Cover
Cover - shares | 9 Months Ended | |
Sep. 30, 2021 | Nov. 01, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2021 | |
Document Transition Report | false | |
Entity File Number | 001-35424 | |
Entity Registrant Name | HOMESTREET, INC. | |
Entity Incorporation, State or Country Code | WA | |
Entity Tax Identification Number | 91-0186600 | |
Entity Address, Address Line One | 601 Union Street | |
Entity Address, Address Line Two | Suite 2000 | |
Entity Address, City or Town | Seattle | |
Entity Address, State or Province | WA | |
Entity Address, Postal Zip Code | 98101 | |
City Area Code | 206 | |
Local Phone Number | 623-3050 | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | HMST | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Smaller Reporting Company | false | |
Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 20,450,012 | |
Entity Central Index Key | 0001518715 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
ASSETS | ||
Cash and cash equivalents | $ 218,662 | $ 58,049 |
Investment securities | 983,038 | 1,076,364 |
Loans held for sale ("LHFS") | 395,112 | 361,932 |
Loans held for investment ("LHFI") (net of allowance for credit losses of $54,516 and $64,294) | 5,299,741 | 5,179,886 |
Mortgage servicing rights ("MSRs") | 100,831 | 85,740 |
Premises and equipment, net | 58,449 | 65,102 |
Other real estate owned ("OREO") | 1,484 | 1,375 |
Goodwill and other intangible assets | 32,002 | 32,880 |
Other assets | 283,132 | 375,763 |
Total assets | 7,372,451 | 7,237,091 |
Liabilities: | ||
Deposits | 6,359,660 | 5,821,559 |
Borrowings | 0 | 322,800 |
Long-term debt | 125,979 | 125,838 |
Accounts payable and other liabilities | 176,436 | 249,144 |
Total liabilities | 6,662,075 | 6,519,341 |
Commitments and contingencies | ||
Shareholders' equity: | ||
Common stock, no par value, authorized 160,000,000 shares, issued and outstanding, 20,446,648 shares and 21,796,904 shares | 256,081 | 278,505 |
Retained earnings | 432,202 | 403,888 |
Accumulated other comprehensive income | 22,093 | 35,357 |
Total shareholders' equity | 710,376 | 717,750 |
Total liabilities and shareholders' equity | $ 7,372,451 | $ 7,237,091 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Allowance for credit losses | $ 54,516 | $ 64,294 |
Common stock, par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 160,000,000 | 160,000,000 |
Common stock, shares issued (in shares) | 20,446,648 | 21,796,904 |
Common stock, shares outstanding (in shares) | 20,446,648 | 21,796,904 |
Consolidated Income Statements
Consolidated Income Statements - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Interest income: | ||||
Loans | $ 56,117 | $ 57,538 | $ 166,763 | $ 172,275 |
Investment securities | 5,130 | 5,667 | 16,091 | 16,053 |
Cash, Fed Funds and other | 141 | 532 | 472 | 960 |
Total interest income | 61,388 | 63,737 | 183,326 | 189,288 |
Interest expense: | ||||
Deposits | 2,507 | 5,986 | 8,930 | 28,944 |
Borrowings | 1,397 | 2,067 | 4,423 | 7,730 |
Total interest expense | 3,904 | 8,053 | 13,353 | 36,674 |
Net interest income | 57,484 | 55,684 | 169,973 | 152,614 |
Provision for credit losses | (5,000) | 0 | (9,000) | 20,469 |
Net interest income after provision for credit losses | 62,484 | 55,684 | 178,973 | 132,145 |
Noninterest income: | ||||
Net gain on loan origination and sale activities | 17,509 | 33,130 | 72,239 | 85,698 |
Loan servicing income (loss) | 2,014 | (1,582) | 4,693 | 6,921 |
Deposit fees | 2,091 | 1,769 | 5,912 | 5,225 |
Other | 2,684 | 2,838 | 8,511 | 7,543 |
Total noninterest income | 24,298 | 36,155 | 91,355 | 105,387 |
Noninterest expense: | ||||
Compensation and benefits | 31,175 | 34,570 | 101,388 | 101,429 |
Information services | 6,902 | 7,401 | 20,635 | 22,330 |
Occupancy | 5,705 | 8,354 | 18,170 | 23,082 |
General, administrative and other | 8,167 | 7,732 | 21,179 | 24,052 |
Total noninterest expense | 51,949 | 58,057 | 161,372 | 170,893 |
Income before income taxes | 34,833 | 33,782 | 108,956 | 66,639 |
Income tax expense | 7,663 | 7,433 | 22,966 | 14,247 |
Net income | $ 27,170 | $ 26,349 | $ 85,990 | $ 52,392 |
Net income per share: | ||||
Basic (in dollars per share) | $ 1.32 | $ 1.16 | $ 4.08 | $ 2.26 |
Diluted (in dollars per share) | $ 1.31 | $ 1.15 | $ 4.03 | $ 2.24 |
Weighted average shares outstanding: | ||||
Basic (in shares) | 20,613,290 | 22,665,069 | 21,099,059 | 23,226,109 |
Diluted (in shares) | 20,819,601 | 22,877,226 | 21,352,715 | 23,403,729 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 27,170 | $ 26,349 | $ 85,990 | $ 52,392 |
Other comprehensive income: | ||||
Unrealized gain (loss) on investment securities available for sale ("AFS") | (7,283) | 5,386 | (16,728) | 36,336 |
Reclassification for net (gains) losses included in income | 0 | 15 | (62) | (316) |
Other comprehensive income (loss) before tax | (7,283) | 5,401 | (16,790) | 36,020 |
Income Tax Impact [Abstract] | ||||
Unrealized gain (loss) on investment securities AFS | (1,530) | 1,131 | (3,513) | 7,630 |
Reclassification for net (gains) losses included in income | 0 | 3 | (13) | (66) |
Total | (1,530) | 1,134 | (3,526) | 7,564 |
Other comprehensive income | (5,753) | 4,267 | (13,264) | 28,456 |
Total comprehensive income | $ 21,417 | $ 30,616 | $ 72,726 | $ 80,848 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Total | Cumulative Effect, Period of Adoption, Adjustment | Common stock | Retained earnings | Retained earningsCumulative Effect, Period of Adoption, Adjustment | Accumulated other comprehensive income (loss) | Accumulated other comprehensive income (loss)Cumulative Effect, Period of Adoption, Adjustment |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Cumulative effect of adoption of new accounting standards | $ 679,723 | $ (3,740) | $ 300,729 | $ 374,673 | $ (3,740) | $ 4,321 | $ 0 |
Common stock shares outstanding, beginning balance (in shares) at Dec. 31, 2019 | 23,890,855 | ||||||
Beginning balance at Dec. 31, 2019 | 679,723 | $ (3,740) | $ 300,729 | 374,673 | $ (3,740) | 4,321 | $ 0 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 52,392 | 52,392 | |||||
Share-based compensation expense | 2,030 | $ 2,030 | |||||
Common stock issued - Option exercise; stock grants (in shares) | (127,273) | ||||||
Common stock issued - Option exercise; stock grants | 782 | $ 782 | |||||
Other comprehensive income | 28,456 | 28,456 | |||||
Dividends declared on common stock | (10,556) | (10,556) | |||||
Common stock repurchased (in shares) | (2,023,924) | ||||||
Common stock repurchased | (52,781) | $ (23,119) | (29,662) | ||||
Common stock shares outstanding, ending balance (in shares) at Sep. 30, 2020 | 21,994,204 | ||||||
Ending balance at Sep. 30, 2020 | 696,306 | $ 280,422 | 383,107 | 32,777 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Cumulative effect of adoption of new accounting standards | 694,649 | $ 290,871 | 375,268 | 28,510 | |||
Common stock shares outstanding, beginning balance (in shares) at Jun. 30, 2020 | 23,007,400 | ||||||
Beginning balance at Jun. 30, 2020 | 694,649 | $ 290,871 | 375,268 | 28,510 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 26,349 | 26,349 | |||||
Share-based compensation expense | 846 | $ 846 | |||||
Common stock issued - Option exercise; stock grants (in shares) | (5,576) | ||||||
Common stock issued - Option exercise; stock grants | 0 | $ 0 | |||||
Other comprehensive income | 4,267 | 4,267 | |||||
Dividends declared on common stock | (3,450) | (3,450) | |||||
Common stock repurchased (in shares) | (1,018,772) | ||||||
Common stock repurchased | (26,355) | $ (11,295) | (15,060) | ||||
Common stock shares outstanding, ending balance (in shares) at Sep. 30, 2020 | 21,994,204 | ||||||
Ending balance at Sep. 30, 2020 | 696,306 | $ 280,422 | 383,107 | 32,777 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Cumulative effect of adoption of new accounting standards | 696,306 | 280,422 | 383,107 | 32,777 | |||
Cumulative effect of adoption of new accounting standards | $ 717,750 | $ 278,505 | 403,888 | 35,357 | |||
Common stock shares outstanding, beginning balance (in shares) at Dec. 31, 2020 | 21,796,904 | 21,796,904 | |||||
Beginning balance at Dec. 31, 2020 | $ 717,750 | $ 278,505 | 403,888 | 35,357 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 85,990 | 85,990 | |||||
Share-based compensation expense (in shares) | 0 | ||||||
Share-based compensation expense | 2,557 | $ 2,557 | |||||
Common stock issued - Option exercise; stock grants (in shares) | (245,630) | ||||||
Common stock issued - Option exercise; stock grants | 2,383 | $ 2,383 | |||||
Other comprehensive income | (13,264) | (13,264) | |||||
Dividends declared on common stock | (16,171) | (16,171) | |||||
Common stock repurchased (in shares) | (1,595,886) | ||||||
Common stock repurchased | $ (68,869) | $ (27,364) | (41,505) | ||||
Common stock shares outstanding, ending balance (in shares) at Sep. 30, 2021 | 20,446,648 | 20,446,648 | |||||
Ending balance at Sep. 30, 2021 | $ 710,376 | $ 256,081 | 432,202 | 22,093 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Cumulative effect of adoption of new accounting standards | 708,731 | $ 260,774 | 420,111 | 27,846 | |||
Common stock shares outstanding, beginning balance (in shares) at Jun. 30, 2021 | 20,791,659 | ||||||
Beginning balance at Jun. 30, 2021 | 708,731 | $ 260,774 | 420,111 | 27,846 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 27,170 | 27,170 | |||||
Share-based compensation expense (in shares) | 0 | ||||||
Share-based compensation expense | 892 | $ 892 | |||||
Common stock issued - Option exercise; stock grants (in shares) | 52,265 | ||||||
Common stock issued - Option exercise; stock grants | 339 | $ 339 | |||||
Other comprehensive income | (5,753) | (5,753) | |||||
Dividends declared on common stock | (5,259) | (5,259) | |||||
Common stock repurchased (in shares) | 397,276 | ||||||
Common stock repurchased | $ (15,744) | $ (5,924) | (9,820) | ||||
Common stock shares outstanding, ending balance (in shares) at Sep. 30, 2021 | 20,446,648 | 20,446,648 | |||||
Ending balance at Sep. 30, 2021 | $ 710,376 | $ 256,081 | 432,202 | 22,093 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Cumulative effect of adoption of new accounting standards | $ 710,376 | $ 256,081 | $ 432,202 | $ 22,093 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income | $ 85,990 | $ 52,392 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||
Provision for credit losses | (9,000) | 20,469 |
Depreciation and amortization, premises and equipment | 7,294 | 6,955 |
Amortization of premiums and discounts: securities, deposits, debt | 4,788 | 7,228 |
Operating leases: excess of payments over amortization | (3,015) | (2,731) |
Amortization of finance leases | 786 | 1,001 |
Amortization of core deposit intangibles | 878 | 1,030 |
Amortization of deferred loan fees and costs | (7,544) | 1,728 |
Share-based compensation expense | 2,557 | 2,030 |
Lease impairment costs | 248 | 4,623 |
Deferred income tax expense (benefit) | 7,777 | (6,998) |
Origination of LHFS | (1,785,393) | (1,670,272) |
Proceeds from sale of LHFS | 1,932,447 | 1,605,064 |
Net fair value adjustment and gain on sale of LHFS | (36,359) | (55,443) |
Origination of MSRs | (27,908) | (19,071) |
Net gain on sale of loans originated as LHFI | (4,613) | (3,760) |
Change in fair value of MSRs | 8,267 | 34,033 |
Amortization of servicing rights | 5,235 | 4,084 |
(Increase) decrease in other assets | 528 | (24,842) |
Increase (decrease) in accounts payable and other liabilities | (489) | 2,149 |
Net cash provided by (used in) operating activities | 182,474 | (40,331) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchase of investment securities | (112,146) | (348,384) |
Proceeds from sale of investment securities | 28,187 | 58,487 |
Principal payments on investment securities | 159,037 | 152,643 |
Proceeds from sale of OREO | 0 | 650 |
Proceeds from sale of loans originated as LHFI | 251,474 | 349,498 |
Net cash provided by disposal of discontinued operations | 0 | 2,759 |
Net increase in LHFI | (492,666) | (603,847) |
Proceeds from sale of premises and equipment | 0 | 1,460 |
Purchase of premises and equipment | (852) | (2,972) |
Proceeds from sale of Federal Home Loan Bank stock | 89,882 | 112,808 |
Purchases of Federal Home Loan Bank stock | (78,286) | (116,993) |
Net cash provided by (used in) investing activities | (155,370) | (393,891) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Increase (decrease) in deposits, net | 538,005 | 475,639 |
Changes in short-term borrowings, net | (322,800) | 43,000 |
Proceeds from other long-term borrowings | 50,000 | 0 |
Repayment of other long-term borrowings | (50,000) | 0 |
Repayment of finance lease principal | (787) | (973) |
Repurchases of common stock | (65,001) | (51,939) |
Proceeds from exercise of stock options | 263 | 237 |
Dividends paid on common stock | (16,171) | (10,556) |
Net cash provided by (used in) financing activities | 133,509 | 455,408 |
Net increase in cash and cash equivalents | 160,613 | 21,186 |
Cash and cash equivalents, beginning of year | 58,049 | 57,880 |
Cash and cash equivalents, end of period | 218,662 | 79,066 |
Cash paid during the period for: | ||
Interest | 12,371 | 36,645 |
Federal and state income taxes | 28,156 | 11,236 |
Non-cash activities: | ||
Increase in lease assets and lease liabilities | 910 | 0 |
Decrease in lease assets and lease liabilities | 0 | 38,754 |
Loans transferred from LHFI to LHFS, net | 390,521 | 412,219 |
Ginnie Mae loans recognized with the right to repurchase, net | 0 | 105,727 |
Ginnie Mae loans derecognized with the right to repurchase, net | 70,197 | 0 |
Repurchase of common stock-award shares | $ 3,868 | $ 842 |
Consolidated Statements of Sh_2
Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Statement of Stockholders' Equity [Abstract] | ||||
Dividends declared on common stock (USD per share) | $ 0.25 | $ 0.15 | $ 0.75 | $ 0.45 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Sep. 30, 2021 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: HomeStreet, Inc., a State of Washington corporation organized in 1921 (the "Corporation"), is a Washington-based diversified financial services holding company whose operations are primarily conducted through its wholly owned subsidiaries (collectively the "Company") HomeStreet Capital Corporation, HomeStreet Statutory Trusts and HomeStreet Bank (the "Bank"), and the Bank's subsidiaries, Continental Escrow Company, HomeStreet Foundation, HS Properties, Inc., HS Evergreen Corporate Center LLC, and Union Street Holdings LLC. The Company is principally engaged in commercial banking, mortgage banking and consumer/retail banking activities serving customers primarily in the Western United States. The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP"). The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All significant inter-company accounts and transactions have been eliminated in consolidation. In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting periods. Actual results could differ significantly from those estimates. Certain amounts in the financial statements from prior periods have been reclassified to conform to the current financial statement presentation. These unaudited interim financial statements reflect all adjustments that are, in the opinion of management, necessary for a fair statement of the results for the periods presented. These adjustments are of a normal recurring nature, unless otherwise disclosed in this Quarterly Report on Form 10-Q. The results of operations in the interim financial statements do not necessarily indicate the results that may be expected for the full year. The interim financial information should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2020, filed with the Securities and Exchange Commission ("2020 Annual Report on Form 10-K"). Recent Accounting Developments In December 2019, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes” (“ASU 2019-12”). ASU 2019-12 removes certain exceptions to the general principles in Topic 740 in GAAP. ASU 2019-12 is effective for public entities for fiscal years beginning after December 15, 2020, with early adoption permitted. The Company adopted this ASU on January 1, 2021 and it did not have a material effect on the Company’s financial position, results of operations or financial statement disclosures. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848). This ASU provides optional expedients and exceptions for contracts, hedging relationships, and other transactions that reference LIBOR or other reference rates expected to be discontinued because of reference rate reform. In January 2021, the FASB issued ASU 2021-01, "Reference Rate Reform (Topic 848)," which clarifies certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting applied to derivatives that are affected by the transition to alternative rates. The ASUs are effective for all entities as of March 12, 2020 through December 31, 2022. The Company is in the process of evaluating the provisions of these ASUs, but does not expect them to have a material impact on the Company’s financial position, results of operations or financial statement disclosures. |
INVESTMENT SECURITIES
INVESTMENT SECURITIES | 9 Months Ended |
Sep. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENT SECURITIES | INVESTMENT SECURITIES: The following table sets forth certain information regarding the amortized cost basis and fair values of our investment securities AFS and held-to-maturity ("HTM"): At September 30, 2021 (in thousands) Amortized Gross Gross Fair AFS Mortgage backed securities ("MBS"): Residential $ 33,046 $ 719 $ (298) $ 33,467 Commercial 40,995 1,231 (176) 42,050 Collateralized mortgage obligations ("CMOs"): Residential 182,060 3,283 (983) 184,360 Commercial 139,202 2,368 (246) 141,324 Municipal bonds 513,151 22,558 (1,308) 534,401 Corporate debt securities 18,990 859 — 19,849 U.S. Treasury securities 23,434 10 (52) 23,392 Total $ 950,878 $ 31,028 $ (3,063) $ 978,843 HTM Municipal bonds $ 4,195 $ 154 $ — $ 4,349 At December 31, 2020 (in thousands) Amortized Gross Gross Fair AFS MBS: Residential $ 50,001 $ 1,237 $ (192) $ 51,046 Commercial 43,061 2,131 (8) 45,184 CMOs: Residential 228,685 6,319 (95) 234,909 Commercial 155,645 3,719 (181) 159,183 Municipal bonds 533,719 31,321 (337) 564,703 Corporate debt securities 14,381 841 — 15,222 Agency debentures 1,846 — — 1,846 Total $ 1,027,338 $ 45,568 $ (813) $ 1,072,093 HTM Municipal bonds $ 4,271 $ 236 $ — $ 4,507 MBS and CMOs represent securities issued by government sponsored enterprises ("GSEs"). Most of the MBS and CMO securities in our investment portfolio are guaranteed by Fannie Mae, Ginnie Mae or Freddie Mac. Municipal bonds are comprised of general obligation bonds (i.e., backed by the general credit of the issuer) and revenue bonds (i.e., backed by either collateral or revenues from the specific project being financed) issued by various municipal corporations. As of September 30, 2021 and December 31, 2020, all securities held, including municipal bonds and corporate debt securities, were rated investment grade, based upon external ratings where available and, where not available, based upon internal ratings which correspond to ratings as defined by Standard and Poor's Rating Services or Moody's Investors Services. Investment securities AFS that were in an unrealized loss position are presented in the following tables based on the length of time the individual securities have been in an unrealized loss position: At September 30, 2021 Less than 12 months 12 months or more Total (in thousands) Gross Fair Gross Fair Gross Fair MBS: Residential $ (70) $ 1,115 $ (228) $ 1,322 $ (298) $ 2,437 Commercial (176) 10,954 — — (176) 10,954 CMOs: Residential (701) 21,942 (282) 7,159 (983) 29,101 Commercial (184) 9,875 (62) 1,956 (246) 11,831 Municipal bonds (1,163) 49,953 (145) 8,411 (1,308) 58,364 U.S. Treasury securities (52) 17,873 — — (52) 17,873 Total $ (2,346) $ 111,712 $ (717) $ 18,848 $ (3,063) $ 130,560 At December 31, 2020 Less than 12 months 12 months or more Total (in thousands) Gross Fair Gross Fair Gross Fair MBS: Residential $ (7) $ 1,196 $ (185) $ 1,432 $ (192) $ 2,628 Commercial (8) 925 — — (8) 925 CMOs: Residential (95) 7,391 — — (95) 7,391 Commercial (39) 6,687 (142) 15,358 (181) 22,045 Municipal bonds (337) 10,512 — — (337) 10,512 Total $ (486) $ 26,711 $ (327) $ 16,790 $ (813) $ 43,501 There were no HTM securities in an unrealized loss position at September 30, 2021 or December 31, 2020. The Company has evaluated AFS securities that are in an unrealized loss position and has determined that the decline in value is temporary and is related to the change in market interest rates since purchase. The decline in value is not related to any issuer- or industry-specific credit event. The Company has not identified any expected credit losses on its debt securities as of September 30, 2021 or December 31, 2020. In addition, as of September 30, 2021 and December 31, 2020, the Company had not made a decision to sell any of its debt securities held, nor did the Company consider it more likely than not that it would be required to sell such securities before recovery of their amortized cost basis. The following tables present the fair value of investment securities AFS and HTM by contractual maturity along with the associated contractual yield: At September 30, 2021 Within one year After one year After five years After Total (dollars in thousands) Fair Weighted Fair Weighted Fair Weighted Fair Weighted Fair Weighted AFS Municipal bonds $ 3,826 3.78 % $ 15,685 3.33 % $ 65,624 3.68 % $ 449,266 3.23 % $ 534,401 3.29 % Corporate debt securities — — % 6,701 3.64 % 13,148 5.06 % — — % 19,849 4.58 % U.S. Treasury securities — — % — — % 23,392 1.28 % — — % 23,392 1.28 % Total $ 3,826 3.78 % $ 22,386 3.43 % $ 102,164 3.28 % $ 449,266 3.23 % $ 577,642 3.25 % HTM Municipal bonds $ 1,034 2.50 % $ 3,315 2.40 % $ — — % $ — — % $ 4,349 2.43 % At December 31, 2020 Within one year After one year After five years After Total (dollars in thousands) Fair Weighted Fair Weighted Fair Weighted Fair Weighted Fair Weighted AFS Municipal bonds $ 4,024 3.19 % $ 14,978 3.82 % $ 59,496 3.26 % $ 486,205 3.29 % $ 564,703 3.30 % Corporate debt securities 183 4.27 % 7,059 3.74 % 7,980 4.78 % — — % 15,222 4.30 % Agency debentures — — % — — % — — % 1,846 2.68 % 1,846 2.68 % Total $ 4,207 3.24 % $ 22,037 3.80 % $ 67,476 3.45 % $ 488,051 3.29 % $ 581,771 3.33 % HTM Municipal bonds $ — — % $ 4,507 2.47 % $ — — % $ — — % $ 4,507 2.47 % The weighted-average yield is computed using the contractual coupon of each security weighted based on the fair value of each security and does not include adjustments to a tax equivalent basis. MBS and CMOs are excluded from the tables above because such securities are not due on a single maturity date. The weighted average yield of MBS and CMOs as of September 30, 2021 and December 31, 2020 was 1.85% and 1.92%, respectively. Sales of investment securities were as follows for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Proceeds $ — $ 2,872 $ 28,187 $ 58,487 Gross gains — — 288 1,289 Gross losses — (15) (226) (973) The following table summarizes the carrying value of securities pledged as collateral to secure public deposits, borrowings and other purposes as permitted or required by law: (in thousands) At September 30, 2021 At December 31, 2020 Washington, Oregon and California State to secure public deposits $ 176,003 $ 171,471 Other securities pledged 5,608 3,391 Total securities pledged as collateral $ 181,611 $ 174,862 The Company assesses the creditworthiness of the counterparties that hold the pledged collateral and has determined that these arrangements have little credit risk. Tax-exempt interest income on investment securities was $2.6 million and $2.8 million for the quarters ended September 30, 2021 and 2020, respectively and $7.6 million and $7.9 million for the nine months ended September 30, 2021 and 2020, respectively. |
LOANS AND CREDIT QUALITY
LOANS AND CREDIT QUALITY | 9 Months Ended |
Sep. 30, 2021 | |
Receivables [Abstract] | |
LOANS AND CREDIT QUALITY | LOANS AND CREDIT QUALITY: The Company's LHFI is divided into two portfolio segments, commercial loans and consumer loans. Within each portfolio segment, the Company monitors and assesses credit risk based on the risk characteristics of each of the following loan classes: single family and home equity and other loans within the consumer loan portfolio segment and non-owner occupied commercial real estate, multifamily, construction and land development, owner occupied commercial real estate and commercial business loans within the commercial loan portfolio segment. LHFI consists of the following: (in thousands) At September 30, 2021 At December 31, 2020 Commercial real estate loans Non-owner occupied commercial real estate $ 754,031 $ 829,538 Multifamily 2,090,156 1,428,092 Construction/land development 514,322 553,695 Total 3,358,509 2,811,325 Commercial and industrial loans Owner occupied commercial real estate 450,350 467,256 Commercial business 435,756 645,723 Total 886,106 1,112,979 Consumer loans Single family (1) 793,927 915,123 Home equity and other 315,715 404,753 Total 1,109,642 1,319,876 Total LHFI 5,354,257 5,244,180 Allowance for credit losses ("ACL") (54,516) (64,294) Total LHFI less ACL $ 5,299,741 $ 5,179,886 (1) Includes $4.5 million and $7.1 million at September 30, 2021 and December 31, 2020, respectively, of loans where a fair value option election was made at the time of origination and, therefore, are carried at fair value with changes in fair value recognized in the consolidated income statements. Loans totaling $1.7 billion and $1.4 billion at September 30, 2021 and December 31, 2020, respectively, were pledged to secure borrowings from the Federal Home Loan Bank ("FHLB") and loans totaling $430 million and $569 million at September 30, 2021 and December 31, 2020, respectively, were pledged to secure borrowings from the Federal Reserve Bank. Credit Risk Concentrations LHFI are primarily secured by real estate located in the Pacific Northwest, California and Hawaii. At September 30, 2021 and December 31, 2020, multifamily loans in the state of California represented 29% and 19% of the total LHFI portfolio, respectively. Credit Quality Management considers the level of ACL to be appropriate to cover credit losses expected over the life of the loans for the LHFI portfolio. The cumulative loss rate used as the basis for the estimate of credit losses is comprised of the Bank’s historical loss experience and eight qualitative factors for current and forecasted periods. During the quarter ended March 31, 2020, the qualitative factors increased significantly due to the forecasted impacts of the COVID-19 pandemic. The qualitative factors have remained at a high level due to the continued uncertainty regarding the impact of the COVID-19 pandemic. Included in the qualitative factors are estimates of potential loss exposure which are based on forbearance activities relating to the COVID-19 pandemic in the Bank’s loan portfolio. Due to improvements in economic conditions, the Company recorded a $5 million and $9 million recovery of the allowance for credit losses in the third quarter of 2021 and nine months ended September 30, 2021, respectively. As of September 30, 2021, the Bank expects that over the two-year forecast period, the markets in which it operates will have a modest improvement in single family and multifamily collateral values, but deterioration in commercial real estate collateral values with negative risk factors peaking in the first year. The Bank also expects that over the two-year forecast period, the markets in which it operates will have a modest deterioration in the economic outlook, with negative risk factors peaking in the first year. In addition to the ACL for LHFI, the Company maintains a separate allowance for unfunded loan commitments which is included in accounts payable and other liabilities on our consolidated balance sheets. The allowance for unfunded commitments was $2.5 million and $1.6 million at September 30, 2021 and December 31, 2020, respectively. The Bank has elected to exclude accrued interest receivable from the evaluation of the ACL. Accrued interest on LHFI was $18.1 million and $21.2 million at September 30, 2021 and December 31, 2020, respectively, and was reported in other assets in the consolidated balance sheets. Activity in the ACL for LHFI and the allowance for unfunded commitments was as follows for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Beginning balance $ 59,897 $ 65,000 $ 64,294 $ 41,772 Provision for credit losses (5,348) 273 (9,864) 21,633 Net (charge-offs) recoveries (33) (381) 86 (356) Impact of ASC 