Luther Burbank (LBC) 10-Q 7 Aug 20 2020 Q2 Quarterly report Financial data

Cover Page

Cover Page - shares	6 Months Ended
	Jun. 30, 2020	Jul. 31, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2020
Document Transition Report	false
Entity File Number	001-38317
Entity Incorporation, State or Country Code	CA
Entity Tax Identification Number	68-0270948
Entity Address, Address Line One	520 Third St, Fourth Floor
Entity Address, City or Town	Santa Rosa
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	95401
City Area Code	844
Local Phone Number	446-8201
Title of 12(b) Security	Common stock, no par value
Trading Symbol	LBC
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock Shares Outstanding (in shares)		52,394,127
Amendment Flag	false
Entity Registrant Name	Luther Burbank Corp.
Entity Central Index Key	0001475348
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2

CONSOLIDATED STATEMENTS OF FINA

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
ASSETS
Cash, cash equivalents and restricted cash	$ 170,197	$ 91,325
Available for sale debt securities, at fair value	635,324	625,074
Held to maturity debt securities, at amortized cost (fair value of $9,839 and $10,349 at June 30, 2020 and December 31, 2019, respectively)	9,400	10,170
Equity securities, at fair value	12,070	11,782
Loans receivable, net of allowance for loan losses of $45,985 and $36,001 at June 30, 2020 and December 31, 2019, respectively	6,235,054	6,194,976
Accrued interest receivable	20,388	20,814
Federal Home Loan Bank ("FHLB") stock, at cost	29,612	30,342
Premises and equipment, net	19,262	19,504
Goodwill	3,297	3,297
Prepaid expenses and other assets	33,742	38,544
Total assets	7,168,346	7,045,828
Liabilities:
Deposits	5,383,519	5,234,717
FHLB advances	961,747	978,702
Junior subordinated deferrable interest debentures	61,857	61,857
Senior debt
$95,000 face amount, 6.5% interest rate, due September 30, 2024 (less debt issuance costs of $522 and $584 at June 30, 2020 and December 31, 2019, respectively)	94,478	94,416
Accrued interest payable	1,253	2,901
Other liabilities and accrued expenses	68,810	58,771
Total liabilities	6,571,664	6,431,364
Commitments and contingencies (Note 16)
Stockholders' equity:
Preferred stock, no par value; 5,000,000 shares authorized; none issued and outstanding at June 30, 2020 and December 31, 2019, respectively	0	0
Common stock, no par value; 100,000,000 shares authorized; 52,382,895 and 55,999,754 shares issued and outstanding at June 30, 2020 and December 31, 2019, respectively	414,264	447,784
Retained earnings	175,852	165,236
Accumulated other comprehensive income, net of taxes	6,566	1,444
Total stockholders' equity	596,682	614,464
Total liabilities and stockholders' equity	$ 7,168,346	$ 7,045,828

CONSOLIDATED STATEMENTS OF FI_2

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Parenthetical) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Fair value of held-to-maturity securities	$ 9,839,000	$ 10,349,000
Allowance for loan losses	$ 45,985,000	$ 36,001,000
Debt Instrument [Line Items]
Preferred stock shares authorized (in shares)	5,000,000	5,000,000
Preferred stock shares issued (in shares)	0	0
Preferred stock shares outstanding (in shares)	0	0
Common stock shares authorized (in shares)	100,000,000	100,000,000
Common stock shares issued (in shares)	52,382,895	55,999,754
Common stock shares outstanding (in shares)	52,382,895	55,999,754
Senior Unsecured Term Notes, September 2014 | Senior Unsecured Term Notes
Debt Instrument [Line Items]
Principal	$ 95,000,000	$ 95,000,000
Debt interest rate	6.50%
Unamortized debt issuance costs	$ 522,000	$ 584,000

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Interest and fee income:
Loans	$ 58,190	$ 61,015	$ 118,895	$ 122,068
Investment securities	2,316	4,118	5,619	8,043
Cash, cash equivalents and restricted cash	55	522	372	922
Total interest and fee income	60,561	65,655	124,886	131,033
Interest expense:
Deposits	19,821	26,471	44,402	50,759
FHLB advances	5,685	6,410	11,243	13,182
Junior subordinated deferrable interest debentures	332	632	825	1,283
Senior debt	1,575	1,574	3,153	3,149
Total interest expense	27,413	35,087	59,623	68,373
Net interest income before provision for loan losses	33,148	30,568	65,263	62,660
Provision for loan losses	5,250	450	10,550	750
Net interest income after provision for loan losses	27,898	30,118	54,713	61,910
Noninterest income:
Gain on sale of loans	0	197	0	530
FHLB dividends	374	552	909	1,047
Other income	297	739	560	1,291
Total noninterest income	671	1,488	1,469	2,868
Noninterest expense:
Compensation and related benefits	10,300	8,614	21,505	18,666
Deposit insurance premium	471	487	947	985
Professional and regulatory fees	454	457	885	898
Occupancy	1,101	1,399	2,241	2,789
Depreciation and amortization	687	664	1,356	1,329
Data processing	1,038	945	2,005	1,864
Marketing	330	1,071	1,205	2,225
Other expenses	967	1,072	2,063	2,202
Total noninterest expense	15,348	14,709	32,207	30,958
Income before provision for income taxes	13,221	16,897	23,975	33,820
Provision for income taxes	3,903	5,239	7,081	10,152
Net income	$ 9,318	$ 11,658	$ 16,894	$ 23,668
Basic earnings per common share (in usd per share)	$ 0.18	$ 0.21	$ 0.31	$ 0.42
Diluted earnings per common share (in usd per share)	0.18	0.21	0.31	0.42
Dividends per common share (in usd per share)	$ 0.06	$ 0.06	$ 0.12	$ 0.12

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Statement of Comprehensive Income [Abstract]
Net income	$ 9,318	$ 11,658	$ 16,894	$ 23,668
Unrealized gain on available for sale debt securities:
Unrealized holding gain arising during the period	6,172	5,469	7,223	7,973
Tax effect	(1,796)	(1,585)	(2,101)	(2,309)
Net of tax	4,376	3,884	5,122	5,664
Unrealized gain on cash flow hedge:
Unrealized holding gain arising during the period	0	0	0	147
Tax effect	0	0	0	(43)
Net of tax	0	0	0	104
Total other comprehensive income	4,376	3,884	5,122	5,768
Comprehensive income	$ 13,694	$ 15,542	$ 22,016	$ 29,436

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) - USD ($) $ in Thousands	Total	Cumulative Effect, Period of Adoption, Adjustment	[1]	Common Stock	Retained Earnings	Retained EarningsCumulative Effect, Period of Adoption, Adjustment	[1]	Accumulated Other Comprehensive (Loss) Income (Net of Taxes) Available for Sale Securities	Accumulated Other Comprehensive (Loss) Income (Net of Taxes) Available for Sale SecuritiesCumulative Effect, Period of Adoption, Adjustment	[1]	Accumulated Other Comprehensive (Loss) Income (Net of Taxes) Cash Flow Hedge
Beginning balance (shares) at Dec. 31, 2018				56,379,066
Beginning balance at Dec. 31, 2018	$ 581,145	$ 0		$ 456,378	$ 129,806	$ (399)		$ (4,935)	$ 399		$ (104)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	23,668				23,668
Other comprehensive income	5,768							5,664			104
Issuance of restricted stock awards (in shares)				321,784
Settled restricted stock units (in shares)				121,979
Shares withheld to pay taxes on stock based compensation (in shares)				(44,641)
Shares withheld to pay taxes on stock based compensation	(437)			$ (437)
Restricted stock forfeitures (in shares)				(35,996)
Restricted stock forfeitures	(121)			$ (131)	10
Stock based compensation expense	1,645			$ 1,645
Shares repurchased (in shares)				(759,701)
Shares repurchased	(7,630)			$ (7,630)
Cash dividends	(6,571)				(6,571)
Ending balance (shares) at Jun. 30, 2019				55,982,491
Ending balance at Jun. 30, 2019	$ 597,467			$ 449,825	146,514			1,128			0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Accounting Standards Update [Extensible List]	us-gaap:AccountingStandardsUpdate201601Member
Beginning balance (shares) at Mar. 31, 2019				56,351,781
Beginning balance at Mar. 31, 2019	$ 588,298			$ 452,931	138,123			(2,756)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	11,658				11,658
Other comprehensive income	3,884							3,884
Issuance of restricted stock awards (in shares)				24,121
Settled restricted stock units (in shares)				9,677
Shares withheld to pay taxes on stock based compensation (in shares)				(3,119)
Shares withheld to pay taxes on stock based compensation	(33)			$ (33)
Restricted stock forfeitures (in shares)				(33,268)
Restricted stock forfeitures	(120)			$ (129)	9
Stock based compensation expense	805			$ 805
Shares repurchased (in shares)				(366,701)
Shares repurchased	(3,749)			$ (3,749)
Cash dividends	(3,276)				(3,276)
Ending balance (shares) at Jun. 30, 2019				55,982,491
Ending balance at Jun. 30, 2019	597,467			$ 449,825	146,514			1,128			0
Beginning balance (shares) at Dec. 31, 2019				55,999,754
Beginning balance at Dec. 31, 2019	614,464			$ 447,784	165,236			1,444			0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	16,894				16,894
Other comprehensive income	5,122							5,122
Issuance of restricted stock awards (in shares)				250,118
Settled restricted stock units (in shares)				70,220
Shares withheld to pay taxes on stock based compensation (in shares)				(56,564)
Shares withheld to pay taxes on stock based compensation	(591)			$ (591)
Restricted stock forfeitures (in shares)				(28,824)
Restricted stock forfeitures	(17)			$ (25)	8
Stock based compensation expense	1,810			$ 1,810
Shares repurchased (in shares)				(3,851,809)
Shares repurchased	(34,714)			$ (34,714)
Cash dividends	(6,286)				(6,286)
Ending balance (shares) at Jun. 30, 2020				52,382,895
Ending balance at Jun. 30, 2020	596,682			$ 414,264	175,852			6,566			0
Beginning balance (shares) at Mar. 31, 2020				54,286,465
Beginning balance at Mar. 31, 2020	603,340			$ 431,578	169,572			2,190
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	9,318				9,318
Other comprehensive income	4,376							4,376
Shares withheld to pay taxes on stock based compensation (in shares)				(2,740)
Shares withheld to pay taxes on stock based compensation	(28)			$ (28)
Restricted stock forfeitures (in shares)				(11,416)
Restricted stock forfeitures	(15)			$ (17)	2
Stock based compensation expense	899			$ 899
Shares repurchased (in shares)				(1,889,414)
Shares repurchased	(18,168)			$ (18,168)
Cash dividends	(3,040)				(3,040)
Ending balance (shares) at Jun. 30, 2020				52,382,895
Ending balance at Jun. 30, 2020	$ 596,682			$ 414,264	$ 175,852			$ 6,566			$ 0
[1]	Represents the impact of adopting Accounting Standards Update ("ASU") 2016-01. See Note 3 to the unaudited consolidated financial statements for further information.

CONSOLIDATED STATEMENTS OF CH_2

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) (Parenthetical) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Statement of Stockholders' Equity [Abstract]
Cash dividends (in usd per share)	$ 0.06	$ 0.06	$ 0.12	$ 0.12

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Cash flows from operating activities:
Net income	$ 16,894	$ 23,668
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	1,356	1,329
Provision for loan losses	10,550	750
Amortization of deferred loan costs, net	7,693	6,563
Amortization of premiums on investment securities, net	1,465	658
Gain on sale of loans	0	(530)
Stock based compensation expense, net of forfeitures	1,785	1,514
Change in fair value of mortgage servicing rights	629	463
Change in fair value of equity securities	(288)	(311)
Other items, net	6	(370)
Effect of changes in:
Accrued interest receivable	426	(1,727)
Accrued interest payable	(1,648)	695
Prepaid expenses and other assets	(658)	(200)
Other liabilities and accrued expenses	(2,363)	876
Net cash provided by operating activities	35,847	33,378
Cash flows from investing activities:
Proceeds from maturities, paydowns and calls of available for sale debt securities	155,188	32,322
Proceeds from maturities and paydowns of held to maturity debt securities	728	643
Purchases of available for sale debt securities	(159,639)	(54,712)
Net increase in loans receivable	(22,625)	(194,233)
Proceeds from loans held for sale previously classified as portfolio loans	0	51,606
Purchase of loans	(20,507)	(10,052)
Redemption (purchase) of FHLB stock, net	730
Redemption (purchase) of FHLB stock, net		(845)
Purchase of premises and equipment	(1,114)	(399)
Net cash used in investing activities	(47,239)	(175,670)
Cash flows from financing activities:
Net increase in customer deposits	148,802	233,450
Proceeds from long-term FHLB advances	136,500	200,000
Repayment of long-term FHLB advances	(151,955)	(125,015)
Net change in short-term FHLB advances	(1,500)	(149,300)
Shares withheld for taxes on vested restricted stock	(591)	(437)
Shares repurchased	(34,714)	(7,630)
Cash paid for dividends	(6,278)	(6,561)
Net cash provided by financing activities	90,264	144,507
Increase in cash, cash equivalents and restricted cash	78,872	2,215
Cash, cash equivalents and restricted cash, beginning of period	91,325	91,697
Cash, cash equivalents and restricted cash, end of period	170,197	93,912
Supplemental disclosure of cash flow information: Cash paid during the period for:
Interest	61,271	67,678
Income taxes	438	10,916
Non-cash investing activity:
Loans transferred to held for sale	$ 0	$ 61,751

NATURE OF OPERATIONS

NATURE OF OPERATIONS	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
NATURE OF OPERATIONS	NATURE OF OPERATIONS Organization Luther Burbank Corporation (the ‘‘Company’’), a California corporation headquartered in Santa Rosa, is the bank holding company for its wholly-owned subsidiary, Luther Burbank Savings (the "Bank"), and its wholly-owned subsidiary, Burbank Investor Services. The Company also owns Burbank Financial Inc., a real estate investment company, and all the common interests in Luther Burbank Statutory Trusts I and II, entities created to issue trust preferred securities. The Bank conducts its business from its headquarters in Gardena, California. It has ten full service branches in California located in Sonoma, Marin, Santa Clara, and Los Angeles Counties and one full service branch in Washington located in King County. Additionally, there are seven loan production offices located throughout California, as well as a loan production office in Clackamas County, Oregon. Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and, therefore, do not include all footnotes as would be necessary for a fair presentation of financial position, results of operations and comprehensive income, changes in stockholders’ equity and cash flows in conformity with accounting principles generally accepted in the United States of America (“GAAP”). However, these interim unaudited consolidated financial statements reflect all adjustments (consisting solely of normal recurring adjustments and accruals) which, in the opinion of management, are necessary for a fair presentation of financial position, results of operations and comprehensive income, changes in stockholders’ equity and cash flows for the interim periods presented. These unaudited consolidated financial statements have been prepared on a basis consistent with, and should be read in conjunction with, the audited consolidated financial statements as of and for the year ended December 31, 2019, and the notes thereto, included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019 filed with the Securities and Exchange Commission (the “SEC”), under the Securities and Exchange Act of 1934, as amended (the “Exchange Act”). The unaudited consolidated financial statements include the accounts of the Company and its subsidiaries. All intercompany accounts and transactions have been eliminated. The results of operations for the three and six months ended June 30, 2020 are not necessarily indicative of the results of operations that may be expected for any other interim period or for the year ending December 31, 2020. The Company’s accounting and reporting policies conform to GAAP and to general practices within the banking industry. Use of Estimates Management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. These estimates and assumptions affect the amounts reported in the unaudited consolidated financial statements and the disclosures provided, and actual results could differ. The estimates utilized to determine the appropriate allowance for loan losses at June 30, 2020 may be materially different from actual results due to the COVID-19 pandemic. See Note 2 to the unaudited consolidated financial statements for additional information regarding the COVID-19 pandemic. Reclassifications Certain prior balances in the unaudited consolidated financial statements have been reclassified to conform to current year presentation. These reclassifications had no effect on prior year net income or stockholders’ equity. Earnings Per Share ("EPS") Basic earnings per common share represents the amount of earnings for the period available to each share of common stock outstanding during the reporting period. Basic EPS is computed based upon net income divided by the weighted average number of common shares outstanding during the period. In determining the weighted average number of shares outstanding, vested restricted stock units are included. Diluted EPS represents the amount of earnings for the period available to each share of common stock outstanding including common stock that would have been outstanding assuming the issuance of common shares for all dilutive potential common shares outstanding during each reporting period. Diluted EPS is computed based upon net income divided by the weighted average number of common shares outstanding during each period, adjusted for the effect of dilutive potential common shares, such as restricted stock awards and units, calculated using the treasury stock method. (Dollars in thousands, except share amounts) Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Net income $ 9,318 $ 11,658 $ 16,894 $ 23,668 Weighted average basic common shares outstanding 52,465,458 56,108,618 54,038,642 56,314,213 Add: Dilutive effects of assumed vesting of restricted stock 85,548 182,770 99,410 192,829 Weighted average diluted common shares outstanding 52,551,006 56,291,388 54,138,052 56,507,042 Income per common share: Basic EPS $ 0.18 $ 0.21 $ 0.31 $ 0.42 Diluted EPS $ 0.18 $ 0.21 $ 0.31 $ 0.42 Anti-dilutive shares not included in calculation of diluted earnings per share 13,734 5,762 18,980 6,701 New Financial Accounting Standards FASB ASU 2019-12

COVID-19

COVID-19	6 Months Ended
	Jun. 30, 2020
Unusual or Infrequent Items, or Both [Abstract]
COVID-19	COVID-19 In late March 2020, the Company implemented a loan modification program that permits borrowers who have been financially impacted by the COVID-19 pandemic, and are unable to service their loans, to defer loan payments for a specified period of time. As of June 30, 2020, the Company had modified 271 current outstanding loans with an aggregate principal balance of $398.4 million, representing 6.4% of the Company's loan portfolio. Of these loans, 38 loans with an aggregate principal balance totaling $55.0 million as of June 30, 2020 have returned to monthly payment status. Excluded from the modified loan amounts above, two loans totaling $2.2 million have paid off subsequent to modification as of June 30, 2020. Modified loans under this program have generally been downgraded to a Watch risk rating at the time of their respective modifications. During the six months ended June 30, 2020, the Company recorded a loan loss reserve of $10.1 million in connection with the potential credit impact from the pandemic. See Note 4 for further discussion regarding loan risk ratings and the Company's allowance for loan losses. In conjunction with the passage of the Coronavirus Aid, Relief, and Economic Security Act ("CARES Act"), as well as the revised interagency guidance issued in April 2020, "Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working With Customers Affected by the Coronavirus (Revised)", banks have been provided the option to temporarily suspend certain requirements under GAAP related to Troubled Debt Restructurings ("TDRs") for a limited time to account for the effects of COVID-19. As a result, the Company will not be recognizing eligible COVID-19 loan modifications as TDRs. Additionally, loans qualifying for these modifications will not be required to be reported as delinquent, nonaccrual, impaired or criticized solely as a result of a COVID-19 loan modification. Through the date of this filing, the Company has not experienced any loan charge-offs caused by the economic impact from COVID-19. Management has evaluated events related to COVID-19 that have occurred subsequent to June 30, 2020 and has concluded there are no matters that would require recognition in the accompanying unaudited consolidated financial statements.

