CapStar Financial (CSTR) 10-Q 7 Aug 23 2023 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2023	Aug. 02, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2023
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q2
Entity Registrant Name	CAPSTAR FINANCIAL HOLDINGS, INC.
Entity Central Index Key	0001676479
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		20,824,484
Entity Current Reporting Status	Yes
Entity Shell Company	false
Entity File Number	001-37886
Entity Tax Identification Number	81-1527911
Entity Address, Address Line One	1201 Demonbreun Street
Entity Address, Address Line Two	Suite 700
Entity Address, City or Town	Nashville
Entity Address, State or Province	TN
Entity Address, Postal Zip Code	37203
City Area Code	615
Local Phone Number	732-6400
Document Quarterly Report	true
Document Transition Report	false
Entity Incorporation, State or Country Code	TN
Entity Interactive Data Current	Yes
Title of 12(b) Security	Common Stock, $1.00 par value per share
Trading Symbol	CSTR
Security Exchange Name	NASDAQ

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Assets
Cash and due from banks	$ 29,112	$ 25,280
Interest-bearing deposits in financial institutions	139,714	105,558
Federal funds sold	1,883	4,467
Total cash and cash equivalents	170,709	135,305
Securities available-for-sale, at fair value net of allowance for credit losses of $2,000 and $0 at June 30, 2023 and December 31, 2022, respectively	373,262	396,416
Securities held-to-maturity, fair value of $0 and $1,240 at June 30, 2023 and December 31, 2022, respectively	0	1,240
Loans held for sale, includes $28,121 and $12,636 measured at fair value at June 30, 2023 and December 31, 2022, respectively	48,895	44,708
Loans held for investment	2,358,928	2,312,798
Less allowance for credit losses on loans	(25,524)	(23,806)
Loans, net	2,333,404	2,288,992
Premises and equipment, net	23,203	24,855
Restricted equity securities	16,130	16,632
Accrued interest receivable	11,117	10,511
Goodwill and other intangibles	45,317	46,069
Other real estate owned, net	11	0
Other assets	156,968	152,441
Total assets	3,179,016	3,117,169
Deposits:
Noninterest-bearing	414,828	512,076
Interest-bearing	872,882	749,857
Savings and money market accounts	571,117	709,190
Time	851,932	708,696
Total deposits	2,710,759	2,679,819
Federal Home Loan Bank advances	50,000	15,000
Subordinated notes	29,733	29,666
Other liabilities	41,059	38,502
Total liabilities	2,831,551	2,762,987
Shareholders’ equity:
Additional paid-in capital	228,705	240,863
Adoption of new accounting standard, net of tax	148,036	141,657
Accumulated other comprehensive loss, net of tax	(50,160)	(50,052)
Total shareholders’ equity	347,465	354,182
Total liabilities and shareholders’ equity	3,179,016	3,117,169
Voting
Shareholders’ equity:
Common stock, voting, $1 par value; 25,000,000 shares authorized; 20,884,492 and 21,714,380 shares issued and outstanding at June 30, 2023 and December 31, 2022, respectively	$ 20,884	$ 21,714

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Securities available for sale, allowance for credit loss	$ 2,000	$ 0
Securities held to maturity, fair value	0	1,240
Loans held for sale carried at fair value	$ 28,121	$ 12,636
Voting
Common stock, par value	$ 1	$ 1
Common stock, shares authorized	25,000,000	25,000,000
Common stock, shares issued	20,884,492	21,714,380
Common stock, shares outstanding	20,884,492	21,714,380

Consolidated Statements of Inco

Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Interest income:
Loans, including fees	$ 34,815	$ 23,775	$ 66,774	$ 44,141
Securities:
Taxable	2,025	1,922	3,976	3,677
Tax-exempt	308	319	622	644
Federal funds sold	68	14	123	24
Restricted equity securities	248	173	488	329
Interest-bearing deposits in financial institutions	1,823	286	3,087	458
Total interest income	39,287	26,489	75,070	49,273
Interest expense:
Interest-bearing deposits	4,474	638	7,420	1,074
Savings and money market accounts	3,254	467	6,513	797
Time deposits	7,363	454	12,936	938
Federal Home Loan Bank advances	1,231	96	1,623	96
Subordinated notes	394	394	788	788
Total interest expense	16,716	2,049	29,280	3,693
Net interest income	22,571	24,440	45,790	45,580
Provision for credit losses:
Provision for credit losses on loans	519	843	570	59
Provision for credit losses on available-for-sale securities	0	0	2,000	0
Recovery of provision for credit losses on unfunded commitments	(497)	0	(106)	0
Total provision for credit losses	22	843	2,464	59
Net interest income after provision for credit losses	22,549	23,597	43,326	45,521
Noninterest income:
Deposit service charges	1,264	1,182	2,632	2,324
Interchange and debit card transaction fees	1,060	1,336	2,098	2,558
Mortgage banking	955	1,705	2,248	3,671
Tri-Net	27	(73)	27	2,098
Wealth management	426	459	800	899
SBA lending	977	273	2,068	494
Net gain on sale of securities	0	0	5	0
Other noninterest income	1,503	994	2,609	2,921
Total noninterest income	6,212	5,876	12,487	14,965
Noninterest expense:
Salaries and employee benefits	10,533	9,209	20,874	19,478
Data processing and software	3,294	2,847	6,505	5,494
Occupancy	1,097	1,076	2,290	2,174
Equipment	674	783	1,496	1,492
Professional services	899	506	1,687	1,185
Regulatory fees	419	265	832	545
Amortization of intangibles	368	430	752	876
Other noninterest expense	1,888	1,959	3,790	3,566
Total noninterest expense	19,172	17,075	38,226	34,810
Income before income taxes	9,589	12,398	17,587	25,676
Income tax expense	1,785	2,426	3,337	5,031
Net income	$ 7,804	$ 9,972	$ 14,250	$ 20,645
Per share information:
Basic net income per share of common stock	$ 0.37	$ 0.45	$ 0.67	$ 0.93
Diluted net income per share of common stock	$ 0.37	$ 0.45	$ 0.67	$ 0.93
Weighted average shares outstanding:
Basic	21,065,115	22,022,109	21,311,691	22,109,737
Diluted	21,107,457	22,074,260	21,349,972	22,163,954

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Statement of Comprehensive Income [Abstract]
Net income	$ 7,804	$ 9,972	$ 14,250	$ 20,645
Unrealized gains (losses) on securities available-for-sale:
Unrealized losses arising during the period	(8,530)	(18,890)	(149)	(45,970)
Reclassification adjustment for gains included in net income	0	0	(5)	0
Tax Effect	2,221	4,898	46	11,914
Other comprehensive loss, net of tax	(6,309)	(13,992)	(108)	(34,056)
Comprehensive Income (loss)	$ 1,495	$ (4,020)	$ 14,142	$ (13,411)

Consolidated Statements of Chan

Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($) $ in Thousands	Total	Cumulative Effect Period Of Adoption Adjustment	Common Stock, Voting	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Income (Loss)
Beginning balance at Dec. 31, 2021	$ 380,094		$ 22,166	$ 248,709	$ 110,489	$ (1,270)
Beginning balance, shares at Dec. 31, 2021			22,166,129
Net restricted common stock activity	(87)		$ 66	(153)
Net restricted common stock activity, Shares			65,550
Stock-based compensation expense	388			388
Repurchase of common stock	(767)		$ (37)	(730)
Repurchase of common stock, shares			(36,608)
Common stock dividends declared	(1,320)				(1,320)	0
Net income	10,673				10,673	0
Net current period other comprehensive income	(20,064)					(20,064)
Ending balance at Mar. 31, 2022	368,917		$ 22,195	248,214	119,842	(21,334)
Ending balance, shares at Mar. 31, 2022			22,195,071
Beginning balance at Dec. 31, 2021	380,094		$ 22,166	248,709	110,489	(1,270)
Beginning balance, shares at Dec. 31, 2021			22,166,129
Net income	20,645
Net current period other comprehensive income	(34,056)
Ending balance at Jun. 30, 2022	357,735		$ 21,934	243,497	127,630	(35,326)
Ending balance, shares at Jun. 30, 2022			21,934,554
Beginning balance at Mar. 31, 2022	368,917		$ 22,195	248,214	119,842	(21,334)
Beginning balance, shares at Mar. 31, 2022			22,195,071
Net restricted common stock activity			$ (4)	4
Net restricted common stock activity, Shares			3,719
Stock-based compensation expense	325			325
Net exercise of common stock options	51		$ 6	45
Net exercise of common stock options, shares			5,800
Repurchase of common stock	(5,354)		$ (263)	(5,091)
Repurchase of common stock, shares			(262,598)
Common stock dividends declared	(2,184)				(2,184)
Net income	9,972				9,972
Net current period other comprehensive income	(13,992)					(13,992)
Ending balance at Jun. 30, 2022	357,735		$ 21,934	243,497	127,630	(35,326)
Ending balance, shares at Jun. 30, 2022			21,934,554
Adoption of new accounting standard, net of tax	141,657
Beginning balance at Dec. 31, 2022	354,182		$ 21,714	240,863	141,657	(50,052)
Beginning balance, shares at Dec. 31, 2022			21,714,380
Net restricted common stock activity	(98)		$ 113	(211)
Net restricted common stock activity, Shares			113,068
Stock-based compensation expense	399			399
Repurchase of common stock	(7,639)		$ (465)	(7,174)
Repurchase of common stock, shares			(465,834)
Common stock dividends declared	(2,136)				(2,136)	0
Net income	6,446				6,446	0
Net current period other comprehensive income	6,201					6,201
Ending balance at Mar. 31, 2023	353,911		$ 21,362	233,877	142,523	(43,851)
Ending balance, shares at Mar. 31, 2023			21,361,614
Beginning balance at Dec. 31, 2022	354,182		$ 21,714	240,863	141,657	(50,052)
Beginning balance, shares at Dec. 31, 2022			21,714,380
Net income	14,250
Net current period other comprehensive income	(108)
Ending balance at Jun. 30, 2023	347,465		$ 20,884	228,705	148,036	(50,160)
Ending balance, shares at Jun. 30, 2023			20,884,492
Adoption of new accounting standard, net of tax		$ (3,444)			(3,444)
Beginning balance at Mar. 31, 2023	353,911		$ 21,362	233,877	142,523	(43,851)
Beginning balance, shares at Mar. 31, 2023			21,361,614
Net restricted common stock activity	(1)		$ (32)	31
Net restricted common stock activity, Shares			30,900
Stock-based compensation expense	361			361
Net exercise of common stock options	67		$ 8	59
Net exercise of common stock options, shares			7,600
Repurchase of common stock	(6,077)		$ (454)	(5,623)
Repurchase of common stock, shares			(453,822)
Common stock dividends declared	(2,291)				(2,291)
Net income	7,804				7,804
Net current period other comprehensive income	(6,309)					(6,309)
Ending balance at Jun. 30, 2023	347,465		$ 20,884	$ 228,705	$ 148,036	$ (50,160)
Ending balance, shares at Jun. 30, 2023			20,884,492
Adoption of new accounting standard, net of tax	$ 148,036

Consolidated Statements of Ch_2

Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) (Unaudited) - $ / shares	3 Months Ended
	Jun. 30, 2023	Mar. 31, 2023	Jun. 30, 2022	Mar. 31, 2022
Statement of Stockholders' Equity [Abstract]
Common stock, dividends per share	$ 0.11	$ 0.1	$ 0.1	$ 0.06

