Mac 10,039 (72 ) — — 10,039 (72 ) Ginnie Mae 16,285 (559 ) — — 16,285 (559 ) Municipal bonds 2,844 (29 ) — — 2,844 (29 ) U.S. Government agencies 8,447 (127 ) — — 8,447 (127 ) Corporate bonds 1,499 (2 ) 7,103 (396 ) 8,602 (398 ) Total $ 75,016 $ (1,414 ) $ 7,103 $ (396 ) $ 82,119 $ (1,810 ) December 31, 2016 Less Than 12 Months 12 Months or Longer Total Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss (In thousands) Mortgage-backed investments: Fannie Mae $ 34,763 $ (854 ) $ — $ — $ 34,763 $ (854 ) Freddie Mac 8,343 (99 ) — — 8,343 (99 ) Ginnie Mae 16,734 (540 ) — — 16,734 (540 ) Municipal bonds 8,815 (107 ) — — 8,815 (107 ) U.S. Government agencies 9,000 (153 ) 1,426 (2 ) 10,426 (155 ) Corporate bonds 3,880 (119 ) 4,693 (307 ) 8,573 (426 ) Total $ 81,535 $ (1,872 ) $ 6,119 $ (309 ) $ 87,654 $ (2,181 ) On a quarterly basis, management makes an assessment to determine whether there have been any events or economic circumstances to indicate that a security on which there is an unrealized loss is impaired on an other-than-temporary basis. The Company considers many factors including the severity and duration of the impairment, recent events specific to the issuer or industry, and for debt securities, external credit ratings and recent downgrades. Securities on which there is an unrealized loss that is deemed to be an other-than-temporary impairment (“OTTI”) are written down to fair value. If the Company intends to sell a debt security, or it is likely that the Company will be required to sell the debt security before recovering its cost basis, the entire impairment loss would be recognized in earnings as an OTTI. If the Company does not intend to sell the debt security and it is not likely that it will be required to sell the debt security but does not expect to recover the entire amortized cost basis of the debt security, only the portion of the impairment loss representing credit losses would be recognized in earnings. The credit loss on a debt security is measured as the difference between the amortized cost basis and the present value of the cash flows expected to be collected. Projected cash flows are discounted by the original or current effective interest rate depending on the nature of the debt security being measured for potential OTTI. The remaining impairment related to all other factors, the difference between the present value of the cash flows expected to be collected and fair value, is recognized as a charge to other comprehensive income (“OCI”). Impairment losses related to all other factors are presented as separate categories within OCI. At June 30, 2017 and December 31, 2016 , the Company had 46 securities and 53 securities in an unrealized loss position, respectively. At June 30, 2017 and December 31, 2016 , the Company had five securities and four securities, respectively, in an unrealized loss position for 12 months or more. Management reviewed the financial condition of the entities issuing municipal or corporate bonds at June 30, 2017 and December 31, 2016 , and determined that an OTTI charge was not warranted. The amortized cost and estimated fair value of investments available-for-sale at June 30, 2017 , by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Investments not due at a single maturity date, primarily mortgage-backed investments, are shown separately. June 30, 2017 Amortized Cost Fair Value (In thousands) Due within one year $ 5,506 $ 5,521 Due after one year through five years 4,915 4,918 Due after five years through ten years 24,652 24,739 Due after ten years 18,743 18,796 53,816 53,974 Mortgage-backed investments 80,954 79,977 Total $ 134,770 $ 133,951 Under Washington state law, in order to participate in the public funds program the Company is required to pledge eligible securities as collateral in an amount equal to 50% of the public deposits held less the FDIC insured amount. Investment securities with market values of $21.7 million and $22.6 million were pledged as collateral for public deposits at June 30, 2017 and December 31, 2016 , respectively, both of which exceeded the collateral requirements established by the Washington Public Deposit Protection Commission. For the three and six months ended June 30, 2017 , we had calls and sales on investment securities of $4.7 million generating a net gain of $56,000 . For the three and six months ended June 30, 2016 , we had calls on investment securities of $385,000 , and $430,000 , respectively, with no gain or loss. There were no sales of investments during the six months ended June 30, 2016.

Loans Receivable

Loans Receivable	6 Months Ended
	Jun. 30, 2017
Receivables [Abstract]
Loans Receivable	Loans Receivable Loans receivable are summarized as follows at the dates indicated: June 30, 2017 December 31, 2016 (In thousands) One-to-four family residential: Permanent owner occupied $ 137,816 $ 137,834 Permanent non-owner occupied 118,816 111,601 256,632 249,435 Multifamily 125,884 123,250 Commercial real estate 317,218 303,694 Construction/land: One-to-four family residential 76,404 67,842 Multifamily 123,497 111,051 Commercial 1,100 — Land 39,012 30,055 240,013 208,948 Business 15,206 7,938 Consumer 9,031 6,922 Total loans 963,984 900,187 Less: Loans in process ("LIP") 88,475 72,026 Deferred loan fees, net 2,552 2,167 Allowance for loan and lease losses ("ALLL") 11,285 10,951 Loans receivable, net $ 861,672 $ 815,043 At June 30, 2017 , loans totaling $448.2 million were pledged to secure borrowings from the FHLB of Des Moines compared to $472.1 million at December 31, 2016 . ALLL . The Company maintains an ALLL as a reserve against probable and inherent risk of losses in its loan portfolios. The ALLL is comprised of a general reserve component for loans evaluated collectively for loss and a specific reserve component for loans evaluated individually. When an issue is identified and it is determined that the loan needs to be classified as nonperforming and/or impaired, an evaluation of the discounted expected cash flows is done and an appraisal may be obtained on the collateral. Based on this evaluation, additional provision for loan loss or charge-offs is recorded prior to the end of the financial reporting period. The following tables summarize changes in the ALLL and loan portfolio by loan type and impairment method at the dates and for the periods shown: At or For the Three Months Ended June 30, 2017 One-to-Four Multifamily Commercial Construction/ Business Consumer Total (In thousands) ALLL: Beginning balance $ 2,542 $ 1,188 $ 4,027 $ 2,791 $ 311 $ 299 $ 11,158 Charge-offs — — — — — — — Recoveries 27 — — — — — 27 Provision (recapture) 58 43 (294 ) 151 146 (4 ) 100 Ending balance $ 2,627 $ 1,231 $ 3,733 $ 2,942 $ 457 $ 295 $ 11,285 At or For the Six Months Ended June 30, 2017 One-to-Four Multifamily Commercial Construction/ Business Consumer Total (In thousands) ALLL: Beginning balance $ 2,551 $ 1,199 $ 3,893 $ 2,792 $ 237 $ 279 $ 10,951 Charge-offs — — — — — — — Recoveries 33 — — — — 1 34 Provision (recapture) 43 32 (160 ) 150 220 15 300 Ending balance $ 2,627 $ 1,231 $ 3,733 $ 2,942 $ 457 $ 295 $ 11,285 ALLL by category: General reserve $ 2,446 $ 1,231 $ 3,710 $ 2,942 $ 457 $ 295 $ 11,081 Specific reserve 181 — 23 — — — 204 Loans: (1) Total loans $ 256,632 $ 125,884 $ 316,675 $ 152,082 $ 15,206 $ 9,031 $ 875,510 Loans collectively evaluated for impairment (2) 236,951 124,738 313,015 152,082 15,206 8,933 850,925 Loans individually evaluated for impairment (3) 19,681 1,146 3,660 — — 98 24,585 ____________ (1) Net of LIP. (2) Loans collectively evaluated for general reserves. (3) Loans individually evaluated for specific reserves. At or For the Three Months Ended June 30, 2016 One-to-Four Multifamily Commercial Construction/ Business Consumer Total (In thousands) ALLL: Beginning balance $ 2,840 $ 1,184 $ 3,497 $ 1,392 $ 197 $ 361 $ 9,471 Charge-offs — — — — — — — Recoveries 63 — — — — — 63 Provision (recapture) (156 ) 10 274 488 20 (36 ) 600 Ending balance $ 2,747 $ 1,194 $ 3,771 $ 1,880 $ 217 $ 325 $ 10,134 At or For the Six Months Ended June 30, 2016 One-to-Four Multifamily Commercial Construction/ Business Consumer Total (In thousands) ALLL: Beginning balance $ 3,028 $ 1,193 $ 3,395 $ 1,193 $ 229 $ 425 $ 9,463 Charge-offs — — — — — (19 ) (19 ) Recoveries 85 — 104 — — 1 190 Provision (recapture) (366 ) 1 272 687 (12 ) (82 ) 500 Ending balance $ 2,747 $ 1,194 $ 3,771 $ 1,880 $ 217 $ 325 $ 10,134 ALLL by category: General reserve $ 2,346 $ 1,194 $ 3,664 $ 1,824 $ 217 $ 325 $ 9,570 Specific reserve 401 — 107 56 — — 564 Loans: (1) Total loans $ 251,732 $ 132,189 $ 285,449 $ 95,209 $ 7,208 $ 6,333 $ 778,120 Loans collectively evaluated for impairment (2) 220,597 130,610 281,002 94,715 7,208 6,226 740,358 Loans individually evaluated for impairment (3) 31,135 1,579 4,447 494 — 107 37,762 _____________ (1) Net of LIP. (2) Loans collectively evaluated for general reserves. (3) Loans individually evaluated for specific reserves. Past Due Loans. Loans are considered past due if a scheduled principal or interest payment is due and unpaid for 30 days or more. At June 30, 2017 , past due loans were 0.01% of total loans receivable, net of LIP. In comparison, past due loans were 0.06% of total loans receivable, net of LIP at December 31, 2016 . The following tables represent a summary of the aging of loans by type at the dates indicated: Loans Past Due as of June 30, 2017 30-59 Days 60-89 Days 90 Days and Total Past Current Total (1) (2) (In thousands) Real estate: One-to-four family residential: Owner occupied $ 85 $ — $ — $ 85 $ 137,731 $ 137,816 Non-owner occupied — — — — 118,816 118,816 Multifamily — — — — 125,884 125,884 Commercial real estate — — — — 316,675 316,675 Construction/land — — — — 152,082 152,082 Total real estate 85 — — 85 851,188 851,273 Business — — — — 15,206 15,206 Consumer — — — — 9,031 9,031 Total loans $ 85 $ — $ — $ 85 $ 875,425 $ 875,510 ________________ (1) There were no loans 90 days and greater past due and still accruing interest at June 30, 2017 . (2) Net of LIP. Loans Past Due as of December 31, 2016 30-59 Days 60-89 Days 90 Days and Total Past Current Total (1) (2) (In thousands) Real estate: One-to-four family residential: Owner occupied $ 304 $ — $ 169 $ 473 $ 137,361 $ 137,834 Non-owner occupied — — — — 111,601 111,601 Multifamily — — — — 123,250 123,250 Commercial real estate — — — — 303,694 303,694 Construction/land — — — — 136,922 136,922 Total real estate 304 — 169 473 812,828 813,301 Business — — — — 7,938 7,938 Consumer — — — — 6,922 6,922 Total loans $ 304 $ — $ 169 $ 473 $ 827,688 $ 828,161 _________________ (1) There were no loans 90 days and greater past due and still accruing interest at December 31, 2016 . (2) Net of LIP. Nonaccrual Loans. The following table is a summary of nonaccrual loans by loan type at the dates indicated: June 30, 2017 December 31, 2016 (In thousands) One-to-four family residential $ 528 $ 798 Consumer 55 60 Total nonaccrual loans $ 583 $ 858 During the three and six months ended June 30, 2017 , interest income that would have been recognized had these nonaccrual loans been performing in accordance with their original terms was $9,000 and $ 18,000 , respectively. For the three and six months ended June 30, 2016 , foregone interest on nonaccrual loans was $13,000 and $ 27,000 , respectively. The following tables summarize the loan portfolio by type and payment status at the dates indicated: June 30, 2017 One-to-Four Multifamily Commercial Construction / Business Consumer Total (1) (In thousands) Performing (2) $ 256,104 $ 125,884 $ 316,675 $ 152,082 $ 15,206 $ 8,976 $ 874,927 Nonperforming (3) 528 — — — — 55 583 Total loans $ 256,632 $ 125,884 $ 316,675 $ 152,082 $ 15,206 $ 9,031 $ 875,510 _____________ (1) Net of LIP. (2) There were $137.3 million of owner-occupied one-to-four family residential loans and $118.8 million of non-owner occupied one-to-four family residential loans classified as performing. (3) The $528,000 of one-to-four family residential loans classified as nonperforming are all owner-occupied. December 31, 2016 One-to-Four Multifamily Commercial Construction/ Business Consumer Total (1) (In thousands) Performing (2) $ 248,637 $ 123,250 $ 303,694 $ 136,922 $ 7,938 $ 6,862 $ 827,303 Nonperforming (3) 798 — — — — 60 858 Total loans $ 249,435 $ 123,250 $ 303,694 $ 136,922 $ 7,938 $ 6,922 $ 828,161 _____________ (1) Net of LIP. (2) There were $137.0 million of owner-occupied one-to-four family residential loans and $111.6 million of non-owner occupied one-to-four family residential loans classified as performing. (3) The $798,000 of one-to-four family residential loans classified as nonperforming are all owner-occupied. Impaired Loans. A loan is considered impaired when we have determined that we may be unable to collect payments of principal or interest when due under the terms of the original loan document. There were no funds committed to be advanced in connection with impaired loans at either June 30, 2017 , or December 31, 2016 . The following tables present a summary of loans individually evaluated for impairment by loan type at the dates indicated: June 30, 2017 Recorded Investment (1) Unpaid Principal Balance (2) Related Allowance (In thousands) Loans with no related allowance: One-to-four family residential: Owner occupied $ 1,982 $ 2,265 $ — Non-owner occupied 12,664 12,679 — Multifamily 1,146 1,146 — Commercial real estate 2,913 2,990 — Consumer 98 145 — Total 18,803 19,225 — Loans with an allowance: One-to-four family residential: Owner occupied 1,673 1,720 45 Non-owner occupied 3,362 3,383 136 Commercial real estate 747 747 23 Total 5,782 5,850 204 Total impaired loans: One-to-four family residential: Owner occupied 3,655 3,985 45 Non-owner occupied 16,026 16,062 136 Multifamily 1,146 1,146 — Commercial real estate 3,660 3,737 23 Consumer 98 145 — Total $ 24,585 $ 25,075 $ 204 _________________ (1) Represents the loan balance less charge-offs. (2) Contractual loan principal balance. December 31, 2016 Recorded Investment (1) Unpaid Principal Balance (2) Related Allowance (In thousands) Loans with no related allowance: One-to-four family residential: Owner occupied $ 2,216 $ 2,475 $ — Non-owner occupied 16,634 16,652 — Multifamily 1,564 1,564 — Commercial real estate 2,952 3,012 — Consumer 103 148 — Total 23,469 23,851 — Loans with an allowance: One-to-four family residential: Owner occupied 1,896 1,965 51 Non-owner occupied 4,326 4,347 151 Commercial real estate 755 755 26 Construction/land 495 495 81 Total 7,472 7,562 309 Total impaired loans: One-to-four family residential: Owner occupied 4,112 4,440 51 Non-owner occupied 20,960 20,999 151 Multifamily 1,564 1,564 — Commercial real estate 3,707 3,767 26 Construction/land 495 495 81 Consumer 103 148 — Total $ 30,941 $ 31,413 $ 309 _________________ (1) Represents the loan balance less charge-offs. (2) Contractual loan principal balance. The following table presents the average recorded investment in loans individually evaluated for impairment and the interest income recognized for the three and six months ended June 30, 2017 and 2016 : Three Months Ended June 30, 2017 Six Months Ended June 30, 2017 Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized (In thousands) Loans with no related allowance: One-to-four family residential: Owner occupied $ 1,997 $ 30 $ 2,070 $ 61 Non-owner occupied 13,510 181 14,551 374 Multifamily 1,149 19 1,287 37 Commercial real estate 2,923 48 2,932 101 Consumer 99 2 100 4 Total 19,678 280 20,940 577 Loans with an allowance: One-to-four family residential: Owner occupied 1,781 20 1,819 43 Non-owner occupied 3,721 39 3,922 81 Commercial real estate 749 10 751 21 Construction/land — — 165 — Total 6,251 69 6,657 145 Total impaired loans: One-to-four family residential: Owner occupied 3,778 50 3,889 104 Non-owner occupied 17,231 220 18,473 455 Multifamily 1,149 19 1,287 37 Commercial real estate 3,672 58 3,683 122 Construction/land — — 165 — Consumer 99 2 100 4 Total $ 25,929 $ 349 $ 27,597 $ 722 Three Months Ended June 30, 2016 Six Months Ended June 30, 2016 Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized (In thousands) Loans with no related allowance: One-to-four family residential: Owner occupied $ 2,516 $ 17 $ 2,733 $ 66 Non-owner occupied 22,084 286 22,484 605 Multifamily 1,584 26 1,194 53 Commercial real estate 2,251 35 2,392 76 Consumer 110 1 117 3 Total 28,545 365 28,920 803 Loans with an allowance: One-to-four family residential: Owner occupied 2,107 27 2,111 56 Non-owner occupied 5,496 62 6,171 139 Multifamily — — 393 — Commercial real estate 2,207 34 2,211 70 Construction/land 495 5 495 9 Consumer 38 — 50 — Total 10,343 128 11,431 274 Total impaired loans: One-to-four family residential: Owner occupied 4,623 44 4,844 122 Non-owner occupied 27,580 348 28,655 744 Multifamily 1,584 26 1,587 53 Commercial real estate 4,458 69 4,603 146 Construction/land 495 5 495 9 Consumer 148 1 167 3 Total $ 38,888 $ 493 $ 40,351 $ 1,077 Troubled Debt Restructurings. Certain loan modifications are accounted for as troubled debt restructured loans (“TDRs”). At June 30, 2017 , the TDR portfolio totaled $24.1 million , of which one loan of $106,000 was on nonaccrual status because it had previously not performed in accordance with the terms of its restructure. As of June 30, 2017 , it was current, however it will remain on nonaccrual status until it has performed for six months and is expected to continue to perform. At December 31, 2016 , the TDR portfolio totaled $30.3 million , of which one loan of $174,000 was not performing in accordance with the terms of its restructure and was on nonaccrual status. The following tables present loans that were modified as TDRs during the periods indicated and their recorded investment both before and after the modification: Three Months Ended June 30, 2017 Six Months Ended June 30, 2017 Number of Loans Pre-Modification Outstanding Post-Modification Outstanding Number of Loans Pre-Modification Outstanding Post-Modification Outstanding (Dollars in thousands) (Dollars in thousands) One-to-four family residential: Principal and interest with interest rate concession and advancement of maturity date 7 1,968 1,968 7 1,968 1,968 Total 7 1,968 1,968 7 1,968 1,968 Three Months Ended June 30, 2016 Six Months Ended June 30, 2016 Number of Loans Pre-Modification Outstanding Post-Modification Outstanding Number of Loans Pre-Modification Outstanding Post-Modification Outstanding (Dollars in thousands) One-to-four family residential: Principal and interest with interest rate concession 16 $ 3,155 $ 3,155 17 $ 3,711 $ 3,711 Commercial real estate: Interest-only payments with interest rate concession and advancement of maturity date — — — 1 495 495 Total 16 $ 3,155 $ 3,155 18 $ 4,206 $ 4,206 At June 30, 2017 , the Company had no commitments to extend additional credit to borrowers whose loan terms have been modified in TDRs. All TDRs are also classified as impaired loans and are included in the loans individually evaluated for impairment as part of the calculation of the ALLL. The TDRs that occurred during the three and six months ended June 30, 2017 and June 30, 2016 , were all on existing TDRs and included extensions of existing interest rate concessions and advancing maturity dates for a period of time ranging from one to three years. No loans accounted for as TDRs were charged-off to the ALLL for the three and six months ended June 30, 2017 and 2016 . TDRs that default after they have been modified are typically evaluated individually on a collateral basis. Any additional impairment is charged to the ALLL. For the three and six months ended June 30, 2017 , and June 30, 2016, no loans that had been modified in the previous 12 months defaulted. Credit Quality Indicators . The Company utilizes a nine-category risk rating system and assigns a risk rating for all credit exposures. The risk rating system is designed to define the basic characteristics and identify risk elements of each credit extension. Credits risk rated 1 through 5 are considered to be “pass” credits. Pass credits include assets, such as cash secured loans with funds on deposit with the Bank, where there is virtually no credit risk. Pass credits also include credits that are on the Company’s watch list, where the borrower exhibits potential weaknesses, which may, if not checked or corrected, negatively affect the borrower’s financial capacity and threaten their ability to fulfill debt obligations in the future. Credits classified as special mention are risk rated 6 and possess weaknesses that deserve management’s close attention. Special mention assets do not expose the Company to sufficient risk to warrant adverse classification in the substandard, doubtful or loss categories. Substandard credits are risk rated 7 . An asset is considered substandard if it is inadequately protected by the current net worth and payment capacity of the borrower or of any collateral pledged. Substandard assets include those characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. Assets classified as doubtful are risk rated 8 and have all the weaknesses inherent in those credits classified as substandard with the added characteristic that the weaknesses present make collection or liquidation in full highly questionable and improbable, on the basis of currently existing facts, conditions, and values. Assets classified as loss are risk rated 9 and are considered uncollectible and cannot be justified as a viable asset for the Company. There were no loans classified as doubtful or loss at June 30, 2017 and December 31, 2016 . The following tables represent a summary of loans by type and risk category at the dates indicated: June 30, 2017 One-to-Four Multifamily Commercial Construction/ Business Consumer Total (1) (In thousands) Risk Rating: Pass $ 253,095 $ 125,884 $ 313,856 $ 152,082 $ 15,206 $ 8,788 $ 868,911 Special mention 2,460 — 2,819 — — 188 5,467 Substandard 1,077 — — — — 55 1,132 Total loans $ 256,632 $ 125,884 $ 316,675 $ 152,082 $ 15,206 $ 9,031 $ 875,510 _____________ (1) Net of LIP. December 31, 2016 One-to-Four Family Residential Multifamily Commercial Real Estate Construction / Land Business Consumer Total (1) (In thousands) Risk Rating: Pass $ 245,237 $ 123,250 $ 300,655 $ 136,427 $ 7,938 $ 6,674 $ 820,181 Special mention 2,847 — 3,039 — — 188 6,074 Substandard 1,351 — — 495 — 60 1,906 Total loans $ 249,435 $ 123,250 $ 303,694 $ 136,922 $ 7,938 $ 6,922 $ 828,161 _____________ (1) Net of LIP.