INVESTMENT SECURITIES

INVESTMENT SECURITIES	6 Months Ended
	Jun. 30, 2020
Investments, Debt and Equity Securities [Abstract]
INVESTMENT SECURITIES	INVESTMENT SECURITIES Available for Sale The following table summarizes the amortized cost and the estimated fair value of available for sale debt securities as of the dates indicated: (Dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value At June 30, 2020: Government and Government Sponsored Entities: Residential mortgage backed securities ('MBS") and collateralized mortgage obligations ("CMOs") $ 258,137 $ 3,639 $ (159) $ 261,617 Commercial MBS and CMOs 352,247 6,594 (830) 358,011 Agency bonds 15,680 59 (43) 15,696 Total available for sale debt securities $ 626,064 $ 10,292 $ (1,032) $ 635,324 At December 31, 2019: Government and Government Sponsored Entities: Residential MBS and CMOs $ 145,333 $ 340 $ (481) $ 145,192 Commercial MBS and CMOs 353,727 3,267 (825) 356,169 Agency bonds 123,977 59 (323) 123,713 Total available for sale debt securities $ 623,037 $ 3,666 $ (1,629) $ 625,074 Net unrealized gains on available for sale investment securities are recorded as accumulated other comprehensive income within stockholders’ equity and totaled $6.6 million and $1.4 million, net of $2.7 million and $593 thousand in tax liabilities, at June 30, 2020 and December 31, 2019, respectively. There were no sales or transfers of available for sale investment securities and no realized gains or losses on these securities during the three or six months ended June 30, 2020 and 2019. The following tables summarize the gross unrealized losses and fair value of available for sale debt securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position: June 30, 2020 Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Government and Government Sponsored Entities: Residential MBS and CMOs $ 19,570 $ (111) $ 19,713 $ (48) $ 39,283 $ (159) Commercial MBS and CMOs 80,844 (345) 59,557 (485) 140,401 (830) Agency bonds 12,637 (43) — — 12,637 (43) Total available for sale debt securities $ 113,051 $ (499) $ 79,270 $ (533) $ 192,321 $ (1,032) At June 30, 2020, the Company held 86 residential MBS and CMOs of which 22 were in a loss position and 14 had been in a loss position for twelve months or more. The Company held 44 commercial MBS and CMOs of which 19 were in a loss position and nine had been in a loss position for twelve months or more. The Company held three agency bonds of which two were in a loss position and none had been in a loss position for twelve months or more. December 31, 2019 Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Government and Government Sponsored Entities: Residential MBS and CMOs $ 43,623 $ (181) $ 54,870 $ (300) $ 98,493 $ (481) Commercial MBS and CMOs 95,950 (339) 57,219 (486) 153,169 (825) Agency bonds 29,471 (86) 87,405 (237) 116,876 (323) Total available for sale debt securities $ 169,044 $ (606) $ 199,494 $ (1,023) $ 368,538 $ (1,629) At December 31, 2019, the Company held 76 residential MBS and CMOs of which 45 were in a loss position and 25 had been in a loss position for twelve months or more. The Company held 42 commercial MBS and CMOs of which 19 were in a loss position and eight had been in a loss position for twelve months or more. The Company held 15 agency bonds of which 12 were in a loss position and nine had been in a loss position for twelve months or more. The unrealized losses on the Company’s investments were caused by interest rate changes. In addition, the contractual cash flows of these investments are guaranteed by the U.S. government or agencies sponsored by the U.S. government. Accordingly, it is expected that the securities will not be settled at a price less than amortized cost. Because the decline in market value is attributable to changes in interest rates but not credit quality, and because the Company has the ability and intent to hold those investments until a recovery of fair value, which may be maturity, the Company does not consider these investments to be other-than-temporarily impaired at June 30, 2020 and December 31, 2019. As of June 30, 2020 and December 31, 2019, there were no holdings of securities of any one issuer in an amount greater than 10% of stockholders' equity, other than the U.S. government and its agencies. Held to Maturity The following table summarizes the amortized cost and estimated fair value of held to maturity investment securities as of the dates indicated: (Dollars in thousands) Amortized Cost Gross Unrecognized Gains Gross Unrecognized Losses Estimated Fair Value As of June 30, 2020: Government Sponsored Entities: Residential MBS $ 9,321 $ 439 $ — $ 9,760 Other investments 79 — — 79 Total held to maturity investment securities $ 9,400 $ 439 $ — $ 9,839 As of December 31, 2019: Government Sponsored Entities: Residential MBS $ 10,087 $ 205 $ (26) $ 10,266 Other investments 83 — — 83 Total held to maturity investment securities $ 10,170 $ 205 $ (26) $ 10,349 The following table summarizes the gross unrecognized losses and fair value of held to maturity investment securities, aggregated by investment category and length of time that individual securities have been in a continuous unrecognized loss position: Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Value Unrecognized Losses Fair Value Unrecognized Losses Fair Value Unrecognized Losses As of December 31, 2019: Government Sponsored Entities: Residential MBS $ — $ — $ 2,253 $ (26) $ 2,253 $ (26) At June 30, 2020, the Company held seven held to maturity residential MBS and none were in a loss position. At December 31, 2019, the Company held seven held to maturity residential MBS of which two had been in a loss position for twelve months or more. The unrecognized losses on the Company’s held to maturity investments at December 31, 2019 were caused by interest rate changes. In addition, the contractual cash flows of these investments are guaranteed by agencies sponsored by the U.S. government. Accordingly, it is expected that the securities will not be settled at a price less than amortized cost. Because the decline in market value is attributable to changes in interest rates but not credit quality, and because the Company has the ability and intent to hold those investments until maturity, the Company does not consider those investments to be other-than-temporarily impaired at December 31, 2019. The following table summarizes the scheduled maturities of available for sale and held to maturity investment securities as of June 30, 2020: June 30, 2020 (Dollars in thousands) Amortized Cost Fair Value Available for sale debt securities Five to ten years $ 3,596 $ 3,588 Beyond ten years 12,084 12,108 MBS and CMOs 610,384 619,628 Total available for sale debt securities $ 626,064 $ 635,324 Held to maturity investments securities Beyond ten years $ 79 $ 79 MBS 9,321 9,760 Total held to maturity debt securities $ 9,400 $ 9,839 The amortized cost and fair value of debt securities are shown by contractual maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. As such, mortgage backed securities and collateralized mortgage obligations are not included in the maturity categories above and instead are shown separately. No securities were pledged as of June 30, 2020 and December 31, 2019. Equity Securities Equity securities consist of investments in the CRA Qualified Investment Fund. At June 30, 2020 and December 31, 2019, the fair value of equity securities totaled $12.1 million and $11.8 million, respectively. Prior to January 1, 2019, equity securities were included with available for sale investment securities and stated at fair value with unrealized gains and losses reported in other comprehensive income. In conjunction with the adoption of ASU 2016-01, as of January 1, 2019, $399 thousand of unrealized losses on equity securities were reclassified from other comprehensive income to retained earnings. Subsequent changes in fair value are recognized in other noninterest income and totaled $100 thousand and $288 thousand during the three and six months ended June 30, 2020, respectively, compared to $166 thousand and $311 thousand during the three and six months ended June 30, 2019, respectively. There were no sales of equity securities during the three or six months ended June 30, 2020 and 2019.

LOANS

LOANS	6 Months Ended
	Jun. 30, 2020
Receivables [Abstract]
LOANS	LOANS Loans consist of the following: (Dollars in thousands) June 30, December 31, Permanent mortgages on: Multifamily residential $ 4,082,224 $ 3,985,981 Single family residential 1,969,563 2,021,320 Commercial real estate 211,135 203,134 Construction and land loans 18,017 20,442 Non-Mortgage (‘‘NM’’) loans 100 100 Total 6,281,039 6,230,977 Allowance for loan losses (45,985) (36,001) Loans held for investment, net $ 6,235,054 $ 6,194,976 Certain loans have been pledged to secure borrowing arrangements (see Note 8). The following table summarizes activity in and the allocation of the allowance for loan losses by portfolio segment: (Dollars in thousands) Multifamily Residential Single Family Residential Commercial Real Estate Land, Construction and NM Total Three months ended June 30, 2020 Allowance for loan losses: Beginning balance allocated to portfolio segments $ 27,308 $ 10,426 $ 2,677 $ 246 $ 40,657 Provision for (reversal of) loan losses 3,529 1,199 628 (106) 5,250 Charge-offs — — — — — Recoveries — 3 — 75 78 Ending balance allocated to portfolio segments $ 30,837 $ 11,628 $ 3,305 $ 215 $ 45,985 Three months ended June 30, 2019 Allowance for loan losses: Beginning balance allocated to portfolio segments $ 22,046 $ 9,889 $ 2,278 $ 479 $ 34,692 Provision for (reversal of) loan losses 699 (454) 134 71 450 Charge-offs — — — — — Recoveries — 4 — 75 79 Ending balance allocated to portfolio segments $ 22,745 $ 9,439 $ 2,412 $ 625 $ 35,221 Six months ended June 30, 2020 Allowance for loan losses: Beginning balance allocated to portfolio segments $ 23,372 $ 10,076 $ 2,341 $ 212 $ 36,001 Provision for (reversal of) loan losses 7,465 2,268 964 (147) 10,550 Charge-offs — (722) — — (722) Recoveries — 6 — 150 156 Ending balance allocated to portfolio segments $ 30,837 $ 11,628 $ 3,305 $ 215 $ 45,985 Six months ended June 30, 2019 Allowance for loan losses: Beginning balance allocated to portfolio segments $ 21,326 $ 10,125 $ 2,441 $ 422 $ 34,314 Provision for (reversal of) loan losses 1,419 (693) (29) 53 750 Charge-offs — — — — — Recoveries — 7 — 150 157 Ending balance allocated to portfolio segments $ 22,745 $ 9,439 $ 2,412 $ 625 $ 35,221 The following table summarizes the allocation of the allowance for loan losses by impairment methodology: (Dollars in thousands) Multifamily Residential Single Family Residential Commercial Real Estate Land, Construction and NM Total As of June 30, 2020: Ending allowance balance allocated to: Loans individually evaluated for impairment $ — $ 25 $ — $ — $ 25 Loans collectively evaluated for impairment 30,837 11,603 3,305 215 45,960 Ending balance $ 30,837 $ 11,628 $ 3,305 $ 215 $ 45,985 Loans: Ending balance: individually evaluated for impairment $ 533 $ 5,643 $ — $ — $ 6,176 Ending balance: collectively evaluated for impairment 4,081,691 1,963,920 211,135 18,117 6,274,863 Ending balance $ 4,082,224 $ 1,969,563 $ 211,135 $ 18,117 $ 6,281,039 As of December 31, 2019: Ending allowance balance allocated to: Loans individually evaluated for impairment $ — $ 815 $ — $ — $ 815 Loans collectively evaluated for impairment 23,372 9,261 2,341 212 35,186 Ending balance $ 23,372 $ 10,076 $ 2,341 $ 212 $ 36,001 Loans: Ending balance: individually evaluated for impairment $ 541 $ 7,097 $ — $ — $ 7,638 Ending balance: collectively evaluated for impairment 3,985,440 2,014,223 203,134 20,542 6,223,339 Ending balance $ 3,985,981 $ 2,021,320 $ 203,134 $ 20,542 $ 6,230,977 The Company assigns a risk rating to all loans and periodically performs detailed reviews of all such loans to identify credit risks and to assess the overall collectability of the portfolio. During these internal reviews, management monitors and analyzes the financial condition of borrowers and guarantors, as well as the financial performance and other characteristics of loan collateral. These credit quality indicators are used to assign a risk rating to each individual loan. The risk ratings can be grouped into six major categories, defined as follows: Pass assets are those which are performing according to contract and have no existing or known weaknesses deserving of management’s close attention. The basic underwriting criteria used to approve the loans are still valid, and all payments have essentially been made as planned. Watch assets are expected to have an event occurring in the next 90 to 120 days that will lead to a change in risk rating with the change being either favorable or unfavorable. These assets require heightened monitoring of the event by management. Special mention assets have potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the asset or in the Company’s credit position at some future date. Special mention assets are not adversely classified and do not expose the Company to sufficient risk to warrant adverse classification. Substandard assets are inadequately protected by the current net worth and/or paying capacity of the obligor or by the collateral pledged. These assets have well-defined weaknesses: the primary source of repayment is gone or severely impaired (i.e., bankruptcy or loss of employment) and/or there has been a deterioration in collateral value. In addition, there is the distinct possibility that the Company will sustain some loss, either directly or indirectly (i.e., the cost of monitoring), if the deficiencies are not corrected. A deterioration in collateral value alone does not mandate that an asset be adversely classified if such factor does not indicate that the primary source of repayment is in jeopardy. Doubtful assets have the weaknesses of those classified substandard with the added characteristic that the weaknesses make collection or liquidation in full highly questionable and improbable based on current facts, conditions and values. Loss assets are considered uncollectible and of such little value that their continuance as assets, without establishment of a specific valuation allowance or charge-off, is not warranted. This classification does not necessarily mean that an asset has absolutely no recovery or salvage value; but rather, it is not practical or desirable to defer writing off a basically worthless asset (or portion thereof) even though partial recovery may be affected in the future. The following table summarizes the loan portfolio allocated by management’s internal risk ratings at June 30, 2020 and December 31, 2019. The increase in Watch risk rated loans during the six months ended June 30, 2020, was attributable to the Company's loan modification program in connection with the COVID-19 pandemic. See Note 2 for further discussion regarding COVID-19. (Dollars in thousands) Multifamily Residential Single Family Residential Commercial Real Estate Land, Construction and NM Total As of June 30, 2020: Grade: Pass $ 3,833,884 $ 1,765,005 $ 155,736 $ 18,117 $ 5,772,742 Watch 223,406 185,320 55,399 — 464,125 Special mention 20,739 12,695 — — 33,434 Substandard 4,195 6,543 — — 10,738 Doubtful — — — — — Total $ 4,082,224 $ 1,969,563 $ 211,135 $ 18,117 $ 6,281,039 As of December 31, 2019: Grade: Pass $ 3,917,264 $ 1,980,845 $ 200,371 $ 20,542 $ 6,119,022 Watch 47,309 16,432 2,763 — 66,504 Special mention 19,708 13,635 — — 33,343 Substandard 1,700 8,808 — — 10,508 Doubtful — 1,600 — — 1,600 Total $ 3,985,981 $ 2,021,320 $ 203,134 $ 20,542 $ 6,230,977 The following table summarizes an aging analysis of the loan portfolio by the time past due at June 30, 2020 and December 31, 2019: (Dollars in thousands) 30 Days 60 Days 90+ Days Non-accrual Current Total As of June 30, 2020: Loans: Multifamily residential $ — $ — $ — $ 533 $ 4,081,691 $ 4,082,224 Single family residential — 37 — 4,358 1,965,168 1,969,563 Commercial real estate — — — — 211,135 211,135 Land, construction and NM — — — — 18,117 18,117 Total $ — $ 37 $ — $ 4,891 $ 6,276,111 $ 6,281,039 As of December 31, 2019: Loans: Multifamily residential $ 1,411 $ — $ — $ 541 $ 3,984,029 $ 3,985,981 Single family residential 4,037 690 — 5,792 2,010,801 2,021,320 Commercial real estate — — — — 203,134 203,134 Land, construction and NM — — — — 20,542 20,542 Total $ 5,448 $ 690 $ — $ 6,333 $ 6,218,506 $ 6,230,977 The following table summarizes information related to impaired loans at June 30, 2020 and December 31, 2019: As of June 30, 2020 As of December 31, 2019 (Dollars in thousands) Recorded Investment Unpaid Principal Balance Related Allowance Recorded Investment Unpaid Principal Balance Related Allowance With no related allowance recorded: Multifamily residential $ 533 $ 609 $ — $ 541 $ 618 $ — Single family residential 4,749 5,794 — 4,588 4,915 — 5,282 6,403 — 5,129 5,533 — With an allowance recorded: Single family residential 894 890 25 2,509 2,484 815 894 890 25 2,509 2,484 815 Total: Multifamily residential 533 609 — 541 618 — Single family residential 5,643 6,684 25 7,097 7,399 815 $ 6,176 $ 7,293 $ 25 $ 7,638 $ 8,017 $ 815 The following tables summarize information related to impaired loans for the three and six months ended June 30, 2020 and 2019: Three Months Ended June 30, 2020 2019 (Dollars in thousands) Average Recorded Investment Interest Income Cash Basis Interest Average Recorded Investment Interest Income Cash Basis Interest With no related allowance recorded: Multifamily residential $ 535 $ 8 $ 8 $ 2,195 $ 9 $ 9 Single family residential 4,924 25 20 4,715 59 25 5,459 33 28 6,910 68 34 With an allowance recorded: Single family residential 898 10 — 1,475 12 — 898 10 — 1,475 12 — Total: Multifamily residential 535 8 8 2,195 9 9 Single family residential 5,822 35 20 6,190 71 25 $ 6,357 $ 43 $ 28 $ 8,385 $ 80 $ 34 Six Months Ended June 30, 2020 2019 (Dollars in thousands) Average Recorded Investment Interest Income Cash Basis Interest Average Recorded Investment Interest Income Cash Basis Interest With no related allowance recorded: Multifamily residential $ 537 $ 17 $ 17 $ 1,494 $ 12 $ 12 Single family residential 4,775 44 34 4,518 95 25 5,312 61 51 6,012 107 37 With an allowance recorded: Single family residential 1,587 21 — 1,242 24 — 1,587 21 — 1,242 24 — Total: Multifamily residential 537 17 17 1,494 12 12 Single family residential 6,362 65 34 5,760 119 25 $ 6,899 $ 82 $ 51 $ 7,254 $ 131 $ 37 The following table summarizes the recorded investment related to TDRs at June 30, 2020 and December 31, 2019: (Dollars in thousands) June 30, December 31, Troubled debt restructurings: Single family residential $ 3,953 $ 1,305 The Company has allocated $25 thousand of its allowance for loan losses for loans modified in TDRs at both June 30, 2020 and December 31, 2019. The Company does not have commitments to lend additional funds to borrowers with loans whose terms have been modified in TDRs. During the three and six months ended June 30, 2020, the Company modified the terms of two loans that qualified as TDRs. The following table provides a detail of these modifications: (Dollars in thousands) Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Troubled debt restructurings: Single family residential 2 $ 2,672 $ 2,672 Terms of the two modifications above included suspension of loan payments for six The Company had no TDRs with a subsequent payment default within twelve months following the modification during the three or six months ended June 30, 2020 and 2019. A loan is considered to be in payment default once it is 90 days contractually past due under the modified terms.