326 adoption — — — 1,843 Ending balance $ 54,516 $ 64,892 $ 54,516 $ 64,892 Allowance for unfunded commitments: Beginning balance $ 2,104 $ 2,071 $ 1,588 $ 1,065 Provision for credit losses 348 (273) 864 (1,164) Impact of ASC 326 adoption — — — 1,897 Ending balance $ 2,452 $ 1,798 $ 2,452 $ 1,798 Provision for credit losses: Allowance for credit losses - loans $ (5,348) $ 273 $ (9,864) $ 21,633 Allowance for unfunded commitments 348 (273) 864 (1,164) Total $ (5,000) $ — $ (9,000) $ 20,469 Activity in the ACL for LHFI by loan portfolio and loan sub-class was as follows for the periods indicated: Quarter Ended September 30, 2021 (in thousands) Beginning balance Charge-offs Recoveries Provision Ending balance Commercial real estate loans Non-owner occupied commercial real estate $ 9,077 $ — $ — $ 559 $ 9,636 Multifamily 7,245 — — (1,788) 5,457 Construction/land development Multifamily construction 500 — — 544 1,044 Commercial real estate construction 2,022 — — (1,671) 351 Single family construction 5,653 — — 638 6,291 Single family construction to permanent 1,047 — — 15 1,062 Total 25,544 — — (1,703) 23,841 Commercial and industrial loans Owner occupied commercial real estate 5,518 — — (233) 5,285 Commercial business 15,874 (116) 24 (1,309) 14,473 Total 21,392 (116) 24 (1,542) 19,758 Consumer loans Single family 7,163 (13) 33 (1,426) 5,757 Home equity and other 5,798 (341) 380 (677) 5,160 Total 12,961 (354) 413 (2,103) 10,917 Total ACL $ 59,897 $ (470) $ 437 $ (5,348) $ 54,516 Quarter Ended September 30, 2020 (in thousands) Beginning balance Charge-offs Recoveries Provision Ending balance Commercial real estate loans Non-owner occupied commercial real estate $ 7,325 $ — $ — $ 1,598 $ 8,923 Multifamily 5,387 — — (516) 4,871 Construction/land development Multifamily construction 3,811 — — 2,109 5,920 Commercial real estate construction 440 — — 1,269 1,709 Single family construction 5,869 — — (362) 5,507 Single family construction to permanent 1,515 — — (309) 1,206 Total 24,347 — — 3,789 28,136 Commercial and industrial loans Owner occupied commercial real estate 5,641 — — 47 5,688 Commercial business 15,816 (447) 24 2,951 18,344 Total 21,457 (447) 24 2,998 24,032 Consumer loans Single family 8,070 (3) 2 (1,349) 6,720 Home equity and other 11,126 (39) 82 (5,165) 6,004 Total 19,196 (42) 84 (6,514) 12,724 Total ACL $ 65,000 $ (489) $ 108 $ 273 $ 64,892 Nine Months Ended September 30, 2021 (in thousands) Beginning balance Charge-offs Recoveries Provision Ending Commercial real estate loans Non-owner occupied commercial real estate $ 8,845 $ — $ — $ 791 $ 9,636 Multifamily 6,072 — — (615) 5,457 Construction/land development Multifamily construction 4,903 — — (3,859) 1,044 Commercial real estate construction 1,670 — — (1,319) 351 Single family construction 5,130 — — 1,161 6,291 Single family construction to permanent 1,315 — — (253) 1,062 Total 27,935 — — (4,094) 23,841 Commercial and industrial loans Owner occupied commercial real estate 4,994 — 291 5,285 Commercial business 17,043 (116) 122 (2,576) 14,473 Total 22,037 (116) 122 (2,285) 19,758 Consumer loans Single family 6,906 (127) 155 (1,177) 5,757 Home equity and other 7,416 (432) 484 (2,308) 5,160 Total 14,322 (559) 639 (3,485) 10,917 Total ACL $ 64,294 $ (675) $ 761 $ (9,864) $ 54,516 Nine Months Ended September 30, 2020 (in thousands) Prior to adoption of ASC 326 Impact of ASC 326 adoption Charge-offs Recoveries Provision Ending Commercial real estate loans Non-owner occupied commercial real estate $ 7,245 $ (3,392) $ — $ — $ 5,070 $ 8,923 Multifamily 7,015 (2,977) — — 833 4,871 Construction/land development Multifamily construction 2,848 693 — — 2,379 5,920 Commercial real estate construction 624 (115) — — 1,200 1,709 Single family construction 3,800 4,280 — 163 (2,736) 5,507 Single family construction to permanent 1,003 200 — — 3 1,206 Total 22,535 (1,311) — 163 6,749 28,136 Commercial and industrial loans Owner occupied commercial real estate 3,639 (2,459) — — 4,508 5,688 Commercial business 2,915 510 (590) 72 15,437 18,344 Total 6,554 (1,949) (590) 72 19,945 24,032 Consumer loans Single family 6,450 468 (3) 56 (251) 6,720 Home equity and other 6,233 4,635 (345) 291 (4,810) 6,004 Total 12,683 5,103 (348) 347 (5,061) 12,724 Total ACL $ 41,772 $ 1,843 $ (938) $ 582 $ 21,633 $ 64,892 The following table presents a vintage analysis of the commercial portfolio segment by loan sub-class and risk rating or delinquency status. At September 30, 2021 (in thousands) 2021 2020 2019 2018 2017 2016 and prior Revolving Revolving-term Total COMMERCIAL PORTFOLIO Non-owner occupied commercial real estate 1-6 Pass $ 35,832 $ 50,863 $ 172,296 $ 133,472 $ 132,238 $ 225,012 $ 1,189 $ 915 $ 751,817 7- Special Mention — — — — — 2,214 — — 2,214 8 - Substandard — — — — — — — — — Total 35,832 50,863 172,296 133,472 132,238 227,226 1,189 915 754,031 Multifamily 1-6 Pass 972,806 557,201 289,164 65,618 29,218 176,093 56 — 2,090,156 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 972,806 557,201 289,164 65,618 29,218 176,093 56 — 2,090,156 Multifamily construction 1-6 Pass 4,194 25,363 20,748 — — — — — 50,305 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 4,194 25,363 20,748 — — — — — 50,305 Commercial real estate construction 1-6 Pass 2,712 3,961 — 1,998 — 563 8,672 — 17,906 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 2,712 3,961 — 1,998 — 563 8,672 — 17,906 Single family construction 1-6 Pass 151,418 42,188 17,677 — — 78 91,915 — 303,276 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 151,418 42,188 17,677 — — 78 91,915 — 303,276 Single family construction to permanent Current 62,456 55,561 21,067 3,751 — — — — 142,835 Past due: 30-59 days — — — — — — — — — 60-89 days — — — — — — — — — 90+ days — — — — — — — — — Total 62,456 55,561 21,067 3,751 — — — — 142,835 Owner occupied commercial real estate 1-6 Pass 45,688 47,907 59,378 50,584 72,188 113,575 549 2,878 392,747 7- Special Mention — — — 2,206 6,063 212 — 63 8,544 8 - Substandard — — 18,826 1,111 10,591 18,531 — — 49,059 Total 45,688 47,907 78,204 53,901 88,842 132,318 549 2,941 450,350 Commercial business 1-6 Pass 128,807 58,648 49,889 27,876 16,780 23,331 88,636 2,341 396,308 7- Special Mention — — 9,145 1,518 4,503 57 5,500 142 20,865 8 - Substandard 3,002 46 3,407 8,129 1,567 2,608 (282) 106 18,583 Total 131,809 58,694 62,441 37,523 22,850 25,996 93,854 2,589 435,756 Total commercial portfolio $ 1,406,915 $ 841,738 $ 661,597 $ 296,263 $ 273,148 $ 562,274 $ 196,235 $ 6,445 $ 4,244,615 The following table presents a vintage analysis of the consumer portfolio segment by loan sub-class and delinquency status: At September 30, 2021 (in thousands) 2021 2020 2019 2018 2017 2016 and prior Revolving Revolving-term Total CONSUMER PORTFOLIO Single family Current $ 139,731 $ 162,824 $ 78,130 $ 83,770 $ 108,684 $ 217,957 $ — $ — $ 791,096 Past due: 30-59 days — — — — 212 766 — — 978 60-89 days — — — — 315 277 — — 592 90+ days — — — 858 — 403 — — 1,261 Total (1) 139,731 162,824 78,130 84,628 109,211 219,403 — — 793,927 Home equity and other Current 1,184 707 496 607 537 2,930 301,977 6,373 314,811 Past due: 30-59 days — 2 — — — 248 183 — 433 60-89 days 3 2 — — — 1 — — 6 90+ days — — — — — 64 401 — 465 Total 1,187 711 496 607 537 3,243 302,561 6,373 315,715 Total consumer portfolio 140,918 163,535 78,626 85,235 109,748 222,646 302,561 6,373 1,109,642 Total LHFI $ 1,547,833 $ 1,005,273 $ 740,223 $ 381,498 $ 382,896 $ 784,920 $ 498,796 $ 12,818 $ 5,354,257 (1) Includes $4.5 million of loans where a fair value option election was made at the time of origination and, therefore, are carried at fair value with changes in fair value recognized in the consolidated income statements. The following table presents a vintage analysis of the commercial portfolio segment by loan sub-class and risk rating or delinquency status: At December 31, 2020 (in thousands) 2020 2019 2018 2017 2016 2015 and prior Revolving Revolving-term Total COMMERCIAL PORTFOLIO Non-owner occupied commercial real estate 1-6 Pass $ 53,782 $ 176,556 $ 165,268 $ 147,719 $ 150,221 $ 131,935 $ 796 $ 1,031 $ 827,308 7- Special Mention — — — — — 2,230 — — 2,230 8 - Substandard — — — — — — — — — Total 53,782 176,556 165,268 147,719 150,221 134,165 796 1,031 829,538 Multifamily 1-6 Pass 711,009 324,246 100,572 32,693 166,937 92,255 380 — 1,428,092 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 711,009 324,246 100,572 32,693 166,937 92,255 380 — 1,428,092 Multifamily construction 1-6 Pass 12,182 21,366 45,256 11,823 — — — — 90,627 7- Special Mention — — — — 24,702 — — — 24,702 8 - Substandard — — — — — — — — — Total 12,182 21,366 45,256 11,823 24,702 — — — 115,329 Commercial real estate construction 1-6 Pass 3,963 — 2,104 14,721 — 614 5,883 — 27,285 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 3,963 — 2,104 14,721 — 614 5,883 — 27,285 Single family construction 1-6 Pass 121,233 47,539 14,055 — — 600 75,743 — 259,170 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 121,233 47,539 14,055 — — 600 75,743 — 259,170 Single family construction to permanent Current 62,955 72,825 15,443 688 — — — — 151,911 Past due: 30-59 days — — — — — — — — — 60-89 days — — — — — — — — — 90+ days — — — — — — — — — Total 62,955 72,825 15,443 688 — — — — 151,911 Owner occupied commercial real estate 1-6 Pass 48,647 60,872 58,582 85,275 98,046 50,596 — 4,354 406,372 7- Special Mention — — 5,977 3,529 — — — 69 9,575 8 - Substandard — 19,407 1,111 10,750 17,122 2,919 — — 51,309 Total 48,647 80,279 65,670 99,554 115,168 53,515 — 4,423 467,256 Commercial business 1-6 Pass 345,540 63,020 47,710 22,556 18,411 14,972 76,218 2,577 591,004 7- Special Mention — 10,837 2,058 6,653 — — 3,975 166 23,689 8 - Substandard — 5,923 11,327 2,338 1,891 1,001 8,438 112 31,030 Total 345,540 79,780 61,095 31,547 20,302 15,973 88,631 2,855 645,723 Total commercial portfolio $ 1,359,311 $ 802,591 $ 469,463 $ 338,745 $ 477,330 $ 297,122 $ 171,433 $ 8,309 $ 3,924,304 The following table presents a vintage analysis of the consumer portfolio segment by loan sub-class and delinquency status: At December 31, 2020 (in thousands) 2020 2019 2018 2017 2016 2015 and prior Revolving Revolving-term Total CONSUMER PORTFOLIO Single family Current $ 174,994 $ 111,143 $ 154,757 $ 168,412 $ 59,161 $ 242,444 $ — $ — $ 910,911 Past due: 30-59 days — 570 — 318 — 390 — — 1,278 60-89 days — — — — — — — — — 90+ days 824 335 405 386 — 984 — — 2,934 Total (1) 175,818 112,048 155,162 169,116 59,161 243,818 — — 915,123 Home equity and other Current 1,878 1,230 1,311 1,363 431 5,126 384,005 8,147 403,491 Past due: 30-59 days 98 22 — — — 11 66 31 228 60-89 days — 13 — — — — 129 — 142 90+ days — 9 — — 275 24 584 — 892 Total 1,976 1,274 1,311 1,363 706 5,161 384,784 8,178 404,753 Total consumer portfolio 177,794 113,322 156,473 170,479 59,867 248,979 384,784 8,178 1,319,876 Total LHFI $ 1,537,105 $ 915,913 $ 625,936 $ 509,224 $ 537,197 $ 546,101 $ 556,217 $ 16,487 $ 5,244,180 (1) Includes $7.1 million of loans where a fair value option election was made at the time of origination and, therefore, are carried at fair value with changes in fair value recognized in the consolidated income statements. Collateral Dependent Loans The following table presents the amortized cost basis of collateral-dependent loans by loan sub-class and collateral type: At September 30, 2021 (in thousands) Land 1-4 Family Non-residential real estate Other non-real estate Total Commercial and industrial loans Owner occupied commercial real estate $ 1,111 $ — $ 2,763 $ — $ 3,874 Commercial business 387 — — 2,681 3,068 Total 1,498 — 2,763 2,681 6,942 Consumer loans Single family — 2,957 — — 2,957 Home equity loans and other — 923 — — 923 Total — 3,880 — — 3,880 Total collateral-dependent loans $ 1,498 $ 3,880 $ 2,763 $ 2,681 $ 10,822 At December 31, 2020 (in thousands) Land 1-4 Family Non-residential real estate Other non-real estate Total Commercial and industrial loans Owner occupied commercial real estate $ 1,789 $ — $ 3,133 $ — $ 4,922 Commercial business 1,787 545 — 2,882 5,214 Total 3,576 545 3,133 2,882 10,136 Consumer loans Single family — 2,457 — — 2,457 Total — 2,457 — — 2,457 Total collateral-dependent loans $ 3,576 $ 3,002 $ 3,133 $ 2,882 $ 12,593 Nonaccrual and Past Due Loans The following table presents nonaccrual status for loans: At September 30, 2021 At December 31, 2020 (in thousands) Nonaccrual with no related ACL Total Nonaccrual Nonaccrual with no related ACL Total Nonaccrual Commercial and industrial loans Owner occupied commercial real estate $ 3,874 $ 3,874 $ 4,922 $ 4,922 Commercial business 1,360 7,249 3,100 9,183 Total 5,234 11,123 8,022 14,105 Consumer loans Single family $ 2,907 $ 4,602 $ 2,173 $ 4,883 Home equity and other 928 1,987 2 1,734 Total 3,835 6,589 2,175 6,617 Total nonaccrual loans $ 9,069 $ 17,712 $ 10,197 $ 20,722 The following tables present an aging analysis of past due loans by loan portfolio segment and loan sub-class: At September 30, 2021 Past Due and Still Accruing (in thousands) 30-59 days 60-89 days 90 days or Nonaccrual Total past due and nonaccrual (3) Current Total Commercial real estate loans Non-owner occupied commercial real estate $ — $ — $ — $ — $ — $ 754,031 $ 754,031 Multifamily — — — — — 2,090,156 2,090,156 Construction/land development Multifamily construction — — — — — 50,305 50,305 Commercial real estate construction — — — — — 17,906 17,906 Single family construction — — — — — 303,276 303,276 Single family construction to permanent — — — — — 142,835 142,835 Total — — — — — 3,358,509 3,358,509 Commercial and industrial loans Owner occupied commercial real estate — — — 3,874 3,874 446,476 450,350 Commercial business — — — 7,249 7,249 428,507 435,756 Total — — — 11,123 11,123 874,983 886,106 Consumer loans Single family 1,294 1,198 8,361 (2) 4,602 15,455 778,472 793,927 (1) Home equity and other 260 4 — 1,987 2,251 313,464 315,715 Total 1,554 1,202 8,361 6,589 17,706 1,091,936 1,109,642 Total loans $ 1,554 $ 1,202 $ 8,361 $ 17,712 $ 28,829 $ 5,325,428 $ 5,354,257 % 0.03 % 0.02 % 0.16 % 0.33 % 0.54 % 99.46 % 100.00 % At December 31, 2020 Past Due and Still Accruing (in thousands) 30-59 days 60-89 days 90 days or Nonaccrual Total past due and nonaccrual (3) Current Total Commercial real estate loans Non-owner occupied commercial real estate $ — $ — $ — $ — $ — $ 829,538 $ 829,538 Multifamily — — — — 1,428,092 1,428,092 Construction and land development Multifamily construction — — — — — 115,329 115,329 Commercial real estate construction — — — — — 27,285 27,285 Single family construction — — — — — 259,170 259,170 Single family construction to permanent — — — — — 151,911 151,911 Total — — — — — 2,811,325 2,811,325 Commercial and industrial loans Owner occupied commercial real estate — — 4,922 4,922 462,334 467,256 Commercial business — — 9,183 9,183 636,540 645,723 Total — — — 14,105 14,105 1,098,874 1,112,979 Consumer loans Single family 2,161 418 11,476 (2) 4,883 18,938 896,185 915,123 (1) Home equity and other 228 135 — 1,734 2,097 402,656 404,753 Total 2,389 553 11,476 6,617 21,035 1,298,841 1,319,876 Total loans $ 2,389 $ 553 $ 11,476 $ 20,722 $ 35,140 $ 5,209,040 $ 5,244,180 % 0.05 % 0.01 % 0.22 % 0.40 % 0.67 % 99.33 % 100.00 % (1) Includes $4.5 million and $7.1 million of loans at September 30, 2021 and December 31, 2020, respectively, where a fair value option election was made at the time of origination and, therefore, are carried at fair value with changes in fair value recognized in our consolidated income statements. (2) FHA-insured and VA-guaranteed single family loans that are 90 days or more past due are maintained on accrual status if they are determined to have little to no risk of loss. (3) Includes loans whose repayments are insured by the FHA or guaranteed by the VA or SBA of $10.8 million and $14.7 million at September 30, 2021 and December 31, 2020, respectively. The following tables present information about troubled debt restructuring ("TDR") activity for the periods indicated: Quarter Ended September 30, 2021 Nine Months Ended September 30, 2021 (dollars in thousands) Number of loan Recorded Related charge- Number of loan Recorded Related charge- Consumer loans Single family Interest rate reduction 10 $ 3,284 $ — 15 $ 4,599 $ — Payment restructure 4 1,005 — 6 2,145 14 4,289 — 21 6,744 — Total loans Interest rate reduction 10 3,284 — 15 4,599 — Payment restructure 4 1,005 — 6 2,145 — Total 14 $ 4,289 $ — 21 $ 6,744 $ — Quarter Ended September 30, 2020 Nine Months Ended September 30, 2020 (dollars in thousands) Number of loan Recorded Related charge- Number of loan Recorded Related charge- Commercial and industrial loans Owner occupied commercial real estate Payment restructure — $ — $ — 1 $ 678 $ — Commercial business Payment restructure — — — 1 1,125 — Total commercial and industrial Payment restructure — — — 2 1,803 — Total — — — 2 1,803 — Consumer loans Single family Interest rate reduction 8 1,642 — 23 4,878 — Payment restructure 1 411 — 10 2,067 — Total 9 2,053 — 33 6,945 — Total loans Interest rate reduction 8 1,642 — 23 4,878 — Payment restructure 1 411 — 12 3,870 — Total 9 $ 2,053 $ — 35 $ 8,748 $ — A TDR loan is considered re-defaulted when it becomes doubtful that the objectives of the modifications will be met, generally when a consumer loan TDR becomes 60 days or more past due on principal or interest payments or when a commercial loan TDR becomes 90 days or more past due on principal or interest payments. The following table presents loans that were modified as TDRs within the previous 12 months and subsequently re-defaulted for the periods indicated: Quarter Ended September 30, 2021 2020 (dollars in thousands) Number of loan relationships that re-defaulted Recorded Number of loan relationships that re-defaulted Recorded Consumer loans - single family 2 $ 422 6 $ 1,038 Total 2 $ 422 6 $ 1,038 Nine Months Ended September 30, 2021 2020 (dollars in thousands) Number of loan relationships that re-defaulted Recorded Number of loan relationships that re-defaulted Recorded Commercial and industrial loans Owner occupied commercial real estate 1 $ 678 — $ — 1 678 — — Consumer loans Consumer loans - single family 7 $ 1,764 16 $ 3,237 7 1,764 16 3,237 Total 8 $ 2,442 16 $ 3,237 The CARES Act provides temporary relief from the accounting and disclosure requirements for TDRs for certain loan modifications that are the result of a hardship that is related, either directly or indirectly, to the COVID-19 pandemic. In addition, interagency guidance issued by federal banking regulators and endorsed by the FASB staff has indicated that borrowers who receive relief are not experiencing financial difficulty if they meet the following qualifying criteria: • The modification is in response to the National Emergency related to the COVID-19 pandemic; • The borrower was current at the time the modification program was implemented; and • The modification is short-term We have elected to apply temporary relief under Section 4013 of the CARES Act to certain eligible modifications and will not treat qualifying loan modifications as TDRs for accounting or disclosure purposes. Additionally, eligible short-term loan modifications subject to the practical expedient in the interagency guidance will not be treated as TDRs for accounting or disclosure purposes if they qualify. |
DEPOSITS
DEPOSITS | 9 Months Ended |
Sep. 30, 2021 | |
Deposits Liabilities, Balance Sheet, Reported Amounts [Abstract] | |
DEPOSITS | DEPOSITS: Deposit balances, including stated rates, were as follows: At September 30, 2021 At December 31, 2020 (dollars in thousands) Amount Weighted Average Rate Amount Weighted Average Rate Noninterest-bearing demand deposits $ 1,706,550 — % $ 1,337,010 — % Interest-bearing demand deposits 555,716 0.10 % 484,265 0.10 % Savings 305,395 0.06 % 264,024 0.07 % Money market 2,796,524 0.15 % 2,596,453 0.21 % Certificates of deposit 995,475 0.50 % 1,139,807 0.93 % Total $ 6,359,660 0.15 % $ 5,821,559 0.29 % Certificates of deposit outstanding at September 30, 2021 mature as follows: (in thousands) Within one year $ 785,798 One to two years 182,878 Two to three years 19,005 Three to four years 4,843 Four to five years 2,951 Thereafter — Total $ 995,475 |
DERIVATIVES AND HEDGING ACTIVIT
DERIVATIVES AND HEDGING ACTIVITIES | 9 Months Ended |
Sep. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVES AND HEDGING ACTIVITIES | DERIVATIVES AND HEDGING ACTIVITIES: To reduce the risk of significant interest rate fluctuations on the value of certain assets and liabilities, such as single family mortgage LHFS and MSRs, the Company utilizes derivatives as economic hedges. The notional amounts and fair values for derivatives, which are included in other assets or accounts payable and other liabilities on the consolidated balance sheet, consist of the following: At September 30, 2021 Notional amount Fair value derivatives (in thousands) Asset Liability Forward sale commitments $ 651,906 $ 1,419 $ (1,017) Interest rate lock commitments 194,587 4,612 (3) Interest rate swaps 399,788 8,772 (10,521) Eurodollar futures 355,000 — (9) Total derivatives before netting $ 1,601,281 14,803 (11,550) Netting adjustment/Cash collateral (1) (4,348) 9,909 Carrying value on consolidated balance sheet $ 10,455 $ (1,641) At December 31, 2020 Notional amount Fair value derivatives (in thousands) Asset Liability Forward sale commitments $ 977,974 $ 1,035 $ (3,714) Interest rate lock commitments 493,873 17,395 (3) Interest rate swaps 536,969 17,459 (20,511) Eurodollar futures 314,000 — (4) Total derivatives before netting $ 2,322,816 35,889 (24,232) Netting adjustment/Cash collateral (1) (8,250) 21,447 Carrying value on consolidated balance sheet $ 27,639 $ (2,785) (1) Includes net cash collateral paid of $5.6 million and $13.2 million at September 30, 2021 and December 31, 2020, respectively. The following tables present gross fair value and net carrying value information about derivative instruments: (in thousands) Gross fair value Netting adjustments/ Cash collateral (1) Carrying value At September 30, 2021 Derivative assets $ 14,803 $ (4,348) $ 10,455 Derivative liabilities (11,550) 9,909 (1,641) At December 31, 2020 Derivative assets $ 35,889 $ (8,250) $ 27,639 Derivative liabilities (24,232) 21,447 (2,785) (1) Includes net cash collateral paid of $5.6 million and $13.2 million at September 30, 2021 and December 31, 2020, respectively. The collateral used under the Company's master netting agreements is typically cash, but securities may be used under agreements with certain counterparties. Receivables related to cash collateral that has been paid to counterparties is included in other assets. Payables related to cash collateral that has been received from counterparties is included in accounts payable and other liabilities. Interest is owed on amounts received from counterparties and we earn interest on cash paid to counterparties. Any securities pledged to counterparties as collateral remain on the consolidated balance sheets. At September 30, 2021 and December 31, 2020, the Company had liabilities of $2.6 million and $3.3 million, respectively, in cash collateral received from counterparties and receivables of $8.2 million and $16.5 million, respectively, in cash collateral paid to counterparties. The following table presents the net gain (loss) recognized on economic hedge derivatives, within the respective line items in the consolidated income statements for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Recognized in noninterest income: Net gain (loss) on loan origination and sale activities (1) $ (1,165) $ (3,810) $ (4,574) $ 583 Loan servicing income (loss) (2) (293) (91) (7,860) 22,148 Other (3) 41 632 305 (84) (1) Comprised of IRLCs and forward contracts used as an economic hedge of loans held for sale. (2) Comprised of interest rate swaps, interest rate swaptions, futures and forward contracts used as economic hedges of single family MSRs. (3) Comprised of interest rate swaps used as economic hedges of loans held for investment. |
MORTGAGE BANKING OPERATIONS
MORTGAGE BANKING OPERATIONS | 9 Months Ended |
Sep. 30, 2021 | |
Mortgage Banking [Abstract] | |
MORTGAGE BANKING OPERATIONS | MORTGAGE BANKING OPERATIONS: LHFS consisted of the following: (in thousands) At September 30, 2021 At December 31, 2020 Single family $ 135,942 $ 194,643 Commercial real estate, multifamily and SBA 259,170 167,289 Total $ 395,112 $ 361,932 Loans sold consisted of the following for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Single family $ 469,090 $ 686,280 $ 1,669,412 $ 1,393,283 Commercial real estate, multifamily and SBA 69,810 170,980 465,948 502,059 Total $ 538,900 $ 857,260 $ 2,135,360 $ 1,895,342 Gain on loan origination and sale activities, including the effects of derivative risk management instruments, consisted of the following: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Single family $ 14,249 $ 27,632 $ 56,272 $ 73,751 Commercial real estate, multifamily and SBA 3,260 5,498 15,967 11,947 Total $ 17,509 $ 33,130 $ 72,239 $ 85,698 The Company's portfolio of loans serviced for others is primarily comprised of loans held in U.S. government and agency MBS issued by Fannie Mae, Freddie Mac and Ginnie Mae. The unpaid principal balance of loans serviced for others is as follows: (in thousands) At September 30, 2021 At December 31, 2020 Single family $ 5,625,386 $ 5,914,592 Commercial real estate, multifamily and SBA 2,064,492 1,844,241 Total $ 7,689,878 $ 7,758,833 The Company has made representations and warranties that the loans sold meet certain requirements. The Company may be required to repurchase mortgage loans or indemnify loan purchasers due to defects in the origination process of the loan, such as documentation errors, underwriting errors and judgments, appraisal errors, early payment defaults and fraud. The following is a summary of changes in the Company's liability for estimated single-family mortgage repurchase losses for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Balance, beginning of period $ 1,612 $ 2,083 $ 2,122 $ 2,871 Additions, net of adjustments (1) (183) 252 (229) (275) Realized (losses) recoveries, net (2) 14 (240) (450) (501) Balance, end of period $ 1,443 $ 2,095 $ 1,443 $ 2,095 (1) Includes additions for new loan sales and changes in estimated probable future repurchase losses on previously sold loans. (2) Includes principal losses and accrued interest on repurchased loans, "make-whole" settlements, settlements with claimants and certain related expenses. The Company has agreements with certain investors to advance scheduled principal and interest amounts on delinquent loans. Advances are also made to fund the foreclosure and collection costs of delinquent loans prior to the recovery of reimbursable amounts from investors or borrowers. Advances of $2.5 million and $3.0 million were recorded in other assets as of September 30, 2021 and December 31, 2020, respectively. When the Company has the unilateral right to repurchase Ginnie Mae pool loans it has previously sold (generally loans that are more than 90 days past due), the Company records the balance of the loans as other assets and other liabilities. At September 30, 2021 and December 31, 2020, delinquent or defaulted mortgage loans currently in Ginnie Mae pools that the Company has recognized on its consolidated balance sheets totaled $32 million and $102 million, respectively. Revenue from mortgage servicing, including the effects of derivative risk management instruments, consisted of the following for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Servicing income, net: Servicing fees and other $ 7,897 $ 7,220 $ 26,055 $ 23,073 Amortization of single family MSRs (1) (4,579) (4,401) (15,453) (12,246) Amortization of multifamily and SBA MSRs (1,758) (1,350) (5,235) (4,084) Total 1,560 1,469 5,367 6,743 Risk management, single family MSRs: Changes in fair value of MSRs due to assumptions (2) 747 (2,960) 7,186 (21,970) Net gain (loss) from derivative hedging (293) (91) (7,860) 22,148 Total 454 (3,051) (674) 178 Loan servicing income (loss) $ 2,014 $ (1,582) $ 4,693 $ 6,921 (1) Represents changes due to collection/realization of expected cash flows and curtailments. (2) Principally reflects changes in model assumptions, including prepayment speed assumptions, which are primarily reflected by changes in mortgage interest rates. The changes in single family MSRs measured at fair value are as follows for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Beginning balance $ 59,872 $ 47,804 $ 49,966 $ 68,109 Additions and amortization: Originations 5,166 6,569 19,507 12,942 Amortization (1) (4,579) (4,401) (15,453) (12,246) Net additions and amortization 587 2,168 4,054 696 Changes in fair value assumptions (2) 747 (2,954) 7,186 (21,787) Ending balance $ 61,206 $ 47,018 $ 61,206 $ 47,018 (1) Represents changes due to collection/realization of expected cash flows and curtailments. (2) Principally reflects changes in model assumptions, including prepayment speed assumptions, which are primarily reflected by changes in mortgage interest rates. Key economic assumptions used in measuring the initial fair value of capitalized single family MSRs were as follows for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (rates per annum) (1) 2021 2020 2021 2020 Constant prepayment rate ("CPR") (2) 9.84 % 20.0% - 30.0% 8.75 % 17.1% - 30.0% Discount rate 7.77 % 7.71 % 8.25 % 7.78 % (1) Based on a weighted average. (2) Represents an expected lifetime average CPR used in the model. For single family MSRs, we use a discounted cash flow valuation technique which utilizes CPRs and discount rates as significant unobservable inputs as noted in the table below: At September 30, 2021 At December 31, 2020 Range of Inputs Average (1) Range of Inputs Average (1) CPRs 7.98% - 17.43% 10.74 % 8.13% - 19.70% 12.81 % Discount Rates 6.54% - 13.78% 7.84 % 6.50% - 13.14% 8.27 % (1) Averages of all the inputs within the range. To compute hypothetical sensitivities of the value of our single family MSRs to immediate adverse changes in key assumptions, we computed the impact of changes to CPRs and in discount rates as outlined below: (dollars in thousands) At September 30, 2021 Fair value of single family MSR $ 61,206 Expected weighted-average life (in years) 5.87 CPR Impact on fair value of 25 basis points adverse change in interest rates $ (3,490) Impact on fair value of 50 basis points adverse change in interest rates $ (7,016) Discount rate Impact on fair value of 100 basis points increase $ (2,949) Impact on fair value of 200 basis points increase $ (5,675) The changes in multifamily and SBA MSRs measured at the lower of amortized cost or fair value were as follows for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Beginning balance $ 39,113 $ 30,583 $ 35,774 $ 29,494 Originations 2,270 2,524 9,086 6,129 Amortization (1,758) (1,301) (5,235) (3,817) Ending balance $ 39,625 $ 31,806 $ 39,625 $ 31,806 |