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Cash flows from operating activities:
Net income	$ 14,250	$ 20,645
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Provision for credit losses	2,464	59
Amortization of discounts on acquired loans and deferred fees, net	298	318
Depreciation and amortization	1,543	1,610
Net amortization of premiums on investment securities	736	1,004
Net gain on sale of securities	(5)	0
Mortgage banking	$ (2,248)	$ (3,671)
Type Of Revenue Extensible List	Mortgage Banking	Mortgage Banking
Tri-Net	$ (27)	$ (2,098)
SBA lending	(2,068)	(494)
Net gain on disposal of premises and equipment	(5)	(14)
Net gain on sale of other real estate owned	0	(7)
Stock-based compensation	760	713
Deferred income tax expense	413	3,353
Origination of loans held for sale	(139,182)	(533,326)
Proceeds from loans held for sale	139,338	430,483
Cash payments arising from operating leases	(1,156)	(1,093)
Amortization of debt issuance expense	67	67
Net increase in accrued interest receivable and other assets	(2,574)	(6,502)
Net decrease in accrued interest payable and other liabilities	(1,264)	(5,993)
Net cash provided by (used in) operating activities	11,340	(94,946)
Cash flows from investing activities:
Purchases	0	(66,510)
Sales	2,506	0
Maturities, prepayments and calls	17,773	41,525
Maturities, prepayments and calls	1,230	0
Net redemption (purchase) of restricted equity securities	502	(2,163)
Net increase in loans	(46,584)	(162,518)
Purchase of premises and equipment	(438)	(301)
Proceeds from sale of premises and equipment	1,310	415
Proceeds from sale of other real estate	0	108
Proceeds from bank owned life insurance	0	1,545
Net cash used in investing activities	(23,701)	(187,899)
Cash flows from financing activities:
Net increase (decrease) in deposits	30,940	(53,794)
Proceeds from Federal Home Loan Bank advances	535,500	135,000
Payments on Federal Home Loan Bank advances	(500,500)	(90,000)
Repurchase of common stock	(13,716)	(6,121)
Exercise of common stock options, net of repurchase of restricted shares	(32)	(36)
Common stock dividends paid	(4,427)	(3,504)
Net cash provided by (used in) financing activities	47,765	(18,455)
Net increase (decrease) in cash and cash equivalents	35,404	(301,300)
Cash and cash equivalents at beginning of period	135,305	415,125
Cash and cash equivalents at end of period	170,709	113,825
Supplemental disclosures of cash paid:
Interest paid	26,094	3,708
Income taxes paid	6,270	0
Supplemental disclosures of noncash transactions:
Loans charged off to the allowance for credit losses on loans	533	410
Lease liabilities arising from obtaining right-of-use assets	576	570
Unrealized losses on securities available for sale, net of tax	(108)	(34,056)
Loans transferred from held for sale to held for investment	$ 0	$ 106,937

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying unaudited consolidated financial statements as of and for the period ended June 30, 2023 include CapStar Financial Holdings, Inc. and its wholly owned subsidiary, CapStar Bank (the “Bank”, together referred to as the “Company”). Significant intercompany transactions and accounts are eliminated in consolidation. The accompanying unaudited consolidated financial statements have been prepared in accordance with instructions to Form 10-Q and do not include all information and notes required by U.S. generally accepted accounting principles (“U.S. GAAP”) for complete financial statements. All adjustments consisting of normally recurring accruals that, in the opinion of management, are necessary for a fair presentation of the financial position and results of operations for the periods presented have been included. These unaudited consolidated financial statements should be read in conjunction with the Company’s consolidated financial statements and related notes appearing in the 2022 Form 10-K. Certain amounts, previously reported, have been reclassified to state all periods on a comparable basis and had no effect on shareholders' equity or net income. Subsequent Events Accounting Standards Codification (“ASC”) 855, Subsequent Events, establishes general standards of accounting for and disclosure of events that occur after the balance sheet date but before financial statements are issued. The Company evaluated all significant events or transactions that occurred after June 30, 2023 through the date of filing this Quarterly Report on Form 10-Q and determined that there were no events that required disclosure. Adoption of New Accounting Standards On January 1, 2023, the Company adopted ASU 2016-13 Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, as amended, which replaced the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss ("CECL") methodology. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credit, financial guarantees, and other similar instruments) ("unfunded commitments"). In addition, ASC 326 made changes to the accounting for available-for-sale debt securities. One such change is to require credit losses to be presented as an allowance rather than as a write-down on available-for-sale debt securities management does not intend to sell or believes that it is more likely than not they will be required to sell. The Company adopted ASC 326 using the modified retrospective method for all financial assets measured at amortized cost and unfunded commitments credit exposures. Results for reporting periods beginning after January 1, 2023 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP ("incurred loss"). The Company recorded a net decrease to retained earnings of $ 3.4 million as of January 1, 2023 for the cumulative adoption effect of adopting ASC 326. The transition adjustment includes a $ 1.5 million increase in the allowance for credit losses ("ACL") on loans inclusive of a $ 0.2 million reclassification of purchased accounting discounts reclassified to the ACL on loans, a $ 3.4 million increase in the ACL on unfunded commitments credit exposures, and a $ 1.3 million increase in deferred tax assets. The Company adopted ASC 326 using the prospective transition approach for financial assets purchased with credit deterioration ("PCD") that were previously classified as purchased credit impaired ("PCI") and accounted for under ASC 310-30. In accordance with the standard, management did not reassess whether PCI assets met the criteria of PCD assets as of the date of adoption. On January 1, 2023, the amortized cost basis of the PCD assets were adjusted to reflect the addition of $ 0.2 million of the ACL. The remaining noncredit discount (based on the adjusted amortized cost basis) will be accreted into interest income at the effective interest rate as of January 1, 2023. As allowed by ASC 326, the Company elected to maintain pools of loans accounted for under ASC 310-30. Debt Securities Debt securities are classified as held-to-maturity and carried at amortized cost when management has the positive intent and ability to hold them to maturity. Debt securities not classified as held-to-maturity are classified as available-for-sale. Securities available-for-sale are carried at fair value, with unrealized holding gains and losses reported in other comprehensive income, net of tax. Interest income includes amortization of purchase premiums or discounts. Premiums and discounts on securities are generally amortized on the level-yield method without anticipating prepayments, except for mortgage-backed securities where prepayments are anticipated. Premiums on callable debt securities are amortized to their earliest call date. Gains and losses on sale are recorded on the trade date and determined using the specific identification method. A debt security is placed on non-accrual status at the time any principal or interest payments become over 90 days delinquent. Interest accrued but not received for a security placed on non-accrual is reversed against interest income. ACL - Held-to-Maturity Securities Management measures expected credit losses on held-to-maturity debt securities on a collective basis by major security type. Accrued interest receivable on held-to-maturity debt securities at June 30, 2023 totaled $ 0 and was excluded from the estimate of credit losses. The estimate of current expected credit losses considers historical credit loss information that is adjusted for current conditions and reasonable and supportable forecasts. Management classifies the held-to-maturity portfolio into one major security type, state and municipal securities, which are highly rated by major rating agencies. ACL - Available-for-Sale Securities For available-for-sale debt securities in an unrealized loss position, the Company first assesses whether it intends to sell, or if it is more likely than not that it will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security's amortized cost basis is written down to fair value through income. For debt securities available-for sale that do not meet the aforementioned criteria, the Company evaluated whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considered the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an ACL is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an ACL is recognized in other comprehensive income. Changes in the ACL are recorded as credit loss expense (or reversal). Losses are charged against the allowance when management believes the uncollectibility of an available-for-sale security is confirmed or when either of the criteria regarding intent or requirement to sell is met. Accrued interest receivable on available-for-sale debt secu rities totaled $ 1.6 million at June 30, 2023 and is excluded from the estimate of credit losses. Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at amortized cost, net of the ACL. Amortized cost is the principal balance outstanding, net of purchase premiums and discounts, and deferred loan fees and costs. Accrued interest receivable totaled $ 9.5 million at June 30, 2023 and was reported in accrued interest receivable on the consolidated balance sheets and is excluded from the estimate of credit losses. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income using the level-yield method without anticipating prepayments. Interest income on mortgage and commercial loans is discontinued and placed on non-accrual status at the time the loan is 90 days delinquent unless the loan is well secured and in process of collection. Mortgage loans are charged off at 180 days past due, and commercial loans are charged off to the extent principal or interest is deemed uncollected. Consumer and credit card loans continue to accrue interest until they are charged off no later than 120 days past due unless the loan is in the process of collection. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on non-accrual or charged off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not received for loans placed on non-accrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Under the cost-recovery method, interest income is not recognized until the loan balance is reduced to zero. Under the cash-basis method, interest income is not recognized until the loan balance is reduced to zero. Under the cash-basis method, interest income is recorded when the payment is received in cash. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Purchase Credit Deteriorated ("PCD") Loans The Company has purchased loans, some of which have experienced more than insignificant credit deterioration since origination. PCD loans are recorded at the amount paid. An ACL is determined using the same methodology as other loans held for investment. The initial ACL determined on a collective basis is allocated to individual loans. The sum of the loan's purchase price and ACL becomes its initial amortized cost basis. The differences between the initial amortized cost basis and the par value of the loan is a noncredit discount or premium, which is amortized into interest income over the life of the loan. Subsequent change to the ACL are recorded through credit loss expense. Upon adoption of ASC 326, the Company elected to maintain pools of loans that were previously accounted for under ASC 310-30 and will continue to account for these pools as a unit of account. Loans are only removed from the existing pools if they are written off, paid off, or sold. Upon adoption of ASC 326, the ACL was determined for each pool and added to the pool's carrying amount to establish a new amortized cost basis. The difference between the unpaid principal balance of the pool and the new amortized cost basis is the noncredit premium or discount which will be amortized into interest income over the remaining life of the pool. Changes to the ACL after adoption are recorded through credit loss expense. ACL - Loans The ACL is a valuation account that is deducted from the loans' amortized cost basis to present the net amount expected to be collected on the loans. Loans are charged off against the ACL when management believes the uncollectibility of a loan balance is confirmed. Expected recoveries do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. Management estimates the ACL balance using relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience provides the basis for the estimation of expected credit losses. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or term as well as for changes in environmental conditions, such as changes in unemployment rates, property values, or other relevant factors. The ACL is measured on a collective (pool) basis when similar risk characteristics exist. The Company has identified the following portfolio segments and measures the ACL for each using a discounted cash flow methodology at the loan level, with loss rates, prepayment assumptions and curtailment assumptions driven by each loan’s collateral type. Owner occupied commercial real estate - Loans in this category are susceptible to business failure and general economic conditions. Non owner occupied commercial real estate - Common risks for this loan category are declines in general economic conditions, declines in real estate value, declines in occupancy rates, and lack of suitable alternative use for the property. Commercial & industrial - Risks to this loan category include the inability to monitor the condition of the collateral, which often consists of inventory, accounts receivable and other non-real estate assets. Equipment and inventory obsolescence can also pose a risk. Declines in general economic conditions and other events can cause cash flows to fall to levels insufficient to service debt. Commercial construction - Risks common to commercial construction loans are cost overruns, changes in market demand for property, inadequate long-term financing arrangements and declines in real estate values. Residential mortgage - Residential mortgage loans are susceptible to weakening general economic conditions, increases in unemployment rates and declining real estate values. Home equity lines of credit - Risks common to home equity lines of credit are general economic conditions, including an increase in unemployment rates, and declining real estate values that reduce or eliminate the borrower’s home equity. Residential construction - Residential construction loans are susceptible to the same risks as residential mortgage loans. Changes in market demand for property lead to longer marketing times resulting in higher carrying costs and declining values. Consumer - Risks common to consumer direct loans include unemployment and changes in local economic conditions as well as the inability to monitor collateral consisting of personal property. Loans that do not share risk characteristics are evaluated on an individual basis. Loans evaluated individually are not included in the collective evaluation. When management determines that foreclosure is probable expected credit losses are based on the fair value of the collateral at the reporting date, adjusted for selling costs as appropriate. Discounted Cash Flow Method The Company uses the discounted cash flow method to estimate expected credit losses for all loan segments. The Company generates cash flow projections at the instrument level and adjusts payment expectations for estimated prepayment speed, curtailments, time to recovery, probability of default, and loss given default. The modeling of expected prepayment speeds and curtailment rates are based on historical internal data. The prepayment speeds additionally use peer data to backfill a complete time series and utilizes a forward-looking third-party prepayment model, which considers current conditions and reasonable and supportable forecasts of future economic conditions. The Company uses regression analysis of historical internal and peer data to determine suitable loss drivers to utilize when modeling lifetime probability of default and loss given default. This analysis also determines how expected probability of default and loss given default will react to forecasted levels of the loss drivers. For all discounted cash flow models, management has determined that four quarters represents a reasonable and supportable forecast period and reverts back to a historical loss rate over four quarters on a straight-line basis. Management leverages economic projections around unemployment rates from the Federal Open Market Committee to inform its loss driver forecasts over the four-quarter forecast period. The combination of adjustments for credit expectations (default and loss) and timing expectations (prepayment, curtailment, and time to recovery) produces an expected cash flow stream at the instrument level. Instrument effective yield is calculated, net of the impacts of prepayment assumptions, and the instrument expected cash flows are then discounted at that effective yield to produce an instrument-level net present value of expected cash flows (“NPV”). An ACL is established for the difference between the instrument’s NPV and amortized cost basis. Qualitative Factors The Company uses qualitative factors for model limitations and risk uncertainty as well as for loan segment specific risks that cannot be addressed in the quantitative methods. Any additional qualitative factor reserves needed will be approved by the Allowance Committee quarterly. Individually Evaluated Assets Loans that do not share risk characteristics are evaluated on an individual basis. When the Company has determined that foreclosure on a collateral dependent loan is probable, or when the borrower is experiencing financial difficulty and the Company expects repayment of the loan to be provided substantially through the operation or sale of the collateral, the ACL is measured based on the difference between the fair value of the collateral and the amortized cost basis of the loan as of the measurement date. When repayment is expected to be from the operation of the collateral, expected credit losses are calculated as the amount by which the amortized cost basis of the loan exceeds the present value of expected cash flows from the operation of the collateral. The Company may, in the alternative, measure the expected credit loss as the amount by which the amortized cost basis of the loan exceeds the estimated fair value of the collateral. When repayment is expected to be from the sale of the collateral, expected credit losses are calculated as the amount by which the amortized costs basis of the loan exceeds the fair value of the underlying collateral less estimated cost to sell. The ACL may be zero if the fair value of the collateral at the measurement date exceeds the amortized cost basis of the loan. Determining the Contractual Term: Expected credit losses are estimated over the contractual term of the loans, adjusted for expected prepayments when appropriate. The contractual term excludes expected extensions, renewals, and modifications unless either of the following applies: management has a reasonable expectation at the reporting date that a modification will be executed with an individual borrower or the extension or renewal options included in the original or modified contract at the reporting date are not unconditionally cancellable by the Company. ACL - Unfunded commitments The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The ACL on unfunded commitments is adjusted through credit loss expense. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life. The ACL is calculated using the same aggregate reserve rates calculated for the funded portion of loans at the portfolio level applied to the amount of commitments expected to fund. The Company has identified pools of unfunded commitments which align with loans held for investment. The ACL on unfunded commitments is recorded on the other liabilities line item of the balance sheet. ASU 2022-02, Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures In March 2022, the FASB issued ASU 2022-02, Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures, which eliminates the accounting guidance for troubled debt restructurings by creditors in ASC 310-40, Receivables – Troubled Debt Restructurings by Creditors, while enhancing disclosure requirements for certain loan refinancings and restructurings involving borrowings that are experiencing financial difficulty. Specifically, rather than applying the troubled debt restructuring recognition and measurement guidance, creditors will evaluate all loan modifications to determine if they result in a new loan or a continuation of the existing loan. Losses associated with troubled debt restructurings should be incorporated in a creditor’s estimate of its ACL. Additionally, public business entities are required to disclose current-period gross write-offs by year of origination for loan financing receivables and net investment in leases. The Company has adopted the standard as of January 1, 2023 with little to no impact to its accounting, and has included the additional required disclosures herein.