NONPERFORMING ASSETS

NONPERFORMING ASSETS	6 Months Ended
	Jun. 30, 2020
Receivables [Abstract]
NONPERFORMING ASSETS	NONPERFORMING ASSETS Nonperforming assets include nonperforming loans plus real estate owned. The Company’s nonperforming assets at June 30, 2020 and December 31, 2019 are indicated below: (Dollars in thousands) June 30, December 31, Non-accrual loans: Multifamily residential $ 533 $ 541 Single family residential 4,358 5,792 Total non-accrual loans 4,891 6,333 Real estate owned — — Total nonperforming assets $ 4,891 $ 6,333

MORTGAGE SERVICING RIGHTS

MORTGAGE SERVICING RIGHTS	6 Months Ended
	Jun. 30, 2020
Transfers and Servicing [Abstract]
MORTGAGE SERVICING RIGHTS	MORTGAGE SERVICING RIGHTS Servicing loans for others generally consists of collecting mortgage payments, maintaining escrow accounts, disbursing payments to investors, and conducting foreclosure proceedings. Loan servicing income is recorded on the accrual basis and includes servicing fees from investors and certain charges collected from borrowers. Mortgage loans serviced for others are not reported as assets. The principal balances of these loans are as follows: (Dollars in thousands) June 30, December 31, Mortgage loans serviced for: Federal Home Loan Mortgage Corporation ("Freddie Mac") $ 293,467 $ 379,339 Other financial institutions 117,069 134,140 Total mortgage loans serviced for others $ 410,536 $ 513,479 Custodial account balances maintained in connection with serviced loans totaled $6.5 million and $8.0 million at June 30, 2020 and December 31, 2019, respectively. The Company measures servicing rights at fair value at each reporting date and reports changes in the fair value of servicing assets in earnings in the period in which the changes occur. Fair value is based on a valuation model that calculates the present value of estimated future net servicing income. Activities for mortgage servicing rights are as follows: Three Months Ended June 30, Six Months Ended June 30, (Dollars in thousands) 2020 2019 2020 2019 Beginning balance $ 2,262 $ 3,472 $ 2,657 $ 3,463 Additions — — — 155 Disposals — — — — Change in fair value due to changes in assumptions — — — — Other changes in fair value (234) (317) (629) (463) Ending balance $ 2,028 $ 3,155 $ 2,028 $ 3,155

DEPOSITS

DEPOSITS	6 Months Ended
	Jun. 30, 2020
Deposits [Abstract]
DEPOSITS	DEPOSITS A summary of deposits at June 30, 2020 and December 31, 2019 is as follows: (Dollars in thousands) June 30, December 31, Time deposits $ 3,441,029 $ 3,526,688 Money market savings 1,406,407 1,330,585 Interest-bearing demand 366,714 222,509 Money market checking 93,083 111,338 Noninterest-bearing demand 76,286 43,597 Total $ 5,383,519 $ 5,234,717 The Company had time deposits with a denomination of $100 thousand or more totaling $2.7 billion and $2.6 billion at June 30, 2020 and December 31, 2019, respectively. The Company had time deposits that met or exceeded the FDIC insurance limit of $250 thousand of $1.6 billion and $1.4 billion at June 30, 2020 and December 31, 2019, respectively. The Company utilizes brokered deposits as an additional source of funding. The Company had brokered deposits of $255.0 million and $416.0 million at June 30, 2020 and December 31, 2019, respectively. Maturities of the Company’s time deposits at June 30, 2020 are summarized as follows (dollars in thousands): July 1 - December 31, 2020 $ 1,784,755 2021 1,543,856 2022 94,638 2023 4,859 2024 6,207 Thereafter 6,714 Total $ 3,441,029

FEDERAL HOME LOAN BANK AND FEDE

FEDERAL HOME LOAN BANK AND FEDERAL RESERVE BANK ADVANCES	6 Months Ended
	Jun. 30, 2020
Advances from Federal Home Loan Banks [Abstract]
FEDERAL HOME LOAN BANK AND FEDERAL RESERVE BANK ADVANCES	FEDERAL HOME LOAN BANK AND FEDERAL RESERVE BANK ADVANCES The Bank may borrow from the FHLB, on either a short-term or long-term basis, up to 40% of its assets provided that adequate collateral has been pledged. As of June 30, 2020 and December 31, 2019, the Bank had pledged various mortgage loans totaling approximately $2.3 billion and $2.2 billion, respectively, as well as the FHLB stock held by the Bank to secure these borrowing arrangements. The Bank has access to the Loan and Discount Window of the Federal Reserve Bank of San Francisco ("FRB"). Advances under this window are subject to the Bank providing qualifying collateral. Various mortgage loans totaling approximately $459.6 million and $447.4 million as of June 30, 2020 and December 31, 2019, respectively, secure this borrowing arrangement. There were no borrowings outstanding with the FRB as of June 30, 2020 and December 31, 2019. The following table discloses the Bank’s outstanding advances from the FHLB of San Francisco: Outstanding Balances As of June 30, 2020 (Dollars in thousands) June 30, December 31, Minimum Interest Rate Maximum Interest Rate Weighted Average Rate Maturity Dates Fixed rate short-term $ — $ 1,500 — % — % — % N/A Fixed rate long-term 961,747 977,202 0.00 % 7.33 % 2.19 % November 2020 to March 2030 $ 961,747 $ 978,702 The Bank's available borrowing capacity based on pledged loans to the FRB and the FHLB totaled $780.3 million and $1.1 billion at June 30, 2020 and December 31, 2019, respectively. The decline in borrowing capacity between these periods was primarily due to the issuance of an additional FHLB letter of credit, as discussed below, and revisions in the borrowing capacity calculation at the FHLB, which were applicable to all FHLB members. As of June 30, 2020 and December 31, 2019, the Bank pledged as collateral a $62.6 million FHLB letter of credit to Freddie Mac related to our multifamily securitization reimbursement obligation. In addition, the Bank pledged as collateral a $125.0 million FHLB letter of credit to the State of California Treasurer's Office in connection with a time deposit at June 30, 2020. As of June 30, 2020 and December 31, 2019, the Bank had aggregate loan balances of $2.6 billion and $2.4 billion, respectively, available to pledge to the FRB and FHLB to increase its borrowing capacity. Short-term borrowings are borrowings with original maturities of 90 days or less. During the three and six months ended June 30, 2020, there was a maximum amount of short-term borrowings outstanding of $34.0 million and $77.8 million, respectively, and an average amount outstanding of $4.1 million and $13.9 million, respectively, with a weighted average interest rate of 0.22% and 1.45%, respectively. During the three and six months ended June 30, 2019, there was a maximum amount of short-term borrowings outstanding of $78.0 million and $209.7 million, respectively, and an average amount outstanding of $52.3 million and $97.4 million, respectively, with a weighted average interest rate of 2.57% and 2.57%, respectively. The following table summarizes principal payments on FHLB advances over the next five years as of June 30, 2020 (dollars in thousands): July 1 - December 31, 2020 $ 5,000 2021 355,100 2022 100,000 2023 400,000 2024 — Thereafter 101,647 $ 961,747

JUNIOR SUBORDINATED DEFERRABLE

JUNIOR SUBORDINATED DEFERRABLE INTEREST DEBENTURES	6 Months Ended
	Jun. 30, 2020
Debt Disclosure [Abstract]
JUNIOR SUBORDINATED DEFERRABLE INTEREST DEBENTURES	JUNIOR SUBORDINATED DEFERRABLE INTEREST DEBENTURES The Company formed two wholly-owned trust companies (the ‘‘Trusts’’) which issued guaranteed preferred beneficial interests (the "Trust Securities") in the Company’s junior subordinated deferrable interest debentures (the "Notes"). The Company is not considered the primary beneficiary of the Trusts and therefore, the Trusts are not consolidated in the Company’s financial statements, but rather the junior subordinated debentures are shown as a liability. The Company’s investment in the common securities of the Trusts, totaling $1.9 million, is included in other assets on the unaudited consolidated statements of financial condition. The sole asset of the Trusts are the Notes that they hold. The Trusts have invested the proceeds of such Trust Securities in the Notes. Each of the Notes has an interest rate equal to the corresponding Trust Securities distribution rate. The Company has the right to defer payment of interest on the Notes at any time or from time to time for a period not exceeding five years provided that no extension period may extend beyond the stated maturity of the relevant Notes. During any such extension period, distributions on the Trust Securities will also be deferred, and the Company’s ability to pay dividends on its common stock will be restricted. The Company has entered into contractual arrangements which, taken collectively, fully and unconditionally guarantee payment of: (i) accrued and unpaid distributions required to be paid on the Trust Securities; (ii) the redemption price with respect to any Trust Securities called for redemption by the Trusts; and (iii) payments due upon a voluntary or involuntary dissolution, winding up or liquidation of the Trusts. The Trust Securities are mandatorily redeemable upon maturity of the Notes, or upon earlier redemption as provided in the indenture. The Company has the right to redeem the Notes purchased by the Trusts, in whole or in part, on or after the redemption date. As specified in the indenture, if the Notes are redeemed prior to maturity, the redemption price will be the principal amount and any accrued but unpaid interest. The following table is a summary of the outstanding Trust Securities and Notes at June 30, 2020 and December 31, 2019 (dollars in thousands): June 30, 2020 December 31, 2019 Date Maturity Rate Index Issuer Amount Rate Amount Rate Issued Date (Quarterly Reset) Luther Burbank Statutory Trust I $ 41,238 1.69 % $ 41,238 3.27 % 3/1/2006 6/15/2036 3 month LIBOR + 1.38% Luther Burbank Statutory Trust II $ 20,619 1.93 % $ 20,619 3.51 % 3/1/2007 6/15/2037 3 month LIBOR + 1.62%

SENIOR DEBT

SENIOR DEBT	6 Months Ended
	Jun. 30, 2020
Debt Disclosure [Abstract]
SENIOR DEBT	SENIOR DEBTIn September 2014, the Company issued $95 million in senior unsecured term notes to qualified institutional investors. The following table summarizes information on these notes as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 (Dollars in thousands) Principal Unamortized Debt Issuance Costs Principal Unamortized Debt Issuance Costs Maturity Date Fixed Interest Rate Senior Unsecured Term Notes $ 95,000 $ 522 $ 95,000 $ 584 9/30/2024 6.50 %

DERIVATIVES AND HEDGING ACTIVIT

DERIVATIVES AND HEDGING ACTIVITIES	6 Months Ended
	Jun. 30, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVES AND HEDGING ACTIVITIES	DERIVATIVES AND HEDGING ACTIVITIES From time to time, the Company utilizes interest rate swaps and other derivative financial instruments as part of its asset liability management strategy to manage interest rate risk positions. Fair Value Hedges of Interest Rate Risk During the year ended December 31, 2019, the Company entered into two, two For the three and six months ended June 30, 2020, the floating rate amounts recognized related to the net settlement of the interest rate swaps was less than the fixed rate amounts recognized. As such, interest income on loans due to these swaps decreased by $3.5 million and $3.9 million for the three and six months ended June 30, 2020, respectively, compared to an increase in interest income on loans of $113 thousand for both the three and six months ended June 30, 2019. The following table presents the effect of the Company’s interest rate swaps on the unaudited consolidated statement of income for the three and six months ended June 30, 2020: For the Three Months Ended June 30, For the Six Months Ended June 30, (Dollars in thousands) 2020 2019 2020 2019 Derivative - interest rate swaps: Interest income $ (3,485) $ 114 $ (3,947) $ 114 Hedged items - loans: Interest income (15) (1) 56 (1) Net effect on interest income $ (3,500) $ 113 $ (3,891) $ 113 The following table presents the fair value of the Company’s interest rate swaps, as well as its classification on the unaudited consolidated statements of financial condition as of June 30, 2020 and December 31, 2019: Fair Values of Derivative Instruments Asset Derivatives Liability Derivatives (Dollars in thousands) Notional Amount Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives designated as hedging instruments: As of June 30, 2020: Interest Rate Swaps $ 1,000,000 Prepaid Expenses and Other Assets $ — Other Liabilities and Accrued Expenses $ 14,723 As of December 31, 2019: Interest Rate Swaps $ 1,000,000 Prepaid Expenses and Other Assets $ 1,156 Other Liabilities and Accrued Expenses $ 746 As of June 30, 2020 and December 31, 2019, the following amounts were recorded in the unaudited consolidated statements of financial condition related to cumulative basis adjustments for its fair value hedges. Line Item in the Consolidated Statements of Financial Condition in Which the Hedged Items are Included Carrying Amount of the Hedged Assets Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Assets (Dollars in thousands) As of June 30, 2020: Loans receivable, net (1) $ 1,014,784 $ 14,784 As of December 31, 2019: Loans receivable, net (1) $ 999,595 $ (405) (1) These amounts include the amortized cost basis of closed portfolio loans used to designate hedging relationships in which the hedged items are the last layer expected to be remaining at the end of the hedging relationship. At June 30, 2020 and December 31, 2019, the amortized cost basis of the closed portfolio loans used in these hedging relationships were $2.3 billion and $2.5 billion, respectively; the cumulative basis adjustments associated with these hedging relationships were $14.8 million and $(405) thousand, respectively, and the amount of the designated hedged items were $1.0 billion and $1.0 billion, respectively.

STOCK BASED COMPENSATION

STOCK BASED COMPENSATION	6 Months Ended
	Jun. 30, 2020
Share-based Payment Arrangement [Abstract]
STOCK BASED COMPENSATION	STOCK BASED COMPENSATION The Company’s stock based compensation consists of restricted stock awards ("RSAs") and restricted stock units ("RSUs") granted under the Luther Burbank Corporation Omnibus Equity and Incentive Compensation Plan ("Omnibus Plan"). In connection with its initial public offering ("IPO") in December 2017, the Company granted RSAs and RSUs to employees and nonemployee directors which all vest ratably over three one three All RSAs and RSUs were granted at the fair value of the common stock at the time of the award. The RSAs and RSUs are considered fixed awards as the number of shares and fair value are known at the date of grant and the fair value at the grant date is amortized over the vesting and/or service period. Non-cash stock compensation expense recognized for RSAs and RSUs for the three and six months ended June 30, 2020 totaled $882 thousand and $1.8 million, respectively, compared with $676 thousand and $1.5 million, respectively, for the three and six months ended June 30, 2019. The fair value of RSAs and RSUs that vested during the three and six months ended June 30, 2020 totaled $80 thousand and $2.5 million, respectively, compared to $5.7 million for the six months ended June 30, 2019. There were no RSAs or RSUs that vested during the three months ended June 30, 2019. As of June 30, 2020 and December 31, 2019, there was $4.3 million and $3.5 million, respectively, of unrecognized compensation expense related to 561,430 and 582,940 unvested RSAs and RSUs, respectively, which amounts are expected to be expensed over a weighted average period of 1.85 years and 1.61 years, respectively. As of June 30, 2020 and December 31, 2019, 165,185 and 135,059 shares, respectively, of RSUs were vested and remain unsettled per the original deferral elections. The following table summarizes share information about RSAs and RSUs: Six Months Ended June 30, 2020 2019 Number of Shares Weighted Average Grant Date Fair Value Number of Shares Weighted Average Grant Date Fair Value Beginning of the period balance 717,999 $ 10.53 1,155,359 $ 10.97 Shares granted 250,118 11.72 321,784 9.80 Shares settled (211,210) 10.51 (179,325) 11.40 Shares forfeited (30,292) 11.08 (50,037) 10.69 End of the period balance 726,615 $ 10.92 1,247,781 $ 10.62

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	FAIR VALUE MEASUREMENTS Fair Value Measurements Fair Value Hierarchy The Company groups its assets and liabilities measured at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. Valuations within these levels are based upon: Level 1 - Quoted market prices for identical instruments traded in active exchange 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-based valuation techniques for which all significant assumptions are observable or can be corroborated by observable market data. Level 3 - Model-based techniques that use at least one significant assumption not observable in the market. These unobservable assumptions reflect the Company’s estimates of assumptions that market participants would use on pricing the asset or liability. Valuation techniques include management judgment and estimation which may be significant. Because broadly traded markets do not exist for most of the Company’s financial instruments, the fair value calculations attempt to incorporate the effect of current market conditions at a specific time. These determinations are subjective in nature, involve uncertainties and matters of significant judgment and do not include tax ramifications; therefore, the results cannot be determined with precision, substantiated by comparison to independent markets and may not be realized in an actual sale or immediate settlement of the instruments. There may be inherent weaknesses in any calculation technique, and changes in the underlying assumptions used, including discount rates and estimates of future cash flows, could significantly affect the results. For all of these reasons, the aggregation of the fair value calculations presented herein do not represent, and should not be construed to represent, the underlying value of the Company. Management monitors the availability of observable market data to assess the appropriate classification of assets and liabilities within the fair value hierarchy. Changes in economic conditions or model-based valuation techniques may require the transfer of financial instruments from one fair value level to another. In such instances, the transfer is reported at the beginning of the reporting period. Management evaluates the significance of transfers between levels based upon the nature of the financial instrument and size of the transfer relative to total assets, total liabilities, or total earnings. The following methods and assumptions were used to estimate the fair value of financial instruments: For cash and cash equivalents, accrued interest receivable and payable, demand deposits and short-term borrowings, the carrying amount is estimated to be fair value. The fair value of accrued interest receivable/payable balances are determined using inputs and fair value measurements commensurate with the asset or liability from which the accrued interest is generated. Fair values for available for sale and held to maturity debt securities, which include primarily debt securities issued by U.S. government sponsored agencies, are based on quoted market prices for similar securities. Fair values for equity securities, which consist of investments in the CRA Qualified Investment Fund, are based on quoted market prices. Loans are valued using the exit price notion. The fair value is estimated using market quotes for similar assets or the present value of future cash flows, discounted using a market rate for similar products and giving consideration to estimated prepayment risk and credit risk. The fair value of loans is determined utilizing estimates resulting in a Level 3 classification. Impaired loans are measured for impairment based on the present value of expected future cash flows discounted at the loans' effective interest rate, except that as a practical expedient, the Company may measure impairment based on a loan’s observable market price, or the fair value of the collateral (net of estimated costs to sell) if the loan is collateral dependent. The fair value of impaired loans is determined utilizing estimates resulting in a Level 3 classification. It was not practicable to determine the fair value of FHLB stock due to restrictions placed on its transferability. The fair value of servicing rights is determined using a valuation model that utilizes interest rate, prepayment speed, and default rate assumptions that market participants would use in estimating future net servicing income and that can be validated against available market data. The fair values of derivatives are based on valuation models using observable market data as of the measurement date. Fair values for fixed-rate time deposits are estimated using discounted cash flow analyses using interest rates offered at each reporting date by the Company for time deposits with similar remaining maturities. For deposits with no contractual maturity, the fair value is assumed to equal the carrying value. The fair value of FHLB advances is estimated based on discounting the future cash flows using the market rate currently offered for similar terms. The fair value of subordinated debentures is based on an indication of value provided by a third-party broker. For senior debt, the fair value is based on an indication of value provided by a third-party broker. Fair Value of Financial Instruments The carrying and estimated fair values of the Company’s financial instruments are as follows: Fair Level Measurements Using (Dollars in thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 As of June 30, 2020: Financial assets: Cash, cash equivalents and restricted cash $ 170,197 $ 170,197 $ 170,197 $ — $ — Debt securities: Available for sale 635,324 635,324 — 635,324 — Held to maturity 9,400 9,839 — 9,839 — Equity securities 12,070 12,070 — 12,070 — Loans receivable, net 6,235,054 6,350,735 — — 6,350,735 Accrued interest receivable 20,388 20,388 3 1,145 19,240 FHLB stock 29,612 N/A N/A N/A N/A Financial liabilities: Deposits $ 5,383,519 $ 5,418,120 $ 1,762,465 $ 3,655,655 $ — FHLB advances 961,747 1,007,759 — 1,007,759 — Junior subordinated deferrable interest debentures 61,857 52,968 — 52,968 — Senior debt 94,478 103,109 — 103,109 — Accrued interest payable 1,253 1,253 — 1,253 — Interest rate swaps 14,723 14,723 — 14,723 — As of December 31, 2019: Financial assets: Cash, cash equivalents and restricted cash $ 91,325 $ 91,325 $ 91,325 $ — $ — Debt securities: Available for sale 625,074 625,074 — 625,074 — Held to maturity 10,170 10,349 — 10,349 — Equity securities 11,782 11,782 — 11,782 — Loans receivable, net 6,194,976 6,346,496 — — 6,346,496 Accrued interest receivable 20,814 20,814 26 1,685 19,103 FHLB stock 30,342 N/A N/A N/A N/A Interest rate swap 1,156 1,156 — 1,156 — Financial liabilities: Deposits $ 5,234,717 $ 5,253,511 $ 1,558,029 $ 3,695,482 $ — FHLB advances 978,702 996,860 — 996,860 — Junior subordinated deferrable interest debentures 61,857 59,272 — 59,272 — Senior debt 94,416 99,806 — 99,806 — Accrued interest payable 2,901 2,901 — 2,901 — Interest rate swap 746 746 — 746 — These estimates do not reflect any premium or discount that could result from offering the Company’s entire holdings of a particular financial instrument for sale at one time, nor do they attempt to estimate the value of anticipated future business related to the instruments. In addition, the tax ramifications related to the realization of unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in any of these estimates. Assets and Liabilities Recorded at Fair Value The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring and nonrecurring basis as of June 30, 2020 and December 31, 2019. Recurring Basis The Company is required or permitted to record the following assets and liabilities at fair value on a recurring basis (dollars in thousands): Description Fair Value Level 1 Level 2 Level 3 As of June 30, 2020: Financial Assets: Available for sale debt securities: Government and Government Sponsored Entities: Residential MBS and CMOs $ 261,617 $ — $ 261,617 $ — Commercial MBS and CMOs 358,011 — 358,011 — Agency bonds 15,696 — 15,696 — Total available for sale debt securities $ 635,324 $ — $ 635,324 $ — Equity securities $ 12,070 $ — $ 12,070 $ — Mortgage servicing rights $ 2,028 $ — $ — $ 2,028 Financial Liabilities: Interest rate swaps $ 14,723 $ — $ 14,723 $ — As of December 31, 2019: Financial Assets: Available for sale debt securities: Government and Government Sponsored Entities: Residential MBS and CMOs $ 145,192 $ — $ 145,192 $ — Commercial MBS and CMOs 356,169 — 356,169 — Agency bonds 123,713 — 123,713 — Total available for sale debt securities $ 625,074 $ — $ 625,074 $ — Equity securities $ 11,782 $ — $ 11,782 $ — Mortgage servicing rights $ 2,657 $ — $ — $ 2,657 Interest rate swap $ 1,156 $ — $ 1,156 $ — Financial Liabilities: Interest rate swap $ 746 $ — $ 746 $ — There were no transfers between Level 1 and Level 2 during the three and six months ended June 30, 2020 or 2019. Non-recurring Basis The Company may be required, from time to time, to measure certain assets and liabilities at fair value on a non-recurring basis. These include assets that are measured at the lower of cost or market value that were recognized at fair value which was below cost at the reporting date (dollars in thousands): Description Fair Value Level 1 Level 2 Level 3 June 30, 2020 Impaired loans: Single family residential $ 878 $ — $ — $ 878 December 31, 2019 Impaired loans: Single family residential $ 790 $ — $ — $ 790 As of June 30, 2020, an impaired loan of $1.6 million was adjusted to a fair value of $878 thousand by recording a charge-off of $722 thousand during the first quarter of 2020. At December 31, 2019, this same loan totaled $1.6 million and was adjusted to a fair value of $790 thousand by recording an allowance for loan losses of $790 thousand. The fair value of impaired, collateral dependent loans is estimated at the fair value of the underlying collateral, less estimated selling costs. These loans are categorized as Level 3 due to ongoing real estate market conditions which may require the use of unobservable inputs and assumptions in fair value measurements.