GUARANTEES AND MORTGAGE REPURCH
GUARANTEES AND MORTGAGE REPURCHASE LIABILITY | 9 Months Ended |
Sep. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
GUARANTEES AND MORTGAGE REPURCHASE LIABILITY | GUARANTEES AND MORTGAGE REPURCHASE LIABILITY: In the ordinary course of business, the Company sells loans through the Fannie Mae Multifamily Delegated Underwriting and Servicing Program ("DUS"®) that are subject to a credit loss sharing arrangement. The Company services the loans for Fannie Mae and shares in the risk of loss with Fannie Mae under the terms of the DUS contracts. Under the DUS program, the Company and Fannie Mae share losses on a pro rata basis, where the Company is responsible for losses incurred up to one-third of principal balance on each loan with two-thirds of the loss covered by Fannie Mae. For loans that have been sold through this program, a liability is recorded for this loss sharing arrangement under the accounting guidance for guarantees. As of September 30, 2021 and December 31, 2020, the total unpaid principal balance of loans sold under this program was $1.9 billion and $1.8 billion, respectively. The Company's reserve liability related to this arrangement totaled $0.7 million and $2.1 million at September 30, 2021 and December 31, 2020, respectively. There were no actual losses incurred under this arrangement during the quarters and nine months ended September 30, 2021 and 2020.In the ordinary course of business, the Company sells residential mortgage loans to GSEs and other entities. Under the terms of these sales agreements, the Company has made representations and warranties that the loans sold meet certain requirements. The Company may be required to repurchase mortgage loans or indemnify loan purchasers due to defects in the origination process of the loan, such as documentation errors, underwriting errors and judgments, early payment defaults and fraud. The total unpaid principal balance of loans sold on a servicing-retained basis that were subject to the terms and conditions of these representations and warranties totaled $5.6 billion and $6.0 billion as of September 30, 2021 and December 31, 2020, respectively. At September 30, 2021 and December 31, 2020, the Company had recorded a mortgage repurchase liability for loans sold on a servicing-retained and servicing-released basis, included in accounts payable and other liabilities on the consolidated balance sheets, of $1.4 million and $2.1 million, respectively. |
FAIR VALUE MEASUREMENT
FAIR VALUE MEASUREMENT | 9 Months Ended |
Sep. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENT | FAIR VALUE MEASUREMENT: The term "fair value" is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The Company's approach is to maximize the use of observable inputs and minimize the use of unobservable inputs when developing fair value measurements. Fair Value Hierarchy A three-level valuation hierarchy has been established under ASC 820 for disclosure of fair value measurements. The valuation hierarchy is based on the observability of inputs to the valuation of an asset or liability as of the measurement date. A financial instrument’s categorization within the valuation hierarchy is based on the lowest level of input that is significant to the fair value measurement. The levels are defined as follows: • Level 1 – Quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity can access at the measurement date. An active market for the asset or liability is a market in which transactions for the asset or liability take place with sufficient frequency and volume to provide pricing information on an ongoing basis. • Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. This includes quoted prices for similar assets and liabilities in active markets and inputs that are observable for the asset or liability for substantially the full term of the financial instrument. • Level 3 – Unobservable inputs for the asset or liability. These inputs reflect the Company's assumptions of what market participants would use in pricing the asset or liability. The Company's policy regarding transfers between levels of the fair value hierarchy is that all transfers are assumed to occur at the end of the reporting period. Estimation of Fair Value Fair value is based on quoted market prices, when available. In cases where a quoted price for an asset or liability is not available, the Company uses valuation models to estimate fair value. These models incorporate inputs such as forward yield curves, loan prepayment assumptions, expected loss assumptions, market volatilities and pricing spreads utilizing market-based inputs where readily available. The Company believes its valuation methods are appropriate and consistent with those that would be used by other market participants. However, imprecision in estimating unobservable inputs and other factors may result in these fair value measurements not reflecting the amount realized in an actual sale or transfer of the asset or liability in a current market exchange. The following table summarizes the fair value measurement methodologies, including significant inputs and assumptions and classification of the Company's assets and liabilities valued at fair value on a recurring basis. Asset/Liability class Valuation methodology, inputs and assumptions Classification Investment securities Investment securities AFS Observable market prices of identical or similar securities are used where available. Level 2 recurring fair value measurement. If market prices are not readily available, value is based on discounted cash flows using the following significant inputs: • Expected prepayment speeds • Estimated credit losses • Market liquidity adjustments Level 3 recurring fair value measurement. LHFS Single family loans, excluding loans transferred from held for investment Fair value is based on observable market data, including: • Quoted market prices, where available • Dealer quotes for similar loans • Forward sale commitments Level 2 recurring fair value measurement. When not derived from observable market inputs, fair value is based on discounted cash flows, which considers the following inputs: • Benchmark yield curve • Estimated discount spread to the benchmark yield curve • Expected prepayment speeds Estimated fair value classified as Level 3. Mortgage servicing rights Single family MSRs For information on how the Company measures the fair value of its single family MSRs, including key economic assumptions and the sensitivity of fair value to changes in those assumptions, see Note 6 , Mortgage Banking Operations . Level 3 recurring fair value measurement. Derivatives Eurodollar futures Fair value is based on closing exchange prices. Level 1 recurring fair value measurement. Interest rate swaps Fair value is based on quoted prices for identical or similar instruments, when available. When quoted prices are not available, fair value is based on internally developed modeling techniques, which require the use of multiple observable market inputs including: Level 2 recurring fair value measurement. Interest rate lock commitments The fair value considers several factors including: • Fair value of the underlying loan based on quoted prices in the secondary market, when available. • Value of servicing • Fall-out factor Level 3 recurring fair value measurement. The following tables presents the levels of the fair value hierarchy for the Company's assets and liabilities measured at fair value on a recurring basis: At September 30, 2021 (in thousands) Fair Value Level 1 Level 2 Level 3 Assets: Investment securities AFS Mortgage backed securities: Residential $ 33,467 $ — $ 31,030 $ 2,437 Commercial 42,050 — 42,050 — Collateralized mortgage obligations: Residential 184,360 — 184,360 — Commercial 141,324 — 141,324 — Municipal bonds 534,401 — 534,401 — Corporate debt securities 19,849 — 19,772 77 U.S. Treasury securities 23,392 — 23,392 — Single family LHFS 135,942 — 135,942 — Single family LHFI 4,507 — — 4,507 Single family mortgage servicing rights 61,206 — — 61,206 Derivatives Forward sale commitments 1,419 — 1,419 — Interest rate lock commitments 4,612 — — 4,612 Interest rate swaps 8,772 — 8,772 — Total assets $ 1,195,301 $ — $ 1,122,462 $ 72,839 Liabilities: Derivatives Eurodollar futures $ 9 $ 9 $ — $ — Forward sale commitments 1,017 — 1,017 — Interest rate lock commitments 3 — — 3 Interest rate swaps 10,521 — 10,521 Total liabilities $ 11,550 $ 9 $ 11,538 $ 3 At December 31, 2020 (in thousands) Fair Value Level 1 Level 2 Level 3 Assets: Investment securities AFS Mortgage backed securities: Residential $ 51,046 $ — $ 48,417 $ 2,629 Commercial 45,184 — 45,184 — Collateralized mortgage obligations: Residential 234,909 — 234,909 — Commercial 159,183 — 159,183 — Municipal bonds 564,703 — 564,703 — Corporate debt securities 15,222 — 15,141 81 Agency debentures 1,846 — 1,846 — Single family LHFS 194,643 — 194,643 — Single family LHFI 7,108 — — 7,108 Single family mortgage servicing rights 49,966 — — 49,966 Derivatives Forward sale commitments 1,035 — 1,035 — Interest rate lock commitments 17,395 — — 17,395 Interest rate swaps 17,459 — 17,459 — Total assets $ 1,359,699 $ — $ 1,282,520 $ 77,179 Liabilities: Derivatives Eurodollar futures $ 4 $ 4 $ — $ — Forward sale commitments 3,714 — 3,714 — Interest rate lock commitments 3 — — 3 Interest rate swaps 20,511 — 20,511 — Total liabilities $ 24,232 $ 4 $ 24,225 $ 3 There were no transfers between levels of the fair value hierarchy during the quarters and nine months ended September 30, 2021 and 2020. Level 3 Recurring Fair Value Measurements The Company's level 3 recurring fair value measurements consist of investment securities AFS, single family MSRs, single family LHFI where fair value option was elected, certain single family LHFS and interest rate lock commitments, which are accounted for as derivatives. For information regarding fair value changes and activity for single family MSRs during the quarters and nine months ended September 30, 2021 and 2020, see Note 6, Mortgage Banking Operations of this Quarterly Report on Form 10-Q. The fair value of IRLCs considers several factors, including the fair value in the secondary market of the underlying loan resulting from the exercise of the commitment, the expected net future cash flows related to the associated servicing of the loan (referred to as the value of servicing) and the probability that the commitment will not be converted into a funded loan (referred to as a fall-out factor). The fair value of IRLCs on LHFS, while based on interest rates observable in the market, is highly dependent on the ultimate closing of the loans. The significance of the fall-out factor to the fair value measurement of an individual IRLC is generally highest at the time that the rate lock is initiated and declines as closing procedures are performed and the underlying loan gets closer to funding. The fall-out factor applied is based on historical experience. The value of servicing is impacted by a variety of factors, including prepayment assumptions, discount rates, delinquency rates, contractually specified servicing fees, servicing costs and underlying portfolio characteristics. Because these inputs are not observable in market trades, the fall-out factor and value of servicing are considered to be level 3 inputs. The fair value of IRLCs decreases in value upon an increase in the fall-out factor and increases in value upon an increase in the value of servicing. Changes in the fall-out factor and value of servicing do not increase or decrease based on movements in other significant unobservable inputs. The Company recognizes unrealized gains and losses from the time that an IRLC is initiated until the gain or loss is realized at the time the loan closes, which generally occurs within 30-90 days. For IRLCs that fall out, any unrealized gain or loss is reversed, which generally occurs at the end of the commitment period. The gains and losses recognized on IRLC derivatives generally correlates to volume of single family interest rate lock commitments made during the reporting period (after adjusting for estimated fallout) while the amount of unrealized gains and losses realized at settlement generally correlates to the volume of single family closed loans during the reporting period. The Company uses the discounted cash flow model to estimate the fair value of certain loans that have been transferred from held for sale to held for investment and single family LHFS when the fair value of the loans is not derived using observable market inputs. The key assumption in the valuation model is the implied spread to benchmark interest rate curve. The implied spread is not directly observable in the market and is derived from third party pricing which is based on market information from comparable loan pools. The fair value estimate of single family loans that have been transferred from held for sale to held for investment are sensitive to changes in the benchmark interest rate which might result in a significantly higher or lower fair value measurement. The Company transferred certain loans from held for sale to held for investment. These loans were originated as held for sale loans where the Company had elected fair value option. The Company determined these loans to be level 3 recurring assets as the valuation technique included a significant unobservable input. The total amount of held for investment loans where fair value option election was made was $4.5 million and $7.1 million at September 30, 2021 and December 31, 2020, respectively. The following information presents significant Level 3 unobservable inputs used to measure fair value of certain assets: (dollars in thousands) Fair Value Valuation Significant Unobservable Low High Weighted Average September 30, 2021 Investment securities AFS $ 2,514 Income approach Implied spread to benchmark interest rate curve 2.00% 2.00% 2.00% Single family LHFI 4,507 Income approach Implied spread to benchmark interest rate curve 3.14% 8.59% 4.73% Interest rate lock commitments, net 4,609 Income approach Fall-out factor 0.87% 24.05% 12.18% Value of servicing 0.39% 1.52% 1.19% December 31, 2020 Investment securities AFS $ 2,710 Income approach Implied spread to benchmark interest rate curve 2.00% 2.00% 2.00% Single family LHFI 7,108 Income approach Implied spread to benchmark interest rate curve 3.96% 10.64% 6.23% Interest rate lock commitments, net 17,392 Income approach Fall-out factor 1.97% 38.38% 15.53% Value of servicing 0.41% 1.44% 0.97% We had no LHFS where the fair value was not derived with significant observable inputs at September 30, 2021 and December 31, 2020. The following table presents fair value changes and activity for certain Level 3 assets for the periods indicated: (in thousands) Beginning balance Additions Transfers Payoffs/Sales Change in mark to market (1) Ending balance Quarter Ended September 30, 2021 Investment securities AFS $ 2,550 $ — $ — $ (48) $ 12 $ 2,514 Single family LHFI 5,207 284 — (1,088) 104 4,507 Quarter Ended September 30, 2020 Investment securities AFS $ 2,861 $ — $ — $ (48) $ (16) $ 2,797 Single family LHFI 5,847 2,169 — (352) (26) 7,638 Nine Months Ended September 30, 2021 Investment securities AFS $ 2,710 $ — $ — $ (144) $ (52) $ 2,514 Single family LHFI 7,108 1,429 — (4,279) 249 4,507 Nine Months Ended September 30, 2020 Investment securities AFS $ 1,952 $ 985 $ — $ (387) $ 247 $ 2,797 Single family LHFI 3,468 5,515 — (1,135) (210) 7,638 (1) Changes in fair value for single LHFI are recorded in other noninterest income on the consolidated income statement. The following table presents fair value changes and activity for Level 3 interest rate lock and purchase loan commitments for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Beginning balance, net $ 5,893 $ 17,967 $ 17,392 $ 2,223 Total realized/unrealized gains (losses) 5,299 18,285 9,112 46,313 Settlements (6,583) (15,292) (21,895) (27,576) Ending balance, net $ 4,609 $ 20,960 $ 4,609 $ 20,960 Nonrecurring Fair Value Measurements Certain assets held by the Company are not included in the tables above, but are measured at fair value on a periodic basis. These assets include certain LHFI and OREO that are carried at the lower of cost or fair value of the underlying collateral, less the estimated costs to sell. The estimated fair values of real estate collateral are generally based on internal evaluations and appraisals of such collateral, which use the market approach and income approach methodologies. We have omitted disclosure related to quantitative inputs given the insignificance of assets measured on a nonrecurring basis. The fair value of commercial properties are generally based on third-party appraisals that consider recent sales of comparable properties, including their income-generating characteristics, adjusted (generally based on unobservable inputs) to reflect the general assumptions that a market participant would make when analyzing the property for purchase. The Company uses a fair value of collateral technique to apply adjustments to the appraisal value of certain commercial LHFI that are collateralized by real estate. The Company uses a fair value of collateral technique to apply adjustments to the stated value of certain commercial LHFI that are not collateralized by real estate and to the appraisal value of OREO. Residential properties are generally based on unadjusted third-party appraisals. Factors considered in determining the fair value include geographic sales trends, the value of comparable surrounding properties as well as the condition of the property. These adjustments include management assumptions that are based on the type of collateral dependent loan and may increase or decrease an appraised value. Management adjustments vary significantly depending on the location, physical characteristics and income producing potential of each individual property. The quality and volume of market information available at the time of the appraisal can vary from period-to-period and cause significant changes to the nature and magnitude of the unobservable inputs used. Given these variations, changes in these unobservable inputs are generally not a reliable indicator for how fair value will increase or decrease from period to period. The following table present assets classified as Level 3 assets that had changes in their recorded fair value for the periods indicated and what we still held at the end of the respective reporting period: (in thousands) Fair Value Level 1 Level 2 Level 3 Total Gains (Losses) At or for the Quarter Ended September 30, 2021 LHFI (1) $ 1,121 $ — $ — $ 1,121 $ (8) At or for the Quarter Ended September 30, 2020 LHFI (1) $ 3,302 $ — $ — $ 3,302 $ (2,054) At or for the Nine Months Ended September 30, 2021 LHFI (1) $ 1,121 $ — $ — $ 1,121 $ (70) At or for the Nine Months Ended September 30, 2020 LHFI (1) $ 3,302 $ — $ — $ 3,302 $ (2,184) (1) Represents the carrying value of loans for which adjustments are based on the fair value of the collateral. Fair Value of Financial Instruments The following presents the carrying value, estimated fair value and the levels of the fair value hierarchy for the Company's financial instruments other than assets and liabilities measured at fair value on a recurring basis: At September 30, 2021 (in thousands) Carrying Fair Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 218,662 $ 218,662 $ 218,662 $ — $ — Investment securities HTM 4,195 4,349 — 4,349 — LHFI 5,295,234 5,337,837 — — 5,337,837 LHFS – multifamily and other 259,170 267,688 — 267,688 — Mortgage servicing rights – multifamily 39,625 43,166 — — 43,166 Federal Home Loan Bank stock 8,723 8,723 — 8,723 — Other assets - GNMA EBO loans 31,553 31,553 — — 31,553 Liabilities: Certificates of deposit $ 995,475 $ 996,743 $ — $ 996,743 $ — Long-term debt 125,979 117,577 — 117,577 — At December 31, 2020 (in thousands) Carrying Fair Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 58,049 $ 58,049 $ 58,049 $ — $ — Investment securities HTM 4,271 4,507 — 4,507 — LHFI 5,172,778 5,327,711 — — 5,327,711 LHFS – multifamily and other 167,289 167,289 — 167,289 — Mortgage servicing rights – multifamily 35,774 38,423 — — 38,423 Federal Home Loan Bank stock 20,319 20,319 — 20,319 — Other assets-GNMA EBO loans 101,750 101,750 — — 101,750 Liabilities: Certificates of deposit $ 1,139,807 $ 1,143,747 $ — $ 1,143,747 $ — Borrowings 322,800 322,876 — 322,876 — Long-term debt 125,838 116,893 — 116,893 — |
EARNINGS PER SHARE
EARNINGS PER SHARE | 9 Months Ended |
Sep. 30, 2021 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE: The following table summarizes the calculation of earnings per share for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands, except share and per share data) 2021 2020 2021 2020 Net income $ 27,170 $ 26,349 $ 85,990 $ 52,392 Weighted average shares: Basic weighted-average number of common shares outstanding 20,613,290 22,665,069 21,099,059 23,226,109 Dilutive effect of outstanding common stock equivalents 206,311 212,157 253,656 177,620 Diluted weighted-average number of common shares outstanding 20,819,601 22,877,226 21,352,715 23,403,729 Net income per share: Basic earnings per share $ 1.32 $ 1.16 $ 4.08 $ 2.26 Diluted earnings per share $ 1.31 $ 1.15 $ 4.03 $ 2.24 |
RESTRUCTURING
RESTRUCTURING | 9 Months Ended |
Sep. 30, 2021 | |
Restructuring and Related Activities [Abstract] | |
RESTRUCTURING | RESTRUCTURING:In 2020, we took steps to consolidate our facilities and incurred charges in connection with vacating certain office space. In addition, we incurred certain consulting fees in connection with a corporate-wide operations restructuring program which began in 2019. The following table summarizes the restructuring charges and the liability for restructuring costs still to be paid in the periods indicated: (in thousands) Facility-related costs Personnel-related costs Other costs Total Quarter ended September 30, 2021 activity Costs paid or otherwise settled $ (334) $ (2) $ — $ (336) Balance, September 30, 2021 $ 1,963 $ 99 $ — $ 2,062 Quarter ended September 30, 2020 activity Restructuring charges $ 1,736 $ 164 $ 232 $ 2,132 Costs paid or otherwise settled (1,640) (150) (229) (2,019) Balance, September 30, 2020 $ 1,791 $ 185 $ 89 $ 2,065 Nine months ended September 30, 2021 activity Costs paid or otherwise settled $ (900) $ (55) $ (116) $ (1,071) Balance, September 30, 2021 $ 1,963 $ 99 $ — $ 2,062 Nine months ended September 30, 2020 activity Restructuring charges $ 4,183 $ 299 $ 1,018 $ 5,500 Costs paid or otherwise settled (3,627) (624) (1,088) (5,339) Balance, September 30, 2020 $ 1,791 $ 185 $ 89 $ 2,065 |
SUBSEQUENT EVENT
SUBSEQUENT EVENT | 9 Months Ended |
Sep. 30, 2021 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENT | SUBSEQUENT EVENT:On October 28, 2021 the Board authorized a dividend of $0.25 per share, payable on November 23, 2021 to shareholders of record on November 9, 2021. On the same day, the Board approved an expansion of the Company's share repurchase program for up to $20 million of its common stock |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - (Policies) | 9 Months Ended |
Sep. 30, 2021 | |
Accounting Policies [Abstract] | |
Basis of Presentation | The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP"). The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All significant inter-company accounts and transactions have been eliminated in consolidation. In preparing the consolidated financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting periods. Actual results could differ significantly from those estimates. |
Reclassifications | Certain amounts in the financial statements from prior periods have been reclassified to conform to the current financial statement presentation. |
Recent Accounting Developments | Recent Accounting Developments In December 2019, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes” (“ASU 2019-12”). ASU 2019-12 removes certain exceptions to the general principles in Topic 740 in GAAP. ASU 2019-12 is effective for public entities for fiscal years beginning after December 15, 2020, with early adoption permitted. The Company adopted this ASU on January 1, 2021 and it did not have a material effect on the Company’s financial position, results of operations or financial statement disclosures. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848). This ASU provides optional expedients and exceptions for contracts, hedging relationships, and other transactions that reference LIBOR or other reference rates expected to be discontinued because of reference rate reform. In January 2021, the FASB issued ASU 2021-01, "Reference Rate Reform (Topic 848)," which clarifies certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting applied to derivatives that are affected by the transition to alternative rates. The ASUs are effective for all entities as of March 12, 2020 through December 31, 2022. The Company is in the process of evaluating the provisions of these ASUs, but does not expect them to have a material impact on the Company’s financial position, results of operations or financial statement disclosures. |
Derivatives and Hedging Activities | To reduce the risk of significant interest rate fluctuations on the value of certain assets and liabilities, such as single family mortgage LHFS and MSRs, the Company utilizes derivatives as economic hedges |