Securities

Securities	6 Months Ended
	Jun. 30, 2023
Investments, Debt and Equity Securities [Abstract]
Securities	NOTE 2 – SECURITIES The amortized cost and fair value of securities available-for-sale and held-to-maturity at June 30, 2023 and December 31, 2022 are summarized as follows (in thousands): June 30, 2023 December 31, 2022 Amortized Gross Gross Estimated Amortized Gross Gross Estimated Securities available-for-sale: U. S. government agency securities $ 13,545 $ — $ ( 1,689 ) $ 11,856 $ 14,537 $ — $ ( 1,635 ) $ 12,902 State and municipal securities 76,818 148 ( 8,137 ) 68,829 77,562 129 ( 9,379 ) 68,312 Mortgage-backed securities 285,138 — ( 53,709 ) 231,429 300,488 — ( 55,660 ) 244,828 Asset-backed securities 3,186 — ( 78 ) 3,108 3,332 — ( 62 ) 3,270 Other debt securities 64,774 36 ( 6,770 ) 58,040 70,542 3 ( 3,441 ) 67,104 Total $ 443,461 $ 184 $ ( 70,383 ) $ 373,262 $ 466,461 $ 132 $ ( 70,177 ) $ 396,416 Securities held-to-maturity: State and municipal securities $ — $ — $ — $ — $ 1,240 $ — $ — $ 1,240 Total $ — $ — $ — $ — $ 1,240 $ — $ — $ 1,240 *Amortized cost of other debt securities is net of ACL totaling $ 2.0 million at June 30, 2023. Results from sales, maturities, prepayments and calls of securities available for sale were as follows (in thousands): Three Months Ended Six Months Ended June 30, 2023 June 30, 2022 June 30, 2023 June 30, 2022 Proceeds $ 9,434 $ 20,672 $ 20,279 $ 41,525 Gross gains — — 6 — Gross losses — — ( 1 ) — The amortized cost and fair value of securities at June 30, 2023, by contractual maturity, are shown below (in thousands). Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately. Available-for-sale Amortized Estimated Due in less than one year $ 5,302 $ 5,300 Due one to five years 37,736 35,952 Due five to ten years 94,058 82,908 Due beyond ten years 18,041 14,565 Mortgage-backed securities 285,138 231,429 Asset-backed securities 3,186 3,108 Total $ 443,461 $ 373,262 Securities with a market value of $ 200.5 million at June 30, 2023 were pledged to collateralize public deposits, derivative positions and Federal Home Loan Bank advances. Securities in an unrealized loss position for which an ACL has not been recorded as of June 30, 2023 and December 31, 2022, and the length of time they were in continuous loss positions as of such dates are as follows (in thousands): Less than 12 months 12 months or more Total June 30, 2023 Estimated Gross Estimated Gross Estimated Gross U. S. government agency securities $ — $ — $ 11,856 $ ( 1,689 ) $ 11,856 $ ( 1,689 ) State and municipal securities 5,557 ( 60 ) 48,072 ( 8,077 ) 53,629 ( 8,137 ) Mortgage-backed securities 8,882 ( 382 ) 222,547 ( 53,327 ) 231,429 ( 53,709 ) Asset-backed securities — — 3,108 ( 78 ) 3,108 ( 78 ) Other debt securities 14,753 ( 1,677 ) 42,250 ( 5,093 ) 57,003 ( 6,770 ) Total temporarily impaired securities $ 29,192 $ ( 2,119 ) $ 327,833 $ ( 68,264 ) $ 357,025 $ ( 70,383 ) December 31, 2022 U. S. government agency securities $ 6,243 $ ( 836 ) $ 6,659 $ ( 799 ) $ 12,902 $ ( 1,635 ) State and municipal securities 12,952 ( 422 ) 41,779 ( 8,957 ) 54,731 ( 9,379 ) Mortgage-backed securities 81,751 ( 7,647 ) 161,708 ( 48,013 ) 243,459 ( 55,660 ) Asset-backed securities 3,270 ( 62 ) — — 3,270 ( 62 ) Other debt securities 41,018 ( 2,028 ) 24,084 ( 1,413 ) 65,102 ( 3,441 ) Total temporarily impaired securities $ 145,234 $ ( 10,995 ) $ 234,230 $ ( 59,182 ) $ 379,464 $ ( 70,177 ) At adoption of ASC 326 on January 1, 2023, calculated credit losses and, thus, the related ACL on held-to- maturity debt securities were not material due to the high credit quality of the portfolio. As a result, no ACL was recorded on the held-to-maturity portfolio at January 1, 2023. There are no held-to-maturity debt securities as of June 30, 2023. At December 31, 2022, the Company owned certain securities related to Signature Bank ("Signature") which, following the first quarter failure of Signature, were deemed to have significant credit losses and no probable recovery. As such, a $ 2.0 million provision for credit loss was recorded with a corresponding ACL in the three months ended March 31, 2023. The Company has performed an assessment of its portfolio in an unrealized loss position and has determined no other credit losses present as of June 30, 2023. See Note 1 for additional details on the adoption of ASC 326 as it relates to the securities portfolio. At June 30, 2023, there were 300 debt securities available-for-sale that were in an unrealized loss position. The Company does not intend to sell nor believes it will be required to sell securities in an unrealized loss position prior to the recovery of their amortized cost basis. Unrealized losses at June 30, 2023 were primarily attributable to the rising interest rate environment. The majority of the investment portfolio was either government guaranteed or an issuance of a government sponsored entity or highly rated by major credit rating agencies. As of June 30, 2023, the Signature securities for which an ACL has been recorded are on non-accrual. No other securities are past due or on non-accrual. The following table shows a rollforward of the ACL on available for sale securities for the six months ended June 30, 2023: Other debt securities Balance at December 31, 2022 $ — Adoption of CECL — Additions for securities for which no previous expected credit losses were recognized 2,000 Total $ 2,000