VARIABLE INTEREST ENTITIES (VIE

VARIABLE INTEREST ENTITIES (VIE)	6 Months Ended
	Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
VARIABLE INTEREST ENTITIES (VIE)	VARIABLE INTEREST ENTITIES ("VIE") The Company is involved with VIEs through its loan securitization activities. The Company evaluated its association with VIEs for consolidation purposes. Specifically, a VIE is to be consolidated by its primary beneficiary, the entity that has both the power to direct the activities that most significantly impact the VIE and a variable interest that could potentially be significant to the VIE. A variable interest is a contractual, ownership or other interest whose value fluctuates with the changes in the value of the VIE's assets and liabilities. The assessment includes an evaluation of the Company's continuing involvement with the VIE and the nature and significance of its variable interests. Multifamily loan securitization With respect to the securitization transaction with Freddie Mac which settled September 27, 2017, the Company's variable interests reside with a reimbursement agreement entered into with Freddie Mac that obligates the Bank to reimburse Freddie Mac for any defaulted contractual principal and interest payments identified after the ultimate resolution of the defaulted loans. Such reimbursement obligations are not to exceed 10% of the original principal amount of the loans comprising the securitization pool. As part of the securitization transaction, the Bank released all servicing obligations and rights to Freddie Mac who was designated as the Master Servicer. As Master Servicer, Freddie Mac appointed the Bank with sub-servicing obligations, which include obligations to collect and remit payments of principal and interest, manage payments of taxes and insurance, and otherwise administer the underlying loans. The servicing of defaulted loans and foreclosed loans was assigned to a separate third party entity, independent of the Bank and Freddie Mac. Freddie Mac, in its capacity as Master Servicer, can terminate the Bank in its role as sub-servicer and direct such responsibilities accordingly. In evaluating the variable interests and continuing involvement in the VIE, the Company determined that it does not have the power to make significant decisions or direct the activities that most significantly impact the economic performance of the VIE's assets and liabilities. As sub-servicer of the loans, the Bank does not have the authority to make significant decisions that influence the value of the VIE's net assets and therefore, is not the primary beneficiary of the VIE. Therefore, the Company determined that the VIE associated with the multifamily securitization should not be included in the consolidated financial statements of the Bank. The Company believes its maximum exposure to loss as a result of involvement with the VIE associated with the securitization under the reimbursement agreement executed with Freddie Mac is 10% of the original principal amount of the loans comprising the securitization pool, or $62.6 million. The reserve for estimated losses with respect to the reimbursement obligation totaled $959 thousand and $1.0 million as of June 30, 2020 and December 31, 2019, respectively, based upon an analysis of quantitative and qualitative data over the underlying loans included in the securitization pool. No disbursements have been made in connection with the reimbursement obligation. As of June 30, 2020, four loans with an aggregate

LOAN SALE AND SECURITIZATION AC

LOAN SALE AND SECURITIZATION ACTIVITIES	6 Months Ended
	Jun. 30, 2020
Transfers and Servicing [Abstract]
LOAN SALE AND SECURITIZATION ACTIVITIES	LOAN SALE AND SECURITIZATION ACTIVITIES The Company sells originated and acquired loans as part of its business operations and overall management of liquidity, assets and liabilities, and financial performance. The transfer of loans is executed in securitization or sale transactions. With respect to sale transactions, the Company's continuing involvement may or may not include ongoing servicing responsibilities and general representations and warranties. With respect to securitization sales, the Company executed its first and only transaction on September 27, 2017 with Freddie Mac. The transaction involved the sale of $626.0 million in originated multifamily loans through a Freddie Mac sponsored transaction. The Company's continuing involvement includes sub-servicing responsibilities, general representations and warranties, and a limited reimbursement obligation. As sub-servicer for Freddie Mac, the Bank is required to maintain a minimum net worth in accordance with GAAP of not less than $2.0 million. If the Bank's capital were to fall below this threshold, Freddie Mac would have the authority to terminate and assume the Bank’s sub-servicing duties. At June 30, 2020, the Bank’s net worth was $739.6 million which equates to its Tier 1 capital of $729.7 million plus goodwill of $3.3 million and accumulated other comprehensive income related to net unrealized gains on available for sale securities of $6.6 million. General representations and warranties associated with loan sales and securitization sales require the Bank to uphold various assertions that pertain to the underlying loans at the time of the transaction, including, but not limited to, compliance with relevant laws and regulations, absence of fraud, enforcement of liens, no environmental damages, and maintenance of relevant environmental insurance. Such representations and warranties are limited to those that do not meet the quality represented at the transaction date and do not pertain to a decline in value or future payment defaults. In circumstances where the Bank breaches its representations and warranties, the Bank would generally be required to cure such instances through a repurchase or substitution of the subject loan(s). With respect to the securitization transaction, the Bank also has continuing involvement through a reimbursement agreement executed with Freddie Mac. To the extent the ultimate resolution of defaulted loans results in contractual principal and interest payments that are deficient, the Bank is obligated to reimburse Freddie Mac for such amounts, not to exceed 10% of the original principal amount of the loans comprising the securitization pool at the closing date of September 27, 2017. The following table provides cash flows associated with the Company's loan sale activities: Three Months Ended June 30, Six Months Ended June 30, (Dollars in thousands) 2020 2019 2020 2019 Proceeds from loan sales $ — $ 51,606 $ — $ 51,606 Servicing fees 246 334 516 668 The following table provides information about the loans transferred through sales or securitization and not recorded on the unaudited consolidated statements of financial condition, for which the Company's continuing involvement includes sub-servicing or servicing responsibilities and/or reimbursement obligations: (Dollars in thousands) Single Family Residential Multifamily Residential As of June 30, 2020: Principal balance of loans $ 21,454 $ 389,082 Loans 90+ days past due — — Charge-offs, net — — As of December 31, 2019: Principal balance of loans 24,146 489,333 Loans 90+ days past due — — Charge-offs, net — —

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Financial Instruments With Off-Balance Sheet Risk The Company is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments represent commitments to originate fixed and variable rate loans and loans in process, and involve, to varying degrees, credit risk and interest rate risk in excess of the amount recognized in the Company’s consolidated statements of financial condition. The Company’s exposure to credit loss in the event of nonperformance by the other party for commitments to extend credit and lines of credit is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments to originate loans as it does for on-balance sheet instruments. As it relates to interest rate risk, the Company's exposure is generally limited to increases in interest rates that may result during the short period of time between the commitment and funding of fixed rate credit facilities and adjustable rate credit facilities with initial fixed rate periods. The limited timing risk associated with these credit facilities are considered within the Company's asset liability management process. Commitments to fund loans are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have expiration dates or other termination clauses. In addition, external market forces may impact the probability of commitments being exercised; therefore, total commitments outstanding do not necessarily represent future cash requirements. At June 30, 2020 and December 31, 2019, the Company had outstanding commitments of approximately $116.5 million and $103.2 million, respectively, for loans. Unfunded loan commitment reserves totaled $86 thousand and $89 thousand at June 30, 2020 and December 31, 2019, respectively. Operating Leases The Company leases various office premises under long-term operating lease agreements. These leases expire between 2020 and 2030, with certain leases containing either three five ten July 1 - December 31, 2020 $ 2,338 2021 4,595 2022 3,668 2023 2,428 2024 1,454 Thereafter 2,658 Total $ 17,141 Rent expense under operating leases was $1.0 million and $2.2 million for the three and six months ended June 30, 2020, respectively, compared with $1.3 million and $2.7 million for the three and six months ended June 30, 2019, respectively. Sublease income earned was $182 thousand and $374 thousand for the three and six months ended June 30, 2020, respectively, compared with $189 thousand and $365 thousand for the three and six months ended June 30, 2019, respectively. Contingencies At present, there are no pending or threatened proceedings against the Company which, if determined adversely, would have a material effect on the Company’s business, financial position, results of operations, cash flows or stock price. In the ordinary course of operations, the Company may be party to various legal proceedings. Correspondent Banking Agreements

NATURE OF OPERATIONS (Policies)

NATURE OF OPERATIONS (Policies)	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Basis of Accounting	Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and, therefore, do not include all footnotes as would be necessary for a fair presentation of financial position, results of operations and comprehensive income, changes in stockholders’ equity and cash flows in conformity with accounting principles generally accepted in the United States of America (“GAAP”). However, these interim unaudited consolidated financial statements reflect all adjustments (consisting solely of normal recurring adjustments and accruals) which, in the opinion of management, are necessary for a fair presentation of financial position, results of operations and comprehensive income, changes in stockholders’ equity and cash flows for the interim periods presented. These unaudited consolidated financial statements have been prepared on a basis consistent with, and should be read in conjunction with, the audited consolidated financial statements as of and for the year ended December 31, 2019, and the notes thereto, included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019 filed with the Securities and Exchange Commission (the “SEC”), under the Securities and Exchange Act of 1934, as amended (the “Exchange Act”). The unaudited consolidated financial statements include the accounts of the Company and its subsidiaries. All intercompany accounts and transactions have been eliminated. The results of operations for the three and six months ended June 30, 2020 are not necessarily indicative of the results of operations that may be expected for any other interim period or for the year ending December 31, 2020.
Use of Estimates	Use of Estimates Management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. These estimates and assumptions affect the amounts reported in the unaudited consolidated financial statements and the disclosures provided, and actual results could differ. The estimates utilized to determine the appropriate allowance for loan losses at June 30, 2020 may be materially different from actual results due to the COVID-19 pandemic. See Note 2 to the unaudited consolidated financial statements for additional information regarding the COVID-19 pandemic.
Reclassifications	Reclassifications Certain prior balances in the unaudited consolidated financial statements have been reclassified to
Earnings Per Share	Earnings Per Share ("EPS")Basic earnings per common share represents the amount of earnings for the period available to each share of common stock outstanding during the reporting period. Basic EPS is computed based upon net income divided by the weighted average number of common shares outstanding during the period. In determining the weighted average number of shares outstanding, vested restricted stock units are included. Diluted EPS represents the amount of earnings for the period available to each share of common stock outstanding including common stock that would have been outstanding assuming the issuance of common shares for all dilutive potential common shares outstanding during each reporting period. Diluted EPS is computed based upon net income divided by the weighted average number of common shares outstanding during each period, adjusted for the effect of dilutive potential common shares, such as restricted stock awards and units, calculated using the treasury stock method.
New Financial Accounting Standards	New Financial Accounting Standards FASB ASU 2019-12
Derivatives	The gain or loss on the derivatives, as well as the offsetting loss or gain on the hedged items attributable to the hedged risk are recognized in interest income for loans.
Fair Value Measurements	Fair Value Measurements Fair Value Hierarchy The Company groups its assets and liabilities measured at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. Valuations within these levels are based upon: Level 1 - Quoted market prices for identical instruments traded in active exchange 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-based valuation techniques for which all significant assumptions are observable or can be corroborated by observable market data. Level 3 - Model-based techniques that use at least one significant assumption not observable in the market. These unobservable assumptions reflect the Company’s estimates of assumptions that market participants would use on pricing the asset or liability. Valuation techniques include management judgment and estimation which may be significant. Because broadly traded markets do not exist for most of the Company’s financial instruments, the fair value calculations attempt to incorporate the effect of current market conditions at a specific time. These determinations are subjective in nature, involve uncertainties and matters of significant judgment and do not include tax ramifications; therefore, the results cannot be determined with precision, substantiated by comparison to independent markets and may not be realized in an actual sale or immediate settlement of the instruments. There may be inherent weaknesses in any calculation technique, and changes in the underlying assumptions used, including discount rates and estimates of future cash flows, could significantly affect the results. For all of these reasons, the aggregation of the fair value calculations presented herein do not represent, and should not be construed to represent, the underlying value of the Company. Management monitors the availability of observable market data to assess the appropriate classification of assets and liabilities within the fair value hierarchy. Changes in economic conditions or model-based valuation techniques may require the transfer of financial instruments from one fair value level to another. In such instances, the transfer is reported at the beginning of the reporting period. Management evaluates the significance of transfers between levels based upon the nature of the financial instrument and size of the transfer relative to total assets, total liabilities, or total earnings. The following methods and assumptions were used to estimate the fair value of financial instruments: For cash and cash equivalents, accrued interest receivable and payable, demand deposits and short-term borrowings, the carrying amount is estimated to be fair value. The fair value of accrued interest receivable/payable balances are determined using inputs and fair value measurements commensurate with the asset or liability from which the accrued interest is generated. Fair values for available for sale and held to maturity debt securities, which include primarily debt securities issued by U.S. government sponsored agencies, are based on quoted market prices for similar securities. Fair values for equity securities, which consist of investments in the CRA Qualified Investment Fund, are based on quoted market prices. Loans are valued using the exit price notion. The fair value is estimated using market quotes for similar assets or the present value of future cash flows, discounted using a market rate for similar products and giving consideration to estimated prepayment risk and credit risk. The fair value of loans is determined utilizing estimates resulting in a Level 3 classification. Impaired loans are measured for impairment based on the present value of expected future cash flows discounted at the loans' effective interest rate, except that as a practical expedient, the Company may measure impairment based on a loan’s observable market price, or the fair value of the collateral (net of estimated costs to sell) if the loan is collateral dependent. The fair value of impaired loans is determined utilizing estimates resulting in a Level 3 classification. It was not practicable to determine the fair value of FHLB stock due to restrictions placed on its transferability. The fair value of servicing rights is determined using a valuation model that utilizes interest rate, prepayment speed, and default rate assumptions that market participants would use in estimating future net servicing income and that can be validated against available market data. The fair values of derivatives are based on valuation models using observable market data as of the measurement date. Fair values for fixed-rate time deposits are estimated using discounted cash flow analyses using interest rates offered at each reporting date by the Company for time deposits with similar remaining maturities. For deposits with no contractual maturity, the fair value is assumed to equal the carrying value. The fair value of FHLB advances is estimated based on discounting the future cash flows using the market rate currently offered for similar terms. The fair value of subordinated debentures is based on an indication of value provided by a third-party broker. For senior debt, the fair value is based on an indication of value provided by a third-party broker.