Other Real Estate Owned

Other Real Estate Owned	6 Months Ended
	Jun. 30, 2017
Other Real Estate [Abstract]
Other Real Estate Owned	Other Real Estate Owned OREO includes properties acquired by the Company through foreclosure and deed in lieu of foreclosure. The following table is a summary of OREO activity during the periods shown: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 (In thousands) Balance at beginning of period $ 2,281 $ 3,405 $ 2,331 $ 3,663 Gross proceeds from sale of OREO (461 ) (985 ) (461 ) (988 ) Gain on sale of OREO 5 (89 ) 5 (87 ) Market value adjustments — — (50 ) (257 ) Balance at end of period $ 1,825 $ 2,331 $ 1,825 $ 2,331 During the three and six months ended June 30, 2017 , one OREO property sold for $461,000 , generating a gain on sale of $5,000 . For the three months ended June 30, 2017, there were no market value adjustments taken on OREO properties. However, during the three months ended March 31, 2017, a $50,000 market value adjustment was recognized on the property that was subsequently sold during the second quarter of 2017. OREO at June 30, 2017 consisted of $1.8 million in commercial real estate properties. At June 30, 2017, there were no loans secured by residential real estate properties for which formal foreclosure proceedings were in process.

Fair Value

Fair Value	6 Months Ended
	Jun. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value	Fair Value Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company determines the fair values of its financial instruments based on the fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair values. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect its estimate for market assumptions. Valuation inputs refer to the assumptions market participants would use in pricing a given asset or liability using one of the three valuation techniques. Inputs can be observable or unobservable. Observable inputs are those assumptions that market participants would use in pricing the particular asset or liability. These inputs are based on market data and are obtained from an independent source. Unobservable inputs are assumptions based on the Company’s own information or estimate of assumptions used by market participants in pricing the asset or liability. Unobservable inputs are based on the best and most current information available on the measurement date. All inputs, whether observable or unobservable, are ranked in accordance with a prescribed fair value hierarchy: • Level 1 - Quoted prices for identical instruments in active markets. • Level 2 - Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations whose inputs are observable. • Level 3 - Instruments whose significant value drivers are unobservable. The tables below present the balances of assets measured at fair value on a recurring basis (there were no transfers between Level 1, Level 2 and Level 3 recurring measurements) at June 30, 2017 and December 31, 2016 : Fair Value Measurements at June 30, 2017 Fair Value Measurements Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (In thousands) Investments available-for-sale: Mortgage-backed investments: Fannie Mae $ 46,203 $ — $ 46,203 $ — Freddie Mac 15,880 — 15,880 — Ginnie Mae 17,894 — 17,894 — Municipal bonds 14,318 — 14,318 — U.S. Government agencies 15,138 — 15,138 — Corporate bonds 24,518 — 24,518 — Total available-for-sale 133,951 — 133,951 — Derivative fair value asset 1,090 — 1,090 — $ 135,041 $ — $ 135,041 $ — Fair Value Measurements at December 31, 2016 Fair Value Measurements Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (In thousands) Investments available-for-sale: Mortgage-backed investments: Fannie Mae $ 41,332 $ — $ 41,332 $ — Freddie Mac 18,009 — 18,009 — Ginnie Mae 18,634 — 18,634 — Municipal bonds 13,107 — 13,107 — U.S. Government agencies 15,857 — 15,857 — Corporate bonds 22,321 — 22,321 — Total available-for-sale 129,260 — 129,260 — Derivative fair value asset 1,333 — 1,333 — $ 130,593 $ — $ 130,593 $ — The estimated fair value of Level 2 investments is based on quoted prices for similar investments in active markets, identical or similar investments in markets that are not active and model-derived valuations whose inputs are observable. The tables below present the balances of assets measured at fair value on a nonrecurring basis at June 30, 2017 and December 31, 2016 : Fair Value Measurements at June 30, 2017 Fair Value Quoted Prices in Significant Significant (In thousands) Impaired loans (included in loans (1) $ 24,381 $ — $ — $ 24,381 OREO 1,825 — — 1,825 Total $ 26,206 $ — $ — $ 26,206 _____________ (1) Total fair value of impaired loans is net of $204,000 of specific reserves on performing TDRs. Fair Value Measurements at December 31, 2016 Fair Value Quoted Prices in Significant Significant (In thousands) Impaired loans (included in loans (1) $ 30,632 $ — $ — $ 30,632 OREO 2,331 — — 2,331 Total $ 32,963 $ — $ — $ 32,963 _____________ (1) Total fair value of impaired loans is net of $309,000 of specific reserves on performing TDRs. The fair value of impaired loans is calculated using the collateral value method or on a discounted cash flow basis. Inputs used in the collateral value method include appraised values, less estimated costs to sell. Some of these inputs may not be observable in the marketplace. Appraised values may be discounted based on management’s knowledge of the marketplace, subsequent changes in market conditions, or management’s knowledge of the borrower. OREO properties are measured at the lower of their carrying amount or fair value, less estimated costs to sell. Fair values are generally based on third party appraisals of the property, resulting in a Level 3 classification. In cases where the carrying amount exceeds the fair value, less estimated costs to sell, an impairment loss is recognized. The following tables present quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a nonrecurring basis at June 30, 2017 and December 31, 2016 : June 30, 2017 Fair Value Valuation Technique Unobservable Input(s) Range (Weighted Average) (Dollars in thousands) Impaired Loans $ 24,381 Market approach Appraised value discounted by market or borrower conditions 0.0% (0.0%) OREO $ 1,825 Market approach Appraised value less selling costs 0.0% (0.0%) December 31, 2016 Fair Value Valuation Technique Unobservable Input(s) Range (Weighted Average) (Dollars in thousands) Impaired Loans $ 30,632 Market approach Appraised value discounted by market or borrower conditions 0.0% OREO $ 2,331 Market approach Appraised value less selling costs 0.0% The carrying amounts and estimated fair values of financial instruments were as follows at the dates indicated: June 30, 2017 Estimated Fair Value Measurements Using: Carrying Value Fair Value Level 1 Level 2 Level 3 (In thousands) Financial Assets: Cash on hand and in banks $ 7,418 $ 7,418 $ 7,418 $ — $ — Interest-earning deposits with banks 10,996 10,996 10,996 — — Investments available-for-sale 133,951 133,951 — 133,951 — Loans receivable, net 861,672 864,725 — — 864,725 FHLB stock 8,902 8,902 — 8,902 — Accrued interest receivable 3,165 3,165 — 3,165 — Derivative fair value asset 1,090 1,090 — 1,090 — Financial Liabilities: Deposits 315,059 315,059 315,059 — — Certificates of deposit, retail 345,028 345,058 — 345,058 — Certificates of deposit, brokered 75,488 75,644 — 75,644 — Advances from the FHLB 191,500 188,939 — 188,939 — Accrued interest payable 286 286 — 286 — December 31, 2016 Estimated Fair Value Measurements Using: Carrying Value Fair Value Level 1 Level 2 Level 3 (In thousands) Financial Assets: Cash on hand and in banks $ 5,779 $ 5,779 $ 5,779 $ — $ — Interest-earning deposits with banks 25,573 25,573 25,573 — — Investments available-for-sale 129,260 129,260 — 129,260 — Loans receivable, net 815,043 818,054 — — 818,054 FHLB stock 8,031 8,031 — 8,031 — Accrued interest receivable 3,147 3,147 — 3,147 — Derivative fair value asset 1,333 1,333 — 1,333 — Financial Liabilities: Deposits 285,335 285,335 285,335 — — Certificates of deposit, retail 356,653 356,723 — 356,723 — Certificates of deposit, brokered 75,488 75,431 — 75,431 — Advances from the FHLB 171,500 170,221 — 170,221 — Accrued interest payable 231 231 — 231 — Fair value estimates, methods, and assumptions are set forth below for the Company’s financial instruments: • Financial instruments with book value equal to fair value: The fair value of financial instruments that are short-term or reprice frequently and that have little or no risk are considered to have a fair value equal to book value. These instruments include cash on hand and in banks, interest-earning deposits with banks, FHLB stock, accrued interest receivable and accrued interest payable. FHLB stock is not publicly-traded, however it may be redeemed on a dollar-for-dollar basis, for any amount the Bank is not required to hold, subject to the FHLB’s discretion. The fair value is therefore equal to the book value. • Investments available-for-sale: The fair value of all investments, excluding FHLB stock, was based upon quoted market prices for similar investments in active markets, identical or similar investments in markets that are not active and model-derived valuations whose inputs are observable. • Loans receivable: For variable rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. The fair value of fixed-rate loans is estimated using discounted cash flow analysis, utilizing interest rates that would be offered for loans with similar terms to borrowers of similar credit quality. As a result of current market conditions, cash flow estimates have been further discounted to include a credit factor. The fair value of nonperforming loans is estimated using the fair value of the underlying collateral. • Derivatives: The fair value of derivatives is based on dealer quotes, pricing models, discounted cash flow methodologies or similar techniques for which the determination of fair value may require significant management judgment or estimation. • Liabilities: The fair value of deposits with no stated maturity, such as statement savings, interest-bearing checking and money market accounts, is equal to the amount payable on demand. The fair value of certificates of deposit is based on the discounted value of contractual cash flows using current interest rates for certificates of deposit with similar remaining maturities. The fair value of FHLB advances is estimated based on discounting the future cash flows using current interest rates for debt with similar remaining maturities. • Off balance sheet commitments: No fair value adjustment is necessary for commitments made to extend credit, which represents commitments for loan originations or for outstanding commitments to purchase loans. These commitments are at variable rates, are for loans with terms of less than one year and have interest rates which approximate prevailing market rates, or are set at the time of loan closing. Fair value estimates are based on existing balance sheet financial instruments without attempting to estimate the value of anticipated future business. The fair value has not been estimated for assets and liabilities that are not considered financial instruments.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2017
Share-based Compensation [Abstract]
Stock-Based Compensation	Stock-Based Compensation In June 2016, First Financial Northwest’s shareholders approved the First Financial Northwest, Inc. 2016 Equity Incentive Plan (“2016 Plan”). This plan provides for the granting of incentive stock options (“ISO”), non-qualified stock options (“NQSO”), restricted stock and restricted stock units until June 2026. The 2016 Plan established 1,400,000 shares available to grant with a maximum of 400,000 of these shares available to grant as restricted stock awards. Each share issued as a restricted stock award counts as two shares towards the total shares available to award. Under the 2016 Plan, the vesting date for each option award or restricted stock award is determined by an award committee and specified in the award agreement. In the case of restricted stock awards granted in lieu of cash payments of directors’ fees, the grant date is used as the vesting date unless the award agreement provides otherwise. As a result of the approval of the 2016 Plan, the First Financial Northwest, Inc. 2008 Equity Incentive Plan (“2008 Plan”) was frozen and no additional awards will be made. As of June 30, 2016, there were 611,756 available stock options and 74,478 available restricted stock awards that are no longer available to be awarded under the 2008 Plan. Restricted stock awards and stock options that were granted under the 2008 Plan will continue to vest and be available for exercise, subject to the 2008 Plan provisions. At June 30, 2017 , there were 1,351,028 total shares available for grant under the 2016 Plan, including 375,514 shares available to be granted as restricted stock. For the three months ended June 30, 2017 and 2016, total compensation expense for the Plan was $291,000 and $290,000 , respectively, and the related income tax benefit was $102,000 and $101,500 , respectively. For the six months ended June 30, 2017 and 2016 , total compensation expense for the Plan was $401,000 , and $383,000 , respectively, and the related income tax benefit was $141,000 and $134,000 , respectively. Included in the above compensation for the three and six months ended June 30, 2017 and 2016, directors’ compensation of $180,000 was recognized as a result of the awarding and vesting of restricted shares in lieu of cash payments of directors’ fees, with a related income tax benefit of $63,000 . Stock Options Under the 2008 Plan, stock option awards were granted with an exercise price equal to the market price of First Financial Northwest’s common stock at the grant date. These option awards have a vesting period of five years, with 20% vesting on the anniversary date of each grant date, and a contractual life of 10 years. Any unexercised stock options expires ten years after the grant date, or sooner in the event of the award recipient’s death, disability or termination of service with the Company and the Bank. Under the 2016 Plan, the exercise price and vesting period for stock options are determined by the award committee and specified in the award agreement, however, the exercise price shall not be less than the fair market value of a share as of the grant date. Any unexercised stock option will expire 10 years after the award date or sooner in the event of the award recipient’s death, disability, retirement, or termination of service. The fair value of each option award is estimated on the grant date using a Black-Scholes model that uses the following assumptions. The dividend yield is based on the current quarterly dividend in effect at the time of the grant. Historical employment data is used to estimate the forfeiture rate. The historical volatility of the Company’s stock price over a specified period of time is used for the expected volatility assumption. First Financial Northwest bases the risk-free interest rate on the U.S. Treasury Constant Maturity Indices in effect on the date of the grant. First Financial Northwest elected to use the “Share-Based Payments” method permitted by the SEC to calculate the expected term. This method uses the vesting term of an option along with the contractual term, setting the expected life at the midpoint. Under certain conditions, a cashless exercise of vested stock options may occur by the option holder surrendering the number of options valued at the current stock price at the time of exercise to cover the total cost to exercise. The surrendered options are canceled and are unavailable for reissue. A summary of the Company’s stock option plan awards and activity for the three and six months ended June 30, 2017 , follows: For the Three Months Ended June 30, 2017 Shares Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term in Years Aggregate Intrinsic Value Outstanding at April 1, 2017 506,280 $ 10.27 Granted — Exercised (18,340 ) 9.78 Outstanding at June 30, 2017 487,940 10.29 5.14 2,851,319 Vested and expected to vest assuming a 3% forfeiture 482,870 10.28 5.12 2,826,214 Exercisable at June 30, 2017 318,940 9.81 4.14 2,014,489 For the Six Months Ended June 30, 2017 Shares Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term in Years Aggregate Intrinsic Value Outstanding at January 1, 2017 603,820 $ 10.19 Granted — Exercised (115,880 ) 9.78 Outstanding at June 30, 2017 487,940 10.29 5.14 2,851,319 Vested and expected to vest assuming a 3% forfeiture rate over the vesting term 482,870 10.28 5.12 2,826,214 Exercisable at June 30, 2017 318,940 9.81 4.14 2,014,489 As of June 30, 2017 , there was $458,000 of total unrecognized compensation cost related to nonvested stock options granted under the 2008 Plan. The cost is expected to be recognized over the remaining weighted-average vesting period of 2.41 years. There were no stock options granted during the three and six months ended June 30, 2017 under either the 2008 Plan or 2016 Plan. Restricted Stock Awards The 2008 Plan authorized the grant of restricted stock awards to directors, advisory directors, officers and employees. Compensation expense is recognized over the vesting period of the awards based on the fair value of the stock at the grant date. The restricted stock awards’ fair value is equal to the stock price on the grant date. Shares awarded under this plan as restricted stock vest ratably over a five -year period beginning at the grant date with 20% vesting on the anniversary date of each grant date. The 2016 Plan authorizes the grant of restricted stock awards subject to vesting periods or terms as defined by the award committee and specified in the award agreement. Restricted stock awards granted in lieu of cash payments for directors’ fees are subject to immediate vesting on the grant date unless the award agreement provides otherwise. A summary of changes in nonvested restricted stock awards for the three and six months ended June 30, 2017 , follows: For the Three Months Ended June 30, 2017 Shares Weighted-Average Nonvested at April 1, 2017 26,400 $ 9.13 Granted 10,434 Vested (10,434 ) 17.25 Nonvested at June 30, 2017 26,400 9.13 Expected to vest assuming a 3% forfeiture rate over the vesting term 25,608 For the Six Months Ended June 30, 2017 Shares Weighted-Average Nonvested at January 1, 2017 26,400 $ 9.13 Granted 10,434 Vested (10,434 ) 17.25 Nonvested at June 30, 2017 26,400 9.13 Expected to vest assuming a 3% forfeiture rate over the vesting term 25,608 As of June 30, 2017 , there was $87,000 of total unrecognized compensation costs related to nonvested shares granted as restricted stock awards. The cost is expected to be recognized over the remaining weighted-average vesting period of 0.75 years.

Earnings Per Share

Earnings Per Share	6 Months Ended
	Jun. 30, 2017
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share Per the provisions of FASB ASC 260, Earnings Per Share , nonvested share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents are participating securities and are included in the computation of EPS pursuant to the two-class method. The two-class method is an earnings allocation formula that determines earnings per share for each class of common stock and participating security according to dividends declared (or accumulated) and participation rights in undistributed earnings. ESOP shares are considered outstanding for basic and diluted earnings per share when the shares are committed to be released. Certain of the Company’s nonvested restricted stock awards qualify as participating securities. Net income is allocated between the common stock and participating securities pursuant to the two-class method, based on their rights to receive dividends, participate in earnings, or absorb losses. Basic earnings per common shares is computed by dividing net earnings available to common shareholders by the weighted-average number of common shares outstanding during the period, excluding participating nonvested restricted shares. The following table presents a reconciliation of the components used to compute basic and diluted earnings per share for the periods indicated: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 (Dollars in thousands, except share data) Net income $ 1,868 $ 1,440 $ 4,212 $ 3,265 Less: Earnings allocated to participating (4 ) (5 ) $ (10 ) $ (11 ) Earnings allocated to common shareholders $ 1,864 $ 1,435 $ 4,202 $ 3,254 Basic weighted average common shares 10,363,345 12,390,234 10,341,654 12,567,464 Dilutive stock options 122,192 120,704 147,147 132,619 Dilutive restricted stock grants 15,292 19,782 14,222 18,072 Diluted weighted average common shares 10,500,829 12,530,720 10,503,023 12,718,155 Basic earnings per share $ 0.18 $ 0.12 $ 0.41 $ 0.26 Diluted earnings per share $ 0.18 $ 0.11 $ 0.40 $ 0.26 Potential dilutive shares are excluded from the computation of earnings per share if their effect is anti-dilutive. For the three months ended June 30, 2017 , there were 20,000 options to purchase shares of common stock that were omitted from the computation of diluted earnings per share because their effect would be anti-dilutive. For the six months ended June 30, 2017, there were no anti-dilutive shares omitted from the computation. For the three and six months ended June 30, 2016 , options to purchase an additional 60,000 shares of common stock, respectively, were excluded as their effect would be anti-dilutive.

Investments (Tables)

Investments (Tables)	6 Months Ended
	Jun. 30, 2017
Investments [Abstract]
Available-for-sale Securities	Investments available-for-sale are summarized as follows at the dates indicated: June 30, 2017 Amortized Gross Gross Fair Value (In thousands) Mortgage-backed investments: Fannie Mae $ 46,664 $ 164 $ (625 ) $ 46,203 Freddie Mac 15,865 87 (72 ) 15,880 Ginnie Mae 18,425 28 (559 ) 17,894 Municipal bonds 14,137 210 (29 ) 14,318 U.S. Government agencies 15,175 90 (127 ) 15,138 Corporate bonds 24,504 412 (398 ) 24,518 Total $ 134,770 $ 991 $ (1,810 ) $ 133,951 December 31, 2016 Amortized Gross Gross Fair Value (In thousands) Mortgage-backed investments: Fannie Mae $ 42,060 $ 126 $ (854 ) $ 41,332 Freddie Mac 18,013 95 (99 ) 18,009 Ginnie Mae 19,133 41 (540 ) 18,634 Municipal bonds 13,203 11 (107 ) 13,107 U.S. Government agencies 15,937 75 (155 ) 15,857 Corporate bonds 22,506 241 (426 ) 22,321 Total $ 130,852 $ 589 $ (2,181 ) $ 129,260
Schedule of Available for sale Securities in Continuous Unrealized Loss positions	The tables below summarize the aggregate fair value and gross unrealized loss by length of time those investment securities have been continuously in an unrealized loss position at the dates indicated: June 30, 2017 Less Than 12 Months 12 Months or Longer Total Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss (In thousands) Mortgage-backed investments: Fannie Mae $ 35,902 $ (625 ) $ — $ — $ 35,902 $ (625 ) Freddie Mac 10,039 (72 ) — — 10,039 (72 ) Ginnie Mae 16,285 (559 ) — — 16,285 (559 ) Municipal bonds 2,844 (29 ) — — 2,844 (29 ) U.S. Government agencies 8,447 (127 ) — — 8,447 (127 ) Corporate bonds 1,499 (2 ) 7,103 (396 ) 8,602 (398 ) Total $ 75,016 $ (1,414 ) $ 7,103 $ (396 ) $ 82,119 $ (1,810 ) December 31, 2016 Less Than 12 Months 12 Months or Longer Total Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss Fair Value Gross Unrealized Loss (In thousands) Mortgage-backed investments: Fannie Mae $ 34,763 $ (854 ) $ — $ — $ 34,763 $ (854 ) Freddie Mac 8,343 (99 ) — — 8,343 (99 ) Ginnie Mae 16,734 (540 ) — — 16,734 (540 ) Municipal bonds 8,815 (107 ) — — 8,815 (107 ) U.S. Government agencies 9,000 (153 ) 1,426 (2 ) 10,426 (155 ) Corporate bonds 3,880 (119 ) 4,693 (307 ) 8,573 (426 ) Total $ 81,535 $ (1,872 ) $ 6,119 $ (309 ) $ 87,654 $ (2,181 )
Schedule of Available for sale Securities, Debt Maturities	June 30, 2017 Amortized Cost Fair Value (In thousands) Due within one year $ 5,506 $ 5,521 Due after one year through five years 4,915 4,918 Due after five years through ten years 24,652 24,739 Due after ten years 18,743 18,796 53,816 53,974 Mortgage-backed investments 80,954 79,977 Total $ 134,770 $ 133,951