Loans and Allowance for Credit

Loans and Allowance for Credit Losses	6 Months Ended
	Jun. 30, 2023
Receivables [Abstract]
Loans and Allowance for Credit Losses	NOTE 3 – LOANS AND ALLOWANCE FOR CREDIT LOSSES A summary of the loans held for investment portfolio as of June 30, 2023 and December 31, 2022 follows (in thousands): June 30, 2023 December 31, 2022 Commercial real estate - owner occupied $ 275,712 $ 246,109 Commercial real estate - non-owner occupied 802,574 803,611 Consumer real estate 429,517 402,615 Construction and land development 230,859 229,972 Commercial and industrial 518,136 496,347 Consumer 52,759 53,382 Other 49,371 80,762 Total 2,358,928 2,312,798 Allowance for credit losses on loans ( 25,524 ) ( 23,806 ) Total loans, net $ 2,333,404 $ 2,288,992 Non-accrual and Past Due Loans The following table presents the recorded investment in loans by aging category and accrual status of June 30, 2023 and December 31, 2022 by class of loans (in thousands): Accruing 30 - 59 60 - 89 Greater Than Days Days 89 Days Total Loans Not Non-Accrual Past Due Past Due Past Due Past Due Past Due Loans Total June 30, 2023 Commercial real estate - owner occupied $ — $ — $ 5 $ 5 $ 270,794 $ 4,913 $ 275,712 Commercial real estate - non-owner occupied — — — — 802,123 451 802,574 Consumer real estate 499 66 92 657 426,883 1,977 429,517 Construction and land development — — — — 230,853 6 230,859 Commercial and industrial 457 5 696 1,158 513,127 3,851 518,136 Consumer 124 56 144 324 52,417 18 52,759 Other — — — — 49,370 1 49,371 Total $ 1,080 $ 127 $ 937 $ 2,144 $ 2,345,567 $ 11,217 $ 2,358,928 Accruing 30 - 59 60 - 89 Greater Than Days Days 89 Days Total Loans Not Non-Accrual Past Due Past Due Past Due Past Due Past Due Loans Total December 31, 2022 Commercial real estate - owner occupied $ — $ — $ — $ — $ 239,351 $ 4,982 $ 244,333 Commercial real estate - non-owner occupied — — — — 802,107 — 802,107 Consumer real estate 456 231 87 774 393,893 456 395,123 Construction and land development — — — — 229,896 8 229,904 Commercial and industrial 76 53 744 873 489,842 4,065 494,780 Consumer 178 39 14 231 52,731 54 53,016 Other — — 37 37 80,535 — 80,572 Purchased credit impaired 175 149 143 467 11,347 1,149 12,963 Total $ 885 $ 472 $ 1,025 $ 2,382 $ 2,299,702 $ 10,714 $ 2,312,798 The following table presents the recorded investment in nonaccrual loans as of June 30, 2023 by class of loans (in thousands): Non-Accrual loans with no allowance Non-Accrual loans with allowance Total Non-Accrual Loans Commercial real estate - owner occupied $ 4,913 $ — $ 4,913 Commercial real estate - non-owner occupied 451 — 451 Consumer real estate 1,977 — 1,977 Construction and land development 6 — 6 Commercial and industrial 444 3,407 3,851 Consumer 18 — 18 Other 1 — 1 Total $ 7,810 $ 3,407 $ 11,217 The Company recognized no interest income on nonaccrual loans during the three or six months ended June 30, 2023. Risk Ratings The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes all commercial loans individually and assigns each loan a risk rating. This analysis is performed at origination by the relationship manager and credit department personnel. On at least an annual basis, an independent party performs a formal credit risk review of a sample of the loan portfolio. Among other things, this review assesses the appropriateness of the loan’s risk rating. The Company uses the following definitions for risk ratings: • Pass – Loans in this category are considered to have a low probability of default and do not meet the criteria of the risk categories below. • Special Mention – A special mention asset possesses deficiencies or potential weaknesses deserving of management’s attention. If uncorrected, such weaknesses or deficiencies may expose the Company to an increased risk of loss in the future. • Substandard – A substandard asset is inadequately protected by the current sound net worth and paying capacity of the obligor or of the collateral pledged, if any. Assets so classified must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the Company will sustain some loss if deficiencies are not corrected. Loss potential, while existing in the aggregate amount of substandard assets, does not have to exist in individual assets classified substandard. • Doubtful – A doubtful asset has all weaknesses inherent in one classified substandard, with the added characteristic that weaknesses make collection or liquidation in full, on the basis of existing facts, conditions, and values, highly questionable and improbable. The probability of loss is extremely high, but certain important and reasonable specific pending factors which may work to the advantage and strengthening of the asset exist, therefore, its classification as an estimated loss is deferred until a more exact status may be determined. Pending factors include proposed merger, acquisition or liquidation procedures, capital injection, perfecting liens on additional collateral, and refinancing plans. The following table provides the risk category of loans by applicable class of loans and vintage year as of June 30, 2023 (in thousands): Term Loans by Origination Year 2023 2022 2021 2020 2019 Prior Revolvers Revolvers converted to term loans Total Commercial real estate - owner occupied Pass $ 18,429 $ 84,447 $ 88,266 $ 27,450 $ 19,337 $ 25,191 $ 7,524 $ — $ 270,644 Special Mention — — — — — — — — — Substandard — — 2,562 — 154 2,352 — — 5,068 Doubtful — — — — — — — — — Total $ 18,429 $ 84,447 $ 90,828 $ 27,450 $ 19,491 $ 27,543 $ 7,524 $ — $ 275,712 Current period gross charge-offs — — — — — — — — — Commercial real estate - non-owner occupied Pass $ 29,710 $ 307,369 $ 213,493 $ 105,927 $ 41,304 $ 93,486 $ 10,648 $ 186 $ 802,123 Special Mention — — — — — — — — — Substandard — 236 — — — — 215 — 451 Doubtful — — — — — — — — — Total $ 29,710 $ 307,605 $ 213,493 $ 105,927 $ 41,304 $ 93,486 $ 10,863 $ 186 $ 802,574 Current period gross charge-offs — — — — — — — — — Consumer real estate Pass $ 24,396 $ 94,240 $ 38,255 $ 16,964 $ 14,779 $ 45,206 $ 190,185 $ 2,205 $ 426,230 Special Mention 37 — — — 264 267 — 12 580 Substandard 89 915 28 40 195 1,232 166 2 2,667 Doubtful — — — — — — 40 — 40 Total $ 24,522 $ 95,155 $ 38,283 $ 17,004 $ 15,238 $ 46,705 $ 190,391 $ 2,219 $ 429,517 Current period gross charge-offs — — — — — — — — — Construction and land development Pass $ 15,457 $ 114,910 $ 76,293 $ 12,064 $ 6,209 $ 3,375 $ 962 $ — $ 229,270 Special Mention — — — — — — — — — Substandard — 1,583 — — — 6 — — 1,589 Doubtful — — — — — — — — — Total $ 15,457 $ 116,493 $ 76,293 $ 12,064 $ 6,209 $ 3,381 $ 962 $ — $ 230,859 Current period gross charge-offs — — — — — — — — — Commercial and industrial Pass $ 46,214 $ 148,489 $ 82,401 $ 47,292 $ 17,803 $ 11,239 $ 140,421 $ 2,982 $ 496,841 Special Mention 52 14 2,300 3,191 — — 2,681 — 8,238 Substandard 8 — 88 5,101 — — 7,434 245 12,876 Doubtful — — — 129 22 30 — 181 Total $ 46,274 $ 148,503 $ 84,789 $ 55,713 $ 17,825 $ 11,239 $ 150,566 $ 3,227 $ 518,136 Current period gross charge-offs — 80 9 98 59 — 61 — 307 Consumer Pass $ 11,381 $ 14,420 $ 7,332 $ 2,379 $ 744 $ 541 $ 15,153 $ 734 $ 52,684 Special Mention — — — — — — — — — Substandard — 35 28 — 11 — — — 74 Doubtful — — 1 — — — — — 1 Total $ 11,381 $ 14,455 $ 7,361 $ 2,379 $ 755 $ 541 $ 15,153 $ 734 $ 52,759 Current period gross charge-offs — 18 25 20 12 93 — — 168 Other Pass $ 10,636 $ 6,555 $ 21,686 $ 5,031 $ 851 $ 1,977 $ 2,060 $ 364 $ 49,160 Special Mention — 155 — — — — — — 155 Substandard — — 2 53 — 1 — — 56 Doubtful — — — — — — — — — Total $ 10,636 $ 6,710 $ 21,688 $ 5,084 $ 851 $ 1,978 $ 2,060 $ 364 $ 49,371 Current period gross charge-offs — — — — — 58 — — 58 Total Portfolio Pass $ 156,223 $ 770,430 $ 527,726 $ 217,107 $ 101,027 $ 181,015 $ 366,953 $ 6,471 $ 2,326,952 Special Mention 89 169 2,300 3,191 264 267 2,681 12 8,973 Substandard 97 2,769 2,708 5,194 360 3,591 7,815 247 22,781 Doubtful — — 1 129 22 — 70 — 222 Total $ 156,409 $ 773,368 $ 532,735 $ 225,621 $ 101,673 $ 184,873 $ 377,519 $ 6,730 $ 2,358,928 Current period gross charge-offs $ - $ 98 $ 34 $ 118 $ 71 $ 151 $ 61 $ - $ 533 The following table provides the risk category of loans by applicable class of loans as of December 31, 2022 (in thousands): Non-impaired Loans December 31, 2022 Pass Special Substandard Doubtful Total Impaired Total Commercial real estate - owner occupied $ 234,619 $ 4,731 $ 440 $ — $ 4,543 $ 244,333 Commercial real estate - non-owner occupied 802,107 — — — — 802,107 Consumer real estate 393,734 555 467 — 367 395,123 Construction and land development 229,897 — — — 7 229,904 Commercial and industrial 477,081 516 12,751 127 4,305 494,780 Consumer 52,911 — 84 2 19 53,016 Other 80,504 — 68 — — 80,572 Purchased credit impaired 11,595 68 1,259 41 — 12,963 Total $ 2,282,448 $ 5,870 $ 15,069 $ 170 $ 9,241 $ 2,312,798 Modifications Occasionally, the Company modifies loans to borrowers in financial distress by providing principal forgiveness, term extension, an other-than-insignificant payment delay or interest rate reduction. When principal forgiveness is provided, the amount of forgiveness is charged-off against the ACL. In some cases, the Company provides multiple types of concessions on one loan. Typically, one type of concession, such as a term extension, is granted initially. If the borrower continues to experience financial difficulty, another concession, such as principal forgiveness, may be granted. The following table represents the loans at June 30, 2023 that were both experiencing financial difficulty and modified during the six months ended June 30, 2023 , by class and by type of modification. No modifications were made during the three months ended June 30, 2023. The percentage of loans that were modified to borrowers in financial distress as compared to the total loans of each class is also presented below. Payment Delay Term Extension Total Class of Loans Commercial and industrial $ 3,670 $ 320 0.77 % Total $ 3,670 $ 320 0.17 % The Company has not committed to lend additional amounts to the borrowers included in the previous table. The Company closely monitors the performance of loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. Such loans that had been modified in the last 12 months are all current with no loans past due. The following table presents the financial effect of the loan modifications represented above to borrowers experiencing financial difficulty for the six months ended June 30, 2023: Weighted-Average Weighted-Average Payment Term Delay Extension Commercial and industrial 7 mos. 6 mos. Total 7 mos. 6 mos. No loans modified during the three or six months ended June 30, 2023 are in payment default. Upon the Company's determination that a modified loan has subsequently been deemed uncollectible, the loan is written off. Therefore, the recorded investment of the loan is reduced by the uncollectible amount and the allowance for credit losses is adjusted by the same amount. The following table presents collateral dependent loans, which are individually evaluated to determine expected credit losses, as of June 30, 2023 by class of loan and type of collateral. Real Estate Total Commercial real estate - owner occupied $ 5,478 $ 5,478 Commercial and industrial 317 317 Total $ 5,795 $ 5,795 Allowance for Credit Loss The following table details the changes in the ACL for the three and six month periods ended June 30, 2023 and 2022 (in thousands): CECL Incurred Loss For the three months ended June 30, 2023 2022 Beginning Balance Charge-Offs Recoveries Provision Ending Balance Beginning Balance Charge-Offs Recoveries Provision Ending Balance Commercial real estate - owner occupied $ 2,319 $ — $ — $ 43 $ 2,362 $ 1,844 $ ( 12 ) $ 226 $ ( 206 ) $ 1,852 Commercial real estate - non-owner occupied 5,610 — — 1,297 6,907 5,143 — — 154 5,297 Consumer real estate 3,808 — 44 ( 41 ) 3,811 2,214 — 1 340 2,555 Construction and land development 3,691 — — 258 3,949 3,308 — — ( 37 ) 3,271 Commercial and industrial 6,773 ( 159 ) 3 ( 619 ) 5,998 7,206 ( 161 ) 23 396 7,464 Consumer 1,567 ( 67 ) 25 ( 24 ) 1,501 381 ( 66 ) 24 159 498 Other 1,421 ( 32 ) 2 ( 395 ) 996 761 ( 52 ) 1 37 747 Total allowance for credit losses - loans $ 25,189 $ ( 258 ) $ 74 $ 519 $ 25,524 $ 20,857 $ ( 291 ) $ 275 $ 843 $ 21,684 Allowance for credit losses - unfunded commitments 4,060 — — ( 497 ) $ 3,563 $ 319 — — — $ 319 CECL Incurred Loss For the six months ended June 30, 2023 2022 Beginning Balance Adoption of CECL Jan. 1, 2023 Charge-Offs Recoveries Provision Ending Balance Beginning Balance Charge-Offs Recoveries Provision Ending Balance Commercial real estate - owner occupied $ 1,967 $ 209 $ 2,176 $— $— $ 186 $ 2,362 $ 1,685 $( 12 ) $ 226 $( 47 ) $ 1,852 Commercial real estate - non-owner occupied 5,967 ( 632 ) 5,335 — — 1,572 6,907 5,439 — — ( 142 ) 5,297 Consumer real estate 3,153 650 3,803 — 44 ( 36 ) 3,811 2,412 — 1 142 2,555 Construction and land development 3,830 ( 266 ) 3,564 — — 385 3,949 3,769 — — ( 498 ) 3,271 Commercial and industrial 7,654 ( 995 ) 6,659 ( 307 ) 5 ( 359 ) 5,998 7,441 ( 161 ) 23 161 7,464 Consumer 430 1,127 1,557 ( 168 ) 128 ( 16 ) 1,501 397 ( 147 ) 81 167 498 Other 805 1,404 2,209 ( 58 ) 7 ( 1,162 ) 996 555 ( 90 ) 6 276 747 Total $ 23,806 $ 1,497 $ 25,303 $( 533 ) $ 184 $ 570 $ 25,524 $ 21,698 $( 410 ) $ 337 $ 59 $ 21,684 Allowance for credit losses - unfunded commitments $ 319 3,350 3,669 — — ( 106 ) $ 3,563 $ 319 — — — $ 319 As of June 30, 2023, the Company used a one-year reasonable and supportable forecast period. The changes in loss rates used as the basis for the estimate of credit losses during this period were modeled using both the Company's own historical data and historical data from peer banks and macroeconomic forecast data obtained from a third party vendor, which were then applied to the Company’s recent default experience as a starting point. At June 30, 2023, the forecast indicated that the markets in which the Company operates will experience a decline in economic conditions and an increase in the unemployment rate over the next year, primarily as a result of the interest rate environment. The increase in the ACL compared to January 1, 2023 was primarily attributable to an increase in the loan portfolio, changes in various loan attributes at the instrument level, and qualitative factors. For periods beyond the reasonable and supportable forecast period of one year, the Company reverted to historical credit loss information on a straight line basis over two years. The Company maintains an allowance for unfunded commitments exposures. The allowance for unfunded commitments credit exposures is adjusted as a provision for credit loss expense. The estimate includes consideration of the likelihood that funding will occur, which is based on a historical funding study derived from internal information, and an estimate of expected credit losses on commitments expected to be funded over its estimated life, which are the same loss rates that are used in computing the allowance for credit losses on loans. The ACL for unfunded loan commitments of $ 3.6 million and $ 0.3 million at June 30, 2023 and December 31, 2022, respectively, is separately classified on the balance sheet within Other Liabilities. Incurred Loss Impairment Methodology A breakdown of the ALL and the loan portfolio by loan category as previously required by ASC Topic 310 at December 31, 2022 follows (in thousands): Commercial real estate - owner occupied Commercial real estate - non-owner occupied Consumer Construction Commercial Consumer Other Total December 31, 2022 Allowance for Loan Losses: Collectively evaluated for impairment $ 1,967 $ 5,967 $ 3,153 $ 3,830 $ 6,909 $ 378 $ 805 $ 23,009 Individually evaluated for impairment — — — — 716 — — 716 Purchased credit impaired — — — — 29 52 — 81 Balances, end of period $ 1,967 $ 5,967 $ 3,153 $ 3,830 $ 7,654 $ 430 $ 805 $ 23,806 Loans: Collectively evaluated for impairment $ 239,790 $ 802,107 $ 394,756 $ 229,897 $ 490,475 $ 52,997 $ 80,572 $ 2,290,594 Individually evaluated for impairment 4,543 — 367 7 4,305 19 — 9,241 Purchased credit impaired 1,776 1,504 7,492 68 1,567 366 190 12,963 Balances, end of period $ 246,109 $ 803,611 $ 402,615 $ 229,972 $ 496,347 $ 53,382 $ 80,762 $ 2,312,798 The following table presents additional detail on loans individually evaluated for impairment as previously required by ASC Topic 310 as of December 31, 2022 (in thousands): December 31, 2022 Recorded Unpaid Related With no related allowance recorded: Commercial real estate - owner occupied $ 4,543 $ 4,551 $ — Commercial real estate - non-owner occupied — — — Consumer real estate 367 393 — Construction and land development 7 8 — Commercial and industrial 420 412 — Consumer 19 19 — Other — — — Subtotal 5,356 5,383 — With an allowance recorded: Commercial real estate - owner occupied — — — Commercial real estate - non-owner occupied — Consumer real estate — — — Construction and land development — — — Commercial and industrial 3,885 4,061 716 Consumer — — — Other — — — Subtotal 3,885 4,061 716 Total $ 9,241 $ 9,444 $ 716 The average balances of impaired loans and income recognized on impaired loans while they were considered impaired under Incurred Loss are presented below for the period indicated (in thousands). Three Months Ended Six Months Ended June 30, 2022 June 30, 2022 Average Interest Average Interest With no related allowance recorded: Commercial real estate - owner occupied $ — $ — $ — $ — Commercial real estate - non-owner occupied — — — — Consumer real estate 203 — 207 — Construction and land development 9 — 9 — Commercial and industrial 80 — 81 — Consumer 10 — 10 — Other — — — — Subtotal 302 — 307 — With an allowance recorded: Commercial real estate - owner occupied — — — — Commercial real estate - non-owner occupied — — Consumer real estate — — — — Construction and land development — — — — Commercial and industrial — — — — Consumer — — — — Other — — — — Subtotal — — — — Total $ 302 $ — $ 307 $ — The following table presents changes in the carrying value of PCI loans (in thousands) for the periods indicated: Three Months Ended Six Months Ended June 30, 2022 Balance at beginning of period $ 17,658 $ 19,261 Change due to payments received and accretion ( 1,960 ) ( 3,371 ) Reclassification of discount to allowance for loan losses 111 ( 81 ) Balance at end of period $ 15,809 $ 15,809 The following table presents changes in the accretable yield for PCI loans (in thousands) for the periods indicated: Three Months Ended Six Months Ended June 30, 2022 Balance at beginning of period $ 5,326 $ 5,763 Accretion ( 432 ) ( 869 ) Reclassification from nonaccretable difference 304 304 Other, net ( 206 ) ( 206 ) Balance at end of period $ 4,992 $ 4,992 PCI loans had no impact on the ALL for the three or six months ended June 30, 2022. Loans Held for Sale A summary of the loans held for sale as of June 30, 2023 and December 31, 2022 follows (in thousands): June 30, 2023 December 31, 2022 Residential mortgage $ 28,121 $ 12,636 Guaranteed portion of SBA loans 20,774 32,072 Total $ 48,895 $ 44,708