Fair Value Measurement | The term "fair value" is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The Company's approach is to maximize the use of observable inputs and minimize the use of unobservable inputs when developing fair value measurements. Fair Value Hierarchy A three-level valuation hierarchy has been established under ASC 820 for disclosure of fair value measurements. The valuation hierarchy is based on the observability of inputs to the valuation of an asset or liability as of the measurement date. A financial instrument’s categorization within the valuation hierarchy is based on the lowest level of input that is significant to the fair value measurement. The levels are defined as follows: • Level 1 – Quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity can access at the measurement date. An active market for the asset or liability is a market in which transactions for the asset or liability take place with sufficient frequency and volume to provide pricing information on an ongoing basis. • Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. This includes quoted prices for similar assets and liabilities in active markets and inputs that are observable for the asset or liability for substantially the full term of the financial instrument. • Level 3 – Unobservable inputs for the asset or liability. These inputs reflect the Company's assumptions of what market participants would use in pricing the asset or liability. The Company's policy regarding transfers between levels of the fair value hierarchy is that all transfers are assumed to occur at the end of the reporting period. Estimation of Fair Value Fair value is based on quoted market prices, when available. In cases where a quoted price for an asset or liability is not available, the Company uses valuation models to estimate fair value. These models incorporate inputs such as forward yield curves, loan prepayment assumptions, expected loss assumptions, market volatilities and pricing spreads utilizing market-based inputs where readily available. The Company believes its valuation methods are appropriate and consistent with those that would be used by other market participants. However, imprecision in estimating unobservable inputs and other factors may result in these fair value measurements not reflecting the amount realized in an actual sale or transfer of the asset or liability in a current market exchange. The following table summarizes the fair value measurement methodologies, including significant inputs and assumptions and classification of the Company's assets and liabilities valued at fair value on a recurring basis. Asset/Liability class Valuation methodology, inputs and assumptions Classification Investment securities Investment securities AFS Observable market prices of identical or similar securities are used where available. Level 2 recurring fair value measurement. If market prices are not readily available, value is based on discounted cash flows using the following significant inputs: • Expected prepayment speeds • Estimated credit losses • Market liquidity adjustments Level 3 recurring fair value measurement. LHFS Single family loans, excluding loans transferred from held for investment Fair value is based on observable market data, including: • Quoted market prices, where available • Dealer quotes for similar loans • Forward sale commitments Level 2 recurring fair value measurement. When not derived from observable market inputs, fair value is based on discounted cash flows, which considers the following inputs: • Benchmark yield curve • Estimated discount spread to the benchmark yield curve • Expected prepayment speeds Estimated fair value classified as Level 3. Mortgage servicing rights Single family MSRs For information on how the Company measures the fair value of its single family MSRs, including key economic assumptions and the sensitivity of fair value to changes in those assumptions, see Note 6 , Mortgage Banking Operations . Level 3 recurring fair value measurement. Derivatives Eurodollar futures Fair value is based on closing exchange prices. Level 1 recurring fair value measurement. Interest rate swaps Fair value is based on quoted prices for identical or similar instruments, when available. When quoted prices are not available, fair value is based on internally developed modeling techniques, which require the use of multiple observable market inputs including: Level 2 recurring fair value measurement. Interest rate lock commitments The fair value considers several factors including: • Fair value of the underlying loan based on quoted prices in the secondary market, when available. • Value of servicing • Fall-out factor Level 3 recurring fair value measurement. |
INVESTMENT SECURITIES - (Tables
INVESTMENT SECURITIES - (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Amortized Cost and Fair Value of Available-for-Sale Securities | The following table sets forth certain information regarding the amortized cost basis and fair values of our investment securities AFS and held-to-maturity ("HTM"): At September 30, 2021 (in thousands) Amortized Gross Gross Fair AFS Mortgage backed securities ("MBS"): Residential $ 33,046 $ 719 $ (298) $ 33,467 Commercial 40,995 1,231 (176) 42,050 Collateralized mortgage obligations ("CMOs"): Residential 182,060 3,283 (983) 184,360 Commercial 139,202 2,368 (246) 141,324 Municipal bonds 513,151 22,558 (1,308) 534,401 Corporate debt securities 18,990 859 — 19,849 U.S. Treasury securities 23,434 10 (52) 23,392 Total $ 950,878 $ 31,028 $ (3,063) $ 978,843 HTM Municipal bonds $ 4,195 $ 154 $ — $ 4,349 At December 31, 2020 (in thousands) Amortized Gross Gross Fair AFS MBS: Residential $ 50,001 $ 1,237 $ (192) $ 51,046 Commercial 43,061 2,131 (8) 45,184 CMOs: Residential 228,685 6,319 (95) 234,909 Commercial 155,645 3,719 (181) 159,183 Municipal bonds 533,719 31,321 (337) 564,703 Corporate debt securities 14,381 841 — 15,222 Agency debentures 1,846 — — 1,846 Total $ 1,027,338 $ 45,568 $ (813) $ 1,072,093 HTM Municipal bonds $ 4,271 $ 236 $ — $ 4,507 |
Amortized Cost and Fair Value of Held-to-Maturity Securities | The following table sets forth certain information regarding the amortized cost basis and fair values of our investment securities AFS and held-to-maturity ("HTM"): At September 30, 2021 (in thousands) Amortized Gross Gross Fair AFS Mortgage backed securities ("MBS"): Residential $ 33,046 $ 719 $ (298) $ 33,467 Commercial 40,995 1,231 (176) 42,050 Collateralized mortgage obligations ("CMOs"): Residential 182,060 3,283 (983) 184,360 Commercial 139,202 2,368 (246) 141,324 Municipal bonds 513,151 22,558 (1,308) 534,401 Corporate debt securities 18,990 859 — 19,849 U.S. Treasury securities 23,434 10 (52) 23,392 Total $ 950,878 $ 31,028 $ (3,063) $ 978,843 HTM Municipal bonds $ 4,195 $ 154 $ — $ 4,349 At December 31, 2020 (in thousands) Amortized Gross Gross Fair AFS MBS: Residential $ 50,001 $ 1,237 $ (192) $ 51,046 Commercial 43,061 2,131 (8) 45,184 CMOs: Residential 228,685 6,319 (95) 234,909 Commercial 155,645 3,719 (181) 159,183 Municipal bonds 533,719 31,321 (337) 564,703 Corporate debt securities 14,381 841 — 15,222 Agency debentures 1,846 — — 1,846 Total $ 1,027,338 $ 45,568 $ (813) $ 1,072,093 HTM Municipal bonds $ 4,271 $ 236 $ — $ 4,507 |
Investment Securities in an Unrealized Loss Position | Investment securities AFS that were in an unrealized loss position are presented in the following tables based on the length of time the individual securities have been in an unrealized loss position: At September 30, 2021 Less than 12 months 12 months or more Total (in thousands) Gross Fair Gross Fair Gross Fair MBS: Residential $ (70) $ 1,115 $ (228) $ 1,322 $ (298) $ 2,437 Commercial (176) 10,954 — — (176) 10,954 CMOs: Residential (701) 21,942 (282) 7,159 (983) 29,101 Commercial (184) 9,875 (62) 1,956 (246) 11,831 Municipal bonds (1,163) 49,953 (145) 8,411 (1,308) 58,364 U.S. Treasury securities (52) 17,873 — — (52) 17,873 Total $ (2,346) $ 111,712 $ (717) $ 18,848 $ (3,063) $ 130,560 At December 31, 2020 Less than 12 months 12 months or more Total (in thousands) Gross Fair Gross Fair Gross Fair MBS: Residential $ (7) $ 1,196 $ (185) $ 1,432 $ (192) $ 2,628 Commercial (8) 925 — — (8) 925 CMOs: Residential (95) 7,391 — — (95) 7,391 Commercial (39) 6,687 (142) 15,358 (181) 22,045 Municipal bonds (337) 10,512 — — (337) 10,512 Total $ (486) $ 26,711 $ (327) $ 16,790 $ (813) $ 43,501 |
Computation of Weighted Average Yield using Coupon on the Fair Value | The following tables present the fair value of investment securities AFS and HTM by contractual maturity along with the associated contractual yield: At September 30, 2021 Within one year After one year After five years After Total (dollars in thousands) Fair Weighted Fair Weighted Fair Weighted Fair Weighted Fair Weighted AFS Municipal bonds $ 3,826 3.78 % $ 15,685 3.33 % $ 65,624 3.68 % $ 449,266 3.23 % $ 534,401 3.29 % Corporate debt securities — — % 6,701 3.64 % 13,148 5.06 % — — % 19,849 4.58 % U.S. Treasury securities — — % — — % 23,392 1.28 % — — % 23,392 1.28 % Total $ 3,826 3.78 % $ 22,386 3.43 % $ 102,164 3.28 % $ 449,266 3.23 % $ 577,642 3.25 % HTM Municipal bonds $ 1,034 2.50 % $ 3,315 2.40 % $ — — % $ — — % $ 4,349 2.43 % At December 31, 2020 Within one year After one year After five years After Total (dollars in thousands) Fair Weighted Fair Weighted Fair Weighted Fair Weighted Fair Weighted AFS Municipal bonds $ 4,024 3.19 % $ 14,978 3.82 % $ 59,496 3.26 % $ 486,205 3.29 % $ 564,703 3.30 % Corporate debt securities 183 4.27 % 7,059 3.74 % 7,980 4.78 % — — % 15,222 4.30 % Agency debentures — — % — — % — — % 1,846 2.68 % 1,846 2.68 % Total $ 4,207 3.24 % $ 22,037 3.80 % $ 67,476 3.45 % $ 488,051 3.29 % $ 581,771 3.33 % HTM Municipal bonds $ — — % $ 4,507 2.47 % $ — — % $ — — % $ 4,507 2.47 % |
Schedule of Sales of Investment Securities | Sales of investment securities were as follows for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Proceeds $ — $ 2,872 $ 28,187 $ 58,487 Gross gains — — 288 1,289 Gross losses — (15) (226) (973) |
Carrying Value of Securities Pledged as Collateral | The following table summarizes the carrying value of securities pledged as collateral to secure public deposits, borrowings and other purposes as permitted or required by law: (in thousands) At September 30, 2021 At December 31, 2020 Washington, Oregon and California State to secure public deposits $ 176,003 $ 171,471 Other securities pledged 5,608 3,391 Total securities pledged as collateral $ 181,611 $ 174,862 |
LOANS AND CREDIT QUALITY - (Tab
LOANS AND CREDIT QUALITY - (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Receivables [Abstract] | |
Loans Held for Investment | LHFI consists of the following: (in thousands) At September 30, 2021 At December 31, 2020 Commercial real estate loans Non-owner occupied commercial real estate $ 754,031 $ 829,538 Multifamily 2,090,156 1,428,092 Construction/land development 514,322 553,695 Total 3,358,509 2,811,325 Commercial and industrial loans Owner occupied commercial real estate 450,350 467,256 Commercial business 435,756 645,723 Total 886,106 1,112,979 Consumer loans Single family (1) 793,927 915,123 Home equity and other 315,715 404,753 Total 1,109,642 1,319,876 Total LHFI 5,354,257 5,244,180 Allowance for credit losses ("ACL") (54,516) (64,294) Total LHFI less ACL $ 5,299,741 $ 5,179,886 |
Activity in Allowance for Credit Losses | Activity in the ACL for LHFI and the allowance for unfunded commitments was as follows for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Beginning balance $ 59,897 $ 65,000 $ 64,294 $ 41,772 Provision for credit losses (5,348) 273 (9,864) 21,633 Net (charge-offs) recoveries (33) (381) 86 (356) Impact of ASC 326 adoption — — — 1,843 Ending balance $ 54,516 $ 64,892 $ 54,516 $ 64,892 Allowance for unfunded commitments: Beginning balance $ 2,104 $ 2,071 $ 1,588 $ 1,065 Provision for credit losses 348 (273) 864 (1,164) Impact of ASC 326 adoption — — — 1,897 Ending balance $ 2,452 $ 1,798 $ 2,452 $ 1,798 Provision for credit losses: Allowance for credit losses - loans $ (5,348) $ 273 $ (9,864) $ 21,633 Allowance for unfunded commitments 348 (273) 864 (1,164) Total $ (5,000) $ — $ (9,000) $ 20,469 Activity in the ACL for LHFI by loan portfolio and loan sub-class was as follows for the periods indicated: Quarter Ended September 30, 2021 (in thousands) Beginning balance Charge-offs Recoveries Provision Ending balance Commercial real estate loans Non-owner occupied commercial real estate $ 9,077 $ — $ — $ 559 $ 9,636 Multifamily 7,245 — — (1,788) 5,457 Construction/land development Multifamily construction 500 — — 544 1,044 Commercial real estate construction 2,022 — — (1,671) 351 Single family construction 5,653 — — 638 6,291 Single family construction to permanent 1,047 — — 15 1,062 Total 25,544 — — (1,703) 23,841 Commercial and industrial loans Owner occupied commercial real estate 5,518 — — (233) 5,285 Commercial business 15,874 (116) 24 (1,309) 14,473 Total 21,392 (116) 24 (1,542) 19,758 Consumer loans Single family 7,163 (13) 33 (1,426) 5,757 Home equity and other 5,798 (341) 380 (677) 5,160 Total 12,961 (354) 413 (2,103) 10,917 Total ACL $ 59,897 $ (470) $ 437 $ (5,348) $ 54,516 Quarter Ended September 30, 2020 (in thousands) Beginning balance Charge-offs Recoveries Provision Ending balance Commercial real estate loans Non-owner occupied commercial real estate $ 7,325 $ — $ — $ 1,598 $ 8,923 Multifamily 5,387 — — (516) 4,871 Construction/land development Multifamily construction 3,811 — — 2,109 5,920 Commercial real estate construction 440 — — 1,269 1,709 Single family construction 5,869 — — (362) 5,507 Single family construction to permanent 1,515 — — (309) 1,206 Total 24,347 — — 3,789 28,136 Commercial and industrial loans Owner occupied commercial real estate 5,641 — — 47 5,688 Commercial business 15,816 (447) 24 2,951 18,344 Total 21,457 (447) 24 2,998 24,032 Consumer loans Single family 8,070 (3) 2 (1,349) 6,720 Home equity and other 11,126 (39) 82 (5,165) 6,004 Total 19,196 (42) 84 (6,514) 12,724 Total ACL $ 65,000 $ (489) $ 108 $ 273 $ 64,892 Nine Months Ended September 30, 2021 (in thousands) Beginning balance Charge-offs Recoveries Provision Ending Commercial real estate loans Non-owner occupied commercial real estate $ 8,845 $ — $ — $ 791 $ 9,636 Multifamily 6,072 — — (615) 5,457 Construction/land development Multifamily construction 4,903 — — (3,859) 1,044 Commercial real estate construction 1,670 — — (1,319) 351 Single family construction 5,130 — — 1,161 6,291 Single family construction to permanent 1,315 — — (253) 1,062 Total 27,935 — — (4,094) 23,841 Commercial and industrial loans Owner occupied commercial real estate 4,994 — 291 5,285 Commercial business 17,043 (116) 122 (2,576) 14,473 Total 22,037 (116) 122 (2,285) 19,758 Consumer loans Single family 6,906 (127) 155 (1,177) 5,757 Home equity and other 7,416 (432) 484 (2,308) 5,160 Total 14,322 (559) 639 (3,485) 10,917 Total ACL $ 64,294 $ (675) $ 761 $ (9,864) $ 54,516 Nine Months Ended September 30, 2020 (in thousands) Prior to adoption of ASC 326 Impact of ASC 326 adoption Charge-offs Recoveries Provision Ending Commercial real estate loans Non-owner occupied commercial real estate $ 7,245 $ (3,392) $ — $ — $ 5,070 $ 8,923 Multifamily 7,015 (2,977) — — 833 4,871 Construction/land development Multifamily construction 2,848 693 — — 2,379 5,920 Commercial real estate construction 624 (115) — — 1,200 1,709 Single family construction 3,800 4,280 — 163 (2,736) 5,507 Single family construction to permanent 1,003 200 — — 3 1,206 Total 22,535 (1,311) — 163 6,749 28,136 Commercial and industrial loans Owner occupied commercial real estate 3,639 (2,459) — — 4,508 5,688 Commercial business 2,915 510 (590) 72 15,437 18,344 Total 6,554 (1,949) (590) 72 19,945 24,032 Consumer loans Single family 6,450 468 (3) 56 (251) 6,720 Home equity and other 6,233 4,635 (345) 291 (4,810) 6,004 Total 12,683 5,103 (348) 347 (5,061) 12,724 Total ACL $ 41,772 $ 1,843 $ (938) $ 582 $ 21,633 $ 64,892 |
Designated Loan Grades by Loan Portfolio Segment and Loan Class | The following table presents a vintage analysis of the commercial portfolio segment by loan sub-class and risk rating or delinquency status. At September 30, 2021 (in thousands) 2021 2020 2019 2018 2017 2016 and prior Revolving Revolving-term Total COMMERCIAL PORTFOLIO Non-owner occupied commercial real estate 1-6 Pass $ 35,832 $ 50,863 $ 172,296 $ 133,472 $ 132,238 $ 225,012 $ 1,189 $ 915 $ 751,817 7- Special Mention — — — — — 2,214 — — 2,214 8 - Substandard — — — — — — — — — Total 35,832 50,863 172,296 133,472 132,238 227,226 1,189 915 754,031 Multifamily 1-6 Pass 972,806 557,201 289,164 65,618 29,218 176,093 56 — 2,090,156 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 972,806 557,201 289,164 65,618 29,218 176,093 56 — 2,090,156 Multifamily construction 1-6 Pass 4,194 25,363 20,748 — — — — — 50,305 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 4,194 25,363 20,748 — — — — — 50,305 Commercial real estate construction 1-6 Pass 2,712 3,961 — 1,998 — 563 8,672 — 17,906 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 2,712 3,961 — 1,998 — 563 8,672 — 17,906 Single family construction 1-6 Pass 151,418 42,188 17,677 — — 78 91,915 — 303,276 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 151,418 42,188 17,677 — — 78 91,915 — 303,276 Single family construction to permanent Current 62,456 55,561 21,067 3,751 — — — — 142,835 Past due: 30-59 days — — — — — — — — — 60-89 days — — — — — — — — — 90+ days — — — — — — — — — Total 62,456 55,561 21,067 3,751 — — — — 142,835 Owner occupied commercial real estate 1-6 Pass 45,688 47,907 59,378 50,584 72,188 113,575 549 2,878 392,747 7- Special Mention — — — 2,206 6,063 212 — 63 8,544 8 - Substandard — — 18,826 1,111 10,591 18,531 — — 49,059 Total 45,688 47,907 78,204 53,901 88,842 132,318 549 2,941 450,350 Commercial business 1-6 Pass 128,807 58,648 49,889 27,876 16,780 23,331 88,636 2,341 396,308 7- Special Mention — — 9,145 1,518 4,503 57 5,500 142 20,865 8 - Substandard 3,002 46 3,407 8,129 1,567 2,608 (282) 106 18,583 Total 131,809 58,694 62,441 37,523 22,850 25,996 93,854 2,589 435,756 Total commercial portfolio $ 1,406,915 $ 841,738 $ 661,597 $ 296,263 $ 273,148 $ 562,274 $ 196,235 $ 6,445 $ 4,244,615 The following table presents a vintage analysis of the consumer portfolio segment by loan sub-class and delinquency status: At September 30, 2021 (in thousands) 2021 2020 2019 2018 2017 2016 and prior Revolving Revolving-term Total CONSUMER PORTFOLIO Single family Current $ 139,731 $ 162,824 $ 78,130 $ 83,770 $ 108,684 $ 217,957 $ — $ — $ 791,096 Past due: 30-59 days — — — — 212 766 — — 978 60-89 days — — — — 315 277 — — 592 90+ days — — — 858 — 403 — — 1,261 Total (1) 139,731 162,824 78,130 84,628 109,211 219,403 — — 793,927 Home equity and other Current 1,184 707 496 607 537 2,930 301,977 6,373 314,811 Past due: 30-59 days — 2 — — — 248 183 — 433 60-89 days 3 2 — — — 1 — — 6 90+ days — — — — — 64 401 — 465 Total 1,187 711 496 607 537 3,243 302,561 6,373 315,715 Total consumer portfolio 140,918 163,535 78,626 85,235 109,748 222,646 302,561 6,373 1,109,642 Total LHFI $ 1,547,833 $ 1,005,273 $ 740,223 $ 381,498 $ 382,896 $ 784,920 $ 498,796 $ 12,818 $ 5,354,257 (1) Includes $4.5 million of loans where a fair value option election was made at the time of origination and, therefore, are carried at fair value with changes in fair value recognized in the consolidated income statements. The following table presents a vintage analysis of the commercial portfolio segment by loan sub-class and risk rating or delinquency status: At December 31, 2020 (in thousands) 2020 2019 2018 2017 2016 2015 and prior Revolving Revolving-term Total COMMERCIAL PORTFOLIO Non-owner occupied commercial real estate 1-6 Pass $ 53,782 $ 176,556 $ 165,268 $ 147,719 $ 150,221 $ 131,935 $ 796 $ 1,031 $ 827,308 7- Special Mention — — — — — 2,230 — — 2,230 8 - Substandard — — — — — — — — — Total 53,782 176,556 165,268 147,719 150,221 134,165 796 1,031 829,538 Multifamily 1-6 Pass 711,009 324,246 100,572 32,693 166,937 92,255 380 — 1,428,092 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 711,009 324,246 100,572 32,693 166,937 92,255 380 — 1,428,092 Multifamily construction 1-6 Pass 12,182 21,366 45,256 11,823 — — — — 90,627 7- Special Mention — — — — 24,702 — — — 24,702 8 - Substandard — — — — — — — — — Total 12,182 21,366 45,256 11,823 24,702 — — — 115,329 Commercial real estate construction 1-6 Pass 3,963 — 2,104 14,721 — 614 5,883 — 27,285 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 3,963 — 2,104 14,721 — 614 5,883 — 27,285 Single family construction 1-6 Pass 121,233 47,539 14,055 — — 600 75,743 — 259,170 7- Special Mention — — — — — — — — — 8 - Substandard — — — — — — — — — Total 121,233 47,539 14,055 — — 600 75,743 — 259,170 Single family construction to permanent Current 62,955 72,825 15,443 688 — — — — 151,911 Past due: 30-59 days — — — — — — — — — 60-89 days — — — — — — — — — 90+ days — — — — — — — — — Total 62,955 72,825 15,443 688 — — — — 151,911 Owner occupied commercial real estate 1-6 Pass 48,647 60,872 58,582 85,275 98,046 50,596 — 4,354 406,372 7- Special Mention — — 5,977 3,529 — — — 69 9,575 8 - Substandard — 19,407 1,111 10,750 17,122 2,919 — — 51,309 Total 48,647 80,279 65,670 99,554 115,168 53,515 — 4,423 467,256 Commercial business 1-6 Pass 345,540 63,020 47,710 22,556 18,411 14,972 76,218 2,577 591,004 7- Special Mention — 10,837 2,058 6,653 — — 3,975 166 23,689 8 - Substandard — 5,923 11,327 2,338 1,891 1,001 8,438 112 31,030 Total 345,540 79,780 61,095 31,547 20,302 15,973 88,631 2,855 645,723 Total commercial portfolio $ 1,359,311 $ 802,591 $ 469,463 $ 338,745 $ 477,330 $ 297,122 $ 171,433 $ 8,309 $ 3,924,304 The following table presents a vintage analysis of the consumer portfolio segment by loan sub-class and delinquency status: At December 31, 2020 (in thousands) 2020 2019 2018 2017 2016 2015 and prior Revolving Revolving-term Total CONSUMER PORTFOLIO Single family Current $ 174,994 $ 111,143 $ 154,757 $ 168,412 $ 59,161 $ 242,444 $ — $ — $ 910,911 Past due: 30-59 days — 570 — 318 — 390 — — 1,278 60-89 days — — — — — — — — — 90+ days 824 335 405 386 — 984 — — 2,934 Total (1) 175,818 112,048 155,162 169,116 59,161 243,818 — — 915,123 Home equity and other Current 1,878 1,230 1,311 1,363 431 5,126 384,005 8,147 403,491 Past due: 30-59 days 98 22 — — — 11 66 31 228 60-89 days — 13 — — — — 129 — 142 90+ days — 9 — — 275 24 584 — 892 Total 1,976 1,274 1,311 1,363 706 5,161 384,784 8,178 404,753 Total consumer portfolio 177,794 113,322 156,473 170,479 59,867 248,979 384,784 8,178 1,319,876 Total LHFI $ 1,537,105 $ 915,913 $ 625,936 $ 509,224 $ 537,197 $ 546,101 $ 556,217 $ 16,487 $ 5,244,180 (1) Includes $7.1 million of loans where a fair value option election was made at the time of origination and, therefore, are carried at fair value with changes in fair value recognized in the consolidated income statements. |
Schedule of Collateral Dependent Loans | The following table presents the amortized cost basis of collateral-dependent loans by loan sub-class and collateral type: At September 30, 2021 (in thousands) Land 1-4 Family Non-residential real estate Other non-real estate Total Commercial and industrial loans Owner occupied commercial real estate $ 1,111 $ — $ 2,763 $ — $ 3,874 Commercial business 387 — — 2,681 3,068 Total 1,498 — 2,763 2,681 6,942 Consumer loans Single family — 2,957 — — 2,957 Home equity loans and other — 923 — — 923 Total — 3,880 — — 3,880 Total collateral-dependent loans $ 1,498 $ 3,880 $ 2,763 $ 2,681 $ 10,822 |
Schedule of Loans on Nonaccrual with no Related Allowance for Credit Loss | At December 31, 2020 (in thousands) Land 1-4 Family Non-residential real estate Other non-real estate Total Commercial and industrial loans Owner occupied commercial real estate $ 1,789 $ — $ 3,133 $ — $ 4,922 Commercial business 1,787 545 — 2,882 5,214 Total 3,576 545 3,133 2,882 10,136 Consumer loans Single family — 2,457 — — 2,457 Total — 2,457 — — 2,457 Total collateral-dependent loans $ 3,576 $ 3,002 $ 3,133 $ 2,882 $ 12,593 Nonaccrual and Past Due Loans The following table presents nonaccrual status for loans: At September 30, 2021 At December 31, 2020 (in thousands) Nonaccrual with no related ACL Total Nonaccrual Nonaccrual with no related ACL Total Nonaccrual Commercial and industrial loans Owner occupied commercial real estate $ 3,874 $ 3,874 $ 4,922 $ 4,922 Commercial business 1,360 7,249 3,100 9,183 Total 5,234 11,123 8,022 14,105 Consumer loans Single family $ 2,907 $ 4,602 $ 2,173 $ 4,883 Home equity and other 928 1,987 2 1,734 Total 3,835 6,589 2,175 6,617 Total nonaccrual loans $ 9,069 $ 17,712 $ 10,197 $ 20,722 |
Past Due Loans by Portfolio Segment and Loan Class | The following tables present an aging analysis of past due loans by loan portfolio segment and loan sub-class: At September 30, 2021 Past Due and Still Accruing (in thousands) 30-59 days 60-89 days 90 days or Nonaccrual Total past due and nonaccrual (3) Current Total Commercial real estate loans Non-owner occupied commercial real estate $ — $ — $ — $ — $ — $ 754,031 $ 754,031 Multifamily — — — — — 2,090,156 2,090,156 Construction/land development Multifamily construction — — — — — 50,305 50,305 Commercial real estate construction — — — — — 17,906 17,906 Single family construction — — — — — 303,276 303,276 Single family construction to permanent — — — — — 142,835 142,835 Total — — — — — 3,358,509 3,358,509 Commercial and industrial loans Owner occupied commercial real estate — — — 3,874 3,874 446,476 450,350 Commercial business — — — 7,249 7,249 428,507 435,756 Total — — — 11,123 11,123 874,983 886,106 Consumer loans Single family 1,294 1,198 8,361 (2) 4,602 15,455 778,472 793,927 (1) Home equity and other 260 4 — 1,987 2,251 313,464 315,715 Total 1,554 1,202 8,361 6,589 17,706 1,091,936 1,109,642 Total loans $ 1,554 $ 1,202 $ 8,361 $ 17,712 $ 28,829 $ 5,325,428 $ 5,354,257 % 0.03 % 0.02 % 0.16 % 0.33 % 0.54 % 99.46 % 100.00 % At December 31, 2020 Past Due and Still Accruing (in thousands) 30-59 days 60-89 days 90 days or Nonaccrual Total past due and nonaccrual (3) Current Total Commercial real estate loans Non-owner occupied commercial real estate $ — $ — $ — $ — $ — $ 829,538 $ 829,538 Multifamily — — — — 1,428,092 1,428,092 Construction and land development Multifamily construction — — — — — 115,329 115,329 Commercial real estate construction — — — — — 27,285 27,285 Single family construction — — — — — 259,170 259,170 Single family construction to permanent — — — — — 151,911 151,911 Total — — — — — 2,811,325 2,811,325 Commercial and industrial loans Owner occupied commercial real estate — — 4,922 4,922 462,334 467,256 Commercial business — — 9,183 9,183 636,540 645,723 Total — — — 14,105 14,105 1,098,874 1,112,979 Consumer loans Single family 2,161 418 11,476 (2) 4,883 18,938 896,185 915,123 (1) Home equity and other 228 135 — 1,734 2,097 402,656 404,753 Total 2,389 553 11,476 6,617 21,035 1,298,841 1,319,876 Total loans $ 2,389 $ 553 $ 11,476 $ 20,722 $ 35,140 $ 5,209,040 $ 5,244,180 % 0.05 % 0.01 % 0.22 % 0.40 % 0.67 % 99.33 % 100.00 % (1) Includes $4.5 million and $7.1 million of loans at September 30, 2021 and December 31, 2020, respectively, where a fair value option election was made at the time of origination and, therefore, are carried at fair value with changes in fair value recognized in our consolidated income statements. (2) FHA-insured and VA-guaranteed single family loans that are 90 days or more past due are maintained on accrual status if they are determined to have little to no risk of loss. |
TDR Activity by Loan Portfolio Segment and Loan Class | The following tables present information about troubled debt restructuring ("TDR") activity for the periods indicated: Quarter Ended September 30, 2021 Nine Months Ended September 30, 2021 (dollars in thousands) Number of loan Recorded Related charge- Number of loan Recorded Related charge- Consumer loans Single family Interest rate reduction 10 $ 3,284 $ — 15 $ 4,599 $ — Payment restructure 4 1,005 — 6 2,145 14 4,289 — 21 6,744 — Total loans Interest rate reduction 10 3,284 — 15 4,599 — Payment restructure 4 1,005 — 6 2,145 — Total 14 $ 4,289 $ — 21 $ 6,744 $ — Quarter Ended September 30, 2020 Nine Months Ended September 30, 2020 (dollars in thousands) Number of loan Recorded Related charge- Number of loan Recorded Related charge- Commercial and industrial loans Owner occupied commercial real estate Payment restructure — $ — $ — 1 $ 678 $ — Commercial business Payment restructure — — — 1 1,125 — Total commercial and industrial Payment restructure — — — 2 1,803 — Total — — — 2 1,803 — Consumer loans Single family Interest rate reduction 8 1,642 — 23 4,878 — Payment restructure 1 411 — 10 2,067 — Total 9 2,053 — 33 6,945 — Total loans Interest rate reduction 8 1,642 — 23 4,878 — Payment restructure 1 411 — 12 3,870 — Total 9 $ 2,053 $ — 35 $ 8,748 $ — |
TDR Balances that Subsequently Re-defaulted | A TDR loan is considered re-defaulted when it becomes doubtful that the objectives of the modifications will be met, generally when a consumer loan TDR becomes 60 days or more past due on principal or interest payments or when a commercial loan TDR becomes 90 days or more past due on principal or interest payments. The following table presents loans that were modified as TDRs within the previous 12 months and subsequently re-defaulted for the periods indicated: Quarter Ended September 30, 2021 2020 (dollars in thousands) Number of loan relationships that re-defaulted Recorded Number of loan relationships that re-defaulted Recorded Consumer loans - single family 2 $ 422 6 $ 1,038 Total 2 $ 422 6 $ 1,038 Nine Months Ended September 30, 2021 2020 (dollars in thousands) Number of loan relationships that re-defaulted Recorded Number of loan relationships that re-defaulted Recorded Commercial and industrial loans Owner occupied commercial real estate 1 $ 678 — $ — 1 678 — — Consumer loans Consumer loans - single family 7 $ 1,764 16 $ 3,237 7 1,764 16 3,237 Total 8 $ 2,442 16 $ 3,237 |