NATURE OF OPERATIONS (Tables)

NATURE OF OPERATIONS (Tables)	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	(Dollars in thousands, except share amounts) Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Net income $ 9,318 $ 11,658 $ 16,894 $ 23,668 Weighted average basic common shares outstanding 52,465,458 56,108,618 54,038,642 56,314,213 Add: Dilutive effects of assumed vesting of restricted stock 85,548 182,770 99,410 192,829 Weighted average diluted common shares outstanding 52,551,006 56,291,388 54,138,052 56,507,042 Income per common share: Basic EPS $ 0.18 $ 0.21 $ 0.31 $ 0.42 Diluted EPS $ 0.18 $ 0.21 $ 0.31 $ 0.42 Anti-dilutive shares not included in calculation of diluted earnings per share 13,734 5,762 18,980 6,701

INVESTMENT SECURITIES (Tables)

INVESTMENT SECURITIES (Tables)	6 Months Ended
	Jun. 30, 2020
Investments, Debt and Equity Securities [Abstract]
Schedule of Debt Securities, Available-for-sale	The following table summarizes the amortized cost and the estimated fair value of available for sale debt securities as of the dates indicated: (Dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value At June 30, 2020: Government and Government Sponsored Entities: Residential mortgage backed securities ('MBS") and collateralized mortgage obligations ("CMOs") $ 258,137 $ 3,639 $ (159) $ 261,617 Commercial MBS and CMOs 352,247 6,594 (830) 358,011 Agency bonds 15,680 59 (43) 15,696 Total available for sale debt securities $ 626,064 $ 10,292 $ (1,032) $ 635,324 At December 31, 2019: Government and Government Sponsored Entities: Residential MBS and CMOs $ 145,333 $ 340 $ (481) $ 145,192 Commercial MBS and CMOs 353,727 3,267 (825) 356,169 Agency bonds 123,977 59 (323) 123,713 Total available for sale debt securities $ 623,037 $ 3,666 $ (1,629) $ 625,074 The following tables summarize the gross unrealized losses and fair value of available for sale debt securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position: June 30, 2020 Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Government and Government Sponsored Entities: Residential MBS and CMOs $ 19,570 $ (111) $ 19,713 $ (48) $ 39,283 $ (159) Commercial MBS and CMOs 80,844 (345) 59,557 (485) 140,401 (830) Agency bonds 12,637 (43) — — 12,637 (43) Total available for sale debt securities $ 113,051 $ (499) $ 79,270 $ (533) $ 192,321 $ (1,032) December 31, 2019 Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Government and Government Sponsored Entities: Residential MBS and CMOs $ 43,623 $ (181) $ 54,870 $ (300) $ 98,493 $ (481) Commercial MBS and CMOs 95,950 (339) 57,219 (486) 153,169 (825) Agency bonds 29,471 (86) 87,405 (237) 116,876 (323) Total available for sale debt securities $ 169,044 $ (606) $ 199,494 $ (1,023) $ 368,538 $ (1,629)
Schedule of Held-to-maturity Securities	The following table summarizes the amortized cost and estimated fair value of held to maturity investment securities as of the dates indicated: (Dollars in thousands) Amortized Cost Gross Unrecognized Gains Gross Unrecognized Losses Estimated Fair Value As of June 30, 2020: Government Sponsored Entities: Residential MBS $ 9,321 $ 439 $ — $ 9,760 Other investments 79 — — 79 Total held to maturity investment securities $ 9,400 $ 439 $ — $ 9,839 As of December 31, 2019: Government Sponsored Entities: Residential MBS $ 10,087 $ 205 $ (26) $ 10,266 Other investments 83 — — 83 Total held to maturity investment securities $ 10,170 $ 205 $ (26) $ 10,349 The following table summarizes the gross unrecognized losses and fair value of held to maturity investment securities, aggregated by investment category and length of time that individual securities have been in a continuous unrecognized loss position: Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Value Unrecognized Losses Fair Value Unrecognized Losses Fair Value Unrecognized Losses As of December 31, 2019: Government Sponsored Entities: Residential MBS $ — $ — $ 2,253 $ (26) $ 2,253 $ (26)
Schedule of Debt Maturities of Available-for-sale and Held-to-maturity Securities	The following table summarizes the scheduled maturities of available for sale and held to maturity investment securities as of June 30, 2020: June 30, 2020 (Dollars in thousands) Amortized Cost Fair Value Available for sale debt securities Five to ten years $ 3,596 $ 3,588 Beyond ten years 12,084 12,108 MBS and CMOs 610,384 619,628 Total available for sale debt securities $ 626,064 $ 635,324 Held to maturity investments securities Beyond ten years $ 79 $ 79 MBS 9,321 9,760 Total held to maturity debt securities $ 9,400 $ 9,839

LOANS (Tables)

LOANS (Tables)	6 Months Ended
	Jun. 30, 2020
Receivables [Abstract]
Schedule of Loans Receivable	Loans consist of the following: (Dollars in thousands) June 30, December 31, Permanent mortgages on: Multifamily residential $ 4,082,224 $ 3,985,981 Single family residential 1,969,563 2,021,320 Commercial real estate 211,135 203,134 Construction and land loans 18,017 20,442 Non-Mortgage (‘‘NM’’) loans 100 100 Total 6,281,039 6,230,977 Allowance for loan losses (45,985) (36,001) Loans held for investment, net $ 6,235,054 $ 6,194,976
Schedule Allowance for Loan Losses	The following table summarizes activity in and the allocation of the allowance for loan losses by portfolio segment: (Dollars in thousands) Multifamily Residential Single Family Residential Commercial Real Estate Land, Construction and NM Total Three months ended June 30, 2020 Allowance for loan losses: Beginning balance allocated to portfolio segments $ 27,308 $ 10,426 $ 2,677 $ 246 $ 40,657 Provision for (reversal of) loan losses 3,529 1,199 628 (106) 5,250 Charge-offs — — — — — Recoveries — 3 — 75 78 Ending balance allocated to portfolio segments $ 30,837 $ 11,628 $ 3,305 $ 215 $ 45,985 Three months ended June 30, 2019 Allowance for loan losses: Beginning balance allocated to portfolio segments $ 22,046 $ 9,889 $ 2,278 $ 479 $ 34,692 Provision for (reversal of) loan losses 699 (454) 134 71 450 Charge-offs — — — — — Recoveries — 4 — 75 79 Ending balance allocated to portfolio segments $ 22,745 $ 9,439 $ 2,412 $ 625 $ 35,221 Six months ended June 30, 2020 Allowance for loan losses: Beginning balance allocated to portfolio segments $ 23,372 $ 10,076 $ 2,341 $ 212 $ 36,001 Provision for (reversal of) loan losses 7,465 2,268 964 (147) 10,550 Charge-offs — (722) — — (722) Recoveries — 6 — 150 156 Ending balance allocated to portfolio segments $ 30,837 $ 11,628 $ 3,305 $ 215 $ 45,985 Six months ended June 30, 2019 Allowance for loan losses: Beginning balance allocated to portfolio segments $ 21,326 $ 10,125 $ 2,441 $ 422 $ 34,314 Provision for (reversal of) loan losses 1,419 (693) (29) 53 750 Charge-offs — — — — — Recoveries — 7 — 150 157 Ending balance allocated to portfolio segments $ 22,745 $ 9,439 $ 2,412 $ 625 $ 35,221 The following table summarizes the allocation of the allowance for loan losses by impairment methodology: (Dollars in thousands) Multifamily Residential Single Family Residential Commercial Real Estate Land, Construction and NM Total As of June 30, 2020: Ending allowance balance allocated to: Loans individually evaluated for impairment $ — $ 25 $ — $ — $ 25 Loans collectively evaluated for impairment 30,837 11,603 3,305 215 45,960 Ending balance $ 30,837 $ 11,628 $ 3,305 $ 215 $ 45,985 Loans: Ending balance: individually evaluated for impairment $ 533 $ 5,643 $ — $ — $ 6,176 Ending balance: collectively evaluated for impairment 4,081,691 1,963,920 211,135 18,117 6,274,863 Ending balance $ 4,082,224 $ 1,969,563 $ 211,135 $ 18,117 $ 6,281,039 As of December 31, 2019: Ending allowance balance allocated to: Loans individually evaluated for impairment $ — $ 815 $ — $ — $ 815 Loans collectively evaluated for impairment 23,372 9,261 2,341 212 35,186 Ending balance $ 23,372 $ 10,076 $ 2,341 $ 212 $ 36,001 Loans: Ending balance: individually evaluated for impairment $ 541 $ 7,097 $ — $ — $ 7,638 Ending balance: collectively evaluated for impairment 3,985,440 2,014,223 203,134 20,542 6,223,339 Ending balance $ 3,985,981 $ 2,021,320 $ 203,134 $ 20,542 $ 6,230,977
Schedule of Loan Portfolio by Internal Risk Indicators	The following table summarizes the loan portfolio allocated by management’s internal risk ratings at June 30, 2020 and December 31, 2019. The increase in Watch risk rated loans during the six months ended June 30, 2020, was attributable to the Company's loan modification program in connection with the COVID-19 pandemic. See Note 2 for further discussion regarding COVID-19. (Dollars in thousands) Multifamily Residential Single Family Residential Commercial Real Estate Land, Construction and NM Total As of June 30, 2020: Grade: Pass $ 3,833,884 $ 1,765,005 $ 155,736 $ 18,117 $ 5,772,742 Watch 223,406 185,320 55,399 — 464,125 Special mention 20,739 12,695 — — 33,434 Substandard 4,195 6,543 — — 10,738 Doubtful — — — — — Total $ 4,082,224 $ 1,969,563 $ 211,135 $ 18,117 $ 6,281,039 As of December 31, 2019: Grade: Pass $ 3,917,264 $ 1,980,845 $ 200,371 $ 20,542 $ 6,119,022 Watch 47,309 16,432 2,763 — 66,504 Special mention 19,708 13,635 — — 33,343 Substandard 1,700 8,808 — — 10,508 Doubtful — 1,600 — — 1,600 Total $ 3,985,981 $ 2,021,320 $ 203,134 $ 20,542 $ 6,230,977
Schedule or Past Due Loans Receivable	The following table summarizes an aging analysis of the loan portfolio by the time past due at June 30, 2020 and December 31, 2019: (Dollars in thousands) 30 Days 60 Days 90+ Days Non-accrual Current Total As of June 30, 2020: Loans: Multifamily residential $ — $ — $ — $ 533 $ 4,081,691 $ 4,082,224 Single family residential — 37 — 4,358 1,965,168 1,969,563 Commercial real estate — — — — 211,135 211,135 Land, construction and NM — — — — 18,117 18,117 Total $ — $ 37 $ — $ 4,891 $ 6,276,111 $ 6,281,039 As of December 31, 2019: Loans: Multifamily residential $ 1,411 $ — $ — $ 541 $ 3,984,029 $ 3,985,981 Single family residential 4,037 690 — 5,792 2,010,801 2,021,320 Commercial real estate — — — — 203,134 203,134 Land, construction and NM — — — — 20,542 20,542 Total $ 5,448 $ 690 $ — $ 6,333 $ 6,218,506 $ 6,230,977
Schedule of Impaired Loans Receivables	The following table summarizes information related to impaired loans at June 30, 2020 and December 31, 2019: As of June 30, 2020 As of December 31, 2019 (Dollars in thousands) Recorded Investment Unpaid Principal Balance Related Allowance Recorded Investment Unpaid Principal Balance Related Allowance With no related allowance recorded: Multifamily residential $ 533 $ 609 $ — $ 541 $ 618 $ — Single family residential 4,749 5,794 — 4,588 4,915 — 5,282 6,403 — 5,129 5,533 — With an allowance recorded: Single family residential 894 890 25 2,509 2,484 815 894 890 25 2,509 2,484 815 Total: Multifamily residential 533 609 — 541 618 — Single family residential 5,643 6,684 25 7,097 7,399 815 $ 6,176 $ 7,293 $ 25 $ 7,638 $ 8,017 $ 815 The following tables summarize information related to impaired loans for the three and six months ended June 30, 2020 and 2019: Three Months Ended June 30, 2020 2019 (Dollars in thousands) Average Recorded Investment Interest Income Cash Basis Interest Average Recorded Investment Interest Income Cash Basis Interest With no related allowance recorded: Multifamily residential $ 535 $ 8 $ 8 $ 2,195 $ 9 $ 9 Single family residential 4,924 25 20 4,715 59 25 5,459 33 28 6,910 68 34 With an allowance recorded: Single family residential 898 10 — 1,475 12 — 898 10 — 1,475 12 — Total: Multifamily residential 535 8 8 2,195 9 9 Single family residential 5,822 35 20 6,190 71 25 $ 6,357 $ 43 $ 28 $ 8,385 $ 80 $ 34 Six Months Ended June 30, 2020 2019 (Dollars in thousands) Average Recorded Investment Interest Income Cash Basis Interest Average Recorded Investment Interest Income Cash Basis Interest With no related allowance recorded: Multifamily residential $ 537 $ 17 $ 17 $ 1,494 $ 12 $ 12 Single family residential 4,775 44 34 4,518 95 25 5,312 61 51 6,012 107 37 With an allowance recorded: Single family residential 1,587 21 — 1,242 24 — 1,587 21 — 1,242 24 — Total: Multifamily residential 537 17 17 1,494 12 12 Single family residential 6,362 65 34 5,760 119 25 $ 6,899 $ 82 $ 51 $ 7,254 $ 131 $ 37
Schedule of Troubled Debt Restructurings	The following table summarizes the recorded investment related to TDRs at June 30, 2020 and December 31, 2019: (Dollars in thousands) June 30, December 31, Troubled debt restructurings: Single family residential $ 3,953 $ 1,305 (Dollars in thousands) Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Troubled debt restructurings: Single family residential 2 $ 2,672 $ 2,672

NONPERFORMING ASSETS (Tables)

NONPERFORMING ASSETS (Tables)	6 Months Ended
	Jun. 30, 2020
Receivables [Abstract]
Schedule of Nonperforming Assets	The Company’s nonperforming assets at June 30, 2020 and December 31, 2019 are indicated below: (Dollars in thousands) June 30, December 31, Non-accrual loans: Multifamily residential $ 533 $ 541 Single family residential 4,358 5,792 Total non-accrual loans 4,891 6,333 Real estate owned — — Total nonperforming assets $ 4,891 $ 6,333

MORTGAGE SERVICING RIGHTS (Tabl

MORTGAGE SERVICING RIGHTS (Tables)	6 Months Ended
	Jun. 30, 2020
Transfers and Servicing [Abstract]
Schedule of Mortgage Loans Serviced for Others	The principal balances of these loans are as follows: (Dollars in thousands) June 30, December 31, Mortgage loans serviced for: Federal Home Loan Mortgage Corporation ("Freddie Mac") $ 293,467 $ 379,339 Other financial institutions 117,069 134,140 Total mortgage loans serviced for others $ 410,536 $ 513,479
Schedule of Changes in Servicing Assets	Activities for mortgage servicing rights are as follows: Three Months Ended June 30, Six Months Ended June 30, (Dollars in thousands) 2020 2019 2020 2019 Beginning balance $ 2,262 $ 3,472 $ 2,657 $ 3,463 Additions — — — 155 Disposals — — — — Change in fair value due to changes in assumptions — — — — Other changes in fair value (234) (317) (629) (463) Ending balance $ 2,028 $ 3,155 $ 2,028 $ 3,155

DEPOSITS (Tables)

DEPOSITS (Tables)	6 Months Ended
	Jun. 30, 2020
Deposits [Abstract]
Schedule of Deposits	A summary of deposits at June 30, 2020 and December 31, 2019 is as follows: (Dollars in thousands) June 30, December 31, Time deposits $ 3,441,029 $ 3,526,688 Money market savings 1,406,407 1,330,585 Interest-bearing demand 366,714 222,509 Money market checking 93,083 111,338 Noninterest-bearing demand 76,286 43,597 Total $ 5,383,519 $ 5,234,717
Schedule of Certificate Account Maturities	Maturities of the Company’s time deposits at June 30, 2020 are summarized as follows (dollars in thousands): July 1 - December 31, 2020 $ 1,784,755 2021 1,543,856 2022 94,638 2023 4,859 2024 6,207 Thereafter 6,714 Total $ 3,441,029

FEDERAL HOME LOAN BANK AND FE_2

FEDERAL HOME LOAN BANK AND FEDERAL RESERVE BANK ADVANCES (Tables)	6 Months Ended
	Jun. 30, 2020
Advances from Federal Home Loan Banks [Abstract]
Schedule of FHLB Advances	The following table discloses the Bank’s outstanding advances from the FHLB of San Francisco: Outstanding Balances As of June 30, 2020 (Dollars in thousands) June 30, December 31, Minimum Interest Rate Maximum Interest Rate Weighted Average Rate Maturity Dates Fixed rate short-term $ — $ 1,500 — % — % — % N/A Fixed rate long-term 961,747 977,202 0.00 % 7.33 % 2.19 % November 2020 to March 2030 $ 961,747 $ 978,702 The following table summarizes principal payments on FHLB advances over the next five years as of June 30, 2020 (dollars in thousands): July 1 - December 31, 2020 $ 5,000 2021 355,100 2022 100,000 2023 400,000 2024 — Thereafter 101,647 $ 961,747

JUNIOR SUBORDINATED DEFERRABL_2

JUNIOR SUBORDINATED DEFERRABLE INTEREST DEBENTURES (Tables)	6 Months Ended
	Jun. 30, 2020
Debt Disclosure [Abstract]
Schedule of Outstanding Trust Securities	The following table is a summary of the outstanding Trust Securities and Notes at June 30, 2020 and December 31, 2019 (dollars in thousands): June 30, 2020 December 31, 2019 Date Maturity Rate Index Issuer Amount Rate Amount Rate Issued Date (Quarterly Reset) Luther Burbank Statutory Trust I $ 41,238 1.69 % $ 41,238 3.27 % 3/1/2006 6/15/2036 3 month LIBOR + 1.38% Luther Burbank Statutory Trust II $ 20,619 1.93 % $ 20,619 3.51 % 3/1/2007 6/15/2037 3 month LIBOR + 1.62%

SENIOR DEBT (Tables)

SENIOR DEBT (Tables)	6 Months Ended
	Jun. 30, 2020
Debt Disclosure [Abstract]
Schedule of Debt	The following table summarizes information on these notes as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 (Dollars in thousands) Principal Unamortized Debt Issuance Costs Principal Unamortized Debt Issuance Costs Maturity Date Fixed Interest Rate Senior Unsecured Term Notes $ 95,000 $ 522 $ 95,000 $ 584 9/30/2024 6.50 %

DERIVATIVES AND HEDGING ACTIV_2

DERIVATIVES AND HEDGING ACTIVITIES (Tables)	6 Months Ended
	Jun. 30, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Interest Rate Swap on the Consolidated Statements of Income	The following table presents the effect of the Company’s interest rate swaps on the unaudited consolidated statement of income for the three and six months ended June 30, 2020: For the Three Months Ended June 30, For the Six Months Ended June 30, (Dollars in thousands) 2020 2019 2020 2019 Derivative - interest rate swaps: Interest income $ (3,485) $ 114 $ (3,947) $ 114 Hedged items - loans: Interest income (15) (1) 56 (1) Net effect on interest income $ (3,500) $ 113 $ (3,891) $ 113
Schedule of Interest Rate Swap on Consolidated Balance Sheet	The following table presents the fair value of the Company’s interest rate swaps, as well as its classification on the unaudited consolidated statements of financial condition as of June 30, 2020 and December 31, 2019: Fair Values of Derivative Instruments Asset Derivatives Liability Derivatives (Dollars in thousands) Notional Amount Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives designated as hedging instruments: As of June 30, 2020: Interest Rate Swaps $ 1,000,000 Prepaid Expenses and Other Assets $ — Other Liabilities and Accrued Expenses $ 14,723 As of December 31, 2019: Interest Rate Swaps $ 1,000,000 Prepaid Expenses and Other Assets $ 1,156 Other Liabilities and Accrued Expenses $ 746
Schedule of Amounts Recorded on the Balance Sheet Related to Cumulative Adjustments on Fair Value Hedges	As of June 30, 2020 and December 31, 2019, the following amounts were recorded in the unaudited consolidated statements of financial condition related to cumulative basis adjustments for its fair value hedges. Line Item in the Consolidated Statements of Financial Condition in Which the Hedged Items are Included Carrying Amount of the Hedged Assets Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Assets (Dollars in thousands) As of June 30, 2020: Loans receivable, net (1) $ 1,014,784 $ 14,784 As of December 31, 2019: Loans receivable, net (1) $ 999,595 $ (405)