Short Term Borrowings And Long-

Short Term Borrowings And Long-Term Debt	6 Months Ended
	Jun. 30, 2023
Federal Home Loan Banks [Abstract]
Short Term Borrowings And Long-Term Debt	NOTE 4 – SHORT TERM BORROWINGS AND LONG-TERM DEBT Short-Term Borrowings The Company had outstanding advances of $ 50.0 million and $ 15.0 million as of June 30, 2023 and December 31, 2022, respectively. June 30, 2023 December 31, 2022 Year Amount Interest Rates Amount Interest Rates 2023 $ 50,000 5.17 % $ 15,000 4.33 % Advances from the FHLB are collateralized by investment securities with a market value of $ 18.8 million and certain commercial and residential real estate mortgage loans totaling $ 755.5 million under a blanket mortgage collateral agreement. At June 30, 2023 , the amount of available credit from the FHLB totaled $ 490.6 million. Subordinated Notes The Company issued $ 30.0 million of fixed-to-floating rate subordinated notes during the third quarter of 2020, which were recorded net of issuance costs of $ 0.6 million, that mature June 30, 2030 . Beginning on or after June 30, 2025 , the Company may redeem the notes, in whole or in part, at their principal amount plus any accrued and unpaid interest. The notes have a fixed interest rate of 5.25 % per annum for the first five years. Thereafter, the interest rate will reset quarterly to an interest rate per annum equal to a benchmark rate (which is expected to be Three-Month Term SOFR) plus 513 basis points. The carrying value of subordinated notes was $ 29.7 million as of June 30, 2023 and December 31, 2022 .

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	6 Months Ended
	Jun. 30, 2023
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated Other Comprehensive Loss	NOTE 5– ACCUMULATED OTHER COMPREHENSIVE LOSS The following were changes in accumulated other comprehensive loss by component, net of tax, for the periods ended June 30, 2023 and 2022 (in thousands): Unrealized Gains and Losses on Available for Sale Securities Six Months Ended June 30, 2023 Beginning balance $ ( 50,052 ) Other comprehensive income before reclassification, net of tax ( 104 ) Amounts reclassified from accumulated other comprehensive income, net of tax ( 4 ) Net current period other comprehensive income ( 108 ) Ending Balance $ ( 50,160 ) Six Months Ended June 30, 2022 Beginning balance $ ( 1,270 ) Other comprehensive loss before reclassification, net of tax ( 34,056 ) Amounts reclassified from accumulated other comprehensive loss, net of tax — Net current period other comprehensive loss ( 34,056 ) Ending Balance $ ( 35,326 ) The following amounts were reclassified out of each component of accumulated other comprehensive income (loss) for the six months ended June 30, 2023 and 2022 (in thousands). No reclassifications occurred in the three months ended June 30, 2023 or 2022. Affected Line Item Details about Accumulated Other Six Months Ended June 30, in the Statement Where Comprehensive Income (Loss) Components 2023 2022 Net Income is Presented Realized gains on available- for-sale securities $ 5 $ — Net gain on sale of securities ( 1 ) — Income tax expense $ 4 $ — Net of tax

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	NOTE 6 – COMMITMENTS AND CONTINGENCIES In the normal course of business, the Company has outstanding commitments and contingent liabilities, such as commitments to extend credit and standby letters of credit, which are not included in the accompanying financial statements. The Company’s exposure to credit loss in the event of nonperformance by the other party to the financial instruments for commitments to extend credit and standby letters of credit is represented by the contractual or notional amount of those instruments. The Company uses the same credit policies in making such commitments as it does for instruments that are included in the balance sheet. The following table sets forth outstanding financial instruments whose contract amounts represent credit risk as of June 30, 2023 and December 31, 2022 (in thousands): Contract or notional amount June 30, 2023 December 31, 2022 Financial instruments whose contract amounts represent Unused commitments to extend credit $ 1,079,377 $ 1,112,950 Standby letters of credit 8,939 7,288 Total $ 1,088,316 $ 1,120,238 The Company is party to litigation and claims arising in the normal course of business. Management believes that the liabilities, if any, arising from such litigation and claims as of June 30, 2023 , will not have a material impact on the financial statements of the Company.