DEPOSITS - (Tables)
DEPOSITS - (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Deposits Liabilities, Balance Sheet, Reported Amounts [Abstract] | |
Deposit Balances, Including Stated Rates | Deposit balances, including stated rates, were as follows: At September 30, 2021 At December 31, 2020 (dollars in thousands) Amount Weighted Average Rate Amount Weighted Average Rate Noninterest-bearing demand deposits $ 1,706,550 — % $ 1,337,010 — % Interest-bearing demand deposits 555,716 0.10 % 484,265 0.10 % Savings 305,395 0.06 % 264,024 0.07 % Money market 2,796,524 0.15 % 2,596,453 0.21 % Certificates of deposit 995,475 0.50 % 1,139,807 0.93 % Total $ 6,359,660 0.15 % $ 5,821,559 0.29 % |
Certificates of Deposit Outstanding | Certificates of deposit outstanding at September 30, 2021 mature as follows: (in thousands) Within one year $ 785,798 One to two years 182,878 Two to three years 19,005 Three to four years 4,843 Four to five years 2,951 Thereafter — Total $ 995,475 |
DERIVATIVES AND HEDGING ACTIV_2
DERIVATIVES AND HEDGING ACTIVITIES - (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Notional Amount and Fair Value for Derivatives | The notional amounts and fair values for derivatives, which are included in other assets or accounts payable and other liabilities on the consolidated balance sheet, consist of the following: At September 30, 2021 Notional amount Fair value derivatives (in thousands) Asset Liability Forward sale commitments $ 651,906 $ 1,419 $ (1,017) Interest rate lock commitments 194,587 4,612 (3) Interest rate swaps 399,788 8,772 (10,521) Eurodollar futures 355,000 — (9) Total derivatives before netting $ 1,601,281 14,803 (11,550) Netting adjustment/Cash collateral (1) (4,348) 9,909 Carrying value on consolidated balance sheet $ 10,455 $ (1,641) At December 31, 2020 Notional amount Fair value derivatives (in thousands) Asset Liability Forward sale commitments $ 977,974 $ 1,035 $ (3,714) Interest rate lock commitments 493,873 17,395 (3) Interest rate swaps 536,969 17,459 (20,511) Eurodollar futures 314,000 — (4) Total derivatives before netting $ 2,322,816 35,889 (24,232) Netting adjustment/Cash collateral (1) (8,250) 21,447 Carrying value on consolidated balance sheet $ 27,639 $ (2,785) |
Fair Value, Concentration of Risk | The following tables present gross fair value and net carrying value information about derivative instruments: (in thousands) Gross fair value Netting adjustments/ Cash collateral (1) Carrying value At September 30, 2021 Derivative assets $ 14,803 $ (4,348) $ 10,455 Derivative liabilities (11,550) 9,909 (1,641) At December 31, 2020 Derivative assets $ 35,889 $ (8,250) $ 27,639 Derivative liabilities (24,232) 21,447 (2,785) |
Net Gains (Losses) Recognized on Economic Hedge Derivatives | The following table presents the net gain (loss) recognized on economic hedge derivatives, within the respective line items in the consolidated income statements for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Recognized in noninterest income: Net gain (loss) on loan origination and sale activities (1) $ (1,165) $ (3,810) $ (4,574) $ 583 Loan servicing income (loss) (2) (293) (91) (7,860) 22,148 Other (3) 41 632 305 (84) (1) Comprised of IRLCs and forward contracts used as an economic hedge of loans held for sale. (2) Comprised of interest rate swaps, interest rate swaptions, futures and forward contracts used as economic hedges of single family MSRs. (3) Comprised of interest rate swaps used as economic hedges of loans held for investment. |
MORTGAGE BANKING OPERATIONS - (
MORTGAGE BANKING OPERATIONS - (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Mortgage Banking [Abstract] | |
Mortgage Loans on Real Estate, by Loan | LHFS consisted of the following: (in thousands) At September 30, 2021 At December 31, 2020 Single family $ 135,942 $ 194,643 Commercial real estate, multifamily and SBA 259,170 167,289 Total $ 395,112 $ 361,932 Loans sold consisted of the following for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Single family $ 469,090 $ 686,280 $ 1,669,412 $ 1,393,283 Commercial real estate, multifamily and SBA 69,810 170,980 465,948 502,059 Total $ 538,900 $ 857,260 $ 2,135,360 $ 1,895,342 |
Net Gain on Loan Origination and Sale Activity | Gain on loan origination and sale activities, including the effects of derivative risk management instruments, consisted of the following: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Single family $ 14,249 $ 27,632 $ 56,272 $ 73,751 Commercial real estate, multifamily and SBA 3,260 5,498 15,967 11,947 Total $ 17,509 $ 33,130 $ 72,239 $ 85,698 |
Company's Portfolio of Loans Serviced for Others | The Company's portfolio of loans serviced for others is primarily comprised of loans held in U.S. government and agency MBS issued by Fannie Mae, Freddie Mac and Ginnie Mae. The unpaid principal balance of loans serviced for others is as follows: (in thousands) At September 30, 2021 At December 31, 2020 Single family $ 5,625,386 $ 5,914,592 Commercial real estate, multifamily and SBA 2,064,492 1,844,241 Total $ 7,689,878 $ 7,758,833 |
Mortgage Repurchase Losses | The following is a summary of changes in the Company's liability for estimated single-family mortgage repurchase losses for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Balance, beginning of period $ 1,612 $ 2,083 $ 2,122 $ 2,871 Additions, net of adjustments (1) (183) 252 (229) (275) Realized (losses) recoveries, net (2) 14 (240) (450) (501) Balance, end of period $ 1,443 $ 2,095 $ 1,443 $ 2,095 (1) Includes additions for new loan sales and changes in estimated probable future repurchase losses on previously sold loans. (2) Includes principal losses and accrued interest on repurchased loans, "make-whole" settlements, settlements with claimants and certain related expenses. |
Revenue from Mortgage Servicing, Including the Effects of Derivative Risk Management Instruments | Revenue from mortgage servicing, including the effects of derivative risk management instruments, consisted of the following for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Servicing income, net: Servicing fees and other $ 7,897 $ 7,220 $ 26,055 $ 23,073 Amortization of single family MSRs (1) (4,579) (4,401) (15,453) (12,246) Amortization of multifamily and SBA MSRs (1,758) (1,350) (5,235) (4,084) Total 1,560 1,469 5,367 6,743 Risk management, single family MSRs: Changes in fair value of MSRs due to assumptions (2) 747 (2,960) 7,186 (21,970) Net gain (loss) from derivative hedging (293) (91) (7,860) 22,148 Total 454 (3,051) (674) 178 Loan servicing income (loss) $ 2,014 $ (1,582) $ 4,693 $ 6,921 (1) Represents changes due to collection/realization of expected cash flows and curtailments. (2) Principally reflects changes in model assumptions, including prepayment speed assumptions, which are primarily reflected by changes in mortgage interest rates. |
Changes in Single Family MSRs Measured at Fair Value | The changes in single family MSRs measured at fair value are as follows for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Beginning balance $ 59,872 $ 47,804 $ 49,966 $ 68,109 Additions and amortization: Originations 5,166 6,569 19,507 12,942 Amortization (1) (4,579) (4,401) (15,453) (12,246) Net additions and amortization 587 2,168 4,054 696 Changes in fair value assumptions (2) 747 (2,954) 7,186 (21,787) Ending balance $ 61,206 $ 47,018 $ 61,206 $ 47,018 (1) Represents changes due to collection/realization of expected cash flows and curtailments. (2) Principally reflects changes in model assumptions, including prepayment speed assumptions, which are primarily reflected by changes in mortgage interest rates. |
Key Economic Assumptions Used in Measuring Initial FV of Capitalized Single Family MSRs | Key economic assumptions used in measuring the initial fair value of capitalized single family MSRs were as follows for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (rates per annum) (1) 2021 2020 2021 2020 Constant prepayment rate ("CPR") (2) 9.84 % 20.0% - 30.0% 8.75 % 17.1% - 30.0% Discount rate 7.77 % 7.71 % 8.25 % 7.78 % (1) Based on a weighted average. (2) Represents an expected lifetime average CPR used in the model. |
Schedule of Sensitivity Analysis of Fair Value, Transferor's Interests in Transferred Financial Assets | For single family MSRs, we use a discounted cash flow valuation technique which utilizes CPRs and discount rates as significant unobservable inputs as noted in the table below: At September 30, 2021 At December 31, 2020 Range of Inputs Average (1) Range of Inputs Average (1) CPRs 7.98% - 17.43% 10.74 % 8.13% - 19.70% 12.81 % Discount Rates 6.54% - 13.78% 7.84 % 6.50% - 13.14% 8.27 % (1) Averages of all the inputs within the range. To compute hypothetical sensitivities of the value of our single family MSRs to immediate adverse changes in key assumptions, we computed the impact of changes to CPRs and in discount rates as outlined below: (dollars in thousands) At September 30, 2021 Fair value of single family MSR $ 61,206 Expected weighted-average life (in years) 5.87 CPR Impact on fair value of 25 basis points adverse change in interest rates $ (3,490) Impact on fair value of 50 basis points adverse change in interest rates $ (7,016) Discount rate Impact on fair value of 100 basis points increase $ (2,949) Impact on fair value of 200 basis points increase $ (5,675) |
Changes in Multifamily MSRs Measured at the Lower of Amortized Cost or Fair Value | The changes in multifamily and SBA MSRs measured at the lower of amortized cost or fair value were as follows for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Beginning balance $ 39,113 $ 30,583 $ 35,774 $ 29,494 Originations 2,270 2,524 9,086 6,129 Amortization (1,758) (1,301) (5,235) (3,817) Ending balance $ 39,625 $ 31,806 $ 39,625 $ 31,806 |
FAIR VALUE MEASUREMENT - (Table
FAIR VALUE MEASUREMENT - (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement Methodologies | The following table summarizes the fair value measurement methodologies, including significant inputs and assumptions and classification of the Company's assets and liabilities valued at fair value on a recurring basis. Asset/Liability class Valuation methodology, inputs and assumptions Classification Investment securities Investment securities AFS Observable market prices of identical or similar securities are used where available. Level 2 recurring fair value measurement. If market prices are not readily available, value is based on discounted cash flows using the following significant inputs: • Expected prepayment speeds • Estimated credit losses • Market liquidity adjustments Level 3 recurring fair value measurement. LHFS Single family loans, excluding loans transferred from held for investment Fair value is based on observable market data, including: • Quoted market prices, where available • Dealer quotes for similar loans • Forward sale commitments Level 2 recurring fair value measurement. When not derived from observable market inputs, fair value is based on discounted cash flows, which considers the following inputs: • Benchmark yield curve • Estimated discount spread to the benchmark yield curve • Expected prepayment speeds Estimated fair value classified as Level 3. Mortgage servicing rights Single family MSRs For information on how the Company measures the fair value of its single family MSRs, including key economic assumptions and the sensitivity of fair value to changes in those assumptions, see Note 6 , Mortgage Banking Operations . Level 3 recurring fair value measurement. Derivatives Eurodollar futures Fair value is based on closing exchange prices. Level 1 recurring fair value measurement. Interest rate swaps Fair value is based on quoted prices for identical or similar instruments, when available. When quoted prices are not available, fair value is based on internally developed modeling techniques, which require the use of multiple observable market inputs including: Level 2 recurring fair value measurement. Interest rate lock commitments The fair value considers several factors including: • Fair value of the underlying loan based on quoted prices in the secondary market, when available. • Value of servicing • Fall-out factor Level 3 recurring fair value measurement. |
Schedule of Fair Value Hierarchy Measurement | The following tables presents the levels of the fair value hierarchy for the Company's assets and liabilities measured at fair value on a recurring basis: At September 30, 2021 (in thousands) Fair Value Level 1 Level 2 Level 3 Assets: Investment securities AFS Mortgage backed securities: Residential $ 33,467 $ — $ 31,030 $ 2,437 Commercial 42,050 — 42,050 — Collateralized mortgage obligations: Residential 184,360 — 184,360 — Commercial 141,324 — 141,324 — Municipal bonds 534,401 — 534,401 — Corporate debt securities 19,849 — 19,772 77 U.S. Treasury securities 23,392 — 23,392 — Single family LHFS 135,942 — 135,942 — Single family LHFI 4,507 — — 4,507 Single family mortgage servicing rights 61,206 — — 61,206 Derivatives Forward sale commitments 1,419 — 1,419 — Interest rate lock commitments 4,612 — — 4,612 Interest rate swaps 8,772 — 8,772 — Total assets $ 1,195,301 $ — $ 1,122,462 $ 72,839 Liabilities: Derivatives Eurodollar futures $ 9 $ 9 $ — $ — Forward sale commitments 1,017 — 1,017 — Interest rate lock commitments 3 — — 3 Interest rate swaps 10,521 — 10,521 Total liabilities $ 11,550 $ 9 $ 11,538 $ 3 At December 31, 2020 (in thousands) Fair Value Level 1 Level 2 Level 3 Assets: Investment securities AFS Mortgage backed securities: Residential $ 51,046 $ — $ 48,417 $ 2,629 Commercial 45,184 — 45,184 — Collateralized mortgage obligations: Residential 234,909 — 234,909 — Commercial 159,183 — 159,183 — Municipal bonds 564,703 — 564,703 — Corporate debt securities 15,222 — 15,141 81 Agency debentures 1,846 — 1,846 — Single family LHFS 194,643 — 194,643 — Single family LHFI 7,108 — — 7,108 Single family mortgage servicing rights 49,966 — — 49,966 Derivatives Forward sale commitments 1,035 — 1,035 — Interest rate lock commitments 17,395 — — 17,395 Interest rate swaps 17,459 — 17,459 — Total assets $ 1,359,699 $ — $ 1,282,520 $ 77,179 Liabilities: Derivatives Eurodollar futures $ 4 $ 4 $ — $ — Forward sale commitments 3,714 — 3,714 — Interest rate lock commitments 3 — — 3 Interest rate swaps 20,511 — 20,511 — Total liabilities $ 24,232 $ 4 $ 24,225 $ 3 |
Schedule of Inputs Used to Measure Fair Value | The following information presents significant Level 3 unobservable inputs used to measure fair value of certain assets: (dollars in thousands) Fair Value Valuation Significant Unobservable Low High Weighted Average September 30, 2021 Investment securities AFS $ 2,514 Income approach Implied spread to benchmark interest rate curve 2.00% 2.00% 2.00% Single family LHFI 4,507 Income approach Implied spread to benchmark interest rate curve 3.14% 8.59% 4.73% Interest rate lock commitments, net 4,609 Income approach Fall-out factor 0.87% 24.05% 12.18% Value of servicing 0.39% 1.52% 1.19% December 31, 2020 Investment securities AFS $ 2,710 Income approach Implied spread to benchmark interest rate curve 2.00% 2.00% 2.00% Single family LHFI 7,108 Income approach Implied spread to benchmark interest rate curve 3.96% 10.64% 6.23% Interest rate lock commitments, net 17,392 Income approach Fall-out factor 1.97% 38.38% 15.53% Value of servicing 0.41% 1.44% 0.97% |
Schedule of Fair Value Changes and Activity for Level 3 | The following table presents fair value changes and activity for certain Level 3 assets for the periods indicated: (in thousands) Beginning balance Additions Transfers Payoffs/Sales Change in mark to market (1) Ending balance Quarter Ended September 30, 2021 Investment securities AFS $ 2,550 $ — $ — $ (48) $ 12 $ 2,514 Single family LHFI 5,207 284 — (1,088) 104 4,507 Quarter Ended September 30, 2020 Investment securities AFS $ 2,861 $ — $ — $ (48) $ (16) $ 2,797 Single family LHFI 5,847 2,169 — (352) (26) 7,638 Nine Months Ended September 30, 2021 Investment securities AFS $ 2,710 $ — $ — $ (144) $ (52) $ 2,514 Single family LHFI 7,108 1,429 — (4,279) 249 4,507 Nine Months Ended September 30, 2020 Investment securities AFS $ 1,952 $ 985 $ — $ (387) $ 247 $ 2,797 Single family LHFI 3,468 5,515 — (1,135) (210) 7,638 (1) Changes in fair value for single LHFI are recorded in other noninterest income on the consolidated income statement. The following table presents fair value changes and activity for Level 3 interest rate lock and purchase loan commitments for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands) 2021 2020 2021 2020 Beginning balance, net $ 5,893 $ 17,967 $ 17,392 $ 2,223 Total realized/unrealized gains (losses) 5,299 18,285 9,112 46,313 Settlements (6,583) (15,292) (21,895) (27,576) Ending balance, net $ 4,609 $ 20,960 $ 4,609 $ 20,960 |
Schedule of Assets that had Changes in their Recorded Fair Value | The following table present assets classified as Level 3 assets that had changes in their recorded fair value for the periods indicated and what we still held at the end of the respective reporting period: (in thousands) Fair Value Level 1 Level 2 Level 3 Total Gains (Losses) At or for the Quarter Ended September 30, 2021 LHFI (1) $ 1,121 $ — $ — $ 1,121 $ (8) At or for the Quarter Ended September 30, 2020 LHFI (1) $ 3,302 $ — $ — $ 3,302 $ (2,054) At or for the Nine Months Ended September 30, 2021 LHFI (1) $ 1,121 $ — $ — $ 1,121 $ (70) At or for the Nine Months Ended September 30, 2020 LHFI (1) $ 3,302 $ — $ — $ 3,302 $ (2,184) (1) Represents the carrying value of loans for which adjustments are based on the fair value of the collateral. |
Schedule of the Fair Value Hierarchy | The following presents the carrying value, estimated fair value and the levels of the fair value hierarchy for the Company's financial instruments other than assets and liabilities measured at fair value on a recurring basis: At September 30, 2021 (in thousands) Carrying Fair Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 218,662 $ 218,662 $ 218,662 $ — $ — Investment securities HTM 4,195 4,349 — 4,349 — LHFI 5,295,234 5,337,837 — — 5,337,837 LHFS – multifamily and other 259,170 267,688 — 267,688 — Mortgage servicing rights – multifamily 39,625 43,166 — — 43,166 Federal Home Loan Bank stock 8,723 8,723 — 8,723 — Other assets - GNMA EBO loans 31,553 31,553 — — 31,553 Liabilities: Certificates of deposit $ 995,475 $ 996,743 $ — $ 996,743 $ — Long-term debt 125,979 117,577 — 117,577 — At December 31, 2020 (in thousands) Carrying Fair Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 58,049 $ 58,049 $ 58,049 $ — $ — Investment securities HTM 4,271 4,507 — 4,507 — LHFI 5,172,778 5,327,711 — — 5,327,711 LHFS – multifamily and other 167,289 167,289 — 167,289 — Mortgage servicing rights – multifamily 35,774 38,423 — — 38,423 Federal Home Loan Bank stock 20,319 20,319 — 20,319 — Other assets-GNMA EBO loans 101,750 101,750 — — 101,750 Liabilities: Certificates of deposit $ 1,139,807 $ 1,143,747 $ — $ 1,143,747 $ — Borrowings 322,800 322,876 — 322,876 — Long-term debt 125,838 116,893 — 116,893 — |
EARNINGS PER SHARE - (Tables)
EARNINGS PER SHARE - (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table summarizes the calculation of earnings per share for the periods indicated: Quarter Ended September 30, Nine Months Ended September 30, (in thousands, except share and per share data) 2021 2020 2021 2020 Net income $ 27,170 $ 26,349 $ 85,990 $ 52,392 Weighted average shares: Basic weighted-average number of common shares outstanding 20,613,290 22,665,069 21,099,059 23,226,109 Dilutive effect of outstanding common stock equivalents 206,311 212,157 253,656 177,620 Diluted weighted-average number of common shares outstanding 20,819,601 22,877,226 21,352,715 23,403,729 Net income per share: Basic earnings per share $ 1.32 $ 1.16 $ 4.08 $ 2.26 Diluted earnings per share $ 1.31 $ 1.15 $ 4.03 $ 2.24 |
RESTRUCTURING - (Tables)
RESTRUCTURING - (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Reserve Rollforward | The following table summarizes the restructuring charges and the liability for restructuring costs still to be paid in the periods indicated: (in thousands) Facility-related costs Personnel-related costs Other costs Total Quarter ended September 30, 2021 activity Costs paid or otherwise settled $ (334) $ (2) $ — $ (336) Balance, September 30, 2021 $ 1,963 $ 99 $ — $ 2,062 Quarter ended September 30, 2020 activity Restructuring charges $ 1,736 $ 164 $ 232 $ 2,132 Costs paid or otherwise settled (1,640) (150) (229) (2,019) Balance, September 30, 2020 $ 1,791 $ 185 $ 89 $ 2,065 Nine months ended September 30, 2021 activity Costs paid or otherwise settled $ (900) $ (55) $ (116) $ (1,071) Balance, September 30, 2021 $ 1,963 $ 99 $ — $ 2,062 Nine months ended September 30, 2020 activity Restructuring charges $ 4,183 $ 299 $ 1,018 $ 5,500 Costs paid or otherwise settled (3,627) (624) (1,088) (5,339) Balance, September 30, 2020 $ 1,791 $ 185 $ 89 $ 2,065 |
INVESTMENT SECURITIES - Unreali
INVESTMENT SECURITIES - Unrealized Gain/Loss on Investment (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
AFS | ||
Amortized cost | $ 950,878 | $ 1,027,338 |
Gross unrealized gains | 31,028 | 45,568 |
Gross unrealized losses | (3,063) | (813) |
Fair value of debt securities available for sale | 978,843 | 1,072,093 |
Residential mortgage-backed securities | ||
AFS | ||
Amortized cost | 33,046 | 50,001 |
Gross unrealized gains | 719 | 1,237 |
Gross unrealized losses | (298) | (192) |
Fair value of debt securities available for sale | 33,467 | 51,046 |
Commercial mortgage-backed securities | ||
AFS | ||
Amortized cost | 40,995 | 43,061 |
Gross unrealized gains | 1,231 | 2,131 |
Gross unrealized losses | (176) | (8) |
Fair value of debt securities available for sale | 42,050 | 45,184 |
Residential collateralized mortgage obligations | ||
AFS | ||
Amortized cost | 182,060 | 228,685 |
Gross unrealized gains | 3,283 | 6,319 |
Gross unrealized losses | (983) | (95) |
Fair value of debt securities available for sale | 184,360 | 234,909 |
Commercial collateralized mortgage obligations | ||
AFS | ||
Amortized cost | 139,202 | 155,645 |
Gross unrealized gains | 2,368 | 3,719 |
Gross unrealized losses | (246) | (181) |
Fair value of debt securities available for sale | 141,324 | 159,183 |
Municipal bonds | ||
AFS | ||
Amortized cost | 513,151 | 533,719 |
Gross unrealized gains | 22,558 | 31,321 |
Gross unrealized losses | (1,308) | (337) |
Fair value of debt securities available for sale | 534,401 | 564,703 |
HTM | ||
Amortized cost | 4,195 | 4,271 |
Gross unrealized gains | 154 | 236 |
Gross unrealized losses | 0 | 0 |
Fair value | 4,349 | 4,507 |
Corporate debt securities | ||
AFS | ||
Amortized cost | 18,990 | 14,381 |
Gross unrealized gains | 859 | 841 |
Gross unrealized losses | 0 | 0 |
Fair value of debt securities available for sale | 19,849 | 15,222 |
U.S. Treasury securities | ||
AFS | ||
Amortized cost | 23,434 | |
Gross unrealized gains | 10 | |
Gross unrealized losses | (52) | |
Fair value of debt securities available for sale | $ 23,392 | |
Agency debentures | ||
AFS | ||
Amortized cost | 1,846 | |
Gross unrealized gains | 0 | |
Gross unrealized losses | 0 | |
Fair value of debt securities available for sale | $ 1,846 |
INVESTMENT SECURITIES - Continu
INVESTMENT SECURITIES - Continuous Unrealized Loss on Investment (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Gross unrealized losses | $ (2,346) | $ (486) |
Less than 12 months, Fair value | 111,712 | 26,711 |
Twelve months or more, Gross unrealized losses | (717) | (327) |
Twelve months or more, Fair value | 18,848 | 16,790 |
Total, Gross unrealized losses | (3,063) | (813) |
Total, Fair value | 130,560 | 43,501 |
Residential mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Gross unrealized losses | (70) | (7) |
Less than 12 months, Fair value | 1,115 | 1,196 |
Twelve months or more, Gross unrealized losses | (228) | (185) |
Twelve months or more, Fair value | 1,322 | 1,432 |
Total, Gross unrealized losses | (298) | (192) |
Total, Fair value | 2,437 | 2,628 |
Commercial mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Gross unrealized losses | (176) | (8) |
Less than 12 months, Fair value | 10,954 | 925 |
Twelve months or more, Gross unrealized losses | 0 | 0 |
Twelve months or more, Fair value | 0 | 0 |
Total, Gross unrealized losses | (176) | (8) |
Total, Fair value | 10,954 | 925 |
Residential collateralized mortgage obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Gross unrealized losses | (701) | (95) |
Less than 12 months, Fair value | 21,942 | 7,391 |
Twelve months or more, Gross unrealized losses | (282) | 0 |
Twelve months or more, Fair value | 7,159 | 0 |
Total, Gross unrealized losses | (983) | (95) |
Total, Fair value | 29,101 | 7,391 |
Commercial collateralized mortgage obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Gross unrealized losses | (184) | (39) |
Less than 12 months, Fair value | 9,875 | 6,687 |
Twelve months or more, Gross unrealized losses | (62) | (142) |
Twelve months or more, Fair value | 1,956 | 15,358 |
Total, Gross unrealized losses | (246) | (181) |
Total, Fair value | 11,831 | 22,045 |
Municipal bonds | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Gross unrealized losses | (1,163) | (337) |
Less than 12 months, Fair value | 49,953 | 10,512 |
Twelve months or more, Gross unrealized losses | (145) | 0 |
Twelve months or more, Fair value | 8,411 | 0 |
Total, Gross unrealized losses | (1,308) | (337) |
Total, Fair value | 58,364 | $ 10,512 |
U.S. Treasury securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Gross unrealized losses | (52) | |
Less than 12 months, Fair value | 17,873 | |
Twelve months or more, Gross unrealized losses | 0 | |
Twelve months or more, Fair value | 0 | |
Total, Gross unrealized losses | (52) | |
Total, Fair value | $ 17,873 |
INVESTMENT SECURITIES - Narrati
INVESTMENT SECURITIES - Narrative (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Debt Securities, Available-for-sale [Line Items] | |||||
Held-to-maturity securities, unrealized loss position | $ 0 | $ 0 | $ 0 | ||
Tax exempt interest income on available-for-sale securities | $ 2,600,000 | $ 2,800,000 | $ 7,600,000 | $ 7,900,000 | |
Mortgage Backed Securities and Collateralized Mortgage Obligations | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Weighted average yield | 1.85% | 1.85% | 1.92% |
INVESTMENT SECURITIES - Weighte
INVESTMENT SECURITIES - Weighted Average Yield (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
AFS | ||
Fair value | $ 978,843 | $ 1,072,093 |
Total | ||
AFS | ||
Due within one year, Fair value | $ 3,826 | $ 4,207 |
Weighted Average Yield, due within one year | 3.78% | 3.24% |
Due in one through five years, Fair value | $ 22,386 | $ 22,037 |
Weighted Average Yield, due after one year through five years | 3.43% | 3.80% |
Due after five years through ten years, Fair value | $ 102,164 | $ 67,476 |
Weighted Average Yield, due after five years through ten years | 3.28% | 3.45% |
Due after 10 years, Fair value | $ 449,266 | $ 488,051 |
Weighted Average Yield, due after ten years | 3.23% | 3.29% |
Fair value | $ 577,642 | $ 581,771 |
Weighted Average Yield, Total | 3.25% | 3.33% |
Municipal bonds | ||
AFS | ||
Due within one year, Fair value | $ 3,826 | $ 4,024 |
Weighted Average Yield, due within one year | 3.78% | 3.19% |
Due in one through five years, Fair value | $ 15,685 | $ 14,978 |
Weighted Average Yield, due after one year through five years | 3.33% | 3.82% |
Due after five years through ten years, Fair value | $ 65,624 | $ 59,496 |
Weighted Average Yield, due after five years through ten years | 3.68% | 3.26% |
Due after 10 years, Fair value | $ 449,266 | $ 486,205 |
Weighted Average Yield, due after ten years | 3.23% | 3.29% |
Fair value | $ 534,401 | $ 564,703 |
Weighted Average Yield, Total | 3.29% | 3.30% |
HTM | ||
Due within one year, Fair value | $ 1,034 | $ 0 |
Weighted Average Yield, due within one year | 2.50% | 0.00% |
Due in one through five years, Fair value | $ 3,315 | $ 4,507 |
Weighted Average Yield, due after one year through five years | 2.40% | 2.47% |
Due after five years through ten years, Fair value | $ 0 | $ 0 |
Weighted Average Yield, due after five years through ten years | 0.00% | 0.00% |
Due after ten years, Fair value | $ 0 | $ 0 |
Weighted Average Yield, due after ten years | 0.00% | 0.00% |
Fair Value | $ 4,349 | $ 4,507 |
Weighted Average Yield, Total | 2.43% | 2.47% |
Corporate debt securities | ||
AFS | ||
Due within one year, Fair value | $ 0 | $ 183 |
Weighted Average Yield, due within one year | 0.00% | 4.27% |
Due in one through five years, Fair value | $ 6,701 | $ 7,059 |