Loans Receivable_ Schedule of A

Loans Receivable: Schedule of Accounts, Notes, Loans and Financing Receivable (Tables)	6 Months Ended
	Jun. 30, 2017
Receivables [Abstract]
Schedule of Accounts, Notes, Loans and Financing Receivable	Loans receivable are summarized as follows at the dates indicated: June 30, 2017 December 31, 2016 (In thousands) One-to-four family residential: Permanent owner occupied $ 137,816 $ 137,834 Permanent non-owner occupied 118,816 111,601 256,632 249,435 Multifamily 125,884 123,250 Commercial real estate 317,218 303,694 Construction/land: One-to-four family residential 76,404 67,842 Multifamily 123,497 111,051 Commercial 1,100 — Land 39,012 30,055 240,013 208,948 Business 15,206 7,938 Consumer 9,031 6,922 Total loans 963,984 900,187 Less: Loans in process ("LIP") 88,475 72,026 Deferred loan fees, net 2,552 2,167 Allowance for loan and lease losses ("ALLL") 11,285 10,951 Loans receivable, net $ 861,672 $ 815,043 At June 30, 2017 , loans totaling $448.2 million were pledged to secure borrowings from the FHLB of Des Moines compared to $472.1 million at December 31, 2016 .
Schedule of Allowance for Loan and Lease Losses, Roll Forward	The following tables summarize changes in the ALLL and loan portfolio by loan type and impairment method at the dates and for the periods shown: At or For the Three Months Ended June 30, 2017 One-to-Four Multifamily Commercial Construction/ Business Consumer Total (In thousands) ALLL: Beginning balance $ 2,542 $ 1,188 $ 4,027 $ 2,791 $ 311 $ 299 $ 11,158 Charge-offs — — — — — — — Recoveries 27 — — — — — 27 Provision (recapture) 58 43 (294 ) 151 146 (4 ) 100 Ending balance $ 2,627 $ 1,231 $ 3,733 $ 2,942 $ 457 $ 295 $ 11,285 At or For the Six Months Ended June 30, 2017 One-to-Four Multifamily Commercial Construction/ Business Consumer Total (In thousands) ALLL: Beginning balance $ 2,551 $ 1,199 $ 3,893 $ 2,792 $ 237 $ 279 $ 10,951 Charge-offs — — — — — — — Recoveries 33 — — — — 1 34 Provision (recapture) 43 32 (160 ) 150 220 15 300 Ending balance $ 2,627 $ 1,231 $ 3,733 $ 2,942 $ 457 $ 295 $ 11,285 ALLL by category: General reserve $ 2,446 $ 1,231 $ 3,710 $ 2,942 $ 457 $ 295 $ 11,081 Specific reserve 181 — 23 — — — 204 Loans: (1) Total loans $ 256,632 $ 125,884 $ 316,675 $ 152,082 $ 15,206 $ 9,031 $ 875,510 Loans collectively evaluated for impairment (2) 236,951 124,738 313,015 152,082 15,206 8,933 850,925 Loans individually evaluated for impairment (3) 19,681 1,146 3,660 — — 98 24,585 ____________ (1) Net of LIP. (2) Loans collectively evaluated for general reserves. (3) Loans individually evaluated for specific reserves. At or For the Three Months Ended June 30, 2016 One-to-Four Multifamily Commercial Construction/ Business Consumer Total (In thousands) ALLL: Beginning balance $ 2,840 $ 1,184 $ 3,497 $ 1,392 $ 197 $ 361 $ 9,471 Charge-offs — — — — — — — Recoveries 63 — — — — — 63 Provision (recapture) (156 ) 10 274 488 20 (36 ) 600 Ending balance $ 2,747 $ 1,194 $ 3,771 $ 1,880 $ 217 $ 325 $ 10,134 At or For the Six Months Ended June 30, 2016 One-to-Four Multifamily Commercial Construction/ Business Consumer Total (In thousands) ALLL: Beginning balance $ 3,028 $ 1,193 $ 3,395 $ 1,193 $ 229 $ 425 $ 9,463 Charge-offs — — — — — (19 ) (19 ) Recoveries 85 — 104 — — 1 190 Provision (recapture) (366 ) 1 272 687 (12 ) (82 ) 500 Ending balance $ 2,747 $ 1,194 $ 3,771 $ 1,880 $ 217 $ 325 $ 10,134 ALLL by category: General reserve $ 2,346 $ 1,194 $ 3,664 $ 1,824 $ 217 $ 325 $ 9,570 Specific reserve 401 — 107 56 — — 564 Loans: (1) Total loans $ 251,732 $ 132,189 $ 285,449 $ 95,209 $ 7,208 $ 6,333 $ 778,120 Loans collectively evaluated for impairment (2) 220,597 130,610 281,002 94,715 7,208 6,226 740,358 Loans individually evaluated for impairment (3) 31,135 1,579 4,447 494 — 107 37,762 _____________ (1) Net of LIP. (2) Loans collectively evaluated for general reserves. (3) Loans individually evaluated for specific reserves.
Financing Receivables, Aging of loans	The following tables represent a summary of the aging of loans by type at the dates indicated: Loans Past Due as of June 30, 2017 30-59 Days 60-89 Days 90 Days and Total Past Current Total (1) (2) (In thousands) Real estate: One-to-four family residential: Owner occupied $ 85 $ — $ — $ 85 $ 137,731 $ 137,816 Non-owner occupied — — — — 118,816 118,816 Multifamily — — — — 125,884 125,884 Commercial real estate — — — — 316,675 316,675 Construction/land — — — — 152,082 152,082 Total real estate 85 — — 85 851,188 851,273 Business — — — — 15,206 15,206 Consumer — — — — 9,031 9,031 Total loans $ 85 $ — $ — $ 85 $ 875,425 $ 875,510 ________________ (1) There were no loans 90 days and greater past due and still accruing interest at June 30, 2017 . (2) Net of LIP. Loans Past Due as of December 31, 2016 30-59 Days 60-89 Days 90 Days and Total Past Current Total (1) (2) (In thousands) Real estate: One-to-four family residential: Owner occupied $ 304 $ — $ 169 $ 473 $ 137,361 $ 137,834 Non-owner occupied — — — — 111,601 111,601 Multifamily — — — — 123,250 123,250 Commercial real estate — — — — 303,694 303,694 Construction/land — — — — 136,922 136,922 Total real estate 304 — 169 473 812,828 813,301 Business — — — — 7,938 7,938 Consumer — — — — 6,922 6,922 Total loans $ 304 $ — $ 169 $ 473 $ 827,688 $ 828,161 _________________ (1) There were no loans 90 days and greater past due and still accruing interest at December 31, 2016 . (2) Net of LIP.
Schedule of non-accrual loans	The following table is a summary of nonaccrual loans by loan type at the dates indicated: June 30, 2017 December 31, 2016 (In thousands) One-to-four family residential $ 528 $ 798 Consumer 55 60 Total nonaccrual loans $ 583 $ 858
Financing Receivables, Summary of loans by type and payment activity	The following tables summarize the loan portfolio by type and payment status at the dates indicated: June 30, 2017 One-to-Four Multifamily Commercial Construction / Business Consumer Total (1) (In thousands) Performing (2) $ 256,104 $ 125,884 $ 316,675 $ 152,082 $ 15,206 $ 8,976 $ 874,927 Nonperforming (3) 528 — — — — 55 583 Total loans $ 256,632 $ 125,884 $ 316,675 $ 152,082 $ 15,206 $ 9,031 $ 875,510 _____________ (1) Net of LIP. (2) There were $137.3 million of owner-occupied one-to-four family residential loans and $118.8 million of non-owner occupied one-to-four family residential loans classified as performing. (3) The $528,000 of one-to-four family residential loans classified as nonperforming are all owner-occupied. December 31, 2016 One-to-Four Multifamily Commercial Construction/ Business Consumer Total (1) (In thousands) Performing (2) $ 248,637 $ 123,250 $ 303,694 $ 136,922 $ 7,938 $ 6,862 $ 827,303 Nonperforming (3) 798 — — — — 60 858 Total loans $ 249,435 $ 123,250 $ 303,694 $ 136,922 $ 7,938 $ 6,922 $ 828,161 _____________ (1) Net of LIP. (2) There were $137.0 million of owner-occupied one-to-four family residential loans and $111.6 million of non-owner occupied one-to-four family residential loans classified as performing. (3) The $798,000 of one-to-four family residential loans classified as nonperforming are all owner-occupied.
Schedule Of Impaired Financing Receivables	The following tables present a summary of loans individually evaluated for impairment by loan type at the dates indicated: June 30, 2017 Recorded Investment (1) Unpaid Principal Balance (2) Related Allowance (In thousands) Loans with no related allowance: One-to-four family residential: Owner occupied $ 1,982 $ 2,265 $ — Non-owner occupied 12,664 12,679 — Multifamily 1,146 1,146 — Commercial real estate 2,913 2,990 — Consumer 98 145 — Total 18,803 19,225 — Loans with an allowance: One-to-four family residential: Owner occupied 1,673 1,720 45 Non-owner occupied 3,362 3,383 136 Commercial real estate 747 747 23 Total 5,782 5,850 204 Total impaired loans: One-to-four family residential: Owner occupied 3,655 3,985 45 Non-owner occupied 16,026 16,062 136 Multifamily 1,146 1,146 — Commercial real estate 3,660 3,737 23 Consumer 98 145 — Total $ 24,585 $ 25,075 $ 204 _________________ (1) Represents the loan balance less charge-offs. (2) Contractual loan principal balance. December 31, 2016 Recorded Investment (1) Unpaid Principal Balance (2) Related Allowance (In thousands) Loans with no related allowance: One-to-four family residential: Owner occupied $ 2,216 $ 2,475 $ — Non-owner occupied 16,634 16,652 — Multifamily 1,564 1,564 — Commercial real estate 2,952 3,012 — Consumer 103 148 — Total 23,469 23,851 — Loans with an allowance: One-to-four family residential: Owner occupied 1,896 1,965 51 Non-owner occupied 4,326 4,347 151 Commercial real estate 755 755 26 Construction/land 495 495 81 Total 7,472 7,562 309 Total impaired loans: One-to-four family residential: Owner occupied 4,112 4,440 51 Non-owner occupied 20,960 20,999 151 Multifamily 1,564 1,564 — Commercial real estate 3,707 3,767 26 Construction/land 495 495 81 Consumer 103 148 — Total $ 30,941 $ 31,413 $ 309 _________________ (1) Represents the loan balance less charge-offs. (2) Contractual loan principal balance.
Schedule of Impaired Financing Receivables, Average Recorded Investment and Interest Income	The following table presents the average recorded investment in loans individually evaluated for impairment and the interest income recognized for the three and six months ended June 30, 2017 and 2016 : Three Months Ended June 30, 2017 Six Months Ended June 30, 2017 Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized (In thousands) Loans with no related allowance: One-to-four family residential: Owner occupied $ 1,997 $ 30 $ 2,070 $ 61 Non-owner occupied 13,510 181 14,551 374 Multifamily 1,149 19 1,287 37 Commercial real estate 2,923 48 2,932 101 Consumer 99 2 100 4 Total 19,678 280 20,940 577 Loans with an allowance: One-to-four family residential: Owner occupied 1,781 20 1,819 43 Non-owner occupied 3,721 39 3,922 81 Commercial real estate 749 10 751 21 Construction/land — — 165 — Total 6,251 69 6,657 145 Total impaired loans: One-to-four family residential: Owner occupied 3,778 50 3,889 104 Non-owner occupied 17,231 220 18,473 455 Multifamily 1,149 19 1,287 37 Commercial real estate 3,672 58 3,683 122 Construction/land — — 165 — Consumer 99 2 100 4 Total $ 25,929 $ 349 $ 27,597 $ 722
Troubled Debt Restructurings on Financing Receivables	: Three Months Ended June 30, 2017 Six Months Ended June 30, 2017 Number of Loans Pre-Modification Outstanding Post-Modification Outstanding Number of Loans Pre-Modification Outstanding Post-Modification Outstanding (Dollars in thousands) (Dollars in thousands) One-to-four family residential: Principal and interest with interest rate concession and advancement of maturity date 7 1,968 1,968 7 1,968 1,968 Total 7 1,968 1,968 7 1,968 1,968 Three Months Ended June 30, 2016 Six Months Ended June 30, 2016 Number of Loans Pre-Modification Outstanding Post-Modification Outstanding Number of Loans Pre-Modification Outstanding Post-Modification Outstanding (Dollars in thousands) One-to-four family residential: Principal and interest with interest rate concession 16 $ 3,155 $ 3,155 17 $ 3,711 $ 3,711 Commercial real estate: Interest-only payments with interest rate concession and advancement of maturity date — — — 1 495 495 Total 16 $ 3,155 $ 3,155 18 $ 4,206 $ 4,206
Financing Receivables, Summary of loans by type and risk category	The following tables represent a summary of loans by type and risk category at the dates indicated: June 30, 2017 One-to-Four Multifamily Commercial Construction/ Business Consumer Total (1) (In thousands) Risk Rating: Pass $ 253,095 $ 125,884 $ 313,856 $ 152,082 $ 15,206 $ 8,788 $ 868,911 Special mention 2,460 — 2,819 — — 188 5,467 Substandard 1,077 — — — — 55 1,132 Total loans $ 256,632 $ 125,884 $ 316,675 $ 152,082 $ 15,206 $ 9,031 $ 875,510 _____________ (1) Net of LIP. December 31, 2016 One-to-Four Family Residential Multifamily Commercial Real Estate Construction / Land Business Consumer Total (1) (In thousands) Risk Rating: Pass $ 245,237 $ 123,250 $ 300,655 $ 136,427 $ 7,938 $ 6,674 $ 820,181 Special mention 2,847 — 3,039 — — 188 6,074 Substandard 1,351 — — 495 — 60 1,906 Total loans $ 249,435 $ 123,250 $ 303,694 $ 136,922 $ 7,938 $ 6,922 $ 828,161 _____________ (1) Net of LIP.

Other Real Estate Owned (Tables

Other Real Estate Owned (Tables)	6 Months Ended
	Jun. 30, 2017
Other Real Estate [Abstract]
Other Real Estate, Roll Forward	The following table is a summary of OREO activity during the periods shown: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 (In thousands) Balance at beginning of period $ 2,281 $ 3,405 $ 2,331 $ 3,663 Gross proceeds from sale of OREO (461 ) (985 ) (461 ) (988 ) Gain on sale of OREO 5 (89 ) 5 (87 ) Market value adjustments — — (50 ) (257 ) Balance at end of period $ 1,825 $ 2,331 $ 1,825 $ 2,331

Fair Value (Tables)