Derivatives

Derivatives	6 Months Ended
	Jun. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivatives	NOTE 7 – DERIVATIVES The Company utilizes interest rate swap agreements as part of its asset liability management strategy to help manage its interest rate risk position. The notional amount of the interest rate swaps does not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual interest rate swap agreements. Interest Rate Swaps The Company enters into swaps to facilitate customer transactions and meet their financing needs. Upon entering into these transactions the Company enters into offsetting positions with large U.S. financial institutions in order to minimize market risk to the Company. A summary of the Company’s customer related interest rate swaps was as follows (in thousands): June 30, 2023 December 31, 2022 Notional Estimated Notional Estimated amount fair value amount fair value Interest rate swap agreements: Pay fixed/receive variable swaps $ 38,688 $ 2,276 $ 35,641 $ ( 2,343 ) Pay variable/receive fixed swaps 38,688 ( 2,276 ) 35,641 2,343 Total $ 77,376 $ — $ 71,282 $ — Mortgage Banking Derivatives The Company enters into various derivative agreements with customers in the form of interest-rate lock commitments, which are commitments to originate mortgage loans whereby the interest rate on the loan is determined prior to funding and the customers have locked into that interest rate. The derivatives are valued using a model that utilizes market interest rates and other unobservable inputs. Changes in the fair value of these commitments due to fluctuations in interest rates that are to be originated to our loans held for sale portfolio are economically hedged through the use of forward sale commitments of mortgage-backed securities. The gains and losses arising from this derivative activity are reflected in current period earnings under mortgage banking income. Interest rate lock commitments are valued using a model with significant unobservable market parameters. Forward sale commitments are valued based on quoted prices for similar assets in an active market with inputs that are observable. The net (losses) gains relating to mortgage banking derivative instruments included in mortgage banking income were as follows (in thousands): Three Months Ended Six Months Ended June 30, 2023 June 30, 2022 June 30, 2023 June 30, 2022 Mortgage loan interest rate lock commitments $ ( 256 ) $ 401 $ 320 $ ( 70 ) Mortgage-backed securities forward sales commitments 316 ( 409 ) 20 6 Total $ 60 $ ( 8 ) $ 340 $ ( 64 ) The amount and fair value of mortgage banking derivatives included in the consolidated balance sheets were as follows (in thousands): June 30, 2023 December 31, 2022 Notional Estimated Notional Estimated amount fair value amount fair value Included in other assets: Mortgage loan interest rate lock commitments $ 25,936 $ 326 $ 19,413 $ 6 Mortgage-backed securities forward sales commitments 18,500 47 12,500 27

Regulatory Capital Requirements

Regulatory Capital Requirements	6 Months Ended
	Jun. 30, 2023
Banking and Thrift, Interest [Abstract]
Regulatory Capital Requirements	NOTE 8 – REGULATORY CAPITAL REQUIREMENTS The Company and the Bank are subject to regulatory capital requirements administered by the Federal Reserve and the Bank is also subject to the regulatory capital requirements of the Tennessee Department of Financial Institutions. Failure to meet capital requirements can initiate certain mandatory – and possibly additional discretionary – actions by regulators that could, in that event, have a material adverse effect on the institutions’ financial statements. The relevant regulations require the Company and the Bank to meet specific capital adequacy guidelines that involve quantitative measures of their assets, liabilities and certain off-balance-sheet items as calculated under regulatory accounting principles. The capital classifications of the Company and the Bank are also subject to qualitative judgments by their regulators about components, risk weightings, and other factors. Those qualitative judgments could also affect the capital status of the Company and the Bank and the amount of dividends the Company and the Bank may distribute. The net unrealized gain or loss on available for sale securities is not included in computing regulatory capital. Management believes as of June 30, 2023, the Company and the Bank met all regulatory capital adequacy requirements to which they are subject. The Company’s and the Bank’s capital amounts and ratios as of June 30, 2023 and December 31, 2022 are presented in the following table (dollars in thousands). Actual Minimum capital Minimum to be Amount Ratio Amount Ratio Amount Ratio At June 30, 2023: Total capital to risk-weighted assets: CapStar Financial Holdings, Inc. $ 409,876 14.37 % $ 228,145 8.0 % N/A N/A CapStar Bank 394,468 13.80 228,599 8.0 $ 285,749 10 % Tier I capital to risk-weighted assets: CapStar Financial Holdings, Inc. 353,569 12.40 171,109 6.0 N/A N/A CapStar Bank 367,894 12.87 171,449 6.0 228,599 8.00 Common equity Tier 1 capital to risk weighted CapStar Financial Holdings, Inc. 353,569 12.40 128,332 4.5 N/A N/A CapStar Bank 351,394 12.30 128,587 4.5 185,737 6.50 Tier I capital to average assets: CapStar Financial Holdings, Inc. 353,569 11.05 127,964 4.0 N/A N/A CapStar Bank 367,894 11.51 127,901 4.0 159,877 5.00 At December 31, 2022: Total capital to risk-weighted assets: CapStar Financial Holdings, Inc. $ 410,704 14.51 % $ 226,491 8.0 % N/A N/A CapStar Bank 402,453 14.22 226,407 8.0 $ 283,009 10 % Tier I capital to risk-weighted assets: CapStar Financial Holdings, Inc. 356,913 12.61 169,868 6.0 N/A N/A CapStar Bank 378,328 13.37 169,805 6.0 226,407 8.00 Common equity Tier 1 capital to risk weighted CapStar Financial Holdings, Inc. 356,913 12.61 127,401 4.5 N/A N/A CapStar Bank 361,828 12.79 127,354 4.5 183,956 6.50 Tier I capital to average assets: CapStar Financial Holdings, Inc. 356,913 11.40 125,202 4.0 N/A N/A CapStar Bank 378,328 12.10 125,089 4.0 156,361 5.00 (1) For the calendar year 2023, the Company must maintain a capital conservation buffer of Tier 1 common equity capital in excess of minimum risk-based capital ratios by at least 2.5 % to avoid limits on capital distributions and certain discretionary bonus payments to executive officers and similar employees. (2) For the Company to be well-capitalized, the Bank must be well-capitalized and the Company must not be subject to any written agreement, order, capital directive, or prompt corrective action directive issued by the Federal Reserve to meet and maintain a specific capital level for any capital measure.

Earnings Per Share

Earnings Per Share	6 Months Ended
	Jun. 30, 2023
Earnings Per Share [Abstract]
Earnings Per Share	NOTE 9 – EARNINGS PER SHARE The following is a summary of the basic and diluted earnings per share calculation for the three and six month periods ended June 30, 2023 and 2022 (in thousands except share and per share data): Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Basic net income per share calculation: Numerator – Net income $ 7,804 $ 9,972 $ 14,250 $ 20,645 Denominator – Average common shares outstanding 21,065,115 22,022,109 21,311,691 22,109,737 Basic net income per share $ 0.37 $ 0.45 $ 0.67 $ 0.93 Diluted net income per share calculation: Numerator – Net income $ 7,804 $ 9,972 $ 14,250 $ 20,645 Denominator – Average common shares outstanding 21,065,115 22,022,109 21,311,691 22,109,737 Dilutive shares contingently issuable 42,342 52,151 38,281 54,217 Average diluted common shares outstanding 21,107,457 22,074,260 21,349,972 22,163,954 Diluted net income per share $ 0.37 $ 0.45 $ 0.67 $ 0.93