Weighted Average Yield, due after one year through five years | 3.64% | 3.74% |
Due after five years through ten years, Fair value | $ 13,148 | $ 7,980 |
Weighted Average Yield, due after five years through ten years | 5.06% | 4.78% |
Due after 10 years, Fair value | $ 0 | $ 0 |
Weighted Average Yield, due after ten years | 0.00% | 0.00% |
Fair value | $ 19,849 | $ 15,222 |
Weighted Average Yield, Total | 4.58% | 4.30% |
U.S. Treasury securities | ||
AFS | ||
Due within one year, Fair value | $ 0 | |
Weighted Average Yield, due within one year | 0.00% | |
Due in one through five years, Fair value | $ 0 | |
Weighted Average Yield, due after one year through five years | 0.00% | |
Due after five years through ten years, Fair value | $ 23,392 | |
Weighted Average Yield, due after five years through ten years | 1.28% | |
Due after 10 years, Fair value | $ 0 | |
Weighted Average Yield, due after ten years | 0.00% | |
Fair value | $ 23,392 | |
Weighted Average Yield, Total | 1.28% | |
Agency debentures | ||
AFS | ||
Due within one year, Fair value | $ 0 | |
Weighted Average Yield, due within one year | 0.00% | |
Due in one through five years, Fair value | $ 0 | |
Weighted Average Yield, due after one year through five years | 0.00% | |
Due after five years through ten years, Fair value | $ 0 | |
Weighted Average Yield, due after five years through ten years | 0.00% | |
Due after 10 years, Fair value | $ 1,846 | |
Weighted Average Yield, due after ten years | 2.68% | |
Fair value | $ 1,846 | |
Weighted Average Yield, Total | 2.68% |
INVESTMENT SECURITIES - Realize
INVESTMENT SECURITIES - Realized Gain/Loss on Investment (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Proceeds | $ 0 | $ 2,872 | $ 28,187 | $ 58,487 |
Gross gains | 0 | 0 | 288 | 1,289 |
Gross losses | $ 0 | $ (15) | $ (226) | $ (973) |
INVESTMENT SECURITIES - Pledged
INVESTMENT SECURITIES - Pledged to Secure Borrowings And Public Deposits (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Investments, Debt and Equity Securities [Abstract] | ||
Washington, Oregon and California State to secure public deposits | $ 176,003 | $ 171,471 |
Other securities pledged | 5,608 | 3,391 |
Total securities pledged as collateral | $ 181,611 | $ 174,862 |
LOANS AND CREDIT QUALITY - Narr
LOANS AND CREDIT QUALITY - Narrative (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021USD ($)loan | Sep. 30, 2020USD ($) | Sep. 30, 2021USD ($)loanportfolioSegment | Sep. 30, 2020USD ($) | Dec. 31, 2020USD ($) | |
Financing Receivable, Impaired [Line Items] | |||||
Number of portfolio segments | portfolioSegment | 2 | ||||
Recovery of allowance for credit losses | $ (5,000) | $ 0 | $ (9,000) | $ 20,469 | |
Allowance for unfunded commitments | 2,500 | 2,500 | $ 1,600 | ||
Accrued interest receivable | 18,100 | $ 18,100 | $ 21,200 | ||
Number of days past due for consumer loans TDR to be re-default | 60 days | ||||
Number of days past due for commercial loans TDR to be re-default | 90 days | ||||
Loans granted forbearance, outstanding balance | $ 43,000 | $ 43,000 | |||
Number of loans granted forbearance | loan | 100 | 100 | |||
Commercial business | |||||
Financing Receivable, Impaired [Line Items] | |||||
Loans granted forbearance, outstanding balance | $ 18,000 | $ 18,000 | |||
Consumer Loan | |||||
Financing Receivable, Impaired [Line Items] | |||||
Loans granted forbearance, outstanding balance | $ 25,000 | $ 25,000 | |||
California | Multifamily | |||||
Financing Receivable, Impaired [Line Items] | |||||
Percentage of loan portfolio | 29.00% | 29.00% | 19.00% | ||
Federal Home Loan Bank Advances | |||||
Financing Receivable, Impaired [Line Items] | |||||
Loans pledged as collateral | $ 1,700,000 | $ 1,700,000 | $ 1,400,000 | ||
Federal Reserve Bank Advances | |||||
Financing Receivable, Impaired [Line Items] | |||||
Loans pledged as collateral | $ 430,000 | $ 430,000 | $ 569,000 |
LOANS AND CREDIT QUALITY - Loan
LOANS AND CREDIT QUALITY - Loans Held for Investment (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Jun. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Dec. 31, 2019 |
Loans held for investment | ||||||
Total LHFI | $ 5,354,257 | $ 5,244,180 | ||||
Allowance for credit losses | (54,516) | $ (59,897) | (64,294) | $ (64,892) | $ (65,000) | $ (41,772) |
Loans held for investment | 5,299,741 | 5,179,886 | ||||
Recurring | ||||||
Loans held for investment | ||||||
Fair value of loans held for investment | 4,507 | 7,108 | ||||
Recurring | Level 3 | ||||||
Loans held for investment | ||||||
Fair value of loans held for investment | 4,507 | 7,108 | ||||
Commercial loans | ||||||
Loans held for investment | ||||||
Total LHFI | 4,244,615 | 3,924,304 | ||||
Commercial loans | Real Estate Sector | ||||||
Loans held for investment | ||||||
Total LHFI | 3,358,509 | 2,811,325 | ||||
Allowance for credit losses | (23,841) | (25,544) | (27,935) | (28,136) | (24,347) | (22,535) |
Commercial loans | Commercial and Industrial Sector | ||||||
Loans held for investment | ||||||
Total LHFI | 886,106 | 1,112,979 | ||||
Allowance for credit losses | (19,758) | (21,392) | (22,037) | (24,032) | (21,457) | (6,554) |
Commercial loans | Non-owner occupied commercial real estate | ||||||
Loans held for investment | ||||||
Total LHFI | 754,031 | 829,538 | ||||
Allowance for credit losses | (9,636) | (9,077) | (8,845) | (8,923) | (7,325) | (7,245) |
Commercial loans | Multifamily | ||||||
Loans held for investment | ||||||
Total LHFI | 2,090,156 | 1,428,092 | ||||
Allowance for credit losses | (5,457) | (7,245) | (6,072) | (4,871) | (5,387) | (7,015) |
Commercial loans | Construction/land development | ||||||
Loans held for investment | ||||||
Total LHFI | 514,322 | 553,695 | ||||
Commercial loans | Owner occupied commercial real estate | ||||||
Loans held for investment | ||||||
Total LHFI | 450,350 | 467,256 | ||||
Allowance for credit losses | (5,285) | (5,518) | (4,994) | (5,688) | (5,641) | (3,639) |
Commercial loans | Commercial business | ||||||
Loans held for investment | ||||||
Total LHFI | 435,756 | 645,723 | ||||
Allowance for credit losses | (14,473) | (15,874) | (17,043) | (18,344) | (15,816) | (2,915) |
Consumer loans | ||||||
Loans held for investment | ||||||
Total LHFI | 1,109,642 | 1,319,876 | ||||
Allowance for credit losses | (10,917) | (12,961) | (14,322) | (12,724) | (19,196) | (12,683) |
Consumer loans | Single family | ||||||
Loans held for investment | ||||||
Total LHFI | 793,927 | 915,123 | ||||
Allowance for credit losses | (5,757) | (7,163) | (6,906) | (6,720) | (8,070) | (6,450) |
Consumer loans | Home equity and other | ||||||
Loans held for investment | ||||||
Total LHFI | 315,715 | 404,753 | ||||
Allowance for credit losses | $ (5,160) | $ (5,798) | $ (7,416) | $ (6,004) | $ (11,126) | $ (6,233) |
LOANS AND CREDIT QUALITY - Allo
LOANS AND CREDIT QUALITY - Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Accounting Standards Update [Extensible List] | Accounting Standards Update 2016-13 [Member] | Accounting Standards Update 2016-13 [Member] | ||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | $ 59,897 | $ 65,000 | $ 64,294 | $ 41,772 |
Provision for credit losses | (5,348) | 273 | (9,864) | 21,633 |
Net (charge-offs) recoveries | (33) | (381) | 86 | (356) |
Impact of ASC 326 adoption | 54,516 | 64,892 | 54,516 | 64,892 |
Ending balance | 54,516 | 64,892 | 54,516 | 64,892 |
Allowance for unfunded commitments: | ||||
Beginning balance | 2,104 | 2,071 | 1,588 | 1,065 |
Provision for credit losses | 348 | (273) | 864 | (1,164) |
Impact of ASC 326 adoption | 2,452 | 1,798 | 2,452 | 1,798 |
Ending balance | 2,452 | 1,798 | 2,452 | 1,798 |
Total | $ (5,000) | $ 0 | $ (9,000) | 20,469 |
Cumulative Effect, Period of Adoption, Adjustment | ||||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 1,843 | |||
Impact of ASC 326 adoption | ||||
Allowance for unfunded commitments: | ||||
Beginning balance | $ 1,897 | |||
Impact of ASC 326 adoption |
LOANS AND CREDIT QUALITY - Acti
LOANS AND CREDIT QUALITY - Activity in Allowance for Credit Losses by Loan Portfolio (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Accounting Standards Update [Extensible List] | Accounting Standards Update 2016-13 [Member] | Accounting Standards Update 2016-13 [Member] | ||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | $ 59,897 | $ 65,000 | $ 64,294 | $ 41,772 |
Impact of ASC 326 adoption | 54,516 | 64,892 | 54,516 | 64,892 |
Charge-offs | (470) | (489) | (675) | (938) |
Recoveries | 437 | 108 | 761 | 582 |
Provision | (5,348) | 273 | (9,864) | 21,633 |
Ending balance | 54,516 | 64,892 | 54,516 | 64,892 |
Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 1,843 | |||
Impact of ASC 326 adoption | ||||
Commercial loans | Real Estate Sector | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 25,544 | 24,347 | 27,935 | 22,535 |
Impact of ASC 326 adoption | 23,841 | 28,136 | 23,841 | 28,136 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 163 |
Provision | (1,703) | 3,789 | (4,094) | 6,749 |
Ending balance | 23,841 | 28,136 | 23,841 | 28,136 |
Commercial loans | Real Estate Sector | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | (1,311) | |||
Impact of ASC 326 adoption | ||||
Commercial loans | Commercial and Industrial Sector | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 21,392 | 21,457 | 22,037 | 6,554 |
Impact of ASC 326 adoption | 19,758 | 24,032 | 19,758 | 24,032 |
Charge-offs | (116) | (447) | (116) | (590) |
Recoveries | 24 | 24 | 122 | 72 |
Provision | (1,542) | 2,998 | (2,285) | 19,945 |
Ending balance | 19,758 | 24,032 | 19,758 | 24,032 |
Commercial loans | Commercial and Industrial Sector | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | (1,949) | |||
Impact of ASC 326 adoption | ||||
Commercial loans | Non-owner occupied commercial real estate | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 9,077 | 7,325 | 8,845 | 7,245 |
Impact of ASC 326 adoption | 9,636 | 8,923 | 9,636 | 8,923 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provision | 559 | 1,598 | 791 | 5,070 |
Ending balance | 9,636 | 8,923 | 9,636 | 8,923 |
Commercial loans | Non-owner occupied commercial real estate | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | (3,392) | |||
Impact of ASC 326 adoption | ||||
Commercial loans | Multifamily | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 7,245 | 5,387 | 6,072 | 7,015 |
Impact of ASC 326 adoption | 5,457 | 4,871 | 5,457 | 4,871 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provision | (1,788) | (516) | (615) | 833 |
Ending balance | 5,457 | 4,871 | 5,457 | 4,871 |
Commercial loans | Multifamily | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | (2,977) | |||
Impact of ASC 326 adoption | ||||
Commercial loans | Multifamily construction | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 500 | 3,811 | 4,903 | 2,848 |
Impact of ASC 326 adoption | 1,044 | 5,920 | 1,044 | 5,920 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provision | 544 | 2,109 | (3,859) | 2,379 |
Ending balance | 1,044 | 5,920 | 1,044 | 5,920 |
Commercial loans | Multifamily construction | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 693 | |||
Impact of ASC 326 adoption | ||||
Commercial loans | Commercial real estate construction | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 2,022 | 440 | 1,670 | 624 |
Impact of ASC 326 adoption | 351 | 1,709 | 351 | 1,709 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provision | (1,671) | 1,269 | (1,319) | 1,200 |
Ending balance | 351 | 1,709 | 351 | 1,709 |
Commercial loans | Commercial real estate construction | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | (115) | |||
Impact of ASC 326 adoption | ||||
Commercial loans | Single family construction | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 5,653 | 5,869 | 5,130 | 3,800 |
Impact of ASC 326 adoption | 6,291 | 5,507 | 6,291 | 5,507 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 163 | |
Provision | 638 | (362) | 1,161 | (2,736) |
Ending balance | 6,291 | 5,507 | 6,291 | 5,507 |
Commercial loans | Single family construction | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 4,280 | |||
Impact of ASC 326 adoption | ||||
Commercial loans | Single family construction to permanent | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 1,047 | 1,515 | 1,315 | 1,003 |
Impact of ASC 326 adoption | 1,062 | 1,206 | 1,062 | 1,206 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provision | 15 | (309) | (253) | 3 |
Ending balance | 1,062 | 1,206 | 1,062 | 1,206 |
Commercial loans | Single family construction to permanent | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 200 | |||
Impact of ASC 326 adoption | ||||
Commercial loans | Owner occupied commercial real estate | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 5,518 | 5,641 | 4,994 | 3,639 |
Impact of ASC 326 adoption | 5,285 | 5,688 | 5,285 | 5,688 |
Charge-offs | 0 | 0 | 0 | |
Recoveries | 0 | 0 | 0 | 0 |
Provision | (233) | 47 | 291 | 4,508 |
Ending balance | 5,285 | 5,688 | 5,285 | 5,688 |
Commercial loans | Owner occupied commercial real estate | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | (2,459) | |||
Impact of ASC 326 adoption | ||||
Commercial loans | Commercial business | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 15,874 | 15,816 | 17,043 | 2,915 |
Impact of ASC 326 adoption | 14,473 | 18,344 | 14,473 | 18,344 |
Charge-offs | (116) | (447) | (116) | (590) |
Recoveries | 24 | 24 | 122 | 72 |
Provision | (1,309) | 2,951 | (2,576) | 15,437 |
Ending balance | 14,473 | 18,344 | 14,473 | 18,344 |
Commercial loans | Commercial business | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 510 | |||
Impact of ASC 326 adoption | ||||
Consumer loans | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 12,961 | 19,196 | 14,322 | 12,683 |
Impact of ASC 326 adoption | 10,917 | 12,724 | 10,917 | 12,724 |
Charge-offs | (354) | (42) | (559) | (348) |
Recoveries | 413 | 84 | 639 | 347 |
Provision | (2,103) | (6,514) | (3,485) | (5,061) |
Ending balance | 10,917 | 12,724 | 10,917 | 12,724 |
Consumer loans | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 5,103 | |||
Impact of ASC 326 adoption | ||||
Consumer loans | Single family | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 7,163 | 8,070 | 6,906 | 6,450 |
Impact of ASC 326 adoption | 5,757 | 6,720 | 5,757 | 6,720 |
Charge-offs | (13) | (3) | (127) | (3) |
Recoveries | 33 | 2 | 155 | 56 |
Provision | (1,426) | (1,349) | (1,177) | (251) |
Ending balance | 5,757 | 6,720 | 5,757 | 6,720 |
Consumer loans | Single family | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 468 | |||
Impact of ASC 326 adoption | ||||
Consumer loans | Home equity and other | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | 5,798 | 11,126 | 7,416 | 6,233 |
Impact of ASC 326 adoption | 5,160 | 6,004 | 5,160 | 6,004 |
Charge-offs | (341) | (39) | (432) | (345) |
Recoveries | 380 | 82 | 484 | 291 |
Provision | (677) | (5,165) | (2,308) | (4,810) |
Ending balance | $ 5,160 | $ 6,004 | $ 5,160 | 6,004 |
Consumer loans | Home equity and other | Cumulative Effect, Period of Adoption, Adjustment | ||||
Allowance for credit losses by loan portfolio | ||||
Beginning balance | $ 4,635 | |||
Impact of ASC 326 adoption |
LOANS AND CREDIT QUALITY - Lo_2
LOANS AND CREDIT QUALITY - Loans Credit Quality by Year and Type (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | $ 1,547,833 | $ 1,537,105 |
Financing receivable, year two | 1,005,273 | 915,913 |
Financing receivable, year three | 740,223 | 625,936 |
Financing receivable, year four | 381,498 | 509,224 |
Financing receivable, year five | 382,896 | 537,197 |
Financing receivable, prior to year five | 784,920 | 546,101 |
Revolving | 498,796 | 556,217 |
Revolving-term | 12,818 | 16,487 |
Total | 5,354,257 | 5,244,180 |
Recurring | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Fair value of loans held for investment | 4,507 | 7,108 |
Level 3 | Recurring | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Fair value of loans held for investment | 4,507 | 7,108 |
30-59 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 1,554 | 2,389 |
60-89 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 1,202 | 553 |
90+ days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 8,361 | 11,476 |
Commercial loans | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 1,406,915 | 1,359,311 |
Financing receivable, year two | 841,738 | 802,591 |
Financing receivable, year three | 661,597 | 469,463 |
Financing receivable, year four | 296,263 | 338,745 |
Financing receivable, year five | 273,148 | 477,330 |
Financing receivable, prior to year five | 562,274 | 297,122 |
Revolving | 196,235 | 171,433 |
Revolving-term | 6,445 | 8,309 |
Total | 4,244,615 | 3,924,304 |
Commercial loans | Non-owner occupied commercial real estate | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 35,832 | 53,782 |
Financing receivable, year two | 50,863 | 176,556 |
Financing receivable, year three | 172,296 | 165,268 |
Financing receivable, year four | 133,472 | 147,719 |
Financing receivable, year five | 132,238 | 150,221 |
Financing receivable, prior to year five | 227,226 | 134,165 |
Revolving | 1,189 | 796 |
Revolving-term | 915 | 1,031 |
Total | 754,031 | 829,538 |
Commercial loans | Non-owner occupied commercial real estate | 1-6 Pass | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 35,832 | 53,782 |
Financing receivable, year two | 50,863 | 176,556 |
Financing receivable, year three | 172,296 | 165,268 |
Financing receivable, year four | 133,472 | 147,719 |
Financing receivable, year five | 132,238 | 150,221 |
Financing receivable, prior to year five | 225,012 | 131,935 |
Revolving | 1,189 | 796 |
Revolving-term | 915 | 1,031 |
Total | 751,817 | 827,308 |
Commercial loans | Non-owner occupied commercial real estate | 7- Special Mention | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 2,214 | 2,230 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 2,214 | 2,230 |
Commercial loans | Non-owner occupied commercial real estate | 8 - Substandard | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 0 | 0 |
Commercial loans | Multifamily | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 972,806 | 711,009 |
Financing receivable, year two | 557,201 | 324,246 |
Financing receivable, year three | 289,164 | 100,572 |
Financing receivable, year four | 65,618 | 32,693 |
Financing receivable, year five | 29,218 | 166,937 |
Financing receivable, prior to year five | 176,093 | 92,255 |
Revolving | 56 | 380 |
Revolving-term | 0 | 0 |
Total | 2,090,156 | 1,428,092 |
Commercial loans | Multifamily | 1-6 Pass | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 972,806 | 711,009 |
Financing receivable, year two | 557,201 | 324,246 |
Financing receivable, year three | 289,164 | 100,572 |
Financing receivable, year four | 65,618 | 32,693 |
Financing receivable, year five | 29,218 | 166,937 |
Financing receivable, prior to year five | 176,093 | 92,255 |
Revolving | 56 | 380 |
Revolving-term | 0 | 0 |
Total | 2,090,156 | 1,428,092 |
Commercial loans | Multifamily | 7- Special Mention | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 0 | 0 |
Commercial loans | Multifamily | 8 - Substandard | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 0 | 0 |
Commercial loans | Multifamily construction | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 4,194 | 12,182 |
Financing receivable, year two | 25,363 | 21,366 |
Financing receivable, year three | 20,748 | 45,256 |
Financing receivable, year four | 0 | 11,823 |
Financing receivable, year five | 0 | 24,702 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 50,305 | 115,329 |
Commercial loans | Multifamily construction | 1-6 Pass | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 4,194 | 12,182 |
Financing receivable, year two | 25,363 | 21,366 |
Financing receivable, year three | 20,748 | 45,256 |
Financing receivable, year four | 0 | 11,823 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 50,305 | 90,627 |
Commercial loans | Multifamily construction | 7- Special Mention | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 24,702 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 0 | 24,702 |
Commercial loans | Multifamily construction | 8 - Substandard | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 0 | 0 |
Commercial loans | Commercial real estate construction | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 2,712 | 3,963 |
Financing receivable, year two | 3,961 | 0 |
Financing receivable, year three | 0 | 2,104 |
Financing receivable, year four | 1,998 | 14,721 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 563 | 614 |
Revolving | 8,672 | 5,883 |
Revolving-term | 0 | 0 |
Total | 17,906 | 27,285 |
Commercial loans | Commercial real estate construction | 1-6 Pass | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 2,712 | 3,963 |
Financing receivable, year two | 3,961 | 0 |
Financing receivable, year three | 0 | 2,104 |
Financing receivable, year four | 1,998 | 14,721 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 563 | 614 |
Revolving | 8,672 | 5,883 |
Revolving-term | 0 | 0 |
Total | 17,906 | 27,285 |
Commercial loans | Commercial real estate construction | 7- Special Mention | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 0 | 0 |
Commercial loans | Commercial real estate construction | 8 - Substandard | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 0 | 0 |
Commercial loans | Single family construction | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 151,418 | 121,233 |
Financing receivable, year two | 42,188 | 47,539 |
Financing receivable, year three | 17,677 | 14,055 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 78 | 600 |
Revolving | 91,915 | 75,743 |
Revolving-term | 0 | 0 |
Total | 303,276 | 259,170 |
Commercial loans | Single family construction | 1-6 Pass | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 151,418 | 121,233 |
Financing receivable, year two | 42,188 | 47,539 |
Financing receivable, year three | 17,677 | 14,055 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 78 | 600 |
Revolving | 91,915 | 75,743 |
Revolving-term | 0 | 0 |
Total | 303,276 | 259,170 |
Commercial loans | Single family construction | 7- Special Mention | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 0 | 0 |
Commercial loans | Single family construction | 8 - Substandard | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 0 | 0 |
Commercial loans | Single family construction to permanent, adjusted for credit analysis | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 62,456 | 62,955 |
Financing receivable, year two | 55,561 | 72,825 |
Financing receivable, year three | 21,067 | 15,443 |
Financing receivable, year four | 3,751 | 688 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 142,835 | 151,911 |
Commercial loans | Single family construction to permanent, adjusted for credit analysis | Current | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 62,456 | 62,955 |
Financing receivable, year two | 55,561 | 72,825 |
Financing receivable, year three | 21,067 | 15,443 |
Financing receivable, year four | 3,751 | 688 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 142,835 | 151,911 |
Commercial loans | Single family construction to permanent, adjusted for credit analysis | 30-59 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 0 | 0 |
Commercial loans | Single family construction to permanent, adjusted for credit analysis | 60-89 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 0 | 0 |
Commercial loans | Single family construction to permanent, adjusted for credit analysis | 90+ days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 0 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 0 | 0 |
Commercial loans | Owner occupied commercial real estate | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 45,688 | 48,647 |
Financing receivable, year two | 47,907 | 80,279 |
Financing receivable, year three | 78,204 | 65,670 |
Financing receivable, year four | 53,901 | 99,554 |
Financing receivable, year five | 88,842 | 115,168 |
Financing receivable, prior to year five | 132,318 | 53,515 |
Revolving | 549 | 0 |
Revolving-term | 2,941 | 4,423 |
Total | 450,350 | 467,256 |
Commercial loans | Owner occupied commercial real estate | 1-6 Pass | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 45,688 | 48,647 |
Financing receivable, year two | 47,907 | 60,872 |
Financing receivable, year three | 59,378 | 58,582 |
Financing receivable, year four | 50,584 | 85,275 |
Financing receivable, year five | 72,188 | 98,046 |
Financing receivable, prior to year five | 113,575 | 50,596 |
Revolving | 549 | 0 |
Revolving-term | 2,878 | 4,354 |
Total | 392,747 | 406,372 |
Commercial loans | Owner occupied commercial real estate | 7- Special Mention | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 5,977 |
Financing receivable, year four | 2,206 | 3,529 |
Financing receivable, year five | 6,063 | 0 |
Financing receivable, prior to year five | 212 | 0 |
Revolving | 0 | 0 |
Revolving-term | 63 | 69 |
Total | 8,544 | 9,575 |
Commercial loans | Owner occupied commercial real estate | 8 - Substandard | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 19,407 |
Financing receivable, year three | 18,826 | 1,111 |
Financing receivable, year four | 1,111 | 10,750 |
Financing receivable, year five | 10,591 | 17,122 |
Financing receivable, prior to year five | 18,531 | 2,919 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 49,059 | 51,309 |
Commercial loans | Commercial business | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 131,809 | 345,540 |
Financing receivable, year two | 58,694 | 79,780 |
Financing receivable, year three | 62,441 | 61,095 |
Financing receivable, year four | 37,523 | 31,547 |
Financing receivable, year five | 22,850 | 20,302 |
Financing receivable, prior to year five | 25,996 | 15,973 |
Revolving | 93,854 | 88,631 |
Revolving-term | 2,589 | 2,855 |
Total | 435,756 | 645,723 |
Commercial loans | Commercial business | 1-6 Pass | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 128,807 | 345,540 |
Financing receivable, year two | 58,648 | 63,020 |
Financing receivable, year three | 49,889 | 47,710 |
Financing receivable, year four | 27,876 | 22,556 |
Financing receivable, year five | 16,780 | 18,411 |
Financing receivable, prior to year five | 23,331 | 14,972 |
Revolving | 88,636 | 76,218 |
Revolving-term | 2,341 | 2,577 |
Total | 396,308 | 591,004 |
Commercial loans | Commercial business | 7- Special Mention | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 10,837 |
Financing receivable, year three | 9,145 | 2,058 |
Financing receivable, year four | 1,518 | 6,653 |
Financing receivable, year five | 4,503 | 0 |
Financing receivable, prior to year five | 57 | 0 |
Revolving | 5,500 | 3,975 |
Revolving-term | 142 | 166 |
Total | 20,865 | 23,689 |
Commercial loans | Commercial business | 8 - Substandard | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 3,002 | 0 |
Financing receivable, year two | 46 | 5,923 |
Financing receivable, year three | 3,407 | 11,327 |
Financing receivable, year four | 8,129 | 2,338 |
Financing receivable, year five | 1,567 | 1,891 |
Financing receivable, prior to year five | 2,608 | 1,001 |
Revolving | (282) | 8,438 |
Revolving-term | 106 | 112 |
Total | 18,583 | 31,030 |
Consumer loans | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 1,109,642 | 1,319,876 |
Consumer loans | Single family | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 139,731 | 175,818 |
Financing receivable, year two | 162,824 | 112,048 |
Financing receivable, year three | 78,130 | 155,162 |
Financing receivable, year four | 84,628 | 169,116 |
Financing receivable, year five | 109,211 | 59,161 |
Financing receivable, prior to year five | 219,403 | 243,818 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 793,927 | 915,123 |
Consumer loans | Single family | Current | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 139,731 | 174,994 |
Financing receivable, year two | 162,824 | 111,143 |
Financing receivable, year three | 78,130 | 154,757 |
Financing receivable, year four | 83,770 | 168,412 |
Financing receivable, year five | 108,684 | 59,161 |
Financing receivable, prior to year five | 217,957 | 242,444 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 791,096 | 910,911 |
Consumer loans | Single family | 30-59 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 570 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 318 |
Financing receivable, year five | 212 | 0 |
Financing receivable, prior to year five | 766 | 390 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 978 | 1,278 |
Consumer loans | Single family | 60-89 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 0 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 315 | 0 |