Fair Value (Tables)	6 Months Ended
	Jun. 30, 2017
Fair Value Disclosures [Abstract]
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis	e tables below present the balances of assets measured at fair value on a recurring basis (there were no transfers between Level 1, Level 2 and Level 3 recurring measurements) at June 30, 2017 and December 31, 2016 : Fair Value Measurements at June 30, 2017 Fair Value Measurements Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (In thousands) Investments available-for-sale: Mortgage-backed investments: Fannie Mae $ 46,203 $ — $ 46,203 $ — Freddie Mac 15,880 — 15,880 — Ginnie Mae 17,894 — 17,894 — Municipal bonds 14,318 — 14,318 — U.S. Government agencies 15,138 — 15,138 — Corporate bonds 24,518 — 24,518 — Total available-for-sale 133,951 — 133,951 — Derivative fair value asset 1,090 — 1,090 — $ 135,041 $ — $ 135,041 $ — Fair Value Measurements at December 31, 2016 Fair Value Measurements Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (In thousands) Investments available-for-sale: Mortgage-backed investments: Fannie Mae $ 41,332 $ — $ 41,332 $ — Freddie Mac 18,009 — 18,009 — Ginnie Mae 18,634 — 18,634 — Municipal bonds 13,107 — 13,107 — U.S. Government agencies 15,857 — 15,857 — Corporate bonds 22,321 — 22,321 — Total available-for-sale 129,260 — 129,260 — Derivative fair value asset 1,333 — 1,333 — $ 130,593 $ — $ 130,593 $ —
Schedule of balances of assets and liabilities, measured at fair value on a non-recurring basis	e tables below present the balances of assets measured at fair value on a nonrecurring basis at June 30, 2017 and December 31, 2016 : Fair Value Measurements at June 30, 2017 Fair Value Quoted Prices in Significant Significant (In thousands) Impaired loans (included in loans (1) $ 24,381 $ — $ — $ 24,381 OREO 1,825 — — 1,825 Total $ 26,206 $ — $ — $ 26,206 _____________ (1) Total fair value of impaired loans is net of $204,000 of specific reserves on performing TDRs. Fair Value Measurements at December 31, 2016 Fair Value Quoted Prices in Significant Significant (In thousands) Impaired loans (included in loans (1) $ 30,632 $ — $ — $ 30,632 OREO 2,331 — — 2,331 Total $ 32,963 $ — $ — $ 32,963 _____________ (1) Total fair value of impaired loans is net of $309,000 of specific reserves on performing TDRs.
Schedule of quantitative information about Level 3 Fair Value Measurements on a nonrecurring basis	e following tables present quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a nonrecurring basis at June 30, 2017 and December 31, 2016 : June 30, 2017 Fair Value Valuation Technique Unobservable Input(s) Range (Weighted Average) (Dollars in thousands) Impaired Loans $ 24,381 Market approach Appraised value discounted by market or borrower conditions 0.0% (0.0%) OREO $ 1,825 Market approach Appraised value less selling costs 0.0% (0.0%) December 31, 2016 Fair Value Valuation Technique Unobservable Input(s) Range (Weighted Average) (Dollars in thousands) Impaired Loans $ 30,632 Market approach Appraised value discounted by market or borrower conditions 0.0% OREO $ 2,331 Market approach Appraised value less selling costs 0.0%
Fair Value, by Balance Sheet Grouping	e carrying amounts and estimated fair values of financial instruments were as follows at the dates indicated: June 30, 2017 Estimated Fair Value Measurements Using: Carrying Value Fair Value Level 1 Level 2 Level 3 (In thousands) Financial Assets: Cash on hand and in banks $ 7,418 $ 7,418 $ 7,418 $ — $ — Interest-earning deposits with banks 10,996 10,996 10,996 — — Investments available-for-sale 133,951 133,951 — 133,951 — Loans receivable, net 861,672 864,725 — — 864,725 FHLB stock 8,902 8,902 — 8,902 — Accrued interest receivable 3,165 3,165 — 3,165 — Derivative fair value asset 1,090 1,090 — 1,090 — Financial Liabilities: Deposits 315,059 315,059 315,059 — — Certificates of deposit, retail 345,028 345,058 — 345,058 — Certificates of deposit, brokered 75,488 75,644 — 75,644 — Advances from the FHLB 191,500 188,939 — 188,939 — Accrued interest payable 286 286 — 286 — December 31, 2016 Estimated Fair Value Measurements Using: Carrying Value Fair Value Level 1 Level 2 Level 3 (In thousands) Financial Assets: Cash on hand and in banks $ 5,779 $ 5,779 $ 5,779 $ — $ — Interest-earning deposits with banks 25,573 25,573 25,573 — — Investments available-for-sale 129,260 129,260 — 129,260 — Loans receivable, net 815,043 818,054 — — 818,054 FHLB stock 8,031 8,031 — 8,031 — Accrued interest receivable 3,147 3,147 — 3,147 — Derivative fair value asset 1,333 1,333 — 1,333 — Financial Liabilities: Deposits 285,335 285,335 285,335 — — Certificates of deposit, retail 356,653 356,723 — 356,723 — Certificates of deposit, brokered 75,488 75,431 — 75,431 — Advances from the FHLB 171,500 170,221 — 170,221 — Accrued interest payable 231 231 — 231 —

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2017
Share-based Compensation [Abstract]
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award	A summary of the Company’s stock option plan awards and activity for the three and six months ended June 30, 2017 , follows: For the Three Months Ended June 30, 2017 Shares Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term in Years Aggregate Intrinsic Value Outstanding at April 1, 2017 506,280 $ 10.27 Granted — Exercised (18,340 ) 9.78 Outstanding at June 30, 2017 487,940 10.29 5.14 2,851,319 Vested and expected to vest assuming a 3% forfeiture 482,870 10.28 5.12 2,826,214 Exercisable at June 30, 2017 318,940 9.81 4.14 2,014,489 For the Six Months Ended June 30, 2017 Shares Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term in Years Aggregate Intrinsic Value Outstanding at January 1, 2017 603,820 $ 10.19 Granted — Exercised (115,880 ) 9.78 Outstanding at June 30, 2017 487,940 10.29 5.14 2,851,319 Vested and expected to vest assuming a 3% forfeiture rate over the vesting term 482,870 10.28 5.12 2,826,214 Exercisable at June 30, 2017 318,940 9.81 4.14 2,014,489 A summary of changes in nonvested restricted stock awards for the three and six months ended June 30, 2017 , follows: For the Three Months Ended June 30, 2017 Shares Weighted-Average Nonvested at April 1, 2017 26,400 $ 9.13 Granted 10,434 Vested (10,434 ) 17.25 Nonvested at June 30, 2017 26,400 9.13 Expected to vest assuming a 3% forfeiture rate over the vesting term 25,608 For the Six Months Ended June 30, 2017 Shares Weighted-Average Nonvested at January 1, 2017 26,400 $ 9.13 Granted 10,434 Vested (10,434 ) 17.25 Nonvested at June 30, 2017 26,400 9.13 Expected to vest assuming a 3% forfeiture rate over the vesting term 25,608

Earnings Per Share_ Schedule of

Earnings Per Share: Schedule of Earnings Per Share Reconciliation (Tables)	6 Months Ended
	Jun. 30, 2017
Earnings Per Share [Abstract]
Schedule of Earnings Per Share Reconciliation	The following table presents a reconciliation of the components used to compute basic and diluted earnings per share for the periods indicated: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 (Dollars in thousands, except share data) Net income $ 1,868 $ 1,440 $ 4,212 $ 3,265 Less: Earnings allocated to participating (4 ) (5 ) $ (10 ) $ (11 ) Earnings allocated to common shareholders $ 1,864 $ 1,435 $ 4,202 $ 3,254 Basic weighted average common shares 10,363,345 12,390,234 10,341,654 12,567,464 Dilutive stock options 122,192 120,704 147,147 132,619 Dilutive restricted stock grants 15,292 19,782 14,222 18,072 Diluted weighted average common shares 10,500,829 12,530,720 10,503,023 12,718,155 Basic earnings per share $ 0.18 $ 0.12 $ 0.41 $ 0.26 Diluted earnings per share $ 0.18 $ 0.11 $ 0.40 $ 0.26

Investments_ Available-for-sale

Investments: Available-for-sale Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Amortized Cost	$ 134,770	$ 130,852
Gross Unrealized Gains	991	589
Gross Unrealized Losses	(1,810)	(2,181)
Fair Value	133,951	129,260
Mortgage-backed investments, Fannie Mae
Amortized Cost	46,664	42,060
Gross Unrealized Gains	164	126
Gross Unrealized Losses	(625)	(854)
Fair Value	46,203	41,332
Mortgage-backed investments, Freddie Mac
Amortized Cost	15,865	18,013
Gross Unrealized Gains	87	95
Gross Unrealized Losses	(72)	(99)
Fair Value	15,880	18,009
Mortgage-backed investments, Ginnie Mae
Amortized Cost	18,425	19,133
Gross Unrealized Gains	28	41
Gross Unrealized Losses	(559)	(540)
Fair Value	17,894	18,634
Municipal Bonds
Amortized Cost	14,137	13,203
Gross Unrealized Gains	210	11
Gross Unrealized Losses	(29)	(107)
Fair Value	14,318	13,107
US Government agencies
Amortized Cost	15,175	15,937
Gross Unrealized Gains	90	75
Gross Unrealized Losses	(127)	(155)
Fair Value	15,138	15,857
Corporate Bonds
Amortized Cost	24,504	22,506
Gross Unrealized Gains	412	241
Gross Unrealized Losses	(398)	(426)
Fair Value	$ 24,518	$ 22,321

Investments_ Schedule of Availa

Investments: Schedule of Available for sale Securities in Continuous Unrealized Loss positions (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Fair Value	$ 75,016	$ 81,535
Unrealized Loss	(1,414)	(1,872)
Fair Value	7,103	6,119
Unrealized Loss	(396)	(309)
Fair Value	82,119	87,654
Gross Unrealized Loss	(1,810)	(2,181)
Mortgage-backed investments, Fannie Mae
Fair Value	35,902	34,763
Unrealized Loss	(625)	(854)
Fair Value	0	0
Unrealized Loss	0	0
Fair Value	35,902	34,763
Gross Unrealized Loss	(625)	(854)
Mortgage-backed investments, Freddie Mac
Fair Value	10,039	8,343
Unrealized Loss	(72)	(99)
Fair Value	0	0
Unrealized Loss	0	0
Fair Value	10,039	8,343
Gross Unrealized Loss	(72)	(99)
Mortgage backed investments Ginnie Mae
Fair Value	16,285	16,734
Unrealized Loss	(559)	(540)
Fair Value	0	0
Unrealized Loss	0	0
Fair Value	16,285	16,734
Gross Unrealized Loss	(559)	(540)
Municipal Bonds
Fair Value	2,844	8,815
Unrealized Loss	(29)	(107)
Fair Value	0	0
Unrealized Loss	0	0
Fair Value	2,844	8,815
Gross Unrealized Loss	(29)	(107)
US Government agencies
Fair Value	8,447	9,000
Unrealized Loss	(127)	(153)
Fair Value	0	1,426
Unrealized Loss	0	(2)
Fair Value	8,447	10,426
Gross Unrealized Loss	(127)	(155)
Corporate Bonds
Fair Value	1,499	3,880
Unrealized Loss	(2)	(119)
Fair Value	7,103	4,693
Unrealized Loss	(396)	(307)
Fair Value	8,602	8,573
Gross Unrealized Loss	$ (398)	$ (426)

Investments_ Narrative (Details

Investments: Narrative (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2017USD ($)securities	Jun. 30, 2016USD ($)	Jun. 30, 2017USD ($)securities	Jun. 30, 2016USD ($)	Dec. 31, 2016USD ($)securities
Schedule of Available-for-sale Securities [Line Items]
Investments pledged as collateral for FHLB advances	50.00%		50.00%
Investments pledged as collateral for public deposits	$ 21,700,000		$ 21,700,000		$ 22,600,000
Principal repayments on investments available-for-sale	4,700,000	$ 385,000	4,700,000	$ 430,000
Net gain (loss) on sale of investments	$ (56,000)	0	$ (56,000)	0
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | securities	5		5		4
Unrealized Loss | securities	46		46		53
Proceeds from Sale of Available-for-sale Securities, Debt				0
Payments to Acquire Marketable Securities			$ 14,188,000	$ 13,285,000
Proceeds from Sale of Available-for-sale Securities		$ 0

Investments_ Schedule of Avai27

Investments: Schedule of Available for sale Securities, Debt Maturities (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Investments [Abstract]
Due within one year, Amortized Cost	$ 5,506
Due after one year through five years, Amortized Cost	4,915
Due after five years through ten years, Amortized Cost	24,652
Due after ten years, Amortized Cost	18,743
Debt maturities, Amortized Cost	53,816
Mortgage-backed investments, Amortized Cost	80,954
Amortized Cost	134,770	$ 130,852
Due within one year, Fair Value	5,521
Due after one year through five years, Fair Value	4,918
Due after five years through ten years, Fair Value	24,739
Due after ten years, Fair Value	18,796
Debt maturities, Fair Value	53,974
Mortgage-backed investments, Fair Value	79,977
Fair Value	$ 133,951

Loans Receivable_ Schedule of28

Loans Receivable: Schedule of Accounts, Notes, Loans and Financing Receivable (Details) - USD ($) $ in Thousands		Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015
Loans receivable		$ 963,984		$ 900,187
Loans in process (LIP)		88,475		72,026
Deferred loan fees, net		2,552		2,167
ALLL		11,285		10,951
Loans receivable, net		861,672		815,043
One-to-four family, residential, owner occupied
Loans receivable		137,816		137,834
One to four family residential non owner occupied
Loans receivable		118,816		111,601
One to Four Family
Loans receivable		256,632		249,435
One to four family residential
ALLL		2,627	$ 2,542	2,551	$ 2,747	$ 2,840	$ 3,028
Multifamily
Loans receivable		125,884		123,250
ALLL		1,231	1,188	1,199	1,194	1,184	1,193
Commercial Real Estate
Loans receivable		317,218		303,694
ALLL		3,733	4,027	3,893	3,771	3,497	3,395
Construction/Land Development One-to-four family residential
Loans receivable		76,404		67,842
Construction Land Development Multifamily
Loans receivable	[1]	123,497		111,051
Construction Land Development Commercial [Member]
Loans receivable	[1]	1,100		0
Construction Land Development Land Development
Loans receivable	[1]	39,012		30,055
Construction Land Development
Loans receivable	[1]	240,013		208,948
ALLL		2,942	2,791	2,792	1,880	1,392	1,193
Business
Loans receivable		15,206		7,938
ALLL		457	311	237	217	197	229
Consumer
Loans receivable		9,031		6,922
ALLL		295	299	279	325	361	425
Property total
ALLL		$ 11,285	$ 11,158	$ 10,951	$ 10,134	$ 9,471	$ 9,463
[1]	At June 30, 2017, loans totaling $448.2 million were pledged to secure borrowings from the FHLB of Des Moines compared to $472.1 million at December 31, 2016.