Fair Value

Fair Value	6 Months Ended
	Jun. 30, 2023
Fair Value Disclosures [Abstract]
Fair Value	NOTE 10 – FAIR VALUE Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. Level 2: Significant observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. The Bank used the following methods and significant assumptions to estimate fair value: Investment Securities : The fair values for investment securities are determined by quoted market prices, if available (Level 1). For securities where quoted prices are not available, fair values are calculated based on market prices of similar securities (Level 2), using matrix pricing. Matrix pricing is a mathematical technique commonly used to price debt securities that are not actively traded and values debt securities by relying on quoted prices for the specific securities and the securities’ relationship to other benchmark quoted securities (Level 2 inputs). For securities where quoted prices or market prices of similar securities are not available, fair values are calculated using discounted cash flows or other market indicators (Level 3). See below for additional discussion of Level 3 valuation methodologies and significant inputs. The fair values of all securities are determined from third party pricing services without adjustment. Derivatives-Interest Rate Swaps : The fair values of derivatives are based on valuation models using observable market data as of the measurement date (Level 2). The Bank’s derivatives are traded in an over-the-counter market where quoted market prices are not always available. Therefore, the fair values of derivatives are determined using quantitative models that utilize multiple market inputs. The inputs will vary based on the type of derivative, but could include interest rates, prices and indices to generate continuous yield or pricing curves, prepayment rates, and volatility factors to value the position. The majority of market inputs are actively quoted and can be validated through external sources, including brokers, market transactions and third-party pricing services. The fair values of all interest rate swaps are determined from third party pricing services without adjustment. Individually Evaluated Loans : The fair value of individually evaluated loans, formerly "impaired" under incurred loss methodology, with specific allocations of the ACL is generally based on recent appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available for similar loans and collateral underlying such loans. Such adjustments result in a Level 3 classification of the inputs for determining fair value. Collateral may be valued using an appraisal, net book value per the borrower’s financial statements, or aging reports, adjusted or discounted based on management’s historical knowledge, changes in market conditions from the time of the valuation, and management’s expertise and knowledge of the client and client’s business, resulting in a Level 3 fair value classification. Individually evaluated loans are evaluated on at least a quarterly basis for additional impairment and adjusted in accordance with the loan policy. Other Real Estate Owned : Assets acquired through or instead of loan foreclosure are initially recorded at fair value less costs to sell when acquired, establishing a new cost basis. These assets are subsequently accounted for at lower of cost or fair value less estimated costs to sell. Fair value is commonly based on recent real estate appraisals which are updated no less frequently than annually. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach with data from comparable properties. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Appraisals may be adjusted or discounted based on management’s historical knowledge, changes in market conditions from the time of the valuation, and/or management’s expertise and knowledge of the collateral. Such adjustments result in a Level 3 classification of the inputs for determining fair value. Real estate owned properties are evaluated on a quarterly basis for additional impairment and adjusted accordingly. The Company had no other real estate owned carried at fair value at June 30, 2023 or December 31, 2022. Loans Held For Sale : Loans held for sale are carried at either fair value, if elected, or the lower of cost or fair value on a pool-level basis. Origination fees and costs for loans held for sale recorded at lower of cost or market are capitalized in the basis of the loan and are included in the calculation of realized gains and losses upon sale. Origination fees and costs are recognized in earnings at the time of origination for loans held for sale that are recorded at fair value. Fair value is determined using quoted prices for similar assets, adjusted for specific attributes of that loan or other observable market data, such as outstanding commitments from third party investors (Level 2). Derivatives-Mortgage Loan Interest Rate Lock Commitments : Interest rate lock commitments that relate to the origination of mortgage loans that will be held for sale are recorded at fair value, determined as the amount that would be required to settle each derivative instrument at the balance sheet date. The fair value of the interest rate lock commitment is derived from the fair value of related mortgage loans, which is based on observable market data and includes the expected net future cash flows related to servicing of the loans. In estimating the fair value of an interest rate lock commitment, the Company assigns a probability to the interest rate lock commitment based on an expectation that it will be exercised and the loan will be funded (a “pull through” rate). The expected pull through rates are applied to the fair value of the unclosed mortgage pipeline, resulting in a Level 3 fair value classification. The pull through rate is a statistical analysis of our actual rate lock fallout history to determine the sensitivity of the residential mortgage loan pipeline compared to interest rate changes and other deterministic values. New market prices are applied based on updated loan characteristics and new fallout ratios (i.e., the inverse of the pull through rate) are applied accordingly. Significant increases (decreases) in the pull through rate in isolation result in a significantly higher (lower) fair value measurement. Changes to the fair value of interest rate lock commitments are recognized based on interest rate changes, changes in the probability that the commitment will be exercised, and the passage of time. Derivatives-Mortgage-Backed Securities Forward Sales Commitments : The Company utilizes mortgage-backed securities forward sales commitments to hedge mortgage loan interest rate lock commitments. Mortgage-backed securities forward sales commitments are recorded at fair value based on quoted prices for similar assets in an active market with inputs that are observable, resulting in a Level 2 fair value classification. Assets and liabilities measured at fair value on a recurring basis are summarized below (in thousands): Fair value measurements at June 30, 2023 Quoted prices in active Significant markets for other Significant identical observable unobservable Carrying assets inputs inputs Value (Level 1) (Level 2) (Level 3) Assets: Securities available-for-sale: U. S. government agency securities $ 11,856 $ — $ 11,856 $ — State and municipal securities 68,829 — 68,829 — Mortgage-backed securities 231,429 — 231,429 — Asset-backed securities 3,108 — 3,108 — Other debt securities 58,040 — 58,040 — Loans held for sale 28,121 — 28,121 — Derivative assets: Interest rate swaps - customer related 2,276 — 2,276 — Mortgage loan interest rate lock commitments 326 — — 326 Mortgage-backed securities forward sales commitments 47 — 47 — Liabilities: Derivative liabilities: Interest rate swaps - customer related ( 2,276 ) — ( 2,276 ) — Fair value measurements at December 31, 2022 Quoted prices in active Significant markets for other Significant identical observable unobservable Carrying assets inputs inputs Value (Level 1) (Level 2) (Level 3) Assets: Securities available-for-sale: U. S. government agency securities $ 12,902 $ — $ 12,902 $ — State and municipal securities 68,312 — 68,312 — Mortgage-backed securities 244,828 — 244,828 — Asset-backed securities 3,270 — 3,270 — Other debt securities 67,104 — 67,104 — Loans held for sale 12,636 — 12,636 — Derivative assets: Interest rate swaps - customer related 2,343 — 2,343 — Mortgage loan interest rate lock commitments 6 — — 6 Mortgage-backed securities forward sales commitments 27 — 27 — Liabilities: Derivative liabilities: Interest rate swaps - customer related ( 2,343 ) — ( 2,343 ) — The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30, 2023 and 2022 (in thousands): Mortgage Loan Interest Rate Lock Commitments 2023 2022 Balance of recurring Level 3 assets at January 1st $ 6 $ 696 Total gains or losses for the period: Included in mortgage banking income 320 ( 70 ) Balance of recurring Level 3 assets at June 30th $ 326 $ 626 The following table presents quantitative information about recurring Level 3 fair value measurements (dollars in thousands): Range Fair Valuation (Weighted- June 30, 2023 Value Technique(s) Unobservable Input(s) Average) Assets: Non-hedging derivatives: Mortgage loan interest rate lock commitments $ 326 Consensus pricing Origination pull-through rate 80 % - 100 % ( 93 %) Range Fair Valuation (Weighted- December 31, 2022 Value Technique(s) Unobservable Input(s) Average) Assets: Non-hedging derivatives: Mortgage loan interest rate lock commitments $ 6 Consensus pricing Origination pull-through rate 80 % - 100 % ( 94 %) Assets measured at fair value on a nonrecurring basis as of June 30, 2023 and December 31, 2022 are summarized below (in thousands). Quoted prices in active Significant markets for other Significant identical observable unobservable Carrying assets inputs inputs Value (level 1) (level 2) (level 3) Fair value measurements at June 30, 2023 Assets: Individually evaluated loans: Commercial and industrial $ 3,255 — — $ 3,255 Fair value measurements at December 31, 2022 Assets: Impaired loans: Commercial and industrial $ 3,169 — — $ 3,169 The following table presents quantitative information about June 30, 2023 and December 31, 2022 Level 3 fair value measurements for assets measured at fair value on a non-recurring basis (dollars in thousands): Range Fair Valuation (Weighted- June 30, 2023 Value Technique(s) Unobservable Input(s) Average) Individually evaluated loans: Commercial and industrial $ 109 Sales comparison approach Appraisal discounts 10 % Commercial and industrial 320 Income approach Fair value discount 9 % December 31, 2022 Impaired loans: Commercial and industrial $ 3,069 Sales comparison approach Appraisal discounts 10 % Commercial and industrial 100 Income approach Fair value discount 9 % Fair Value of Financial Instruments The carrying value and estimated fair values of the Bank’s financial instruments at June 30, 2023 and December 31, 2022 were as follows (in thousands): June 30, 2023 December 31, 2022 Carrying Carrying Fair value amount Fair value amount Fair value level of input Financial assets: Cash and due from banks, interest-bearing deposits in $ 168,826 $ 168,826 $ 130,838 $ 130,838 Level 1 Federal funds sold 1,883 1,883 4,467 4,467 Level 1 Securities available-for-sale 373,262 373,262 396,416 396,416 Level 2 Securities held-to-maturity — — 1,240 1,240 Level 2 Loans held for sale 48,895 50,543 44,708 46,585 Level 2 Restricted equity securities 16,130 N/A 16,632 N/A N/A Loans held for investment 2,358,928 2,289,811 2,312,798 2,265,617 Level 3 Accrued interest receivable 11,117 11,117 10,511 10,511 Level 2 Other assets 94,260 94,260 93,230 93,230 Level 2 / Level 3 Financial liabilities: Deposits 2,710,759 2,701,868 2,679,819 2,659,822 Level 2 Subordinated notes and Federal Home Loan bank advances and other borrowings 79,733 79,829 44,666 43,831 Level 2 Other liabilities 7,724 7,724 4,605 4,605 Level 3 The methods and assumptions, not previously presented, used to estimate fair values are described as follows: (a) Cash and Due from Banks, Interest-Bearing Deposits in Financial Institutions For these short‑term instruments, the carrying amount is a reasonable estimate of fair value. (b) Restricted Equity Securities It is not practical to determine the fair value of restricted securities due to restrictions placed on their transferability. (c) Loans Held for Sale Loans held for sale include residential mortgage loans, the guaranteed portion of SBA loans, and Tri-Net loans. The fair value of residential mortgage and SBA loans held for sale is measured using an exit price notion. The fair value of Tri-Net loans held for sale is measured using an exit price notion in as much as observable market data is available. Where there is no observable market data, the fair value of Tri-Net loans held for sale is estimated using discounted cash flow models. There were no Tri-Net loans held for sale as of June 30, 2023 or December 31, 2022. (d) Loans The fair value of loans was measured using an exit price notion. Fair values for impaired loans are estimated using discounted cash flow models or based on the fair value of the underlying collateral. (e) Accrued Interest Receivable The carrying amounts of accrued interest approximate fair value. (f) Other Assets Included in other assets are bank owned life insurance and certain interest rate swap agreements. The fair values of interest rate swap agreements are based on independent pricing services that utilize pricing models with observable market inputs. For bank owned life insurance, the carrying amount is based on the cash surrender value and is a reasonable estimate of fair value. (g) Deposits The fair value of demand deposits, savings accounts and certain money market deposits is the amount payable on demand at the reporting date. The fair value of certificates of deposit is estimated by discounted cash flow models, using current market interest rates offered on certificates with similar remaining maturities. (h) Federal Home Loan Bank Advances and Subordinated Debt The fair value of fixed rate Federal Home Loan Bank Advances and subordinated notes is estimated using discounted cash flow models, using current market interest rates offered on certificates, advances and other borrowings with similar remaining maturities. (i) Other Liabilities Included in other liabilities are accrued interest payable and certain interest rate swap agreements. The fair values of interest rate swap agreements are based on independent pricing services that utilize pricing models with observable market inputs. The carrying amounts of accrued interest approximate fair value. (j) Off-Balance Sheet Instruments Fair values for off-balance sheet, credit-related financial instruments are based on fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the counterparties’ credit standing. The fair value of commitments is not material. (k) Limitations Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instruments. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Bank’s entire holdings of a particular instrument. Because no market exists for a significant portion of the Bank’s financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the estimates. Fair value estimates are based on estimating on and off‑balance sheet financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. For example, fixed assets are not considered financial instruments and their value has not been incorporated into the fair value estimates. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimates.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited consolidated financial statements as of and for the period ended June 30, 2023 include CapStar Financial Holdings, Inc. and its wholly owned subsidiary, CapStar Bank (the “Bank”, together referred to as the “Company”). Significant intercompany transactions and accounts are eliminated in consolidation. The accompanying unaudited consolidated financial statements have been prepared in accordance with instructions to Form 10-Q and do not include all information and notes required by U.S. generally accepted accounting principles (“U.S. GAAP”) for complete financial statements. All adjustments consisting of normally recurring accruals that, in the opinion of management, are necessary for a fair presentation of the financial position and results of operations for the periods presented have been included. These unaudited consolidated financial statements should be read in conjunction with the Company’s consolidated financial statements and related notes appearing in the 2022 Form 10-K.
Subsequent Events	Subsequent Events Accounting Standards Codification (“ASC”) 855, Subsequent Events, establishes general standards of accounting for and disclosure of events that occur after the balance sheet date but before financial statements are issued. The Company evaluated all significant events or transactions that occurred after June 30, 2023 through the date of filing this Quarterly Report on Form 10-Q and determined that there were no events that required disclosure.
Adoption of New Accounting Standards	Adoption of New Accounting Standards On January 1, 2023, the Company adopted ASU 2016-13 Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, as amended, which replaced the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss ("CECL") methodology. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credit, financial guarantees, and other similar instruments) ("unfunded commitments"). In addition, ASC 326 made changes to the accounting for available-for-sale debt securities. One such change is to require credit losses to be presented as an allowance rather than as a write-down on available-for-sale debt securities management does not intend to sell or believes that it is more likely than not they will be required to sell. The Company adopted ASC 326 using the modified retrospective method for all financial assets measured at amortized cost and unfunded commitments credit exposures. Results for reporting periods beginning after January 1, 2023 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP ("incurred loss"). The Company recorded a net decrease to retained earnings of $ 3.4 million as of January 1, 2023 for the cumulative adoption effect of adopting ASC 326. The transition adjustment includes a $ 1.5 million increase in the allowance for credit losses ("ACL") on loans inclusive of a $ 0.2 million reclassification of purchased accounting discounts reclassified to the ACL on loans, a $ 3.4 million increase in the ACL on unfunded commitments credit exposures, and a $ 1.3 million increase in deferred tax assets. The Company adopted ASC 326 using the prospective transition approach for financial assets purchased with credit deterioration ("PCD") that were previously classified as purchased credit impaired ("PCI") and accounted for under ASC 310-30. In accordance with the standard, management did not reassess whether PCI assets met the criteria of PCD assets as of the date of adoption. On January 1, 2023, the amortized cost basis of the PCD assets were adjusted to reflect the addition of $ 0.2 million of the ACL. The remaining noncredit discount (based on the adjusted amortized cost basis) will be accreted into interest income at the effective interest rate as of January 1, 2023. As allowed by ASC 326, the Company elected to maintain pools of loans accounted for under ASC 310-30. ASU 2022-02, Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures In March 2022, the FASB issued ASU 2022-02, Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures, which eliminates the accounting guidance for troubled debt restructurings by creditors in ASC 310-40, Receivables – Troubled Debt Restructurings by Creditors, while enhancing disclosure requirements for certain loan refinancings and restructurings involving borrowings that are experiencing financial difficulty. Specifically, rather than applying the troubled debt restructuring recognition and measurement guidance, creditors will evaluate all loan modifications to determine if they result in a new loan or a continuation of the existing loan. Losses associated with troubled debt restructurings should be incorporated in a creditor’s estimate of its ACL. Additionally, public business entities are required to disclose current-period gross write-offs by year of origination for loan financing receivables and net investment in leases. The Company has adopted the standard as of January 1, 2023 with little to no impact to its accounting, and has included the additional required disclosures herein.
Debt Securities	Debt Securities Debt securities are classified as held-to-maturity and carried at amortized cost when management has the positive intent and ability to hold them to maturity. Debt securities not classified as held-to-maturity are classified as available-for-sale. Securities available-for-sale are carried at fair value, with unrealized holding gains and losses reported in other comprehensive income, net of tax. Interest income includes amortization of purchase premiums or discounts. Premiums and discounts on securities are generally amortized on the level-yield method without anticipating prepayments, except for mortgage-backed securities where prepayments are anticipated. Premiums on callable debt securities are amortized to their earliest call date. Gains and losses on sale are recorded on the trade date and determined using the specific identification method. A debt security is placed on non-accrual status at the time any principal or interest payments become over 90 days delinquent. Interest accrued but not received for a security placed on non-accrual is reversed against interest income.
Allowance for Credit Losses - Held-to-Maturity Securities and Available-for-Sale Securities	ACL - Held-to-Maturity Securities Management measures expected credit losses on held-to-maturity debt securities on a collective basis by major security type. Accrued interest receivable on held-to-maturity debt securities at June 30, 2023 totaled $ 0 and was excluded from the estimate of credit losses. The estimate of current expected credit losses considers historical credit loss information that is adjusted for current conditions and reasonable and supportable forecasts. Management classifies the held-to-maturity portfolio into one major security type, state and municipal securities, which are highly rated by major rating agencies. ACL - Available-for-Sale Securities For available-for-sale debt securities in an unrealized loss position, the Company first assesses whether it intends to sell, or if it is more likely than not that it will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security's amortized cost basis is written down to fair value through income. For debt securities available-for sale that do not meet the aforementioned criteria, the Company evaluated whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considered the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an ACL is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an ACL is recognized in other comprehensive income. Changes in the ACL are recorded as credit loss expense (or reversal). Losses are charged against the allowance when management believes the uncollectibility of an available-for-sale security is confirmed or when either of the criteria regarding intent or requirement to sell is met. Accrued interest receivable on available-for-sale debt secu rities totaled $ 1.6 million at June 30, 2023 and is excluded from the estimate of credit losses.
Loans	Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at amortized cost, net of the ACL. Amortized cost is the principal balance outstanding, net of purchase premiums and discounts, and deferred loan fees and costs. Accrued interest receivable totaled $ 9.5 million at June 30, 2023 and was reported in accrued interest receivable on the consolidated balance sheets and is excluded from the estimate of credit losses. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income using the level-yield method without anticipating prepayments. Interest income on mortgage and commercial loans is discontinued and placed on non-accrual status at the time the loan is 90 days delinquent unless the loan is well secured and in process of collection. Mortgage loans are charged off at 180 days past due, and commercial loans are charged off to the extent principal or interest is deemed uncollected. Consumer and credit card loans continue to accrue interest until they are charged off no later than 120 days past due unless the loan is in the process of collection. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on non-accrual or charged off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued but not received for loans placed on non-accrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Under the cost-recovery method, interest income is not recognized until the loan balance is reduced to zero. Under the cash-basis method, interest income is not recognized until the loan balance is reduced to zero. Under the cash-basis method, interest income is recorded when the payment is received in cash. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Purchase Credit Deteriorated ("PCD") Loans The Company has purchased loans, some of which have experienced more than insignificant credit deterioration since origination. PCD loans are recorded at the amount paid. An ACL is determined using the same methodology as other loans held for investment. The initial ACL determined on a collective basis is allocated to individual loans. The sum of the loan's purchase price and ACL becomes its initial amortized cost basis. The differences between the initial amortized cost basis and the par value of the loan is a noncredit discount or premium, which is amortized into interest income over the life of the loan. Subsequent change to the ACL are recorded through credit loss expense. Upon adoption of ASC 326, the Company elected to maintain pools of loans that were previously accounted for under ASC 310-30 and will continue to account for these pools as a unit of account. Loans are only removed from the existing pools if they are written off, paid off, or sold. Upon adoption of ASC 326, the ACL was determined for each pool and added to the pool's carrying amount to establish a new amortized cost basis. The difference between the unpaid principal balance of the pool and the new amortized cost basis is the noncredit premium or discount which will be amortized into interest income over the remaining life of the pool. Changes to the ACL after adoption are recorded through credit loss expense. ACL - Loans The ACL is a valuation account that is deducted from the loans' amortized cost basis to present the net amount expected to be collected on the loans. Loans are charged off against the ACL when management believes the uncollectibility of a loan balance is confirmed. Expected recoveries do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. Management estimates the ACL balance using relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience provides the basis for the estimation of expected credit losses. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or term as well as for changes in environmental conditions, such as changes in unemployment rates, property values, or other relevant factors. The ACL is measured on a collective (pool) basis when similar risk characteristics exist. The Company has identified the following portfolio segments and measures the ACL for each using a discounted cash flow methodology at the loan level, with loss rates, prepayment assumptions and curtailment assumptions driven by each loan’s collateral type. Owner occupied commercial real estate - Loans in this category are susceptible to business failure and general economic conditions. Non owner occupied commercial real estate - Common risks for this loan category are declines in general economic conditions, declines in real estate value, declines in occupancy rates, and lack of suitable alternative use for the property. Commercial & industrial - Risks to this loan category include the inability to monitor the condition of the collateral, which often consists of inventory, accounts receivable and other non-real estate assets. Equipment and inventory obsolescence can also pose a risk. Declines in general economic conditions and other events can cause cash flows to fall to levels insufficient to service debt. Commercial construction - Risks common to commercial construction loans are cost overruns, changes in market demand for property, inadequate long-term financing arrangements and declines in real estate values. Residential mortgage - Residential mortgage loans are susceptible to weakening general economic conditions, increases in unemployment rates and declining real estate values. Home equity lines of credit - Risks common to home equity lines of credit are general economic conditions, including an increase in unemployment rates, and declining real estate values that reduce or eliminate the borrower’s home equity. Residential construction - Residential construction loans are susceptible to the same risks as residential mortgage loans. Changes in market demand for property lead to longer marketing times resulting in higher carrying costs and declining values. Consumer - Risks common to consumer direct loans include unemployment and changes in local economic conditions as well as the inability to monitor collateral consisting of personal property. Loans that do not share risk characteristics are evaluated on an individual basis. Loans evaluated individually are not included in the collective evaluation. When management determines that foreclosure is probable expected credit losses are based on the fair value of the collateral at the reporting date, adjusted for selling costs as appropriate. Discounted Cash Flow Method The Company uses the discounted cash flow method to estimate expected credit losses for all loan segments. The Company generates cash flow projections at the instrument level and adjusts payment expectations for estimated prepayment speed, curtailments, time to recovery, probability of default, and loss given default. The modeling of expected prepayment speeds and curtailment rates are based on historical internal data. The prepayment speeds additionally use peer data to backfill a complete time series and utilizes a forward-looking third-party prepayment model, which considers current conditions and reasonable and supportable forecasts of future economic conditions. The Company uses regression analysis of historical internal and peer data to determine suitable loss drivers to utilize when modeling lifetime probability of default and loss given default. This analysis also determines how expected probability of default and loss given default will react to forecasted levels of the loss drivers. For all discounted cash flow models, management has determined that four quarters represents a reasonable and supportable forecast period and reverts back to a historical loss rate over four quarters on a straight-line basis. Management leverages economic projections around unemployment rates from the Federal Open Market Committee to inform its loss driver forecasts over the four-quarter forecast period. The combination of adjustments for credit expectations (default and loss) and timing expectations (prepayment, curtailment, and time to recovery) produces an expected cash flow stream at the instrument level. Instrument effective yield is calculated, net of the impacts of prepayment assumptions, and the instrument expected cash flows are then discounted at that effective yield to produce an instrument-level net present value of expected cash flows (“NPV”). An ACL is established for the difference between the instrument’s NPV and amortized cost basis. Qualitative Factors The Company uses qualitative factors for model limitations and risk uncertainty as well as for loan segment specific risks that cannot be addressed in the quantitative methods. Any additional qualitative factor reserves needed will be approved by the Allowance Committee quarterly. Individually Evaluated Assets Loans that do not share risk characteristics are evaluated on an individual basis. When the Company has determined that foreclosure on a collateral dependent loan is probable, or when the borrower is experiencing financial difficulty and the Company expects repayment of the loan to be provided substantially through the operation or sale of the collateral, the ACL is measured based on the difference between the fair value of the collateral and the amortized cost basis of the loan as of the measurement date. When repayment is expected to be from the operation of the collateral, expected credit losses are calculated as the amount by which the amortized cost basis of the loan exceeds the present value of expected cash flows from the operation of the collateral. The Company may, in the alternative, measure the expected credit loss as the amount by which the amortized cost basis of the loan exceeds the estimated fair value of the collateral. When repayment is expected to be from the sale of the collateral, expected credit losses are calculated as the amount by which the amortized costs basis of the loan exceeds the fair value of the underlying collateral less estimated cost to sell. The ACL may be zero if the fair value of the collateral at the measurement date exceeds the amortized cost basis of the loan. Determining the Contractual Term: Expected credit losses are estimated over the contractual term of the loans, adjusted for expected prepayments when appropriate. The contractual term excludes expected extensions, renewals, and modifications unless either of the following applies: management has a reasonable expectation at the reporting date that a modification will be executed with an individual borrower or the extension or renewal options included in the original or modified contract at the reporting date are not unconditionally cancellable by the Company. ACL - Unfunded commitments The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The ACL on unfunded commitments is adjusted through credit loss expense. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life. The ACL is calculated using the same aggregate reserve rates calculated for the funded portion of loans at the portfolio level applied to the amount of commitments expected to fund. The Company has identified pools of unfunded commitments which align with loans held for investment. The ACL on unfunded commitments is recorded on the other liabilities line item of the balance sheet.