Financing receivable, prior to year five | 277 | 0 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 592 | 0 |
Consumer loans | Single family | 90+ days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 824 |
Financing receivable, year two | 0 | 335 |
Financing receivable, year three | 0 | 405 |
Financing receivable, year four | 858 | 386 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 403 | 984 |
Revolving | 0 | 0 |
Revolving-term | 0 | 0 |
Total | 1,261 | 2,934 |
Consumer loans | Home equity and other | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 315,715 | 404,753 |
Consumer loans, adjusted for credit analysis | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 140,918 | 177,794 |
Financing receivable, year two | 163,535 | 113,322 |
Financing receivable, year three | 78,626 | 156,473 |
Financing receivable, year four | 85,235 | 170,479 |
Financing receivable, year five | 109,748 | 59,867 |
Financing receivable, prior to year five | 222,646 | 248,979 |
Revolving | 302,561 | 384,784 |
Revolving-term | 6,373 | 8,178 |
Total | 1,109,642 | 1,319,876 |
Consumer loans, adjusted for credit analysis | 30-59 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 1,554 | 2,389 |
Consumer loans, adjusted for credit analysis | 60-89 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 1,202 | 553 |
Consumer loans, adjusted for credit analysis | 90+ days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 8,361 | 11,476 |
Consumer loans, adjusted for credit analysis | Single family | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 793,927 | 915,123 |
Consumer loans, adjusted for credit analysis | Single family | 30-59 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 1,294 | 2,161 |
Consumer loans, adjusted for credit analysis | Single family | 60-89 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 1,198 | 418 |
Consumer loans, adjusted for credit analysis | Single family | 90+ days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 8,361 | 11,476 |
Consumer loans, adjusted for credit analysis | Home equity, adjusted for credit analysis | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 1,187 | 1,976 |
Financing receivable, year two | 711 | 1,274 |
Financing receivable, year three | 496 | 1,311 |
Financing receivable, year four | 607 | 1,363 |
Financing receivable, year five | 537 | 706 |
Financing receivable, prior to year five | 3,243 | 5,161 |
Revolving | 302,561 | 384,784 |
Revolving-term | 6,373 | 8,178 |
Total | 315,715 | 404,753 |
Consumer loans, adjusted for credit analysis | Home equity, adjusted for credit analysis | Current | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 1,184 | 1,878 |
Financing receivable, year two | 707 | 1,230 |
Financing receivable, year three | 496 | 1,311 |
Financing receivable, year four | 607 | 1,363 |
Financing receivable, year five | 537 | 431 |
Financing receivable, prior to year five | 2,930 | 5,126 |
Revolving | 301,977 | 384,005 |
Revolving-term | 6,373 | 8,147 |
Total | 314,811 | 403,491 |
Consumer loans, adjusted for credit analysis | Home equity, adjusted for credit analysis | 30-59 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 98 |
Financing receivable, year two | 2 | 22 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 248 | 11 |
Revolving | 183 | 66 |
Revolving-term | 0 | 31 |
Total | 433 | 228 |
Consumer loans, adjusted for credit analysis | Home equity, adjusted for credit analysis | 60-89 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 3 | 0 |
Financing receivable, year two | 2 | 13 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 0 |
Financing receivable, prior to year five | 1 | 0 |
Revolving | 0 | 129 |
Revolving-term | 0 | 0 |
Total | 6 | 142 |
Consumer loans, adjusted for credit analysis | Home equity, adjusted for credit analysis | 90+ days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Financing receivable, year one | 0 | 0 |
Financing receivable, year two | 0 | 9 |
Financing receivable, year three | 0 | 0 |
Financing receivable, year four | 0 | 0 |
Financing receivable, year five | 0 | 275 |
Financing receivable, prior to year five | 64 | 24 |
Revolving | 401 | 584 |
Revolving-term | 0 | 0 |
Total | 465 | 892 |
Consumer loans, adjusted for credit analysis | Home equity and other | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 315,715 | 404,753 |
Consumer loans, adjusted for credit analysis | Home equity and other | 30-59 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 260 | 228 |
Consumer loans, adjusted for credit analysis | Home equity and other | 60-89 days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 4 | 135 |
Consumer loans, adjusted for credit analysis | Home equity and other | 90+ days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | $ 0 | $ 0 |
LOANS AND CREDIT QUALITY - Coll
LOANS AND CREDIT QUALITY - Collateral Dependent Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | $ 5,354,257 | $ 5,244,180 |
Commercial loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 4,244,615 | 3,924,304 |
Commercial loans | Commercial and Industrial Sector | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 886,106 | 1,112,979 |
Commercial loans | Owner occupied commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 450,350 | 467,256 |
Commercial loans | Commercial business | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 435,756 | 645,723 |
Consumer loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 1,109,642 | 1,319,876 |
Consumer loans | Single family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 793,927 | 915,123 |
Consumer loans | Home equity and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 315,715 | 404,753 |
Total | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 10,822 | 12,593 |
Total | Commercial loans | Commercial and Industrial Sector | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 6,942 | 10,136 |
Total | Commercial loans | Owner occupied commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 3,874 | 4,922 |
Total | Commercial loans | Commercial business | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 3,068 | 5,214 |
Total | Consumer loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 3,880 | 2,457 |
Total | Consumer loans | Single family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 2,957 | 2,457 |
Total | Consumer loans | Home equity and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 923 | |
Land | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 1,498 | 3,576 |
Land | Commercial loans | Commercial and Industrial Sector | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 1,498 | 3,576 |
Land | Commercial loans | Owner occupied commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 1,111 | 1,789 |
Land | Commercial loans | Commercial business | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 387 | 1,787 |
Land | Consumer loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | 0 |
Land | Consumer loans | Single family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | 0 |
Land | Consumer loans | Home equity and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | |
1-4 Family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 3,880 | 3,002 |
1-4 Family | Commercial loans | Commercial and Industrial Sector | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | 545 |
1-4 Family | Commercial loans | Owner occupied commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | 0 |
1-4 Family | Commercial loans | Commercial business | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | 545 |
1-4 Family | Consumer loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 3,880 | 2,457 |
1-4 Family | Consumer loans | Single family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 2,957 | 2,457 |
1-4 Family | Consumer loans | Home equity and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 923 | |
Non-residential real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 2,763 | 3,133 |
Non-residential real estate | Commercial loans | Commercial and Industrial Sector | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 2,763 | 3,133 |
Non-residential real estate | Commercial loans | Owner occupied commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 2,763 | 3,133 |
Non-residential real estate | Commercial loans | Commercial business | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | 0 |
Non-residential real estate | Consumer loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | 0 |
Non-residential real estate | Consumer loans | Single family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | 0 |
Non-residential real estate | Consumer loans | Home equity and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | |
Other non-real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 2,681 | 2,882 |
Other non-real estate | Commercial loans | Commercial and Industrial Sector | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 2,681 | 2,882 |
Other non-real estate | Commercial loans | Owner occupied commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | 0 |
Other non-real estate | Commercial loans | Commercial business | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 2,681 | 2,882 |
Other non-real estate | Consumer loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | 0 |
Other non-real estate | Consumer loans | Single family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | 0 | $ 0 |
Other non-real estate | Consumer loans | Home equity and other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total LHFI | $ 0 |
LOANS AND CREDIT QUALITY - Lo_3
LOANS AND CREDIT QUALITY - Loans on Nonaccrual with no related allowance (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with no related ACL | $ 9,069 | $ 10,197 |
Nonaccrual | 17,712 | 20,722 |
Commercial loans | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with no related ACL | 5,234 | 8,022 |
Nonaccrual | 11,123 | 14,105 |
Commercial loans | Owner occupied commercial real estate | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with no related ACL | 3,874 | 4,922 |
Nonaccrual | 3,874 | 4,922 |
Commercial loans | Commercial business | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with no related ACL | 1,360 | 3,100 |
Nonaccrual | 7,249 | 9,183 |
Consumer loans | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with no related ACL | 3,835 | 2,175 |
Nonaccrual | 6,589 | 6,617 |
Consumer loans | Single family | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with no related ACL | 2,907 | 2,173 |
Nonaccrual | 4,602 | 4,883 |
Consumer loans | Home equity, adjusted for credit analysis | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with no related ACL | 928 | 2 |
Nonaccrual | $ 1,987 | $ 1,734 |
LOANS AND CREDIT QUALITY - Agin
LOANS AND CREDIT QUALITY - Aging Analysis (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | $ 5,354,257 | $ 5,244,180 |
Nonaccrual | 17,712 | 20,722 |
Total past due and nonaccrual | $ 28,829 | $ 35,140 |
Nonaccrual, percent of total loans | 0.33% | 0.40% |
Past due and nonaccrual, percent of total loans | 0.54% | 0.67% |
Percent of total loans | 100.00% | 100.00% |
Federal Housing Administration, Veteran Affairs, Or Small Business Administration | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due and nonaccrual | $ 10,800 | $ 14,700 |
Recurring | ||
Financing Receivable, Past Due [Line Items] | ||
Fair value of loans held for investment | 4,507 | 7,108 |
Level 3 | Recurring | ||
Financing Receivable, Past Due [Line Items] | ||
Fair value of loans held for investment | 4,507 | 7,108 |
30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | $ 1,554 | $ 2,389 |
Past due, percent of total loans | 0.03% | 0.05% |
60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | $ 1,202 | $ 553 |
Past due, percent of total loans | 0.02% | 0.01% |
90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | $ 8,361 | $ 11,476 |
Past due, percent of total loans | 0.16% | 0.22% |
Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | $ 5,325,428 | $ 5,209,040 |
Not past due, percent of total loans | 99.46% | 99.33% |
Commercial loans, adjusted for credit analysis | Real Estate Sector | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | $ 3,358,509 | $ 2,811,325 |
Nonaccrual | 0 | 0 |
Total past due and nonaccrual | 0 | 0 |
Commercial loans, adjusted for credit analysis | Real Estate Sector | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Real Estate Sector | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Real Estate Sector | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Real Estate Sector | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 3,358,509 | 2,811,325 |
Commercial loans, adjusted for credit analysis | Commercial and Industrial Sector | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 886,106 | 1,112,979 |
Nonaccrual | 11,123 | 14,105 |
Total past due and nonaccrual | 11,123 | 14,105 |
Commercial loans, adjusted for credit analysis | Commercial and Industrial Sector | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Commercial and Industrial Sector | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Commercial and Industrial Sector | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Commercial and Industrial Sector | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 874,983 | 1,098,874 |
Commercial loans, adjusted for credit analysis | Non-owner occupied commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 754,031 | 829,538 |
Nonaccrual | 0 | 0 |
Total past due and nonaccrual | 0 | 0 |
Commercial loans, adjusted for credit analysis | Non-owner occupied commercial real estate | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Non-owner occupied commercial real estate | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Non-owner occupied commercial real estate | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Non-owner occupied commercial real estate | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 754,031 | 829,538 |
Commercial loans, adjusted for credit analysis | Multifamily | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 2,090,156 | 1,428,092 |
Nonaccrual | 0 | 0 |
Total past due and nonaccrual | 0 | 0 |
Commercial loans, adjusted for credit analysis | Multifamily | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Multifamily | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | |
Commercial loans, adjusted for credit analysis | Multifamily | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Multifamily | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 2,090,156 | 1,428,092 |
Commercial loans, adjusted for credit analysis | Multifamily construction | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 50,305 | 115,329 |
Nonaccrual | 0 | 0 |
Total past due and nonaccrual | 0 | 0 |
Commercial loans, adjusted for credit analysis | Multifamily construction | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Multifamily construction | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Multifamily construction | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Multifamily construction | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 50,305 | 115,329 |
Commercial loans, adjusted for credit analysis | Commercial real estate construction | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 17,906 | 27,285 |
Nonaccrual | 0 | 0 |
Total past due and nonaccrual | 0 | 0 |
Commercial loans, adjusted for credit analysis | Commercial real estate construction | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Commercial real estate construction | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Commercial real estate construction | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Commercial real estate construction | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 17,906 | 27,285 |
Commercial loans, adjusted for credit analysis | Single family construction | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 303,276 | 259,170 |
Nonaccrual | 0 | 0 |
Total past due and nonaccrual | 0 | 0 |
Commercial loans, adjusted for credit analysis | Single family construction | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Single family construction | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Single family construction | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Single family construction | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 303,276 | 259,170 |
Commercial loans, adjusted for credit analysis | Single family construction to permanent | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 142,835 | 151,911 |
Nonaccrual | 0 | 0 |
Total past due and nonaccrual | 0 | 0 |
Commercial loans, adjusted for credit analysis | Single family construction to permanent | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Single family construction to permanent | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Single family construction to permanent | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Single family construction to permanent | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 142,835 | 151,911 |
Commercial loans, adjusted for credit analysis | Owner occupied commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 450,350 | 467,256 |
Nonaccrual | 3,874 | 4,922 |
Total past due and nonaccrual | 3,874 | 4,922 |
Commercial loans, adjusted for credit analysis | Owner occupied commercial real estate | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Owner occupied commercial real estate | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | |
Commercial loans, adjusted for credit analysis | Owner occupied commercial real estate | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Owner occupied commercial real estate | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 446,476 | 462,334 |
Commercial loans, adjusted for credit analysis | Commercial business | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 435,756 | 645,723 |
Nonaccrual | 7,249 | 9,183 |
Total past due and nonaccrual | 7,249 | 9,183 |
Commercial loans, adjusted for credit analysis | Commercial business | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Commercial business | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | |
Commercial loans, adjusted for credit analysis | Commercial business | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Commercial loans, adjusted for credit analysis | Commercial business | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 428,507 | 636,540 |
Consumer loans, adjusted for credit analysis | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 1,109,642 | 1,319,876 |
Nonaccrual | 6,589 | 6,617 |
Total past due and nonaccrual | 17,706 | 21,035 |
Consumer loans, adjusted for credit analysis | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 1,554 | 2,389 |
Consumer loans, adjusted for credit analysis | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 1,202 | 553 |
Consumer loans, adjusted for credit analysis | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 8,361 | 11,476 |
Consumer loans, adjusted for credit analysis | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 1,091,936 | 1,298,841 |
Consumer loans, adjusted for credit analysis | Single family | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 793,927 | 915,123 |
Total past due and nonaccrual | 15,455 | 18,938 |
Consumer loans, adjusted for credit analysis | Single family | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 1,294 | 2,161 |
Consumer loans, adjusted for credit analysis | Single family | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 1,198 | 418 |
Consumer loans, adjusted for credit analysis | Single family | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 8,361 | 11,476 |
Consumer loans, adjusted for credit analysis | Single family | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 778,472 | 896,185 |
Consumer loans, adjusted for credit analysis | Home equity and other | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 315,715 | 404,753 |
Total past due and nonaccrual | 2,251 | 2,097 |
Consumer loans, adjusted for credit analysis | Home equity and other | 30-59 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 260 | 228 |
Consumer loans, adjusted for credit analysis | Home equity and other | 60-89 days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 4 | 135 |
Consumer loans, adjusted for credit analysis | Home equity and other | 90+ days | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | 0 | 0 |
Consumer loans, adjusted for credit analysis | Home equity and other | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans before allowance for credit loss | $ 313,464 | $ 402,656 |
LOANS AND CREDIT QUALITY - TDRs
LOANS AND CREDIT QUALITY - TDRs (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021USD ($)loan | Sep. 30, 2020USD ($)loan | Sep. 30, 2021USD ($)loan | Sep. 30, 2020USD ($)loan | |
Financing Receivable, Impaired [Line Items] | ||||
Number of loan modifications - TDR | loan | 14 | 9 | 21 | 35 |
Recorded investment - TDR | $ 4,289 | $ 2,053 | $ 6,744 | $ 8,748 |
Related charge-offs - TDR | $ 0 | $ 0 | $ 0 | $ 0 |
Consumer loans | ||||
Financing Receivable, Impaired [Line Items] | ||||
Number of loan modifications - TDR | loan | 9 | 33 | ||
Recorded investment - TDR | $ 2,053 | $ 6,945 | ||
Related charge-offs - TDR | $ 0 | $ 0 | ||
Consumer loans | Single family | ||||
Financing Receivable, Impaired [Line Items] | ||||
Number of loan modifications - TDR | loan | 14 | 21 | ||
Recorded investment - TDR | $ 4,289 | $ 6,744 | ||
Related charge-offs - TDR | $ 0 | $ 0 | ||
Commercial and Industrial Sector | Commercial loans | ||||
Financing Receivable, Impaired [Line Items] | ||||
Number of loan modifications - TDR | loan | 0 | 2 | ||
Recorded investment - TDR | $ 0 | $ 1,803 | ||
Related charge-offs - TDR | $ 0 | $ 0 | ||
Interest rate reduction | ||||
Financing Receivable, Impaired [Line Items] | ||||
Number of loan modifications - TDR | loan | 10 | 8 | 15 | 23 |
Recorded investment - TDR | $ 3,284 | $ 1,642 | $ 4,599 | $ 4,878 |
Related charge-offs - TDR | $ 0 | $ 0 | $ 0 | $ 0 |
Interest rate reduction | Consumer loans | Single family | ||||
Financing Receivable, Impaired [Line Items] | ||||
Number of loan modifications - TDR | loan | 10 | 8 | 15 | 23 |
Recorded investment - TDR | $ 3,284 | $ 1,642 | $ 4,599 | $ 4,878 |
Related charge-offs - TDR | $ 0 | $ 0 | $ 0 | $ 0 |
Payment restructure | ||||
Financing Receivable, Impaired [Line Items] | ||||
Number of loan modifications - TDR | loan | 4 | 1 | 6 | 12 |
Recorded investment - TDR | $ 1,005 | $ 411 | $ 2,145 | $ 3,870 |
Related charge-offs - TDR | $ 0 | $ 0 | $ 0 | $ 0 |
Payment restructure | Commercial loans | Owner occupied commercial real estate | ||||
Financing Receivable, Impaired [Line Items] | ||||
Number of loan modifications - TDR | loan | 0 | 1 | ||
Recorded investment - TDR | $ 0 | $ 678 | ||
Related charge-offs - TDR | $ 0 | $ 0 | ||
Payment restructure | Commercial loans | Commercial business | ||||
Financing Receivable, Impaired [Line Items] | ||||
Number of loan modifications - TDR | loan | 0 | 1 | ||
Recorded investment - TDR | $ 0 | $ 1,125 | ||
Related charge-offs - TDR | $ 0 | $ 0 | ||
Payment restructure | Consumer loans | Single family | ||||
Financing Receivable, Impaired [Line Items] | ||||
Number of loan modifications - TDR | loan | 4 | 1 | 6 | 10 |
Recorded investment - TDR | $ 1,005 | $ 411 | $ 2,145 | $ 2,067 |
Related charge-offs - TDR | $ 0 | $ 0 | $ 0 | |
Payment restructure | Commercial and Industrial Sector | Commercial loans | ||||
Financing Receivable, Impaired [Line Items] | ||||
Number of loan modifications - TDR | loan | 0 | 2 | ||
Recorded investment - TDR | $ 0 | $ 1,803 | ||
Related charge-offs - TDR | $ 0 | $ 0 |
LOANS AND CREDIT QUALITY - TDR
LOANS AND CREDIT QUALITY - TDR Re-defaults (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021USD ($)loan | Sep. 30, 2020USD ($)loan | Sep. 30, 2021USD ($)loan | Sep. 30, 2020USD ($)loan | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of TDR loan relationships that re-defaulted | loan | 2 | 6 | 8 | 16 |
Recorded investment | $ | $ 422 | $ 1,038 | $ 2,442 | $ 3,237 |
Consumer loans | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of TDR loan relationships that re-defaulted | loan | 7 | 16 | ||
Recorded investment | $ | $ 1,764 | $ 3,237 | ||
Consumer loans | Single family | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of TDR loan relationships that re-defaulted | loan | 2 | 6 | 7 | 16 |
Recorded investment | $ | $ 422 | $ 1,038 | $ 1,764 | $ 3,237 |
Commercial loans | Commercial and Industrial Sector | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of TDR loan relationships that re-defaulted | loan | 1 | 0 | ||
Recorded investment | $ | $ 678 | $ 0 | ||
Commercial loans | Owner occupied commercial real estate | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of TDR loan relationships that re-defaulted | loan | 1 | 0 | ||
Recorded investment | $ | $ 678 | $ 0 |
DEPOSITS - Schedule of Deposit
DEPOSITS - Schedule of Deposit Balances (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Deposit balances, including stated rates | ||
Noninterest-bearing demand deposits | $ 1,706,550 | $ 1,337,010 |
Interest-bearing demand deposits | 555,716 | 484,265 |
Savings | 305,395 | 264,024 |
Money market | 2,796,524 | 2,596,453 |
Certificates of deposit | 995,475 | 1,139,807 |
Deposits, Total | $ 6,359,660 | $ 5,821,559 |
Weighted Average Rate, Interest-bearing demand deposits | 0.10% | 0.10% |
Weighted Average Rate, Savings | 0.06% | 0.07% |
Weighted Average Rate, Money market | 0.15% | 0.21% |
Weighted Average Rate, Certificates of deposit | 0.50% | 0.93% |
Weighted Average Rate Domestic Deposit, Total | 0.15% | 0.29% |
DEPOSITS - Schedule of Deposits
DEPOSITS - Schedule of Deposits Maturity (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Certificates of deposit outstanding | ||
Within one year | $ 785,798 | |
One to two years | 182,878 | |
Two to three years | 19,005 | |
Three to four years | 4,843 | |
Four to five years | 2,951 | |
Thereafter | 0 | |
Total | $ 995,475 | $ 1,139,807 |
DEPOSITS - Narrative (Details)
DEPOSITS - Narrative (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Deposits Liabilities, Balance Sheet, Reported Amounts [Abstract] | ||
Time deposits, at or above FDIC insurance limit | $ 113 | $ 130 |
Brokered deposits | $ 205 | $ 210 |
DERIVATIVES AND HEDGING ACTIV_3
DERIVATIVES AND HEDGING ACTIVITIES - Fair Value of Derivatives (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Derivatives, Fair Value [Line Items] | ||
Notional amount | $ 1,601,281 | $ 2,322,816 |
Derivatives before netting, derivative assets | 14,803 | 35,889 |
Netting adjustments/cash collateral, derivative assets | (4,348) | (8,250) |
Derivative assets | 10,455 | 27,639 |
Derivatives before netting, derivative Liabilities | (11,550) | (24,232) |
Netting adjustments/cash collateral, derivative liabilities | 9,909 | 21,447 |
Derivative liabilities | (1,641) | (2,785) |
Concentration of credit risk, master netting arrangements | ||
Derivatives, Fair Value [Line Items] | ||
Right to reclaim cash in excess of fair value of derivative liability | (5,600) | (13,200) |
Forward sale commitments | ||
Derivatives, Fair Value [Line Items] | ||
Notional amount | 651,906 | 977,974 |
Derivatives before netting, derivative assets | 1,419 | 1,035 |
Derivatives before netting, derivative Liabilities | (1,017) | (3,714) |
Interest rate lock commitments | ||
Derivatives, Fair Value [Line Items] | ||
Notional amount | 194,587 | 493,873 |
Derivatives before netting, derivative assets | 4,612 | 17,395 |
Derivatives before netting, derivative Liabilities | (3) | (3) |
Interest rate swaps | ||
Derivatives, Fair Value [Line Items] | ||
Notional amount | 399,788 | 536,969 |
Derivatives before netting, derivative assets | 8,772 | 17,459 |
Derivatives before netting, derivative Liabilities | (10,521) | (20,511) |
Eurodollar futures | ||
Derivatives, Fair Value [Line Items] | ||
Notional amount | 355,000 | 314,000 |
Derivatives before netting, derivative assets | 0 | 0 |
Derivatives before netting, derivative Liabilities | $ (9) | $ (4) |
DERIVATIVES AND HEDGING ACTIV_4
DERIVATIVES AND HEDGING ACTIVITIES - Master Netting Agreements (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Derivative [Line Items] | ||
Derivatives before netting, derivative assets | $ 14,803 | $ 35,889 |
Netting adjustments/cash collateral, derivative assets | (4,348) | (8,250) |
Derivative assets | 10,455 | 27,639 |
Derivatives before netting, derivative Liabilities | (11,550) | (24,232) |
Netting adjustments/cash collateral, derivative liabilities | 9,909 | 21,447 |
Derivative liabilities | (1,641) | (2,785) |
Concentration of credit risk, master netting arrangements | ||
Derivative [Line Items] | ||