Loans Receivable_ Schedule of29

Loans Receivable: Schedule of Allowance for Loan and Lease Losses, Roll Forward (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Dec. 31, 2016	Jun. 30, 2016
Loans receivable allowance for loan losses	$ 11,285		$ 10,951		$ 11,285	$ 10,951
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Beginning Balance			10,951
Provision (recapture)	100	$ 600	300	$ 500
Loans and Leases Receivable, Allowance, Ending Balance	11,285		11,285
One to four family residential
Impaired Financing Receivable, Related Allowance					181		$ 401
Loans receivable allowance for loan losses	2,542	2,840	2,551	3,028	2,627	2,551	2,747
Total Loans					256,632		251,732
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Beginning Balance	2,542	2,840	2,551	3,028
Charge-offs	0	0	0	0
Recoveries	27	63	33	85
Provision (recapture)	58	(156)	43	(366)
Loans and Leases Receivable, Allowance, Ending Balance	2,627	2,747	2,627	2,747
Financing Receivable, Collectively Evaluated for Impairment					236,951		220,597
Financing Receivable, Individually Evaluated for Impairment					19,681		31,135
One to four family residential | General Reserve
Loans receivable allowance for loan losses	2,446	2,346	2,446	2,346	2,446		2,346
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Ending Balance	2,446	2,346	2,446	2,346
Multifamily
Impaired Financing Receivable, Related Allowance					0	0	0
Loans receivable allowance for loan losses	1,188	1,184	1,199	1,193	1,231	1,199	1,194
Total Loans					125,884		132,189
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Beginning Balance	1,188	1,184	1,199	1,193
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Provision (recapture)	43	10	32	1
Loans and Leases Receivable, Allowance, Ending Balance	1,231	1,194	1,231	1,194
Financing Receivable, Collectively Evaluated for Impairment					124,738		130,610
Financing Receivable, Individually Evaluated for Impairment					1,146		1,579
Multifamily | General Reserve
Loans receivable allowance for loan losses	1,231	1,194	1,231	1,194	1,231		1,194
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Ending Balance	1,231	1,194	1,231	1,194
Commercial Real Estate
Impaired Financing Receivable, Related Allowance					23	26	107
Loans receivable allowance for loan losses	4,027	3,497	3,893	3,395	3,733	3,893	3,771
Total Loans					316,675		285,449
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Beginning Balance	4,027	3,497	3,893	3,395
Charge-offs	0	0	0	0
Recoveries	0	0	0	104
Provision (recapture)	(294)	274	(160)	272
Loans and Leases Receivable, Allowance, Ending Balance	3,733	3,771	3,733	3,771
Financing Receivable, Collectively Evaluated for Impairment					313,015		281,002
Financing Receivable, Individually Evaluated for Impairment					3,660		4,447
Commercial Real Estate | General Reserve
Loans receivable allowance for loan losses	3,710	3,664	3,710	3,664	3,710		3,664
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Ending Balance	3,710	3,664	3,710	3,664
Construction Land Development
Impaired Financing Receivable, Related Allowance					0	81	56
Loans receivable allowance for loan losses	2,791	1,392	2,792	1,193	2,942	2,792	1,880
Total Loans					152,082		95,209
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Beginning Balance	2,791	1,392	2,792	1,193
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Provision (recapture)	151	488	150	687
Loans and Leases Receivable, Allowance, Ending Balance	2,942	1,880	2,942	1,880
Financing Receivable, Collectively Evaluated for Impairment					152,082		94,715
Financing Receivable, Individually Evaluated for Impairment					0		494
Construction Land Development | General Reserve
Loans receivable allowance for loan losses	2,942	1,824	2,942	1,824	2,942		1,824
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Ending Balance	2,942	1,824	2,942	1,824
Business
Impaired Financing Receivable, Related Allowance					0		0
Loans receivable allowance for loan losses	311	197	237	229	457	237	217
Total Loans					15,206		7,208
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Beginning Balance	311	197	237	229
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Provision (recapture)	146	20	220	(12)
Loans and Leases Receivable, Allowance, Ending Balance	457	217	457	217
Financing Receivable, Collectively Evaluated for Impairment					15,206		7,208
Financing Receivable, Individually Evaluated for Impairment					0		0
Business | General Reserve
Loans receivable allowance for loan losses	457	217	457	217	457		217
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Ending Balance	457	217	457	217
Consumer
Impaired Financing Receivable, Related Allowance					0		0
Loans receivable allowance for loan losses	299	361	279	425	295	279	325
Total Loans					9,031		6,333
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Beginning Balance	299	361	279	425
Charge-offs	0	0	0	(19)
Recoveries	0	0	1	1
Provision (recapture)	(4)	(36)	15	(82)
Loans and Leases Receivable, Allowance, Ending Balance	295	325	295	325
Financing Receivable, Collectively Evaluated for Impairment					8,933		6,226
Financing Receivable, Individually Evaluated for Impairment					98		107
Consumer | General Reserve
Loans receivable allowance for loan losses	295	325	295	325	295		325
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Ending Balance	295	325	295	325
Property total
Impaired Financing Receivable, Related Allowance					204	309	564
Loans receivable allowance for loan losses	11,158	9,471	10,951	9,463	11,285	$ 10,951	10,134
Total Loans					875,510		778,120
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Beginning Balance	11,158	9,471	10,951	9,463
Charge-offs	0	0	0	(19)
Recoveries	27	63	34	190
Provision (recapture)	100	600	300	500
Loans and Leases Receivable, Allowance, Ending Balance	11,285	10,134	11,285	10,134
Financing Receivable, Collectively Evaluated for Impairment					850,925		740,358
Financing Receivable, Individually Evaluated for Impairment					24,585		37,762
Property total | General Reserve
Loans receivable allowance for loan losses	11,081	9,570	11,081	9,570	$ 11,081		$ 9,570
Allowance for Loan and Lease Losses [Roll Forward]
Loans and Leases Receivable, Allowance, Ending Balance	$ 11,081	$ 9,570	$ 11,081	$ 9,570

Loans Receivable_ Narratives (D

Loans Receivable: Narratives (Details) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Loans Pledged as Collateral	$ 448,200,000		$ 448,200,000		$ 472,100,000
Loans and Leases Receivable, Impaired, Interest Lost on Nonaccrual Loans	$ 9,000	$ 13,000	$ 18,000	$ 27,000
Loans and Leases Receivable, Ratio of Nonperforming Loans to All Loans	0.01%		0.01%		0.06%
Loans and Leases Receivable, Impaired, Commitment to Lend	$ 0		$ 0		$ 0
Troubled Debt Restructuring Loans	24,100,000		24,100,000		30,300,000
Troubled Debt Restructuring Commitment To Extend Additional Credit	0	$ 0	0	$ 0
Financing Receivable, Modifications, Subsequent Default, Recorded Investment	0		0
Financing Receivable, Recorded Investment, Nonaccrual Status	$ 106,000		106,000		$ 174,000
Troubled debt restructuring, charge to Allowance for Loan and Lease Losses			$ 0
Minimum
Troubled Debt Restructuring, Interest Rate Concession Period	1 year	1 year	1 year		1 year
Maximum
Troubled Debt Restructuring, Interest Rate Concession Period	3 years	3 years	3 years		3 years

Loans Receivable_ Financing Rec

Loans Receivable: Financing Receivables, Aging of loans (Details) - USD ($)	Jun. 30, 2017		Dec. 31, 2016
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing	$ 0		$ 0
One-to-four family, residential, owner occupied
Total	85,000		473,000
Current	137,731,000		137,361,000
Total Loans	137,816,000	[1],[2]	137,834,000	[3],[4]
One to four family residential non owner occupied
Total	0		0
Current	118,816,000		111,601,000
Total Loans	118,816,000	[1],[2]	111,601,000	[3],[4]
Multifamily
Total	0		0
Current	125,884,000		123,250,000
Total Loans	125,884,000	[1],[2]	123,250,000	[3],[4]
Commercial Real Estate
Total	0		0
Current	316,675,000		303,694,000
Total Loans	316,675,000	[1],[2]	303,694,000	[3],[4]
Construction Land Development
Total	0		0
Current	152,082,000		136,922,000
Total Loans	152,082,000	[1],[2]	136,922,000	[3],[4]
Real Estate, Total
Total	85,000		473,000
Current	851,188,000		812,828,000
Total Loans	851,273,000	[1],[2]	813,301,000	[3],[4]
Business
Total	0		0
Current	15,206,000		7,938,000
Total Loans	15,206,000	[1],[2]	7,938,000	[3],[4]
Consumer
Total	0		0
Current	9,031,000		6,922,000
Total Loans	9,031,000	[1],[2]	6,922,000	[3],[4]
Property total
Total	85,000		473,000
Current	875,425,000		827,688,000
Total Loans	875,510,000	[1],[2],[5],[6]	828,161,000	[3],[4],[7],[8]
Financing Receivables, 30 to 59 Days Past Due [Member] | One-to-four family, residential, owner occupied
Total	85,000		304,000
Financing Receivables, 30 to 59 Days Past Due [Member] | One to four family residential non owner occupied
Total	0		0
Financing Receivables, 30 to 59 Days Past Due [Member] | Multifamily
Total	0		0
Financing Receivables, 30 to 59 Days Past Due [Member] | Commercial Real Estate
Total	0		0
Financing Receivables, 30 to 59 Days Past Due [Member] | Construction Land Development
Total	0		0
Financing Receivables, 30 to 59 Days Past Due [Member] | Real Estate, Total
Total	85,000		304,000
Financing Receivables, 30 to 59 Days Past Due [Member] | Business
Total	0		0
Financing Receivables, 30 to 59 Days Past Due [Member] | Consumer
Total	0		0
Financing Receivables, 30 to 59 Days Past Due [Member] | Property total
Total	85,000		304,000
Financing Receivables, 60 to 89 Days Past Due [Member] | One-to-four family, residential, owner occupied
Total	0		0
Financing Receivables, 60 to 89 Days Past Due [Member] | One to four family residential non owner occupied
Total	0		0
Financing Receivables, 60 to 89 Days Past Due [Member] | Multifamily
Total	0		0
Financing Receivables, 60 to 89 Days Past Due [Member] | Commercial Real Estate
Total	0		0
Financing Receivables, 60 to 89 Days Past Due [Member] | Construction Land Development
Total	0		0
Financing Receivables, 60 to 89 Days Past Due [Member] | Real Estate, Total
Total	0		0
Financing Receivables, 60 to 89 Days Past Due [Member] | Business
Total	0		0
Financing Receivables, 60 to 89 Days Past Due [Member] | Consumer
Total	0		0
Financing Receivables, 60 to 89 Days Past Due [Member] | Property total
Total	0		0
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | One-to-four family, residential, owner occupied
Total	0		169,000
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | One to four family residential non owner occupied
Total	0		0
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Multifamily
Total	0		0
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Commercial Real Estate
Total	0		0
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Construction Land Development
Total	0		0
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Real Estate, Total
Total	0		169,000
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Business
Total	0		0
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Consumer
Total	0		0
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Property total
Total	$ 0		$ 169,000
[1]	Net of LIP.
[2]	There were no loans 90 days and greater past due and still accruing interest at June 30, 2017.
[3]	Net of LIP.
[4]	There were no loans 90 days and greater past due and still accruing interest at December 31, 2016.
[5]	Net of LIP.
[6]	Net of LIP.
[7]	Net of LIP.
[8]	Net of LIP.

Loans Receivable Loans Receivab

Loans Receivable Loans Receivable: Schedule of non accrual loans by type (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Financing Receivable, Recorded Investment, Nonaccrual Status	$ 25,929	$ 38,888	$ 27,597	$ 40,351
Nonaccrual Loans, total	583		583		$ 858
One to Four Family
Nonaccrual Loans, total	528		528		798
Consumer
Nonaccrual Loans, total	$ 55		$ 55		$ 60

Loans Receivable_ Financing R33

Loans Receivable: Financing Receivables, Summary of loans by type and risk category (Details) - USD ($)	Jun. 30, 2017		Dec. 31, 2016
One to four family residential
Financing Receivable, Net	$ 256,632,000		$ 249,435,000
Multifamily
Financing Receivable, Net	125,884,000	[1],[2]	123,250,000	[3],[4]
Commercial Real Estate
Financing Receivable, Net	316,675,000	[1],[2]	303,694,000	[3],[4]
Construction Land Development
Financing Receivable, Net	152,082,000	[1],[2]	136,922,000	[3],[4]
Business
Financing Receivable, Net	15,206,000	[1],[2]	7,938,000	[3],[4]
Consumer
Financing Receivable, Net	9,031,000	[1],[2]	6,922,000	[3],[4]
Property total
Financing Receivable, Net	875,510,000	[1],[2],[5],[6]	828,161,000	[3],[4],[7],[8]
One-to-four family, residential, owner occupied
Financing Receivable, Net	137,816,000	[1],[2]	137,834,000	[3],[4]
One to four family residential non owner occupied
Financing Receivable, Net	118,816,000	[1],[2]	111,601,000	[3],[4]
Performing Financing Receivable | One to four family residential
Financing Receivable, Net	256,104,000	[9]	248,637,000	[10]
Performing Financing Receivable | Multifamily
Financing Receivable, Net	125,884,000	[9]	123,250,000	[10]
Performing Financing Receivable | Commercial Real Estate
Financing Receivable, Net	316,675,000	[9]	303,694,000	[10]
Performing Financing Receivable | Construction Land Development
Financing Receivable, Net	152,082,000	[9]	136,922,000	[10]
Performing Financing Receivable | Business
Financing Receivable, Net	15,206,000	[9]	7,938,000	[10]
Performing Financing Receivable | Consumer
Financing Receivable, Net	8,976,000	[9]	6,862,000	[10]
Performing Financing Receivable | Property total
Financing Receivable, Net	874,927,000	[6],[9]	827,303,000	[7],[10]
Performing Financing Receivable | One-to-four family, residential, owner occupied
Financing Receivable, Net	137,300,000		137,000,000
Performing Financing Receivable | One to four family residential non owner occupied
Financing Receivable, Net	118,800,000		111,600,000
Nonperforming Financing Receivable | One to four family residential
Financing Receivable, Net	528,000	[11]	798,000	[12]
Nonperforming Financing Receivable | Multifamily
Financing Receivable, Net	0	[11]	0	[12]
Nonperforming Financing Receivable | Commercial Real Estate
Financing Receivable, Net	0	[11]	0	[12]
Nonperforming Financing Receivable | Construction Land Development
Financing Receivable, Net	0	[11]	0	[12]
Nonperforming Financing Receivable | Business
Financing Receivable, Net	0	[11]	0	[12]
Nonperforming Financing Receivable | Consumer
Financing Receivable, Net	55,000	[11]	60,000	[12]
Nonperforming Financing Receivable | Property total
Financing Receivable, Net	583,000	[6],[11]	858,000	[7],[12]
Nonperforming Financing Receivable | One-to-four family, residential, owner occupied
Financing Receivable, Net	528,000		798,000
Pass | One to four family residential
Financing Receivable, Net	253,095,000		245,237,000
Pass | Multifamily
Financing Receivable, Net	125,884,000		123,250,000
Pass | Commercial Real Estate
Financing Receivable, Net	313,856,000		300,655,000
Pass | Construction Land Development
Financing Receivable, Net	152,082,000		136,427,000
Pass | Business
Financing Receivable, Net	15,206,000		7,938,000
Pass | Consumer
Financing Receivable, Net	8,788,000		6,674,000
Pass | Property total
Financing Receivable, Net	868,911,000	[5]	820,181,000	[8]
Special Mention | One to four family residential
Financing Receivable, Net	2,460,000		2,847,000
Special Mention | Multifamily
Financing Receivable, Net	0		0
Special Mention | Commercial Real Estate
Financing Receivable, Net	2,819,000		3,039,000
Special Mention | Construction Land Development
Financing Receivable, Net	0		0
Special Mention | Business
Financing Receivable, Net	0		0
Special Mention | Consumer
Financing Receivable, Net	188,000		188,000
Special Mention | Property total
Financing Receivable, Net	5,467,000	[5]	6,074,000	[8]
Substandard | One to four family residential
Financing Receivable, Net	1,077,000		1,351,000
Substandard | Multifamily
Financing Receivable, Net	0		0
Substandard | Commercial Real Estate
Financing Receivable, Net	0		0
Substandard | Construction Land Development
Financing Receivable, Net	0		495,000
Substandard | Business
Financing Receivable, Net	0		0
Substandard | Consumer
Financing Receivable, Net	55,000		60,000
Substandard | Property total
Financing Receivable, Net	$ 1,132,000	[5]	$ 1,906,000	[8]
[1]	Net of LIP.
[2]	There were no loans 90 days and greater past due and still accruing interest at June 30, 2017.
[3]	Net of LIP.
[4]	There were no loans 90 days and greater past due and still accruing interest at December 31, 2016.
[5]	Net of LIP.
[6]	Net of LIP.
[7]	Net of LIP.
[8]	Net of LIP.
[9]	There were $137.3 million of owner-occupied one-to-four family residential loans and $118.8 million of non-owner occupied one-to-four family residential loans classified as performing.
[10]	There were $137.0 million of owner-occupied one-to-four family residential loans and $111.6 million of non-owner occupied one-to-four family residential loans classified as performing.
[11]	The $528,000 of one-to-four family residential loans classified as nonperforming are all owner-occupied. December 31, 2016 One-to-FourFamilyResidential Multifamily CommercialReal Estate Construction/Land Business Consumer Total (1) (In thousands)Performing (2)$248,637 $123,250 $303,694 $136,922 $7,938 $6,862 $827,303Nonperforming (3)798 — — — — 60 858Total loans$249,435 $123,250 $303,694 $136,922 $7,938 $6,922 $828,161
[12]	The $798,000 of one-to-four family residential loans classified as nonperforming are all owner-occupied.