STOCK BASED COMPENSATION (Table

STOCK BASED COMPENSATION (Tables)	6 Months Ended
	Jun. 30, 2020
Share-based Payment Arrangement [Abstract]
Schedule of Restricted Stock Activity	The following table summarizes share information about RSAs and RSUs: Six Months Ended June 30, 2020 2019 Number of Shares Weighted Average Grant Date Fair Value Number of Shares Weighted Average Grant Date Fair Value Beginning of the period balance 717,999 $ 10.53 1,155,359 $ 10.97 Shares granted 250,118 11.72 321,784 9.80 Shares settled (211,210) 10.51 (179,325) 11.40 Shares forfeited (30,292) 11.08 (50,037) 10.69 End of the period balance 726,615 $ 10.92 1,247,781 $ 10.62

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Schedule of Fair Value of Assets and Liabilities	The carrying and estimated fair values of the Company’s financial instruments are as follows: Fair Level Measurements Using (Dollars in thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 As of June 30, 2020: Financial assets: Cash, cash equivalents and restricted cash $ 170,197 $ 170,197 $ 170,197 $ — $ — Debt securities: Available for sale 635,324 635,324 — 635,324 — Held to maturity 9,400 9,839 — 9,839 — Equity securities 12,070 12,070 — 12,070 — Loans receivable, net 6,235,054 6,350,735 — — 6,350,735 Accrued interest receivable 20,388 20,388 3 1,145 19,240 FHLB stock 29,612 N/A N/A N/A N/A Financial liabilities: Deposits $ 5,383,519 $ 5,418,120 $ 1,762,465 $ 3,655,655 $ — FHLB advances 961,747 1,007,759 — 1,007,759 — Junior subordinated deferrable interest debentures 61,857 52,968 — 52,968 — Senior debt 94,478 103,109 — 103,109 — Accrued interest payable 1,253 1,253 — 1,253 — Interest rate swaps 14,723 14,723 — 14,723 — As of December 31, 2019: Financial assets: Cash, cash equivalents and restricted cash $ 91,325 $ 91,325 $ 91,325 $ — $ — Debt securities: Available for sale 625,074 625,074 — 625,074 — Held to maturity 10,170 10,349 — 10,349 — Equity securities 11,782 11,782 — 11,782 — Loans receivable, net 6,194,976 6,346,496 — — 6,346,496 Accrued interest receivable 20,814 20,814 26 1,685 19,103 FHLB stock 30,342 N/A N/A N/A N/A Interest rate swap 1,156 1,156 — 1,156 — Financial liabilities: Deposits $ 5,234,717 $ 5,253,511 $ 1,558,029 $ 3,695,482 $ — FHLB advances 978,702 996,860 — 996,860 — Junior subordinated deferrable interest debentures 61,857 59,272 — 59,272 — Senior debt 94,416 99,806 — 99,806 — Accrued interest payable 2,901 2,901 — 2,901 — Interest rate swap 746 746 — 746 —
Schedule of Fair Value of Assets Measured on a Recurring Basis	The Company is required or permitted to record the following assets and liabilities at fair value on a recurring basis (dollars in thousands): Description Fair Value Level 1 Level 2 Level 3 As of June 30, 2020: Financial Assets: Available for sale debt securities: Government and Government Sponsored Entities: Residential MBS and CMOs $ 261,617 $ — $ 261,617 $ — Commercial MBS and CMOs 358,011 — 358,011 — Agency bonds 15,696 — 15,696 — Total available for sale debt securities $ 635,324 $ — $ 635,324 $ — Equity securities $ 12,070 $ — $ 12,070 $ — Mortgage servicing rights $ 2,028 $ — $ — $ 2,028 Financial Liabilities: Interest rate swaps $ 14,723 $ — $ 14,723 $ — As of December 31, 2019: Financial Assets: Available for sale debt securities: Government and Government Sponsored Entities: Residential MBS and CMOs $ 145,192 $ — $ 145,192 $ — Commercial MBS and CMOs 356,169 — 356,169 — Agency bonds 123,713 — 123,713 — Total available for sale debt securities $ 625,074 $ — $ 625,074 $ — Equity securities $ 11,782 $ — $ 11,782 $ — Mortgage servicing rights $ 2,657 $ — $ — $ 2,657 Interest rate swap $ 1,156 $ — $ 1,156 $ — Financial Liabilities: Interest rate swap $ 746 $ — $ 746 $ —
Schedule of Fair Value of Liabilities Measured on a Recurring Basis	The Company is required or permitted to record the following assets and liabilities at fair value on a recurring basis (dollars in thousands): Description Fair Value Level 1 Level 2 Level 3 As of June 30, 2020: Financial Assets: Available for sale debt securities: Government and Government Sponsored Entities: Residential MBS and CMOs $ 261,617 $ — $ 261,617 $ — Commercial MBS and CMOs 358,011 — 358,011 — Agency bonds 15,696 — 15,696 — Total available for sale debt securities $ 635,324 $ — $ 635,324 $ — Equity securities $ 12,070 $ — $ 12,070 $ — Mortgage servicing rights $ 2,028 $ — $ — $ 2,028 Financial Liabilities: Interest rate swaps $ 14,723 $ — $ 14,723 $ — As of December 31, 2019: Financial Assets: Available for sale debt securities: Government and Government Sponsored Entities: Residential MBS and CMOs $ 145,192 $ — $ 145,192 $ — Commercial MBS and CMOs 356,169 — 356,169 — Agency bonds 123,713 — 123,713 — Total available for sale debt securities $ 625,074 $ — $ 625,074 $ — Equity securities $ 11,782 $ — $ 11,782 $ — Mortgage servicing rights $ 2,657 $ — $ — $ 2,657 Interest rate swap $ 1,156 $ — $ 1,156 $ — Financial Liabilities: Interest rate swap $ 746 $ — $ 746 $ —
Schedule of Fair Value of Assets Measured on a Nonrecurring Basis	These include assets that are measured at the lower of cost or market value that were recognized at fair value which was below cost at the reporting date (dollars in thousands): Description Fair Value Level 1 Level 2 Level 3 June 30, 2020 Impaired loans: Single family residential $ 878 $ — $ — $ 878 December 31, 2019 Impaired loans: Single family residential $ 790 $ — $ — $ 790

LOAN SALE AND SECURITIZATION _2

LOAN SALE AND SECURITIZATION ACTIVITIES (Tables)	6 Months Ended
	Jun. 30, 2020
Transfers and Servicing [Abstract]
Schedule of Cash Flows From Loan Sale Activities	The following table provides cash flows associated with the Company's loan sale activities: Three Months Ended June 30, Six Months Ended June 30, (Dollars in thousands) 2020 2019 2020 2019 Proceeds from loan sales $ — $ 51,606 $ — $ 51,606 Servicing fees 246 334 516 668
Schedule of Loans Transfered Through Sale or Securitization	The following table provides information about the loans transferred through sales or securitization and not recorded on the unaudited consolidated statements of financial condition, for which the Company's continuing involvement includes sub-servicing or servicing responsibilities and/or reimbursement obligations: (Dollars in thousands) Single Family Residential Multifamily Residential As of June 30, 2020: Principal balance of loans $ 21,454 $ 389,082 Loans 90+ days past due — — Charge-offs, net — — As of December 31, 2019: Principal balance of loans 24,146 489,333 Loans 90+ days past due — — Charge-offs, net — —

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	6 Months Ended
	Jun. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Schedule of Operating Lease Maturities	At June 30, 2020, minimum commitments under these non-cancellable leases before considering renewal options are (dollars in thousands): July 1 - December 31, 2020 $ 2,338 2021 4,595 2022 3,668 2023 2,428 2024 1,454 Thereafter 2,658 Total $ 17,141

NATURE OF OPERATIONS - Narrativ

NATURE OF OPERATIONS - Narrative (Details)	Jun. 30, 2020branchoffice
Sonoma, Marin, Santa Clara, and Los Angeles Counties
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Number of full service branches	10
King County, Washington
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Number of full service branches	1
California
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Number of loan production offices | office	7

NATURE OF OPERATIONS - Earnings

NATURE OF OPERATIONS - Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Accounting Policies [Abstract]
Net income	$ 9,318	$ 11,658	$ 16,894	$ 23,668
Weighted average common shares outstanding - basic (in shares)	52,465,458	56,108,618	54,038,642	56,314,213
Add: Dilutive effects of assumed vesting of restricted stock (in shares)	85,548	182,770	99,410	192,829
Weighted average common shares outstanding - diluted (in shares)	52,551,006	56,291,388	54,138,052	56,507,042
Basic earnings per common share (in usd per share)	$ 0.18	$ 0.21	$ 0.31	$ 0.42
Diluted earnings per common share (in usd per share)	$ 0.18	$ 0.21	$ 0.31	$ 0.42
Anti-dilutive shares not included in calculation of diluted earnings per share (in shares)	13,734	5,762	18,980	6,701

COVID-19 (Details)

COVID-19 (Details) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020USD ($)loan	Jun. 30, 2019loan	Jun. 30, 2020USD ($)loan	Jun. 30, 2019loan
Unusual or Infrequent Item, or Both [Line Items]
Financing receivable, approved modifications, number of loans | loan	2	0	2	0
COVID-19
Unusual or Infrequent Item, or Both [Line Items]
Financing receivable, approved modifications, number of loans | loan			271
Financing receivable, approved modifications, percent	6.40%		6.40%
Financing receivable, modifications, returned to payment status, number of loans | loan	38		38
Financing receivable, modifications, returned to payment status, amount | $	$ 55		$ 55
Financing receivable, modifications, paid off, number of loans | loan	2		2
Financing receivable, modifications, paid off, amount | $	$ 2.2		$ 2.2
Loan loss provisions | $			10.1
Financing receivable, modifications, amount | $	$ 398.4		$ 398.4

INVESTMENT SECURITIES - Availab

INVESTMENT SECURITIES - Available-for-sale Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 626,064	$ 623,037
Gross Unrealized Gains	10,292	3,666
Gross Unrealized Losses	(1,032)	(1,629)
Estimated Fair Value	635,324	625,074
Fair Value
Less than 12 Months	113,051	169,044
12 Months or More	79,270	199,494
Total	192,321	368,538
Unrealized Losses
Less than 12 Months	(499)	(606)
12 Months or More	(533)	(1,023)
Total	(1,032)	(1,629)
Residential mortgage backed securities ('MBS") and collateralized mortgage obligations ("CMOs")
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	258,137	145,333
Gross Unrealized Gains	3,639	340
Gross Unrealized Losses	(159)	(481)
Estimated Fair Value	261,617	145,192
Fair Value
Less than 12 Months	19,570	43,623
12 Months or More	19,713	54,870
Total	39,283	98,493
Unrealized Losses
Less than 12 Months	(111)	(181)
12 Months or More	(48)	(300)
Total	(159)	(481)
Commercial MBS and CMOs
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	352,247	353,727
Gross Unrealized Gains	6,594	3,267
Gross Unrealized Losses	(830)	(825)
Estimated Fair Value	358,011	356,169
Fair Value
Less than 12 Months	80,844	95,950
12 Months or More	59,557	57,219
Total	140,401	153,169
Unrealized Losses
Less than 12 Months	(345)	(339)
12 Months or More	(485)	(486)
Total	(830)	(825)
Agency bonds
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	15,680	123,977
Gross Unrealized Gains	59	59
Gross Unrealized Losses	(43)	(323)
Estimated Fair Value	15,696	123,713
Fair Value
Less than 12 Months	12,637	29,471
12 Months or More	0	87,405
Total	12,637	116,876
Unrealized Losses
Less than 12 Months	(43)	(86)
12 Months or More	0	(237)
Total	$ (43)	$ (323)

INVESTMENT SECURITIES - Narrati

INVESTMENT SECURITIES - Narrative (Details)		3 Months Ended		6 Months Ended
		Jun. 30, 2020USD ($)security	Jun. 30, 2019USD ($)	Jun. 30, 2020USD ($)security	Jun. 30, 2019USD ($)	Mar. 31, 2020USD ($)	Dec. 31, 2019USD ($)security	Mar. 31, 2019USD ($)	Dec. 31, 2018USD ($)
Debt Securities, Available-for-sale [Line Items]
Debt securities, available-for-sale, realized gain | $		$ 0	$ 0	$ 0	$ 0
Debt securities, available-for-sale, realized loss | $		0	0	0	0
Equity securities, at fair value | $		12,070,000		12,070,000			$ 11,782,000
Cumulative effect of change in accounting principal | $		$ 596,682,000	597,467,000	$ 596,682,000	597,467,000	$ 603,340,000	$ 614,464,000	$ 588,298,000	$ 581,145,000
Cumulative Effect, Period of Adoption, Adjustment
Debt Securities, Available-for-sale [Line Items]
Cumulative effect of change in accounting principal | $	[1]								0
Residential MBS
Debt Securities, Available-for-sale [Line Items]
Debt securities, available-for-sale, number of positions | security		86		86			76
Debt securities, available-for-sale, unrealized loss position, number of positions | security		22		22			45
Debt securities, available-for-sale, continuous unrealized loss position, 12 months or longer, number of positions | security		14		14			25
Held-to-maturity securities, number of positions | security		7		7			7
Held-to-maturity securities, unrealized loss position, number of positions | security		0		0
Held-to-maturity securities, continuous unrealized loss position, 12 months or longer, number of positions | security							2
Commercial MBS and CMOs
Debt Securities, Available-for-sale [Line Items]
Debt securities, available-for-sale, number of positions | security		44		44			42
Debt securities, available-for-sale, unrealized loss position, number of positions | security		19		19			19
Debt securities, available-for-sale, continuous unrealized loss position, 12 months or longer, number of positions | security		9		9			8
Agency bonds
Debt Securities, Available-for-sale [Line Items]
Debt securities, available-for-sale, number of positions | security		3		3			15
Debt securities, available-for-sale, unrealized loss position, number of positions | security		2		2			12
Debt securities, available-for-sale, continuous unrealized loss position, 12 months or longer, number of positions | security		0		0			9
CRA Qualified Investment Fund
Debt Securities, Available-for-sale [Line Items]
Equity securities, at fair value | $		$ 12,100,000		$ 12,100,000			$ 11,800,000
Changes in fair value recognized in other noninterest income | $		100,000	166,000	288,000	311,000
Accumulated Other Comprehensive (Loss) Income (Net of Taxes) Available for Sale Securities
Debt Securities, Available-for-sale [Line Items]
Unrealized gain on available-for-sale investment securities tax liability | $		2,700,000		2,700,000			593,000
Cumulative effect of change in accounting principal | $		6,566,000	1,128,000	6,566,000	1,128,000	2,190,000	1,444,000	(2,756,000)	(4,935,000)
Accumulated Other Comprehensive (Loss) Income (Net of Taxes) Available for Sale Securities | Cumulative Effect, Period of Adoption, Adjustment
Debt Securities, Available-for-sale [Line Items]
Cumulative effect of change in accounting principal | $	[1]								399,000
Retained Earnings
Debt Securities, Available-for-sale [Line Items]
Cumulative effect of change in accounting principal | $		$ 175,852,000	$ 146,514,000	$ 175,852,000	$ 146,514,000	$ 169,572,000	$ 165,236,000	$ 138,123,000	129,806,000
Retained Earnings | Cumulative Effect, Period of Adoption, Adjustment
Debt Securities, Available-for-sale [Line Items]
Cumulative effect of change in accounting principal | $	[1]								$ (399,000)
[1]	Represents the impact of adopting Accounting Standards Update ("ASU") 2016-01. See Note 3 to the unaudited consolidated financial statements for further information.

INVESTMENT SECURITIES - Held-to

INVESTMENT SECURITIES - Held-to-maturity Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Schedule of Held-to-maturity Securities [Line Items]
Amortized Cost	$ 9,400	$ 10,170
Gross Unrecognized Gains	439	205
Gross Unrecognized Losses	0	(26)
Estimated Fair Value	9,839	10,349
Residential MBS
Schedule of Held-to-maturity Securities [Line Items]
Amortized Cost	9,321	10,087
Gross Unrecognized Gains	439	205
Gross Unrecognized Losses	0	(26)
Estimated Fair Value	9,760	10,266
Fair Value
Less than 12 Months		0
12 Months or More		2,253
Total		2,253
Unrecognized Losses
Less than 12 Months		0
12 Months or More		(26)
Total		(26)
Other investments
Schedule of Held-to-maturity Securities [Line Items]
Amortized Cost	79	83
Gross Unrecognized Gains	0	0
Gross Unrecognized Losses	0	0
Estimated Fair Value	$ 79	$ 83

INVESTMENT SECURITIES - Schedul

INVESTMENT SECURITIES - Schedule of Investment Securities Maturities (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Amortized Cost
Five to ten years	$ 3,596
Beyond ten years	12,084
Amortized Cost	626,064	$ 623,037
Fair Value
Five to ten years	3,588
Beyond ten years	12,108
Fair Value	635,324	625,074
Amortized Cost
Held-to-maturity investment securities beyond ten years	79
Amortized Cost	9,400	10,170
Fair Value
Beyond ten years	79
Total held to maturity debt securities	9,839	$ 10,349
MBS and CMOs
Amortized Cost
MBS and CMOs	610,384
Fair Value
MBS and CMOs	619,628
MBS
Amortized Cost
MBS	9,321
Fair Value
MBS	$ 9,760

LOANS - Loans Receivable (Detai

LOANS - Loans Receivable (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held for investment, gross	$ 6,281,039		$ 6,230,977
Allowance for loan losses	(45,985)	$ (40,657)	(36,001)	$ (35,221)	$ (34,692)	$ (34,314)
Loans held for investment, net	6,235,054		6,194,976
Multifamily residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held for investment, gross	4,082,224		3,985,981
Allowance for loan losses	(30,837)	(27,308)	(23,372)	(22,745)	(22,046)	(21,326)
Multifamily residential | Permanent mortgages
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held for investment, gross	4,082,224		3,985,981
Single family residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held for investment, gross	1,969,563		2,021,320
Allowance for loan losses	(11,628)	(10,426)	(10,076)	(9,439)	(9,889)	(10,125)
Single family residential | Permanent mortgages
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held for investment, gross	1,969,563		2,021,320
Commercial real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held for investment, gross	211,135		203,134
Allowance for loan losses	(3,305)	(2,677)	(2,341)	(2,412)	(2,278)	(2,441)
Commercial real estate | Permanent mortgages
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held for investment, gross	211,135		203,134
Construction and land loans | Permanent mortgages
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held for investment, gross	18,017		20,442
Land, Construction and NM
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held for investment, gross	18,117		20,542
Allowance for loan losses	(215)	$ (246)	(212)	$ (625)	$ (479)	$ (422)
Land, Construction and NM | Non-Mortgage loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held for investment, gross	$ 100		$ 100