Right to reclaim cash in excess of fair value of derivative liability | $ (5,600) | $ (13,200) |
DERIVATIVES AND HEDGING ACTIV_5
DERIVATIVES AND HEDGING ACTIVITIES - Narrative (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Derivative [Line Items] | ||
Liability for cash collateral received from counterparties | $ 2,600 | $ 3,300 |
Receivable for cash collateral paid to counterparties | 8,200 | 16,500 |
Notional amount of open interest rate swap agreements | 1,601,281 | 2,322,816 |
Interest rate swaps, back-to-back | ||
Derivative [Line Items] | ||
Notional amount of open interest rate swap agreements | $ 275,000 | $ 246,000 |
DERIVATIVES AND HEDGING ACTIV_6
DERIVATIVES AND HEDGING ACTIVITIES - Gain (Loss) Recognized in Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Loans | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net gain (loss) from derivative hedging | $ (1,165) | $ (3,810) | $ (4,574) | $ 583 |
Servicing contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net gain (loss) from derivative hedging | (293) | (91) | (7,860) | 22,148 |
Other Credit Derivatives | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net gain (loss) from derivative hedging | $ 41 | $ 632 | $ 305 | $ (84) |
MORTGAGE BANKING OPERATIONS - L
MORTGAGE BANKING OPERATIONS - Loans Held for Sale (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans held for sale | $ 395,112 | $ 361,932 |
Commercial loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans held for sale | 259,170 | 167,289 |
Single family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans held for sale | $ 135,942 | $ 194,643 |
MORTGAGE BANKING OPERATIONS -_2
MORTGAGE BANKING OPERATIONS - Loans Sold (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Proceeds from sale of loans originated as held for sale | $ 538,900 | $ 857,260 | $ 2,135,360 | $ 1,895,342 |
Commercial loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Proceeds from sale of loans originated as held for sale | 69,810 | 170,980 | 465,948 | 502,059 |
Single family | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Proceeds from sale of loans originated as held for sale | $ 469,090 | $ 686,280 | $ 1,669,412 | $ 1,393,283 |
MORTGAGE BANKING OPERATIONS - G
MORTGAGE BANKING OPERATIONS - Gain on Sale (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Gain on mortgage loan origination and sale activities [Line Items] | ||||
Gain on loan origination and sale activities | $ 17,509 | $ 33,130 | $ 72,239 | $ 85,698 |
Commercial loans | ||||
Gain on mortgage loan origination and sale activities [Line Items] | ||||
Gain on loan origination and sale activities | 3,260 | 5,498 | 15,967 | 11,947 |
Single family | ||||
Gain on mortgage loan origination and sale activities [Line Items] | ||||
Gain on loan origination and sale activities | $ 14,249 | $ 27,632 | $ 56,272 | $ 73,751 |
MORTGAGE BANKING OPERATIONS -_3
MORTGAGE BANKING OPERATIONS - Loans Serviced for Others (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans serviced for others | $ 7,689,878 | $ 7,758,833 |
Commercial loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans serviced for others | 2,064,492 | 1,844,241 |
Single family | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans serviced for others | $ 5,625,386 | $ 5,914,592 |
MORTGAGE BANKING OPERATIONS - M
MORTGAGE BANKING OPERATIONS - Mortgage Repurchase Liability (Details) - Representations and warranties reserve for loan receivables - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Mortgage Repurchase Losses [Roll Forward] | ||||
Balance, beginning of period | $ 1,612 | $ 2,083 | $ 2,122 | $ 2,871 |
Additions, net of adjustments | (183) | 252 | (229) | (275) |
Realized (losses) recoveries, net | 14 | (240) | (450) | (501) |
Balance, end of period | $ 1,443 | $ 2,095 | $ 1,443 | $ 2,095 |
MORTGAGE BANKING OPERATIONS - N
MORTGAGE BANKING OPERATIONS - Narrative (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Impaired [Line Items] | ||
Servicing advances | $ 2.5 | $ 3 |
GNMA Early buyout loans | ||
Financing Receivable, Impaired [Line Items] | ||
Loans receivable, in Ginnie Mae pool | $ 32 | $ 102 |
MORTGAGE BANKING OPERATIONS - R
MORTGAGE BANKING OPERATIONS - Revenue from Mortgage Servicing (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Servicing income, net: | ||||
Servicing fees and other | $ 7,897 | $ 7,220 | $ 26,055 | $ 23,073 |
Amortization of single family MSRs | (4,579) | (4,401) | (15,453) | (12,246) |
Amortization of multifamily and SBA MSRs | (1,758) | (1,350) | (5,235) | (4,084) |
Net servicing income | 1,560 | 1,469 | 5,367 | 6,743 |
Risk management, single family MSRs: | ||||
Changes in fair value of MSRs due to assumptions | 747 | (2,960) | 7,186 | (21,970) |
Mortgage servicing rights, risk management | 454 | (3,051) | (674) | 178 |
Loan servicing income | 2,014 | (1,582) | 4,693 | 6,921 |
Servicing contracts | ||||
Risk management, single family MSRs: | ||||
Net gain (loss) from derivative hedging | $ (293) | $ (91) | $ (7,860) | $ 22,148 |
MORTGAGE BANKING OPERATIONS - S
MORTGAGE BANKING OPERATIONS - Single Family MSR Roll Forward (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Additions and amortization: | ||||
Amortization | $ 4,579 | $ 4,401 | $ 15,453 | $ 12,246 |
Changes in fair value of MSR assumptions | 747 | (2,960) | 7,186 | (21,970) |
Ending balance | 61,206 | 61,206 | ||
Single family | ||||
Servicing Asset at Fair Value, Amount [Roll Forward] | ||||
Beginning balance | 59,872 | 47,804 | 49,966 | 68,109 |
Additions and amortization: | ||||
Originations | 5,166 | 6,569 | 19,507 | 12,942 |
Amortization | (4,579) | (4,401) | (15,453) | (12,246) |
Net additions and amortization | 587 | 2,168 | 4,054 | 696 |
Changes in fair value of MSR assumptions | 747 | (2,954) | 7,186 | (21,787) |
Ending balance | $ 61,206 | $ 47,018 | $ 61,206 | $ 47,018 |
MORTGAGE BANKING OPERATIONS - K
MORTGAGE BANKING OPERATIONS - Key Economic Assumptions (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Constant prepayment rate | ||||
Fair Value Measurement Inputs and Valuation Techniques | ||||
Servicing asset, measurement input | 9.84% | 8.75% | ||
Constant prepayment rate | Minimum | ||||
Fair Value Measurement Inputs and Valuation Techniques | ||||
Servicing asset, measurement input | 20.00% | 17.10% | ||
Constant prepayment rate | Maximum | ||||
Fair Value Measurement Inputs and Valuation Techniques | ||||
Servicing asset, measurement input | 30.00% | 30.00% | ||
Discount rate | ||||
Fair Value Measurement Inputs and Valuation Techniques | ||||
Servicing asset, measurement input | 7.77% | 7.71% | 8.25% | 7.78% |
MORTGAGE BANKING OPERATIONS -_4
MORTGAGE BANKING OPERATIONS - Sensitivity Analysis (Details) $ in Thousands | 9 Months Ended | |
Sep. 30, 2021USD ($) | Dec. 31, 2020 | |
Key economic assumptions and the sensitivity of the current fair value for single family MSRs | ||
Fair value of single family MSR | $ 61,206 | |
Expected weighted-average life (in years) | 5 years 10 months 13 days | |
Constant Prepayment Rate [Abstract] | ||
Impact on fair value of 25 basis points adverse change in interest rates | $ (3,490) | |
Impact on fair value of 50 basis points adverse change in interest rates | (7,016) | |
Discount Rate [Abstract] | ||
Impact on fair value of 100 basis points increase | (2,949) | |
Impact on fair value of 200 basis points increase | $ (5,675) | |
Minimum | CPRs | ||
Key economic assumptions and the sensitivity of the current fair value for single family MSRs | ||
Measurement input (as a percent) | 0.0798 | 0.0813 |
Minimum | Discount rate | ||
Key economic assumptions and the sensitivity of the current fair value for single family MSRs | ||
Measurement input (as a percent) | 0.0654 | 0.0650 |
Maximum | CPRs | ||
Key economic assumptions and the sensitivity of the current fair value for single family MSRs | ||
Measurement input (as a percent) | 0.1743 | 0.1970 |
Maximum | Discount rate | ||
Key economic assumptions and the sensitivity of the current fair value for single family MSRs | ||
Measurement input (as a percent) | 0.1378 | 0.1314 |
Weighted average | CPRs | ||
Key economic assumptions and the sensitivity of the current fair value for single family MSRs | ||
Measurement input (as a percent) | 0.1074 | 0.1281 |
Weighted average | Discount rate | ||
Key economic assumptions and the sensitivity of the current fair value for single family MSRs | ||
Measurement input (as a percent) | 0.0784 | 0.0827 |
MORTGAGE BANKING OPERATIONS -_5
MORTGAGE BANKING OPERATIONS - Multifamily MSR Roll Forward (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Servicing Asset at Amortized Value, Balance [Roll Forward] | ||||
Beginning balance | $ 39,113 | $ 30,583 | $ 35,774 | $ 29,494 |
Origination | 2,270 | 2,524 | 9,086 | 6,129 |
Amortization | (1,758) | (1,301) | (5,235) | (3,817) |
Ending balance | $ 39,625 | $ 31,806 | $ 39,625 | $ 31,806 |
GUARANTEES AND MORTGAGE REPUR_2
GUARANTEES AND MORTGAGE REPURCHASE LIABILITY - Narrative (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Jun. 30, 2021 | Dec. 31, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | |
Representations and warranties reserve for loan receivables | ||||||||
Loss Contingencies [Line Items] | ||||||||
Unfunded commitment balance of loans sold on a servicing-retained basis | $ 5,600,000,000 | $ 5,600,000,000 | $ 6,000,000,000 | |||||
Reserve liability related to mortgage repurchase | 1,443,000 | $ 2,095,000 | 1,443,000 | $ 2,095,000 | $ 1,612,000 | 2,122,000 | $ 2,083,000 | $ 2,871,000 |
Loss sharing relationship | ||||||||
Loss Contingencies [Line Items] | ||||||||
Reserve liability related to multifamily DUS program | 700,000 | 700,000 | 2,100,000 | |||||
Loss sharing relationship | Multifamily | ||||||||
Loss Contingencies [Line Items] | ||||||||
UPB of loans sold through DUS | 1,900,000,000 | 1,900,000,000 | 1,800,000,000 | |||||
Losses incurred - related to DUS | 0 | $ 0 | 0 | $ 0 | ||||
Credit risk | ||||||||
Loss Contingencies [Line Items] | ||||||||
Reserve liability related to mortgage repurchase | $ 1,400,000 | $ 1,400,000 | $ 2,100,000 |
FAIR VALUE MEASUREMENT - Schedu
FAIR VALUE MEASUREMENT - Schedule of Fair Value Hierarchy Measurement (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Assets: | ||
Fair value of debt securities available for sale | $ 978,843 | $ 1,072,093 |
Single family mortgage servicing rights | 61,206 | |
Derivative assets | 10,455 | 27,639 |
Liabilities: | ||
Derivative liabilities | 1,641 | 2,785 |
Residential mortgage-backed securities | ||
Assets: | ||
Fair value of debt securities available for sale | 33,467 | 51,046 |
Commercial mortgage-backed securities | ||
Assets: | ||
Fair value of debt securities available for sale | 42,050 | 45,184 |
Municipal bonds | ||
Assets: | ||
Fair value of debt securities available for sale | 534,401 | 564,703 |
Corporate debt securities | ||
Assets: | ||
Fair value of debt securities available for sale | 19,849 | 15,222 |
Agency debentures | ||
Assets: | ||
Fair value of debt securities available for sale | 1,846 | |
Recurring | ||
Assets: | ||
Fair value of loans held for sale | 135,942 | 194,643 |
Fair value of loans held for investment | 4,507 | 7,108 |
Single family mortgage servicing rights | 61,206 | 49,966 |
Total assets | 1,195,301 | 1,359,699 |
Liabilities: | ||
Total liabilities | 11,550 | 24,232 |
Recurring | Residential mortgage-backed securities | ||
Assets: | ||
Fair value of debt securities available for sale | 33,467 | 51,046 |
Recurring | Commercial mortgage-backed securities | ||
Assets: | ||
Fair value of debt securities available for sale | 42,050 | 45,184 |
Recurring | Collateralized mortgage obligations residential | ||
Assets: | ||
Fair value of debt securities available for sale | 184,360 | 234,909 |
Recurring | Collateralized mortgage obligations commercial | ||
Assets: | ||
Fair value of debt securities available for sale | 141,324 | 159,183 |
Recurring | Municipal bonds | ||
Assets: | ||
Fair value of debt securities available for sale | 534,401 | 564,703 |
Recurring | Corporate debt securities | ||
Assets: | ||
Fair value of debt securities available for sale | 19,849 | 15,222 |
Recurring | U.S. Treasury securities | ||
Assets: | ||
Fair value of debt securities available for sale | 23,392 | |
Recurring | Agency debentures | ||
Assets: | ||
Fair value of debt securities available for sale | 1,846 | |
Recurring | Eurodollar futures | ||
Liabilities: | ||
Derivative liabilities | 9 | 4 |
Recurring | Forward sale commitments | ||
Assets: | ||
Derivative assets | 1,419 | 1,035 |
Liabilities: | ||
Derivative liabilities | 1,017 | 3,714 |
Recurring | Interest rate lock commitments | ||
Assets: | ||
Derivative assets | 4,612 | 17,395 |
Liabilities: | ||
Derivative liabilities | 3 | 3 |
Recurring | Interest rate swaps | ||
Assets: | ||
Derivative assets | 8,772 | 17,459 |
Liabilities: | ||
Derivative liabilities | 10,521 | 20,511 |
Level 1 | Recurring | ||
Assets: | ||
Fair value of loans held for sale | 0 | 0 |
Fair value of loans held for investment | 0 | 0 |
Single family mortgage servicing rights | 0 | 0 |
Total assets | 0 | 0 |
Liabilities: | ||
Total liabilities | 9 | 4 |
Level 1 | Recurring | Residential mortgage-backed securities | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | 0 |
Level 1 | Recurring | Commercial mortgage-backed securities | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | 0 |
Level 1 | Recurring | Collateralized mortgage obligations residential | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | 0 |
Level 1 | Recurring | Collateralized mortgage obligations commercial | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | 0 |
Level 1 | Recurring | Municipal bonds | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | 0 |
Level 1 | Recurring | Corporate debt securities | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | 0 |
Level 1 | Recurring | U.S. Treasury securities | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | |
Level 1 | Recurring | Agency debentures | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | |
Level 1 | Recurring | Eurodollar futures | ||
Liabilities: | ||
Derivative liabilities | 9 | 4 |
Level 1 | Recurring | Forward sale commitments | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Level 1 | Recurring | Interest rate lock commitments | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Level 1 | Recurring | Interest rate swaps | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Level 2 | Recurring | ||
Assets: | ||
Fair value of loans held for sale | 135,942 | 194,643 |
Fair value of loans held for investment | 0 | 0 |
Single family mortgage servicing rights | 0 | 0 |
Total assets | 1,122,462 | 1,282,520 |
Liabilities: | ||
Total liabilities | 11,538 | 24,225 |
Level 2 | Recurring | Residential mortgage-backed securities | ||
Assets: | ||
Fair value of debt securities available for sale | 31,030 | 48,417 |
Level 2 | Recurring | Commercial mortgage-backed securities | ||
Assets: | ||
Fair value of debt securities available for sale | 42,050 | 45,184 |
Level 2 | Recurring | Collateralized mortgage obligations residential | ||
Assets: | ||
Fair value of debt securities available for sale | 184,360 | 234,909 |
Level 2 | Recurring | Collateralized mortgage obligations commercial | ||
Assets: | ||
Fair value of debt securities available for sale | 141,324 | 159,183 |
Level 2 | Recurring | Municipal bonds | ||
Assets: | ||
Fair value of debt securities available for sale | 534,401 | 564,703 |
Level 2 | Recurring | Corporate debt securities | ||
Assets: | ||
Fair value of debt securities available for sale | 19,772 | 15,141 |
Level 2 | Recurring | U.S. Treasury securities | ||
Assets: | ||
Fair value of debt securities available for sale | 23,392 | |
Level 2 | Recurring | Agency debentures | ||
Assets: | ||
Fair value of debt securities available for sale | 1,846 | |
Level 2 | Recurring | Eurodollar futures | ||
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Level 2 | Recurring | Forward sale commitments | ||
Assets: | ||
Derivative assets | 1,419 | 1,035 |
Liabilities: | ||
Derivative liabilities | 1,017 | 3,714 |
Level 2 | Recurring | Interest rate lock commitments | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Level 2 | Recurring | Interest rate swaps | ||
Assets: | ||
Derivative assets | 8,772 | 17,459 |
Liabilities: | ||
Derivative liabilities | 10,521 | 20,511 |
Level 3 | Recurring | ||
Assets: | ||
Fair value of loans held for sale | 0 | 0 |
Fair value of loans held for investment | 4,507 | 7,108 |
Single family mortgage servicing rights | 61,206 | 49,966 |
Total assets | 72,839 | 77,179 |
Liabilities: | ||
Total liabilities | 3 | 3 |
Level 3 | Recurring | Residential mortgage-backed securities | ||
Assets: | ||
Fair value of debt securities available for sale | 2,437 | 2,629 |
Level 3 | Recurring | Commercial mortgage-backed securities | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | 0 |
Level 3 | Recurring | Collateralized mortgage obligations residential | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | 0 |
Level 3 | Recurring | Collateralized mortgage obligations commercial | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | 0 |
Level 3 | Recurring | Municipal bonds | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | 0 |
Level 3 | Recurring | Corporate debt securities | ||
Assets: | ||
Fair value of debt securities available for sale | 77 | 81 |
Level 3 | Recurring | U.S. Treasury securities | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | |
Level 3 | Recurring | Agency debentures | ||
Assets: | ||
Fair value of debt securities available for sale | 0 | |
Level 3 | Recurring | Eurodollar futures | ||
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Level 3 | Recurring | Forward sale commitments | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Level 3 | Recurring | Interest rate lock commitments | ||
Assets: | ||
Derivative assets | 4,612 | 17,395 |
Liabilities: | ||
Derivative liabilities | 3 | 3 |
Level 3 | Recurring | Interest rate swaps | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | $ 0 |
FAIR VALUE MEASUREMENT - Narrat
FAIR VALUE MEASUREMENT - Narrative (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Transfers between levels of fair value hierarchy | $ 0 | $ 0 | $ 0 | $ 0 | |
Recurring | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Fair value of loans held for investment | 4,507,000 | 4,507,000 | $ 7,108,000 | ||
Level 3 | Recurring | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Fair value of loans held for investment | $ 4,507,000 | $ 4,507,000 | $ 7,108,000 |
FAIR VALUE MEASUREMENT - Sche_2
FAIR VALUE MEASUREMENT - Schedule of Level 3 Unobservable Inputs (Details) $ in Thousands | Sep. 30, 2021USD ($) | Jun. 30, 2021USD ($) | Dec. 31, 2020USD ($) | Sep. 30, 2020USD ($) | Jun. 30, 2020USD ($) | Dec. 31, 2019USD ($) |
Interest rate lock commitments | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Interest rate lock, net, fair value | $ 4,609 | $ 5,893 | $ 17,392 | $ 20,960 | $ 17,967 | $ 2,223 |
Recurring | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Fair value of loans held for investment | 4,507 | 7,108 | ||||
Recurring | Level 3 | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Investment securities available for sale | 2,514 | 2,710 | ||||
Fair value of loans held for investment | 4,507 | 7,108 | ||||
Recurring | Level 3 | Interest rate lock commitments | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Interest rate lock, net, fair value | $ 4,609 | $ 17,392 | ||||
Implied spread to benchmark interest rate curve | Minimum | Recurring | Level 3 | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Investment securities available for sale, fair value inputs | 0.0200 | 0.0200 | ||||
Loans held for investment, fair vale inputs | 0.0314 | 0.0396 | ||||
Implied spread to benchmark interest rate curve | Maximum | Recurring | Level 3 | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Investment securities available for sale, fair value inputs | 0.0200 | 0.0200 | ||||
Loans held for investment, fair vale inputs | 0.0859 | 0.1064 | ||||
Implied spread to benchmark interest rate curve | Weighted average | Recurring | Level 3 | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Investment securities available for sale, fair value inputs | 0.0200 | 0.0200 | ||||
Loans held for investment, fair vale inputs | 0.0473 | 0.0623 | ||||
Fall-out factor | Minimum | Recurring | Level 3 | Interest rate lock commitments | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Interest rate lock, net, fair value inputs | 0.0087 | 0.0197 | ||||
Fall-out factor | Maximum | Recurring | Level 3 | Interest rate lock commitments | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Interest rate lock, net, fair value inputs | 0.2405 | 0.3838 | ||||
Fall-out factor | Weighted average | Recurring | Level 3 | Interest rate lock commitments | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Interest rate lock, net, fair value inputs | 0.1218 | 0.1553 | ||||
Value of servicing | Minimum | Recurring | Level 3 | Interest rate lock commitments | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Interest rate lock, net, fair value inputs | 0.0039 | 0.0041 | ||||
Value of servicing | Maximum | Recurring | Level 3 | Interest rate lock commitments | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Interest rate lock, net, fair value inputs | 0.0152 | 0.0144 | ||||
Value of servicing | Weighted average | Recurring | Level 3 | Interest rate lock commitments | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Interest rate lock, net, fair value inputs | 0.0119 | 0.0097 |
FAIR VALUE MEASUREMENT - Sche_3
FAIR VALUE MEASUREMENT - Schedule of Fair Value Changes and Activity for Level 3 (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Interest rate lock commitments | ||||
Fair Value Changes and Activity for Level 3 [Roll Forward] | ||||
Beginning balance | $ 5,893 | $ 17,967 | $ 17,392 | $ 2,223 |
Payoffs/Sales/Settlements | (6,583) | (15,292) | (21,895) | (27,576) |
Change in mark to market/Realized/unrealized gains (losses) | 5,299 | 18,285 | 9,112 | 46,313 |
Ending balance | 4,609 | 20,960 | 4,609 | 20,960 |
Investment securities AFS | ||||
Fair Value Changes and Activity for Level 3 [Roll Forward] | ||||
Beginning balance | 2,550 | 2,861 | 2,710 | 1,952 |
Additions | 0 | 0 | 0 | 985 |
Transfers | 0 | 0 | 0 | 0 |
Payoffs/Sales/Settlements | (48) | (48) | (144) | (387) |
Change in mark to market/Realized/unrealized gains (losses) | 12 | (16) | (52) | 247 |
Ending balance | 2,514 | 2,797 | 2,514 | 2,797 |
Single family LHFI | ||||
Fair Value Changes and Activity for Level 3 [Roll Forward] | ||||
Beginning balance | 5,207 | 5,847 | 7,108 | 3,468 |
Additions | 284 | 2,169 | 1,429 | 5,515 |
Transfers | 0 | 0 | 0 | 0 |
Payoffs/Sales/Settlements | (1,088) | (352) | (4,279) | (1,135) |
Change in mark to market/Realized/unrealized gains (losses) | 104 | (26) | 249 | (210) |
Ending balance | $ 4,507 | $ 7,638 | $ 4,507 | $ 7,638 |
FAIR VALUE MEASUREMENT - FV Uno
FAIR VALUE MEASUREMENT - FV Unobservable Inputs - Nonrecurring Basis (Details) - Nonrecurring - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held for investment | $ 1,121 | $ 3,302 | $ 1,121 | $ 3,302 |
Total Gains (Losses) | (8) | (2,054) | (70) | (2,184) |
Level 1 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held for investment | 0 | 0 | 0 | 0 |
Level 2 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held for investment | 0 | 0 | 0 | 0 |
Level 3 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans held for investment | $ 1,121 | $ 3,302 | $ 1,121 | $ 3,302 |
FAIR VALUE MEASUREMENT - FV of
FAIR VALUE MEASUREMENT - FV of Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Assets: | ||
Single family mortgage servicing rights | $ 61,206 | |
Other assets - GNMA EBO loans | 5,299,741 | $ 5,179,886 |
Carrying Value | ||
Assets: | ||
Cash and cash equivalents | 218,662 | 58,049 |
Investment securities HTM | 4,195 | 4,271 |
LHFI | 5,295,234 | 5,172,778 |
Federal Home Loan Bank stock | 8,723 | 20,319 |
Liabilities: | ||
Certificates of deposit | 995,475 | 1,139,807 |
Borrowings | 322,800 | |
Long-term debt | 125,979 | 125,838 |
Fair Value | ||
Assets: | ||
Cash and cash equivalents | 218,662 | 58,049 |
Investment securities HTM | 4,349 | 4,507 |
LHFI | 5,337,837 | 5,327,711 |
Federal Home Loan Bank stock | 8,723 | 20,319 |
Liabilities: | ||
Certificates of deposit | 996,743 | 1,143,747 |
Borrowings | 322,876 | |
Long-term debt | 117,577 | 116,893 |
Multifamily | Carrying Value | ||
Assets: | ||
LHFS – multifamily and other | 259,170 | 167,289 |
Single family mortgage servicing rights | 39,625 | 35,774 |
Multifamily | Fair Value | ||
Assets: | ||
LHFS – multifamily and other | 267,688 | 167,289 |
Single family mortgage servicing rights | 43,166 | 38,423 |
Other assets - GNMA EBO loans | Carrying Value | ||
Assets: | ||
Other assets - GNMA EBO loans | 31,553 | 101,750 |
Other assets - GNMA EBO loans | Fair Value | ||
Assets: | ||
Other assets - GNMA EBO loans | 31,553 | 101,750 |
Level 1 | Fair Value | ||
Assets: | ||
Cash and cash equivalents | 218,662 | 58,049 |
Investment securities HTM | 0 | 0 |
LHFI | 0 | 0 |
Federal Home Loan Bank stock | 0 | 0 |
Liabilities: | ||
Certificates of deposit | 0 | 0 |
Borrowings | 0 | |
Long-term debt | 0 | 0 |
Level 1 | Multifamily | Fair Value | ||
Assets: | ||
LHFS – multifamily and other | 0 | 0 |
Single family mortgage servicing rights | 0 | 0 |
Level 1 | Other assets - GNMA EBO loans | Fair Value | ||
Assets: | ||
Other assets - GNMA EBO loans | 0 | 0 |
Level 2 | Fair Value | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Investment securities HTM | 4,349 | 4,507 |
LHFI | 0 | 0 |
Federal Home Loan Bank stock | 8,723 | 20,319 |
Liabilities: | ||
Certificates of deposit | 996,743 | 1,143,747 |
Borrowings | 322,876 | |
Long-term debt | 117,577 | 116,893 |
Level 2 | Multifamily | Fair Value | ||
Assets: | ||
LHFS – multifamily and other | 267,688 | 167,289 |
Single family mortgage servicing rights | 0 | 0 |
Level 2 | Other assets - GNMA EBO loans | Fair Value | ||
Assets: | ||
Other assets - GNMA EBO loans | 0 | 0 |
Level 3 | Fair Value | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Investment securities HTM | 0 | 0 |
LHFI | 5,337,837 | 5,327,711 |
Federal Home Loan Bank stock | 0 | 0 |
Liabilities: | ||
Certificates of deposit | 0 | 0 |
Borrowings | 0 | |
Long-term debt | 0 | 0 |
Level 3 | Multifamily | Fair Value | ||
Assets: | ||
LHFS – multifamily and other | 0 | 0 |
Single family mortgage servicing rights | 43,166 | 38,423 |
Level 3 | Other assets - GNMA EBO loans | Fair Value | ||
Assets: | ||
Other assets - GNMA EBO loans | $ 31,553 | $ 101,750 |
EARNINGS PER SHARE - Schedule o
EARNINGS PER SHARE - Schedule of EPS Calculation (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Earnings Per Share [Abstract] | ||||
Net income | $ 27,170 | $ 26,349 | $ 85,990 | $ 52,392 |
Weighted average shares: | ||||
Basic weighted average number of shares outstanding (in shares) | 20,613,290 | 22,665,069 | 21,099,059 | 23,226,109 |
Dilutive effect of outstanding common stock equivalents (in shares) | 206,311 | 212,157 | 253,656 | 177,620 |
Diluted weighted-average number of shares outstanding (in shares) | 20,819,601 | 22,877,226 | 21,352,715 | 23,403,729 |
Net income per share: | ||||
Basic earnings per share (in dollars per share) | $ 1.32 | $ 1.16 | $ 4.08 | $ 2.26 |
Diluted earnings per share (in dollars per share) | $ 1.31 | $ 1.15 | $ 4.03 | $ 2.24 |
RESTRUCTURING - Restructuring R
RESTRUCTURING - Restructuring Reserve Rollforward (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Restructuring Reserve [Roll Forward] | ||||
Restructuring charges | $ 2,132 | $ 5,500 | ||
Costs paid or otherwise settled | $ (336) | (2,019) | $ (1,071) | (5,339) |
Ending balance | 2,062 | 2,065 | 2,062 | 2,065 |
Facility-related costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring charges | 1,736 | 4,183 | ||
Costs paid or otherwise settled | (334) | (1,640) | (900) | (3,627) |
Ending balance | 1,963 | 1,791 | 1,963 | 1,791 |
Personnel-related costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring charges | 164 | 299 | ||
Costs paid or otherwise settled | (2) | (150) | (55) | (624) |
Ending balance | 99 | 185 | 99 | 185 |
Other costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring charges | 232 | 1,018 | ||
Costs paid or otherwise settled | 0 | (229) | (116) | (1,088) |
Ending balance | $ 0 | $ 89 | $ 0 | $ 89 |
SUBSEQUENT EVENT - Narrative (D
SUBSEQUENT EVENT - Narrative (Details) - Subsequent Event $ / shares in Units, $ in Millions | Oct. 28, 2021USD ($)$ / shares |
Subsequent Event [Line Items] | |
Dividends payable (in dollars per share) | $ / shares | $ 0.25 |
Share repurchase program, additional authorized amount (up to) | $ | $ 20 |