Loans Receivable_ Schedule of I

Loans Receivable: Schedule of Impaired Financing Receivables (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2017		Jun. 30, 2016	Jun. 30, 2017		Jun. 30, 2016	Dec. 31, 2016
Impaired Financing Receivable, with No Related Allowance, Average Recorded Investment	$ 19,678		$ 28,545	$ 20,940		$ 28,920
Impaired Financing Receivable, with No Related Allowance, Interest Income Recognized	280		365	577		803
Impaired Financing Receivable, Recorded Investment	24,381	[1]		24,381	[1]		$ 30,632	[2]
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment	6,251		10,343	6,657		11,431
Impaired Financing Receivable, with Related Allowance, Interest Income Recognized	69		128	145		274
Impaired Financing Receivable, Average Recorded Investment	25,929		38,888	27,597		40,351
Impaired Financing Receivable, Interest Income, Accrual Method	349		493	722		1,077
One-to-four family, residential, owner occupied
Impaired Financing Receivable, with No Related Allowance, Recorded Investment	1,982	[3]		1,982	[3]		2,216	[4]
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance	2,265	[5]		2,265	[5]		2,475	[6]
Impaired Financing Receivable, with Related Allowance, Recorded Investment	1,673	[3]		1,673	[3]		1,896	[4]
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance	1,720	[5]		1,720	[5]		1,965	[6]
Impaired Financing Receivable, Related Allowance	45			45			51
Impaired Financing Receivable, Recorded Investment	3,655	[3]		3,655	[3]		4,112	[4]
Impaired Financing Receivable, Unpaid Principal Balance	3,985	[5]		3,985	[5]		4,440	[6]
One to four family residential non owner occupied
Impaired Financing Receivable, with No Related Allowance, Recorded Investment	12,664	[3]		12,664	[3]		16,634	[4]
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance	12,679	[5]		12,679	[5]		16,652	[6]
Impaired Financing Receivable, with Related Allowance, Recorded Investment	3,362	[3]		3,362	[3]		4,326	[4]
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance	3,383	[5]		3,383	[5]		4,347	[6]
Impaired Financing Receivable, Related Allowance	136			136			151
Impaired Financing Receivable, Recorded Investment	16,026	[3]		16,026	[3]		20,960	[4]
Impaired Financing Receivable, Unpaid Principal Balance	16,062	[5]		16,062	[5]		20,999	[6]
Multifamily
Impaired Financing Receivable, with No Related Allowance, Recorded Investment	1,146			1,146			1,564	[4]
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance	1,146			1,146			1,564	[4]
Impaired Financing Receivable, Related Allowance	0		0	0		0	0
Impaired Financing Receivable, Recorded Investment	1,146	[3]		1,146	[3]		1,564	[4]
Impaired Financing Receivable, Unpaid Principal Balance	1,146	[5]		1,146	[5]		1,564	[6]
Commercial Real Estate
Impaired Financing Receivable, with No Related Allowance, Recorded Investment	2,913	[3]		2,913	[3]		2,952	[4]
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance	2,990	[5]		2,990	[5]		3,012	[6]
Impaired Financing Receivable, with Related Allowance, Recorded Investment	747	[3]		747	[3]		755	[4]
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance	747	[5]		747	[5]		755	[6]
Impaired Financing Receivable, Related Allowance	23		107	23		107	26
Impaired Financing Receivable, Recorded Investment	3,660	[3]		3,660	[3]		3,707	[4]
Impaired Financing Receivable, Unpaid Principal Balance	3,737	[5]		3,737	[5]		3,767	[6]
Consumer
Impaired Financing Receivable, with No Related Allowance, Recorded Investment	98	[3]		98	[3]		103	[4]
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance	145	[5]		145	[5]		148	[6]
Impaired Financing Receivable, Related Allowance	0			0			0
Impaired Financing Receivable, Recorded Investment	98	[3]		98	[3]		103	[4]
Impaired Financing Receivable, Unpaid Principal Balance	145	[5]		145	[5]		148	[6]
Construction Land Development [Member]
Impaired Financing Receivable, with Related Allowance, Recorded Investment							495
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance							495
Impaired Financing Receivable, Related Allowance	0		56	0		56	81
Impaired Financing Receivable, Recorded Investment							495
Impaired Financing Receivable, Unpaid Principal Balance							495
Property total
Impaired Financing Receivable, with No Related Allowance, Recorded Investment	18,803	[3]		18,803	[3]		23,469	[4]
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance	19,225	[5]		19,225	[5]		23,851	[6]
Impaired Financing Receivable, with Related Allowance, Recorded Investment	5,782	[3]		5,782	[3]		7,472	[4]
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance	5,850	[5]		5,850	[5]		7,562	[6]
Impaired Financing Receivable, Related Allowance	204		$ 564	204		$ 564	309
Impaired Financing Receivable, Recorded Investment	24,585	[3]		24,585	[3]		30,941	[4]
Impaired Financing Receivable, Unpaid Principal Balance	$ 25,075	[5]		$ 25,075	[5]		$ 31,413	[6]
[1]	tal fair value of impaired loans is net of $204,000 of specific reserves on performing TDRs. Fair Value Measurements at December 31, 2016 Fair ValueMeasurements Quoted Prices inActive Marketsfor IdenticalAssets (Level 1) SignificantOtherObservableInputs (Level 2) SignificantUnobservableInputs(Level 3) (In thousands)Impaired loans (included in loans receivable, net) (1)$30,632 $— $— $30,632OREO 2,331 — — 2,331Total$32,963 $— $— $32,963
[2]	tal fair value of impaired loans is net of $309,000 of specific reserves on performing TDRs.
[3]	Represents the loan balance less charge-offs.
[4]	Represents the loan balance less charge-offs.
[5]	Contractual loan principal balance.
[6]	Contractual loan principal balance.

Loans Receivable_ Average Recor

Loans Receivable: Average Recorded Investment and Interest Income Recognized (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Accounts, Notes, Loans and Financing Receivable
Impaired Financing Receivable, with No Related Allowance, Average Recorded Investment	$ 19,678	$ 28,545	$ 20,940	$ 28,920
Impaired Financing Receivable, with No Related Allowance, Interest Income Recognized	280	365	577	803
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment	6,251	10,343	6,657	11,431
Impaired Financing Receivable, with Related Allowance, Interest Income Recognized	69	128	145	274
Impaired Financing Receivable, Average Recorded Investment	25,929	38,888	27,597	40,351
Impaired Financing Receivable, Interest Income, Accrual Method	349	493	722	1,077
One-to-four family, residential, owner occupied
Accounts, Notes, Loans and Financing Receivable
Impaired Financing Receivable, with No Related Allowance, Average Recorded Investment	1,997	2,516	2,070	2,733
Impaired Financing Receivable, with No Related Allowance, Interest Income Recognized	30	17	61	66
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment	1,781	2,107	1,819	2,111
Impaired Financing Receivable, with Related Allowance, Interest Income Recognized	20	27	43	56
Impaired Financing Receivable, Average Recorded Investment	3,778	4,623	3,889	4,844
Impaired Financing Receivable, Interest Income, Accrual Method	50	44	104	122
One to four family residential non owner occupied
Accounts, Notes, Loans and Financing Receivable
Impaired Financing Receivable, with No Related Allowance, Average Recorded Investment	13,510	22,084	14,551	22,484
Impaired Financing Receivable, with No Related Allowance, Interest Income Recognized	181	286	374	605
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment	3,721	5,496	3,922	6,171
Impaired Financing Receivable, with Related Allowance, Interest Income Recognized	39	62	81	139
Impaired Financing Receivable, Average Recorded Investment	17,231	27,580	18,473	28,655
Impaired Financing Receivable, Interest Income, Accrual Method	220	348	455	744
Multifamily
Accounts, Notes, Loans and Financing Receivable
Impaired Financing Receivable, with No Related Allowance, Average Recorded Investment	1,149	1,584	1,287	1,194
Impaired Financing Receivable, with No Related Allowance, Interest Income Recognized	19	26	37	53
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment		0		393
Impaired Financing Receivable, with Related Allowance, Interest Income Recognized		0		0
Impaired Financing Receivable, Average Recorded Investment	1,149	1,584	1,287	1,587
Impaired Financing Receivable, Interest Income, Accrual Method	19	26	37	53
Commercial Real Estate
Accounts, Notes, Loans and Financing Receivable
Impaired Financing Receivable, with No Related Allowance, Average Recorded Investment	2,923	2,251	2,932	2,392
Impaired Financing Receivable, with No Related Allowance, Interest Income Recognized	48	35	101	76
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment	749	2,207	751	2,211
Impaired Financing Receivable, with Related Allowance, Interest Income Recognized	10	34	21	70
Impaired Financing Receivable, Average Recorded Investment	3,672	4,458	3,683	4,603
Impaired Financing Receivable, Interest Income, Accrual Method	58	69	122	146
Consumer Loan
Accounts, Notes, Loans and Financing Receivable
Impaired Financing Receivable, with No Related Allowance, Average Recorded Investment	99	110	100	117
Impaired Financing Receivable, with No Related Allowance, Interest Income Recognized	2	1	4	3
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment		38		50
Impaired Financing Receivable, with Related Allowance, Interest Income Recognized		0		0
Impaired Financing Receivable, Average Recorded Investment	99	148	100	167
Impaired Financing Receivable, Interest Income, Accrual Method	2	1	4	3
Construction Land Development
Accounts, Notes, Loans and Financing Receivable
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment	0	495	165	495
Impaired Financing Receivable, with Related Allowance, Interest Income Recognized	0	5	0	9
Impaired Financing Receivable, Average Recorded Investment	0	495	165	495
Impaired Financing Receivable, Interest Income, Accrual Method	$ 0	$ 5	$ 0	$ 9

Loans Receivable_ Troubled Debt

Loans Receivable: Troubled Debt Restructurings on Financing Receivables (Details)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2017USD ($)loan	Jun. 30, 2016USD ($)loan	Jun. 30, 2017USD ($)loan	Jun. 30, 2016USD ($)loan	Dec. 31, 2016USD ($)
Financing Receivable, Modifications, Recorded Investment	$ 24,100,000		$ 24,100,000		$ 30,300,000
Financing Receivable, Recorded Investment, Nonaccrual Status	106,000		106,000		$ 174,000
Troubled Debt Restructuring Commitment To Extend Additional Credit	$ 0	$ 0	$ 0	$ 0
Number of Loans | loan	7	16	7	18
Pre-Modifications Outstanding Recorded Investment	$ 1,968,000	$ 3,155,000	$ 1,968	$ 4,206,000
Post-Modifications Outstanding Recorded Investment	1,968,000	$ 3,155,000	1,968	$ 4,206,000
Financing Receivable, Modifications, Subsequent Default, Recorded Investment	$ 0		$ 0
One to four family residential [Member] | Principal and interest with interest rate concession and advancement of maturity date
Number of Loans | loan	7	16	7	17
Pre-Modifications Outstanding Recorded Investment	$ 1,968,000	$ 3,155,000	$ 1,968	$ 3,711,000
Post-Modifications Outstanding Recorded Investment	$ 1,968,000	$ 3,155,000	$ 1,968	$ 3,711,000
Commercial Real Estate | Advancement of maturity date
Number of Loans | loan		0		1
Pre-Modifications Outstanding Recorded Investment		$ 0		$ 495,000
Post-Modifications Outstanding Recorded Investment		$ 0		$ 495,000
Minimum [Member]
Troubled Debt Restructuring, Interest Rate Concession Period	1 year	1 year	1 year		1 year
Maximum [Member]
Troubled Debt Restructuring, Interest Rate Concession Period	3 years	3 years	3 years		3 years

Other Real Estate Owned - Other

Other Real Estate Owned - Other Real Estate, Roll Forward (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Other Real Estate [Roll Forward]
Balance at beginning of period	$ 2,281,000	$ 3,405,000	$ 2,331,000	$ 3,663,000
Gross proceeds from sale of OREO	(461,000)	(985,000)	(461,000)	(988,000)
Gain on sale of OREO	5,000	(89,000)	5,000	(87,000)
Market value adjustments	0	0	(50,000)	(257,000)
Balance at end of period	$ 1,825,000	$ 2,331,000	$ 1,825,000	$ 2,331,000

Other Real Estate Owned (Detail

Other Real Estate Owned (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Mar. 31, 2017	Dec. 31, 2016	Mar. 31, 2016	Dec. 31, 2015
Other Real Estate, Disposals	$ 456,000		$ 461,000
Gains (Losses) on Sales of Other Real Estate	5,000	$ (89,000)	5,000	$ (87,000)
Other Real Estate, Valuation Adjustments	0	0	50,000	257,000
Proceeds from sales of OREO properties	461,000	985,000	461,000	988,000
Other Real Estate	1,825,000	$ 2,331,000	1,825,000	$ 2,331,000	$ 2,281,000	$ 2,331,000	$ 3,405,000	$ 3,663,000
Commercial Real Estate
Other Real Estate	$ 1,800,000		$ 1,800,000

Fair Value (Details)

Fair Value (Details) - USD ($)	6 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Specific reserves on performing TDRs	$ 204,000	$ 309,000
Loans Receivable
Fair value, option, methodology and assumptions	The fair value of impaired loans is calculated using the collateral value method or on a discounted cash flow basis. Inputs used in the collateral value method include appraised values, less estimated costs to sell. Some of these inputs may not be observable in the marketplace.