LOANS - Allowance for Loan Loss

LOANS - Allowance for Loan Losses (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Dec. 31, 2019
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance allocated to portfolio segments	$ 40,657	$ 36,001	$ 34,692	$ 36,001	$ 34,314
Provision for (reversal of) loan losses	5,250		450	10,550	750
Charge-offs	0		0	(722)	0
Recoveries	78		79	156	157
Ending balance allocated to portfolio segments	45,985	40,657	35,221	45,985	35,221
Ending allowance balance allocated to:
Loans individually evaluated for impairment						$ 25	$ 815
Loans collectively evaluated for impairment						45,960	35,186
Ending balance	40,657	36,001	35,221	36,001	35,221	45,985	36,001
Loans:
Ending balance: individually evaluated for impairment						6,176	7,638
Ending balance: collectively evaluated for impairment						6,274,863	6,223,339
Ending balance						6,281,039	6,230,977
Multifamily residential
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance allocated to portfolio segments	27,308	23,372	22,046	23,372	21,326
Provision for (reversal of) loan losses	3,529		699	7,465	1,419
Charge-offs	0		0	0	0
Recoveries	0		0	0	0
Ending balance allocated to portfolio segments	30,837	27,308	22,745	30,837	22,745
Ending allowance balance allocated to:
Loans individually evaluated for impairment						0	0
Loans collectively evaluated for impairment						30,837	23,372
Ending balance	30,837	23,372	22,745	23,372	22,745	30,837	23,372
Loans:
Ending balance: individually evaluated for impairment						533	541
Ending balance: collectively evaluated for impairment						4,081,691	3,985,440
Ending balance						4,082,224	3,985,981
Single family residential
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance allocated to portfolio segments	10,426	10,076	9,889	10,076	10,125
Provision for (reversal of) loan losses	1,199		(454)	2,268	(693)
Charge-offs	0		0	(722)	0
Recoveries	3		4	6	7
Ending balance allocated to portfolio segments	11,628	10,426	9,439	11,628	9,439
Ending allowance balance allocated to:
Loans individually evaluated for impairment						25	815
Loans collectively evaluated for impairment						11,603	9,261
Ending balance	11,628	10,076	9,439	10,076	9,439	11,628	10,076
Loans:
Ending balance: individually evaluated for impairment						5,643	7,097
Ending balance: collectively evaluated for impairment						1,963,920	2,014,223
Ending balance						1,969,563	2,021,320
Commercial real estate
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance allocated to portfolio segments	2,677	2,341	2,278	2,341	2,441
Provision for (reversal of) loan losses	628		134	964	(29)
Charge-offs	0		0	0	0
Recoveries	0		0	0	0
Ending balance allocated to portfolio segments	3,305	2,677	2,412	3,305	2,412
Ending allowance balance allocated to:
Loans individually evaluated for impairment						0	0
Loans collectively evaluated for impairment						3,305	2,341
Ending balance	3,305	2,341	2,412	3,305	2,412	3,305	2,341
Loans:
Ending balance: individually evaluated for impairment						0	0
Ending balance: collectively evaluated for impairment						211,135	203,134
Ending balance						211,135	203,134
Land, Construction and NM
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance allocated to portfolio segments	246	212	479	212	422
Provision for (reversal of) loan losses	(106)		71	(147)	53
Charge-offs	0		0	0	0
Recoveries	75		75	150	150
Ending balance allocated to portfolio segments	215	246	625	215	625
Ending allowance balance allocated to:
Loans individually evaluated for impairment						0	0
Loans collectively evaluated for impairment						215	212
Ending balance	$ 215	$ 212	$ 625	$ 215	$ 422	215	212
Loans:
Ending balance: individually evaluated for impairment						0	0
Ending balance: collectively evaluated for impairment						18,117	20,542
Ending balance						$ 18,117	$ 20,542

LOANS - Portfolio Allocated by

LOANS - Portfolio Allocated by Internal Risk Ratings (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	$ 6,281,039	$ 6,230,977
Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	5,772,742	6,119,022
Watch
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	464,125	66,504
Special mention
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	33,434	33,343
Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	10,738	10,508
Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	0	1,600
Multifamily residential
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	4,082,224	3,985,981
Multifamily residential | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	3,833,884	3,917,264
Multifamily residential | Watch
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	223,406	47,309
Multifamily residential | Special mention
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	20,739	19,708
Multifamily residential | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	4,195	1,700
Multifamily residential | Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	0	0
Single family residential
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	1,969,563	2,021,320
Single family residential | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	1,765,005	1,980,845
Single family residential | Watch
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	185,320	16,432
Single family residential | Special mention
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	12,695	13,635
Single family residential | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	6,543	8,808
Single family residential | Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	0	1,600
Commercial real estate
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	211,135	203,134
Commercial real estate | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	155,736	200,371
Commercial real estate | Watch
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	55,399	2,763
Commercial real estate | Special mention
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	0	0
Commercial real estate | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	0	0
Commercial real estate | Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	0	0
Land, Construction and NM
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	18,117	20,542
Land, Construction and NM | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	18,117	20,542
Land, Construction and NM | Watch
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	0	0
Land, Construction and NM | Special mention
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	0	0
Land, Construction and NM | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	0	0
Land, Construction and NM | Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
Loans held for investment, gross	$ 0	$ 0

LOANS - Aging Analysis (Details

LOANS - Aging Analysis (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Financing Receivable, Past Due [Line Items]
Non-accrual	$ 4,891	$ 6,333
Current	6,276,111	6,218,506
Ending balance	6,281,039	6,230,977
30 Days
Financing Receivable, Past Due [Line Items]
Past due	0	5,448
60 Days
Financing Receivable, Past Due [Line Items]
Past due	37	690
90+ Days
Financing Receivable, Past Due [Line Items]
Past due	0	0
Multifamily residential
Financing Receivable, Past Due [Line Items]
Non-accrual	533	541
Current	4,081,691	3,984,029
Ending balance	4,082,224	3,985,981
Multifamily residential | 30 Days
Financing Receivable, Past Due [Line Items]
Past due	0	1,411
Multifamily residential | 60 Days
Financing Receivable, Past Due [Line Items]
Past due	0	0
Multifamily residential | 90+ Days
Financing Receivable, Past Due [Line Items]
Past due	0	0
Single family residential
Financing Receivable, Past Due [Line Items]
Non-accrual	4,358	5,792
Current	1,965,168	2,010,801
Ending balance	1,969,563	2,021,320
Single family residential | 30 Days
Financing Receivable, Past Due [Line Items]
Past due	0	4,037
Single family residential | 60 Days
Financing Receivable, Past Due [Line Items]
Past due	37	690
Single family residential | 90+ Days
Financing Receivable, Past Due [Line Items]
Past due	0	0
Commercial real estate
Financing Receivable, Past Due [Line Items]
Non-accrual	0	0
Current	211,135	203,134
Ending balance	211,135	203,134
Commercial real estate | 30 Days
Financing Receivable, Past Due [Line Items]
Past due	0	0
Commercial real estate | 60 Days
Financing Receivable, Past Due [Line Items]
Past due	0	0
Commercial real estate | 90+ Days
Financing Receivable, Past Due [Line Items]
Past due	0	0
Land, Construction and NM
Financing Receivable, Past Due [Line Items]
Non-accrual	0	0
Current	18,117	20,542
Ending balance	18,117	20,542
Land, Construction and NM | 30 Days
Financing Receivable, Past Due [Line Items]
Past due	0	0
Land, Construction and NM | 60 Days
Financing Receivable, Past Due [Line Items]
Past due	0	0
Land, Construction and NM | 90+ Days
Financing Receivable, Past Due [Line Items]
Past due	$ 0	$ 0

LOANS - Impaired Loans (Details

LOANS - Impaired Loans (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Recorded Investment
With no related allowance recorded	$ 5,282		$ 5,282		$ 5,129
With an allowance recorded	894		894		2,509
Total	6,176		6,176		7,638
Unpaid Principal Balance
With no related allowance recorded	6,403		6,403		5,533
With an allowance recorded	890		890		2,484
Total	7,293		7,293		8,017
Related Allowance	25		25		815
Average Recorded Investment
With no related allowance recorded	5,459	$ 6,910	5,312	$ 6,012
With an allowance recorded	898	1,475	1,587	1,242
Total	6,357	8,385	6,899	7,254
Interest Income
With no related allowance recorded	33	68	61	107
With an allowance recorded	10	12	21	24
Total	43	80	82	131
Cash Basis Interest
With no related allowance recorded	28	34	51	37
With an allowance recorded	0	0	0	0
Total	28	34	51	37
Multifamily residential
Recorded Investment
With no related allowance recorded	533		533		541
Total	533		533		541
Unpaid Principal Balance
With no related allowance recorded	609		609		618
Total	609		609		618
Related Allowance	0		0		0
Average Recorded Investment
With no related allowance recorded	535	2,195	537	1,494
Total	535	2,195	537	1,494
Interest Income
With no related allowance recorded	8	9	17	12
Total	8	9	17	12
Cash Basis Interest
With no related allowance recorded	8	9	17	12
Total	8	9	17	12
Single family residential
Recorded Investment
With no related allowance recorded	4,749		4,749		4,588
With an allowance recorded	894		894		2,509
Total	5,643		5,643		7,097
Unpaid Principal Balance
With no related allowance recorded	5,794		5,794		4,915
With an allowance recorded	890		890		2,484
Total	6,684		6,684		7,399
Related Allowance	25		25		$ 815
Average Recorded Investment
With no related allowance recorded	4,924	4,715	4,775	4,518
With an allowance recorded	898	1,475	1,587	1,242
Total	5,822	6,190	6,362	5,760
Interest Income
With no related allowance recorded	25	59	44	95
With an allowance recorded	10	12	21	24
Total	35	71	65	119
Cash Basis Interest
With no related allowance recorded	20	25	34	25
With an allowance recorded	0	0	0	0
Total	$ 20	$ 25	$ 34	$ 25

LOANS - Troubled Debt Restructu

LOANS - Troubled Debt Restructurings (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2020USD ($)loan	Jun. 30, 2019loan	Jun. 30, 2020USD ($)loan	Jun. 30, 2019loan	Dec. 31, 2019USD ($)
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of Contracts | loan	2	0	2	0
Pre-Modification Outstanding Recorded Investment	$ 2,672,000		$ 2,672,000
Post-Modification Outstanding Recorded Investment	2,672,000		$ 2,672,000
Modifications, suspension of loan payments, term			6 months
Allowance for credit loss, increase from troubled debt restructuring	0		$ 0
Impaired, troubled debt restructuring, write-down	$ 0		$ 0
Subsequent default, number of loans | loan	0	0	0	0
Single family residential
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded investment	$ 3,953,000		$ 3,953,000		$ 1,305,000
Related allowance	$ 25,000		$ 25,000		$ 25,000

NONPERFORMING ASSETS (Details)

NONPERFORMING ASSETS (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Financing Receivable, Past Due [Line Items]
Total non-accrual loans	$ 4,891		$ 4,891		$ 6,333
Real estate owned	0		0		0
Total nonperforming assets	4,891		4,891		6,333
Interest income recognized on non-accrual loans	28	$ 34	51	$ 37
Contractual interest not accrued during the quarter	70	$ 34	141	$ 56
Multifamily residential
Financing Receivable, Past Due [Line Items]
Total non-accrual loans	533		533		541
Single family residential
Financing Receivable, Past Due [Line Items]
Total non-accrual loans	$ 4,358		$ 4,358		$ 5,792

MORTGAGE SERVICING RIGHTS - Mor

MORTGAGE SERVICING RIGHTS - Mortgage Loans Serviced for Others (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Schedule of Loans Serviced for Others [Line Items]
Total mortgage loans serviced for others	$ 410,536	$ 513,479
Federal Home Loan Mortgage Corporation ("Freddie Mac")
Schedule of Loans Serviced for Others [Line Items]
Total mortgage loans serviced for others	293,467	379,339
Other financial institutions
Schedule of Loans Serviced for Others [Line Items]
Total mortgage loans serviced for others	$ 117,069	$ 134,140

MORTGAGE SERVICING RIGHTS - Nar

MORTGAGE SERVICING RIGHTS - Narrative (Details) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Assumption for Fair Value as of Balance Sheet Date of Assets or Liabilities that relate to Transferor's Continuing Involvement [Line Items]
Custodial account balances maintained in connection with serviced loans	$ 6.5	$ 8
Discount rate used to calculate fair value of MSRs	10.00%	10.00%
Default rate used to calculate fair value of MSRs	5.00%	5.00%
Minimum
Assumption for Fair Value as of Balance Sheet Date of Assets or Liabilities that relate to Transferor's Continuing Involvement [Line Items]
Prepayment speed rate used to calculate fair value of MSRs	6.80%	6.00%
Maximum
Assumption for Fair Value as of Balance Sheet Date of Assets or Liabilities that relate to Transferor's Continuing Involvement [Line Items]
Prepayment speed rate used to calculate fair value of MSRs	55.80%	58.70%
Weighted Average
Assumption for Fair Value as of Balance Sheet Date of Assets or Liabilities that relate to Transferor's Continuing Involvement [Line Items]
Prepayment speed rate used to calculate fair value of MSRs	24.00%	22.80%

MORTGAGE SERVICING RIGHTS - M_2

MORTGAGE SERVICING RIGHTS - Mortgage Servicing Rights Activity (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Servicing Asset at Fair Value, Amount [Roll Forward]
Beginning balance	$ 2,262	$ 3,472	$ 2,657	$ 3,463
Additions	0	0	0	155
Disposals	0	0	0	0
Change in fair value due to changes in assumptions	0	0	0	0
Other changes in fair value	(234)	(317)	(629)	(463)
Ending balance	$ 2,028	$ 3,155	$ 2,028	$ 3,155

DEPOSITS - Deposits (Details)

DEPOSITS - Deposits (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Deposits, by Type [Abstract]
Time deposits	$ 3,441,029	$ 3,526,688
Money market savings	1,406,407	1,330,585
Interest-bearing demand	366,714	222,509
Money market checking	93,083	111,338
Noninterest-bearing demand	76,286	43,597
Deposits	$ 5,383,519	$ 5,234,717

DEPOSITS - Narrative (Details)

DEPOSITS - Narrative (Details) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Deposits [Abstract]
Certificates of deposit with a denomination of $100,000 or More	$ 2,700	$ 2,600
Certificates of deposit that meet or exceed FDIC insurance limit	1,600	1,400
Brokered deposits	$ 255	$ 416

DEPOSITS - Maturities (Details)

DEPOSITS - Maturities (Details) $ in Thousands	Jun. 30, 2020USD ($)
Maturities of Time Deposits, Twelve months ending March 31,
July 1 - December 31, 2020	$ 1,784,755
2021	1,543,856
2022	94,638
2023	4,859
2024	6,207
Thereafter	6,714
Time Deposits	$ 3,441,029

FEDERAL HOME LOAN BANK AND FE_3

FEDERAL HOME LOAN BANK AND FEDERAL RESERVE BANK ADVANCES - Narrative (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Short-term Debt [Line Items]
FHLB advances, maximum percentage of assets	40.00%		40.00%
Borrowing capacity based on pledged loans to the FRB and FHLB	$ 780,300,000		$ 780,300,000		$ 1,100,000,000
Loans available to be pledged as collateral	2,600,000,000		2,600,000,000		2,400,000,000
Maximum short-term debt outstanding during period	34,000,000	$ 78,000,000	77,800,000	$ 209,700,000
Average short-term debt outstanding during period	$ 4,100,000	$ 52,300,000	$ 13,900,000	$ 97,400,000
Weighted average interest rate	0.22%	2.57%	1.45%	2.57%
FHLB Advances
Short-term Debt [Line Items]
Mortgage loans pledged as collateral	$ 2,300,000,000		$ 2,300,000,000		2,200,000,000
Letters of credit pledged as collateral	62,600,000		62,600,000		62,600,000
FRB Advances
Short-term Debt [Line Items]
Mortgage loans pledged as collateral	459,600,000		459,600,000		447,400,000
Borrowings outstanding	$ 0		$ 0		0
State of California Treasurer's Office | FHLB Advances
Short-term Debt [Line Items]
Letters of credit pledged as collateral					$ 125,000,000

FEDERAL HOME LOAN BANK AND FE_4

FEDERAL HOME LOAN BANK AND FEDERAL RESERVE BANK ADVANCES - FHLB Advances (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Outstanding Balances	$ 961,747	$ 978,702
FHLB of San Francisco
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Outstanding Balances	961,747	978,702
FHLB of San Francisco | Fixed rate short-term
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Outstanding Balances	$ 0	1,500
FHLB of San Francisco | Fixed rate short-term | Minimum
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Interest rate	0.00%
FHLB of San Francisco | Fixed rate short-term | Maximum
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Interest rate	0.00%
FHLB of San Francisco | Fixed rate short-term | Weighted Average
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Interest rate	0.00%
FHLB of San Francisco | Fixed rate long-term
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Outstanding Balances	$ 961,747	$ 977,202
FHLB of San Francisco | Fixed rate long-term | Minimum
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Interest rate	0.00%
FHLB of San Francisco | Fixed rate long-term | Maximum
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Interest rate	7.33%
FHLB of San Francisco | Fixed rate long-term | Weighted Average
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Interest rate	2.19%

FEDERAL HOME LOAN BANK AND FE_5

FEDERAL HOME LOAN BANK AND FEDERAL RESERVE BANK ADVANCES - Schedule of Maturities (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Federal Home Loan Bank, Advances, Fiscal Year Maturity [Abstract]
Outstanding advances from FHLB	$ 961,747	$ 978,702
FHLB of San Francisco
Federal Home Loan Bank, Advances, Fiscal Year Maturity [Abstract]
July 1 - December 31, 2020	5,000
2021	355,100
2022	100,000
2023	400,000
2024	0
Thereafter	101,647
Outstanding advances from FHLB	$ 961,747	$ 978,702

JUNIOR SUBORDINATED DEFERRABL_3

JUNIOR SUBORDINATED DEFERRABLE INTEREST DEBENTURES - Narrative (Details) $ in Millions	6 Months Ended
	Jun. 30, 2020USD ($)trust
Investment Holdings [Line Items]
Number of wholly-owned trust companies | trust	2
Trusts
Investment Holdings [Line Items]
Investment in common securities | $	$ 1.9
Trust Preferred Securities Subject to Mandatory Redemption | Trusts
Investment Holdings [Line Items]
Interest deferment period (not exceeding)	5 years

JUNIOR SUBORDINATED DEFERRABL_4

JUNIOR SUBORDINATED DEFERRABLE INTEREST DEBENTURES - Schedule of Trusts (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Debt Instrument [Line Items]
Amount	$ 61,857	$ 61,857
Trust Preferred Securities Subject to Mandatory Redemption | Luther Burbank Statutory Trust I | Trusts
Debt Instrument [Line Items]
Amount	$ 41,238	$ 41,238
Rate	1.69%	3.27%
Trust Preferred Securities Subject to Mandatory Redemption | Luther Burbank Statutory Trust I | Trusts | LIBOR
Debt Instrument [Line Items]
Rate Index (Quarterly Reset)	1.38%
Trust Preferred Securities Subject to Mandatory Redemption | Luther Burbank Statutory Trust II | Trusts
Debt Instrument [Line Items]
Amount	$ 20,619	$ 20,619
Rate	1.93%	3.51%
Trust Preferred Securities Subject to Mandatory Redemption | Luther Burbank Statutory Trust II | Trusts | LIBOR
Debt Instrument [Line Items]
Rate Index (Quarterly Reset)	1.62%

SENIOR DEBT - Narrative (Detail

SENIOR DEBT - Narrative (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019	Sep. 30, 2014
Senior Unsecured Term Notes, September 2014 | Senior Unsecured Term Notes
Debt Instrument [Line Items]
Principal	$ 95,000,000	$ 95,000,000	$ 95,000,000

SENIOR DEBT - Schedule of Debt

SENIOR DEBT - Schedule of Debt (Details) - Senior Unsecured Term Notes, September 2014 - Senior Unsecured Term Notes - USD ($)	Jun. 30, 2020	Dec. 31, 2019	Sep. 30, 2014
Debt Instrument [Line Items]
Principal	$ 95,000,000	$ 95,000,000	$ 95,000,000
Unamortized Debt Issuance Costs	$ 522,000	$ 584,000
Fixed Interest Rate	6.50%