Fair Value_ Schedule of Fair Va

Fair Value: Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Investments, fair value disclosure	$ 133,951	$ 129,260
Derivative Asset, Fair Value, Gross Asset	1,090	1,333
Assets, Fair Value Disclosure, Recurring	135,041	130,593
Mortgage-backed investments, Fannie Mae
Investments, fair value disclosure	46,203	41,332
Mortgage-backed investments, Freddie Mac
Investments, fair value disclosure	15,880	18,009
Mortgage-backed investments, Ginnie Mae
Investments, fair value disclosure	17,894	18,634
Municipal Bonds
Investments, fair value disclosure	14,318	13,107
US Government agencies
Investments, fair value disclosure	15,138	15,857
Corporate Bonds
Investments, fair value disclosure	24,518	22,321
Derivative Financial Instruments, Assets [Member]
Derivative Asset, Fair Value, Gross Asset	1,090	1,333
Quoted Prices in Active Markets for Identical Assets (Level 1)
Investments, fair value disclosure	0	0
Derivative Asset, Fair Value, Gross Asset	0	0
Assets, Fair Value Disclosure, Recurring	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed investments, Fannie Mae
Investments, fair value disclosure	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed investments, Freddie Mac
Investments, fair value disclosure	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed investments, Ginnie Mae
Investments, fair value disclosure	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Municipal Bonds
Investments, fair value disclosure	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | US Government agencies
Investments, fair value disclosure	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate Bonds
Investments, fair value disclosure	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Derivative Financial Instruments, Assets [Member]
Derivative Asset, Fair Value, Gross Asset	0	0
Significant Other Observable Inputs (Level 2)
Investments, fair value disclosure	133,951	129,260
Derivative Asset, Fair Value, Gross Asset	1,090	1,333
Assets, Fair Value Disclosure, Recurring	135,041	130,593
Significant Other Observable Inputs (Level 2) | Mortgage-backed investments, Fannie Mae
Investments, fair value disclosure	46,203	41,332
Significant Other Observable Inputs (Level 2) | Mortgage-backed investments, Freddie Mac
Investments, fair value disclosure	15,880	18,009
Significant Other Observable Inputs (Level 2) | Mortgage-backed investments, Ginnie Mae
Investments, fair value disclosure	17,894	18,634
Significant Other Observable Inputs (Level 2) | Municipal Bonds
Investments, fair value disclosure	14,318	13,107
Significant Other Observable Inputs (Level 2) | US Government agencies
Investments, fair value disclosure	15,138	15,857
Significant Other Observable Inputs (Level 2) | Corporate Bonds
Investments, fair value disclosure	24,518	22,321
Significant Other Observable Inputs (Level 2) | Derivative Financial Instruments, Assets [Member]
Derivative Asset, Fair Value, Gross Asset	1,090	1,333
Significant Unobservable Inputs (Level 3)
Investments, fair value disclosure	0	0
Derivative Asset, Fair Value, Gross Asset	0	0
Assets, Fair Value Disclosure, Recurring	0	0
Significant Unobservable Inputs (Level 3) | Mortgage-backed investments, Fannie Mae
Investments, fair value disclosure	0	0
Significant Unobservable Inputs (Level 3) | Mortgage-backed investments, Freddie Mac
Investments, fair value disclosure	0	0
Significant Unobservable Inputs (Level 3) | Mortgage-backed investments, Ginnie Mae
Investments, fair value disclosure	0	0
Significant Unobservable Inputs (Level 3) | Municipal Bonds
Investments, fair value disclosure	0	0
Significant Unobservable Inputs (Level 3) | US Government agencies
Investments, fair value disclosure	0	0
Significant Unobservable Inputs (Level 3) | Corporate Bonds
Investments, fair value disclosure	0	0
Significant Unobservable Inputs (Level 3) | Derivative Financial Instruments, Assets [Member]
Derivative Asset, Fair Value, Gross Asset	$ 0	$ 0

Fair Value_ Schedule of balance

Fair Value: Schedule of balances of assets and liabilities, measured at fair value on a non-recurring basis (Details) - USD ($) $ in Thousands	Jun. 30, 2017		Mar. 31, 2017	Dec. 31, 2016		Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015
Derivative Asset, Fair Value, Gross Asset	$ 1,090			$ 1,333
Impaired loans (included in loans receivable, net)	24,381	[1]		30,632	[2]
OREO	1,825		$ 2,281	2,331		$ 2,331	$ 3,405	$ 3,663
Total, Fair Value	26,206			32,963
Quoted Prices in Active Markets for Identical Assets (Level 1)
Derivative Asset, Fair Value, Gross Asset	0			0
Impaired loans (included in loans receivable, net)	0	[1]		0	[2]
OREO	0			0
Total, Fair Value	0			0
Significant Other Observable Inputs (Level 2)
Derivative Asset, Fair Value, Gross Asset	1,090			1,333
Impaired loans (included in loans receivable, net)	0	[1]		0	[2]
OREO	0			0
Total, Fair Value	0			0
Significant Unobservable Inputs (Level 3)
Derivative Asset, Fair Value, Gross Asset	0			0
Impaired loans (included in loans receivable, net)	24,381	[1]		30,632	[2]
OREO	1,825			2,331
Total, Fair Value	$ 26,206			$ 32,963
[1]	tal fair value of impaired loans is net of $204,000 of specific reserves on performing TDRs. Fair Value Measurements at December 31, 2016 Fair ValueMeasurements Quoted Prices inActive Marketsfor IdenticalAssets (Level 1) SignificantOtherObservableInputs (Level 2) SignificantUnobservableInputs(Level 3) (In thousands)Impaired loans (included in loans receivable, net) (1)$30,632 $— $— $30,632OREO 2,331 — — 2,331Total$32,963 $— $— $32,963
[2]	tal fair value of impaired loans is net of $309,000 of specific reserves on performing TDRs.

Fair Value_ Schedule of quantit

Fair Value: Schedule of quantitative information about Level 3 Fair Value Measurements on a nonrecurring basis (Details) - Level 3 - Market Approach Valuation Technique - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Loans Receivable
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
Fair Value	$ 24,381	$ 30,632
Fair Value Measurements, Valuation Techniques	Market approach	Market approach
Unobservable Input(s)	Appraised value discounted by market or borrower conditions	Appraised value discounted by market or borrower conditions
Loans Receivable | Minimum
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
Fair value of financial instruments, range	0.00%	0.00%
Loans Receivable | Maximum
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
Fair value of financial instruments, range	0.00%	0.00%
Loans Receivable | Weighted Average
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
Fair value of financial instruments, range	0.00%	0.00%
Other Real Estate Owned
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
Fair Value	$ 1,825	$ 2,331
Fair Value Measurements, Valuation Techniques	Market approach	Market approach
Unobservable Input(s)	Appraised value less selling costs	Appraised value less selling costs
Other Real Estate Owned | Minimum
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
Fair value of financial instruments, range	0.00%	0.00%
Other Real Estate Owned | Maximum
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
Fair value of financial instruments, range	0.00%	0.00%
Other Real Estate Owned | Weighted Average
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
Fair value of financial instruments, range	0.00%	0.00%

Fair Value_ Balance Sheet Group

Fair Value: Balance Sheet Grouping (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Investments available-for-sale	$ 133,951	$ 129,260
FHLB stock	8,902	8,031
Derivative Asset, Fair Value, Gross Asset	1,090	1,333
Level 1
Cash on hand and in banks	7,418	5,779
Interest-earning deposits with banks	10,996	25,573
Investments available-for-sale	0	0
Loans receivable, net	0	0
FHLB stock	0	0
Accrued interest receivable	0	0
Derivative Asset, Fair Value, Gross Asset	0	0
Deposits	315,059	285,335
Certificates of deposit, retail	0	0
Certificates of deposit, brokered	0	0
Advances from the FHLB	0	0
Accrued interest payable	0	0
Level 2
Cash on hand and in banks	0	0
Interest-earning deposits with banks	0	0
Investments available-for-sale	133,951	129,260
Loans receivable, net	0	0
FHLB stock	8,902	8,031
Accrued interest receivable	3,165	3,147
Derivative Asset, Fair Value, Gross Asset	1,090	1,333
Deposits	0	0
Certificates of deposit, retail	345,058	356,723
Certificates of deposit, brokered	75,644	75,431
Advances from the FHLB	188,939	170,221
Accrued interest payable	286	231
Level 3
Cash on hand and in banks	0	0
Interest-earning deposits with banks	0	0
Investments available-for-sale	0	0
Loans receivable, net	864,725	818,054
FHLB stock	0	0
Accrued interest receivable	0	0
Derivative Asset, Fair Value, Gross Asset	0	0
Deposits	0	0
Certificates of deposit, retail	0	0
Certificates of deposit, brokered	0	0
Advances from the FHLB	0	0
Accrued interest payable	0	0
Carrying Value
Cash on hand and in banks	7,418	5,779
Interest-earning deposits with banks	10,996	25,573
Investments available-for-sale	133,951	129,260
Loans receivable, net	861,672	815,043
FHLB stock	8,902	8,031
Accrued interest receivable	3,165	3,147
Derivative Asset, Fair Value, Gross Asset	1,090	1,333
Deposits	315,059	285,335
Certificates of deposit, retail	345,028	356,653
Certificates of deposit, brokered	75,488	75,488
Advances from the FHLB	191,500	171,500
Accrued interest payable	286	231
Fair Value
Cash on hand and in banks	7,418	5,779
Interest-earning deposits with banks	10,996	25,573
Investments available-for-sale	133,951	129,260
Loans receivable, net	864,725	818,054
FHLB stock	8,902	8,031
Accrued interest receivable	3,165	3,147
Derivative Asset, Fair Value, Gross Asset	1,090	1,333
Deposits	315,059	285,335
Certificates of deposit, retail	345,058	356,723
Certificates of deposit, brokered	75,644	75,431
Advances from the FHLB	188,939	170,221
Accrued interest payable	$ 286	$ 231

Derivatives (Details)

Derivatives (Details) - USD ($)	3 Months Ended	6 Months Ended	12 Months Ended
	Dec. 31, 2016	Jun. 30, 2017	Dec. 31, 2016
Derivative [Line Items]
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax	$ 866,000	$ 707,000	$ 709,000
Derivative Asset, Fair Value, Gross Asset	1,333,000	1,090,000	1,333,000
Gain (Loss) on Cash Flow Hedge Ineffectiveness, Net			0
FHLB of Des Moines [Member]
Derivative [Line Items]
Debt Instrument, Face Amount	50,000,000		50,000,000
Cash Flow Hedging [Member]
Derivative [Line Items]
Derivative, Notional Amount	50,000,000		50,000,000
Derivative Asset, Fair Value, Gross Asset	$ 1,333,000	$ 1,090,000	$ 1,333,000
Derivative, Fixed Interest Rate	1.34%		1.34%

Stock-Based Compensation - Narr

Stock-Based Compensation - Narrative (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Allocated Share-based Compensation Expense	$ 291,000	$ 290,000	$ 401,000	$ 383,000
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense	$ 102,000	$ 101,500	$ 141,000	$ 134,000
First Financial Northwest Inc 2016 Equity Incentive Plan | Stock Options
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	1,400,000		1,400,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	1,351,028		1,351,028
First Financial Northwest Inc 2016 Equity Incentive Plan | Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	400,000		400,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	375,514		375,514
First Financial Northwest, Inc. 2008 Equity Incentive Plan | Stock Options
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	611,756		611,756
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period			5 years
Share-based Compensation Arrangement by Share-based Payment Award, Options, Percentage Vesting Per Annum			20.00%
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period			10 years
First Financial Northwest, Inc. 2008 Equity Incentive Plan | Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	74,478		74,478
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period			5 years
Share-based Compensation Arrangement by Share-based Payment Award, Options, Percentage Vesting Per Annum			20.00%
Director [Member]
Allocated Share-based Compensation Expense	$ 0		$ 180,000
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense	$ 0
Other Tax Expense (Benefit)			$ (63,000)

Stock-Based Compensation Disclo

Stock-Based Compensation Disclosure of Share-based Compensation Arrangements by Share-based Payment Award (Details)	3 Months Ended			6 Months Ended		12 Months Ended
	Jun. 30, 2017USD ($)$ / sharesshares	Mar. 31, 2017USD ($)$ / sharesshares	Jun. 30, 2016USD ($)	Jun. 30, 2017USD ($)$ / sharesshares	Jun. 30, 2016USD ($)	Dec. 31, 2016USD ($)$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures	0			0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Outstanding Beginning Balance, Shares	506,280	603,820		603,820
Exercised, Shares	(18,340)			(115,880)
Outstanding Ending Balance, Shares	487,940	506,280		487,940		603,820
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward]
Outstanding Beginning Balance, Weighted Average Exercise Price | $ / shares	$ 10.27	$ 10.19		$ 10.19
Exercised, Weighted Average Exercise Price | $ / shares	9.78			9.78
Outstanding Ending Balance, Weighted Average Exercise Price | $ / shares	$ 10.29	$ 10.27		$ 10.29		$ 10.19
Share-based Compensations Arrangement by Share-based Payment Award, Options Outstanding, Weighted Average Remaining Contractual Term [Roll Forward]
Outstanding Beginning Balance, Weighted Average Remaining Contractual Term	5 years 1 month 19 days			5 years 1 month 19 days
Outstanding Ending Balance, Weighted Average Remaining Contractual Term	5 years 1 month 19 days			5 years 1 month 19 days
Share-based Compensation Arrangement by Share-based Payment Award, Options Outstanding, Aggregate Intrinsic [Roll Forward]
Outstanding Beginning Balance, Aggregate Intrinsic Value | $
Exercised, Aggregate Intrinsic Value | $
Outstanding Ending Balance, Aggregate Intrinsic Value | $	$ 2,851,319			$ 2,851,319
Share Based Compensation, Stock Option Plan, Additional Disclosures [Abstract]
Expected to Vest, Shares	482,870			482,870
Expected to Vest, Weighted Average Exercise Price | $ / shares	$ 10.28			$ 10.28
Expected to Vest, Weighted Average Remaining Contractual Term in Years	5 years 1 month 12 days			5 years 1 month 12 days
Expected to Vest, Aggregate Intrinsic Value | $	$ 2,826,214			$ 2,826,214
Exercisable at end of period, Shares	318,940			318,940
Exercisable at end of period, Weighted Average Exercise Price | $ / shares	9.81			9.81
Exercisable at end of period, Weighted Average Remaining Contractual Term in Years	4 years 1 month 19 days			4 years 1 month 19 days
Exercisable at end of period, Aggregate Intrinsic Value | $	$ 2,014,489			$ 2,014,489
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ / shares				$ 0
Total compensation expense | $	$ 291,000		$ 290,000	$ 401,000	$ 383,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	0
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ / shares
Share-based Compensation Arrangement by Share-based Payment Award, Options, Granted in Period, Aggregate Intrinsic Value | $
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward]
Estimated Forfeiture Rate	3.00%			3.00%
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward]
Estimated Forfeiture Rate	3.00%			3.00%
First Financial Northwest, Inc. 2008 Equity Incentive Plan | Stock Options
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $	$ 458,000			$ 458,000
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period				5 years
Share-based Compensation Arrangement by Share-based Payment Award, Options, Percentage Vesting Per Annum				20.00%
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period				10 years
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not Yet Recognized, Weighted-Average Vesting Period				2 years 4 months 29 days
First Financial Northwest, Inc. 2008 Equity Incentive Plan | Restricted Stock
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $	$ 87,000			$ 87,000
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]
Nonvested Beginning Balance	26,400	26,400		26,400
Granted, Shares	10,434			10,434
Vested, Shares	(10,434)			(10,434)
Nonvested Ending Balance	26,400	26,400		26,400		26,400
Expected to vest assuming a 3% forfeiture rate over the vesting term, Shares	25,608			25,608
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward]
Nonvested Beginning Balance, Weighted-Average Grant Date Fair Value | $ / shares	$ 9.13	$ 9.13		$ 9.13
Granted, Weighted Average Grant Date Fair Value | $ / shares
Vested, Weighted-Average Grant Date Fair Value | $ / shares	17.25			17.25
Nonvested Ending Balance, Weighted-Average Grant Date Fair Value | $ / shares	$ 9.13	$ 9.13		$ 9.13		$ 9.13
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period				5 years
Share-based Compensation Arrangement by Share-based Payment Award, Options, Percentage Vesting Per Annum				20.00%
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not Yet Recognized, Weighted-Average Vesting Period				9 months

Earnings Per Share_ Schedule 47

Earnings Per Share: Schedule of Earnings Per Share Reconciliation (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Earnings Per Share [Abstract]
Net income	$ 1,868	$ 1,440	$ 4,212	$ 3,265
Less: Earnings allocated to participating securities	(4)	(5)	(10)	(11)
Earnings allocated to common shareholders	$ 1,864	$ 1,435	$ 4,202	$ 3,254
Basic weighted average common shares outstanding	10,363,345	12,390,234	10,341,654	12,567,464
Dilutive stock options	122,192	120,704	147,147	132,619
Dilutive restricted stock grants	15,292	19,782	14,222	18,072
Diluted weighted average common shares outstanding	10,500,829	12,530,720	10,503,023	12,718,155
Basic earnings (loss) per share (in dollars per share)	$ 0.18	$ 0.12	$ 0.41	$ 0.26
Diluted earnings (loss) per share (in dollars per share)	$ 0.18	$ 0.11	$ 0.40	$ 0.26

Earnings Per Share (Details)

Earnings Per Share (Details) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017
Earnings Per Share [Abstract]
Antidilutive securities excluded from computation of earnings per share, amount	20,000	60,000	20,000