DERIVATIVES AND HEDGING ACTIV_3

DERIVATIVES AND HEDGING ACTIVITIES - Narrative (Details)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2020USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2020USD ($)	Jun. 30, 2019USD ($)	Dec. 31, 2019USD ($)agreement
Derivative [Line Items]
Cumulative amount of last-of-layer fair value hedging basis adjustments	$ 14,800,000		$ 14,800,000		$ (405,000)
Carrying amount of the last-of-layer hedged assets	1,000,000,000		1,000,000,000		1,000,000,000
Designated as Hedging Instrument | Interest Rate Swap
Derivative [Line Items]
Closed portfolio loans used in hedging relationship	2,300,000,000		2,300,000,000		2,500,000,000
Cumulative amount of last-of-layer fair value hedging basis adjustments	14,784,000		14,784,000		$ (405,000)
Fair Value Hedging | Designated as Hedging Instrument | Interest Rate Swap
Derivative [Line Items]
Number of agreements entered into | agreement					2
Term of contract					2 years
Notional amounts	1,000,000,000		1,000,000,000		$ 1,000,000,000
Net effect on interest income	(3,500,000)	$ 113,000	(3,891,000)	$ 113,000
Carrying amount of the last-of-layer hedged assets	1,014,784,000		1,014,784,000		999,595,000
Cash collateral	$ 15,700,000		$ 15,700,000		$ 2,800,000

DERIVATIVES AND HEDGING ACTIV_4

DERIVATIVES AND HEDGING ACTIVITIES - Schedule of Interest Rate Swap on Consolidated Statement of Income (Details) - Interest Rate Swap - Designated as Hedging Instrument - Fair Value Hedging - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Net effect on interest income	$ (3,500)	$ 113	$ (3,891)	$ 113
Interest Income on Loans
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Derivative - interest rate swap, interest income	(3,485)	114	(3,947)	114
Hedged items - loans, interest income	$ (15)	$ (1)	$ 56	$ (1)

DERIVATIVES AND HEDGING ACTIV_5

DERIVATIVES AND HEDGING ACTIVITIES - Schedule of Interest Rate Swap on Consolidated Balance Sheet (Details) - Interest Rate Swap - Designated as Hedging Instrument - Fair Value Hedging - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Derivatives, Fair Value [Line Items]
Notional Amount	$ 1,000,000,000	$ 1,000,000,000
Prepaid Expenses and Other Current Assets
Derivatives, Fair Value [Line Items]
Asset Derivatives, Fair Value	0	1,156,000
Other Liabilities and Accrued Expenses
Derivatives, Fair Value [Line Items]
Liability Derivatives, Fair Value	$ 14,723,000	$ 746,000

DERIVATIVES AND HEDGING ACTIV_6

DERIVATIVES AND HEDGING ACTIVITIES - Schedule of Amounts Recorded on the Balance Sheet Related to Cumulative Adjustments on Fair Value Hedges (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Carrying Amount of the Hedged Assets	$ 1,000,000	$ 1,000,000
Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Assets	14,800	(405)
Interest Rate Swap | Designated as Hedging Instrument
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Assets	14,784	(405)
Interest Rate Swap | Designated as Hedging Instrument | Fair Value Hedging
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Carrying Amount of the Hedged Assets	$ 1,014,784	$ 999,595

STOCK BASED COMPENSATION - Narr

STOCK BASED COMPENSATION - Narrative (Details) - USD ($)	1 Months Ended	3 Months Ended		6 Months Ended		12 Months Ended
	Dec. 31, 2017	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock reserved for new awards (in shares)		3,360,000		3,360,000
Common stock available for grant (in shares)		2,111,481		2,111,481		2,332,775
RSUs and RSAs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years
Stock-based compensation expense		$ 882,000	$ 676,000	$ 1,800,000	$ 1,500,000
Fair value of awards vested		80,000	$ 0	2,500,000	$ 5,700,000
Unrecognized compensation expense		$ 4,300,000		$ 4,300,000		$ 3,500,000
Restricted stock awards or units granted (in shares)		561,430		561,430		582,940
Period of recognition for unrecognized compensation expense				1 year 10 months 6 days		1 year 7 months 9 days
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock units vested (in shares)		165,185		165,185		135,059
Forfeited (in shares)		0	14,041	1,468	14,041
Non-employee directors | Restricted Stock Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period				1 year
Minimum | Employees | Restricted Stock Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period				3 years
Maximum | Employees | Restricted Stock Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period				4 years

STOCK BASED COMPENSATION - Awar

STOCK BASED COMPENSATION - Awards Activity (Details) - RSUs and RSAs - $ / shares	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Number of Shares
Beginning of the period balance (in shares)	717,999	1,155,359
Shares granted (in shares)	250,118	321,784
Shares settled (in shares)	(211,210)	(179,325)
Shares forfeited (in shares)	(30,292)	(50,037)
End of the period balance (in shares)	726,615	1,247,781
Weighted Average Grant Date Fair Value
Beginning of the period balance (in usd per share)	$ 10.53	$ 10.97
Shares granted (in usd per share)	11.72	9.80
Shares settled (in usd per share)	10.51	11.40
Shares forfeited (in usd per share)	11.08	10.69
End of the period balance (in usd per share)	$ 10.92	$ 10.62

FAIR VALUE MEASUREMENTS - Fair

FAIR VALUE MEASUREMENTS - Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Debt securities:
Available for sale debt securities, at fair value	$ 635,324	$ 625,074
Held to maturity	9,839	10,349
Equity securities	12,070	11,782
Carrying Amount
Financial assets:
Cash, cash equivalents and restricted cash	170,197	91,325
Debt securities:
Available for sale debt securities, at fair value	635,324	625,074
Held to maturity	9,400	10,170
Equity securities	12,070	11,782
Loans receivable, net	6,235,054	6,194,976
Accrued interest receivable	20,388	20,814
FHLB stock	29,612	30,342
Interest rate swaps		1,156
Financial liabilities:
Deposits	5,383,519	5,234,717
FHLB advances	961,747	978,702
Junior subordinated deferrable interest debentures	61,857	61,857
Senior debt	94,478	94,416
Accrued interest payable	1,253	2,901
Interest rate swaps	14,723	746
Fair Value
Financial assets:
Cash, cash equivalents and restricted cash	170,197	91,325
Debt securities:
Available for sale debt securities, at fair value	635,324	625,074
Held to maturity	9,839	10,349
Equity securities	12,070	11,782
Loans receivable, net	6,350,735	6,346,496
Accrued interest receivable	20,388	20,814
Interest rate swaps		1,156
Financial liabilities:
Deposits	5,418,120	5,253,511
FHLB advances	1,007,759	996,860
Junior subordinated deferrable interest debentures	52,968	59,272
Senior debt	103,109	99,806
Accrued interest payable	1,253	2,901
Interest rate swaps	14,723	746
Fair Value | Level 1
Financial assets:
Cash, cash equivalents and restricted cash	170,197	91,325
Debt securities:
Available for sale debt securities, at fair value	0	0
Held to maturity	0	0
Equity securities	0	0
Loans receivable, net	0	0
Accrued interest receivable	3	26
Interest rate swaps		0
Financial liabilities:
Deposits	1,762,465	1,558,029
FHLB advances	0	0
Junior subordinated deferrable interest debentures	0	0
Senior debt	0	0
Accrued interest payable	0	0
Interest rate swaps	0	0
Fair Value | Level 2
Financial assets:
Cash, cash equivalents and restricted cash	0	0
Debt securities:
Available for sale debt securities, at fair value	635,324	625,074
Held to maturity	9,839	10,349
Equity securities	12,070	11,782
Loans receivable, net	0	0
Accrued interest receivable	1,145	1,685
Interest rate swaps		1,156
Financial liabilities:
Deposits	3,655,655	3,695,482
FHLB advances	1,007,759	996,860
Junior subordinated deferrable interest debentures	52,968	59,272
Senior debt	103,109	99,806
Accrued interest payable	1,253	2,901
Interest rate swaps	14,723	746
Fair Value | Level 3
Financial assets:
Cash, cash equivalents and restricted cash	0	0
Debt securities:
Available for sale debt securities, at fair value	0	0
Held to maturity	0	0
Equity securities	0	0
Loans receivable, net	6,350,735	6,346,496
Accrued interest receivable	19,240	19,103
Interest rate swaps		0
Financial liabilities:
Deposits	0	0
FHLB advances	0	0
Junior subordinated deferrable interest debentures	0	0
Senior debt	0	0
Accrued interest payable	0	0
Interest rate swaps	$ 0	$ 0

FAIR VALUE MEASUREMENTS - Asset

FAIR VALUE MEASUREMENTS - Assets and Liabilities Recorded at Fair Value (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018
Financial assets:
Available for sale debt securities, at fair value	$ 635,324		$ 625,074
Equity securities	12,070		11,782
Mortgage servicing rights	2,028	$ 2,262	2,657	$ 3,155	$ 3,472	$ 3,463
Financial liabilities:
Impaired loans	894		2,509
With no related allowance recorded	5,282		5,129
Residential MBS
Financial assets:
Available for sale debt securities, at fair value	261,617		145,192
Commercial MBS and CMOs
Financial assets:
Available for sale debt securities, at fair value	358,011		356,169
Agency bonds
Financial assets:
Available for sale debt securities, at fair value	15,696		123,713
Fair Value
Financial assets:
Available for sale debt securities, at fair value	635,324		625,074
Equity securities	12,070		11,782
Interest rate swaps			1,156
Financial liabilities:
Interest rate swaps	14,723		746
Fair Value | Level 1
Financial assets:
Available for sale debt securities, at fair value	0		0
Equity securities	0		0
Interest rate swaps			0
Financial liabilities:
Interest rate swaps	0		0
Fair Value | Level 2
Financial assets:
Available for sale debt securities, at fair value	635,324		625,074
Equity securities	12,070		11,782
Interest rate swaps			1,156
Financial liabilities:
Interest rate swaps	14,723		746
Fair Value | Level 3
Financial assets:
Available for sale debt securities, at fair value	0		0
Equity securities	0		0
Interest rate swaps			0
Financial liabilities:
Interest rate swaps	0		0
Fair Value | Recurring Basis
Financial assets:
Available for sale debt securities, at fair value	635,324		625,074
Equity securities	12,070		11,782
Mortgage servicing rights	2,028		2,657
Interest rate swaps			1,156
Financial liabilities:
Interest rate swaps	14,723		746
Fair Value | Recurring Basis | Level 1
Financial assets:
Available for sale debt securities, at fair value	0		0
Equity securities	0		0
Mortgage servicing rights	0		0
Interest rate swaps			0
Financial liabilities:
Interest rate swaps	0		0
Fair Value | Recurring Basis | Level 2
Financial assets:
Available for sale debt securities, at fair value	635,324		625,074
Equity securities	12,070		11,782
Mortgage servicing rights	0		0
Interest rate swaps			1,156
Financial liabilities:
Interest rate swaps	14,723		746
Fair Value | Recurring Basis | Level 3
Financial assets:
Available for sale debt securities, at fair value	0		0
Equity securities	0		0
Mortgage servicing rights	2,028		2,657
Interest rate swaps			0
Financial liabilities:
Interest rate swaps	0		0
Fair Value | Recurring Basis | Residential MBS
Financial assets:
Available for sale debt securities, at fair value	261,617		145,192
Fair Value | Recurring Basis | Residential MBS | Level 1
Financial assets:
Available for sale debt securities, at fair value	0		0
Fair Value | Recurring Basis | Residential MBS | Level 2
Financial assets:
Available for sale debt securities, at fair value	261,617		145,192
Fair Value | Recurring Basis | Residential MBS | Level 3
Financial assets:
Available for sale debt securities, at fair value	0		0
Fair Value | Recurring Basis | Commercial MBS and CMOs
Financial assets:
Available for sale debt securities, at fair value	358,011		356,169
Fair Value | Recurring Basis | Commercial MBS and CMOs | Level 1
Financial assets:
Available for sale debt securities, at fair value	0		0
Fair Value | Recurring Basis | Commercial MBS and CMOs | Level 2
Financial assets:
Available for sale debt securities, at fair value	358,011		356,169
Fair Value | Recurring Basis | Commercial MBS and CMOs | Level 3
Financial assets:
Available for sale debt securities, at fair value	0		0
Fair Value | Recurring Basis | Agency bonds
Financial assets:
Available for sale debt securities, at fair value	15,696		123,713
Fair Value | Recurring Basis | Agency bonds | Level 1
Financial assets:
Available for sale debt securities, at fair value	0		0
Fair Value | Recurring Basis | Agency bonds | Level 2
Financial assets:
Available for sale debt securities, at fair value	15,696		123,713
Fair Value | Recurring Basis | Agency bonds | Level 3
Financial assets:
Available for sale debt securities, at fair value	0		0
Single family residential
Financial liabilities:
Impaired loans	894		2,509
With no related allowance recorded	4,749		4,588
Single family residential | Permanent mortgages
Financial liabilities:
Impaired loans			1,600
With no related allowance recorded	1,600
Single family residential | Permanent mortgages | Nonrecurring Basis | Level 1
Financial liabilities:
Impaired loans			0
With no related allowance recorded	0
Single family residential | Permanent mortgages | Nonrecurring Basis | Level 2
Financial liabilities:
Impaired loans			0
With no related allowance recorded	0
Single family residential | Permanent mortgages | Nonrecurring Basis | Level 3
Financial liabilities:
Impaired loans			790
With no related allowance recorded	878
Single family residential | Permanent mortgages | Fair Value | Nonrecurring Basis
Financial liabilities:
Impaired loans			$ 790
With no related allowance recorded	$ 878

FAIR VALUE MEASUREMENTS - Narra

FAIR VALUE MEASUREMENTS - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans	$ 894			$ 894		$ 2,509
Related allowance	25			25		815
With no related allowance recorded	5,282			5,282		5,129
Financing Receivable, Allowance for Credit Loss, Writeoff	0		$ 0	722	$ 0
Single family residential
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans	894			894		2,509
Related allowance	25			25		815
With no related allowance recorded	4,749			4,749		4,588
Financing Receivable, Allowance for Credit Loss, Writeoff	0		$ 0	722	$ 0
Single family residential | Permanent mortgages
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans						1,600
With no related allowance recorded	1,600			1,600
Level 3 | Single family residential | Permanent mortgages | Nonrecurring Basis
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans						790
Related allowance						$ 790
With no related allowance recorded	$ 878			$ 878
Financing Receivable, Allowance for Credit Loss, Writeoff		$ 722

VARIABLE INTEREST ENTITIES (V_2

VARIABLE INTEREST ENTITIES (VIE) (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020USD ($)loan	Jun. 30, 2019loan	Jun. 30, 2020USD ($)loan	Jun. 30, 2019loan	Dec. 31, 2019USD ($)
Variable Interest Entity [Line Items]
Liabilities	$ 6,571,664		$ 6,571,664		$ 6,431,364
Financing receivable, approved modifications, number of loans | loan	2	0	2	0
COVID-19
Variable Interest Entity [Line Items]
Financing receivable, approved modifications, number of loans | loan			271
Financing receivable, approved modifications, percent	6.40%		6.40%
Financing receivable, modifications, amount	$ 398,400		$ 398,400
Variable Interest Entity, Not Primary Beneficiary
Variable Interest Entity [Line Items]
Maximum loss exposure as a percentage of original principal amount			10.00%
Maximum loss exposure	62,600		$ 62,600
Liabilities	$ 959		$ 959		$ 1,000
Variable Interest Entity, Not Primary Beneficiary | COVID-19
Variable Interest Entity [Line Items]
Financing receivable, approved modifications, number of loans | loan			4
Financing receivable, approved modifications, percent	2.10%		2.10%
Financing receivable, modifications, amount	$ 5,600		$ 5,600

LOAN SALE AND SECURITIZATION _3

LOAN SALE AND SECURITIZATION ACTIVITIES - Narrative (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Dec. 31, 2019	Sep. 27, 2017
Fair Value Assumption, Date of Securitization or Asset-backed Financing Arrangement, Transferor's Continuing Involvement, Servicing Assets or Liabilities [Line Items]
Minimum net worth	$ 2,000
Actual net worth	739,600
Tier 1 Leverage Ratio	729,700
Goodwill	3,297	$ 3,297
Accumulated other comprehensive income, net of taxes	$ 6,566	$ 1,444
Multifamily Loan Securitization
Fair Value Assumption, Date of Securitization or Asset-backed Financing Arrangement, Transferor's Continuing Involvement, Servicing Assets or Liabilities [Line Items]
Maximum loss exposure as a percentage of original principal amount	10.00%
Loans receivable | Multifamily residential | Permanent mortgages
Fair Value Assumption, Date of Securitization or Asset-backed Financing Arrangement, Transferor's Continuing Involvement, Servicing Assets or Liabilities [Line Items]
Amount of loans sold			$ 626,000

LOAN SALE AND SECURITIZATION _4

LOAN SALE AND SECURITIZATION ACTIVITIES - Cash Flow from Sale of Loans (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Transfers and Servicing [Abstract]
Proceeds from loan sales	$ 0	$ 51,606	$ 0	$ 51,606
Servicing fees	$ 246	$ 334	$ 516	$ 668

LOAN SALE AND SECURITIZATION _5

LOAN SALE AND SECURITIZATION ACTIVITIES - Loans Transferred Through Loans or Securitization (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Single family residential
Derecognized Assets, Securitized or Asset-backed Financing Arrangement Assets and any Other Financial Assets Managed Together [Line Items]
Principal balance of loans	$ 21,454	$ 24,146
Loans 90+ days past due	0	0
Charge-offs, net	0	0
Multifamily residential
Derecognized Assets, Securitized or Asset-backed Financing Arrangement Assets and any Other Financial Assets Managed Together [Line Items]
Principal balance of loans	389,082	489,333
Loans 90+ days past due	0	0
Charge-offs, net	$ 0	$ 0

COMMITMENTS AND CONTINGENCIES -

COMMITMENTS AND CONTINGENCIES - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Operating Leased Assets [Line Items]
Rent expense for operating leases	$ 1,000	$ 1,300	$ 2,200	$ 2,700
Sublease income	182	$ 189	374	$ 365
Cash balances held at other institutions that exceed FDIC insured limits	26,100		26,100		$ 25,700
Restricted cash	$ 15,700		$ 15,700		2,800
Operating Lease Arrangement Type One
Operating Leased Assets [Line Items]
Renewal term	3 years		3 years
Operating Lease Arrangement Type Two
Operating Leased Assets [Line Items]
Renewal term	5 years		5 years
Operating Lease Arrangement Type Three
Operating Leased Assets [Line Items]
Renewal term	10 years		10 years
Commitments to Extend Credit
Operating Leased Assets [Line Items]
Real estate loan funding commitments	$ 116,500		$ 116,500		103,200
Unfunded Loan Commitment
Operating Leased Assets [Line Items]
Reserve recorded on real estate loan funding commitments	$ 86		$ 86		$ 89

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES - Operating Lease Maturities (Details) $ in Thousands	Jun. 30, 2020USD ($)
Lessee, Operating Lease, Liability, Payment, Due [Abstract]
July 1 - December 31, 2020	$ 2,338
2021	4,595
2022	3,668
2023	2,428
2024	1,454
Thereafter	2,658
Total	$ 17,141