Securities (Tables)

Securities (Tables)	6 Months Ended
	Jun. 30, 2023
Investments, Debt and Equity Securities [Abstract]
Summary of Amortized Cost and Fair Value of Available-for-sale and Held-to-maturity Securities	The amortized cost and fair value of securities available-for-sale and held-to-maturity at June 30, 2023 and December 31, 2022 are summarized as follows (in thousands): June 30, 2023 December 31, 2022 Amortized Gross Gross Estimated Amortized Gross Gross Estimated Securities available-for-sale: U. S. government agency securities $ 13,545 $ — $ ( 1,689 ) $ 11,856 $ 14,537 $ — $ ( 1,635 ) $ 12,902 State and municipal securities 76,818 148 ( 8,137 ) 68,829 77,562 129 ( 9,379 ) 68,312 Mortgage-backed securities 285,138 — ( 53,709 ) 231,429 300,488 — ( 55,660 ) 244,828 Asset-backed securities 3,186 — ( 78 ) 3,108 3,332 — ( 62 ) 3,270 Other debt securities 64,774 36 ( 6,770 ) 58,040 70,542 3 ( 3,441 ) 67,104 Total $ 443,461 $ 184 $ ( 70,383 ) $ 373,262 $ 466,461 $ 132 $ ( 70,177 ) $ 396,416 Securities held-to-maturity: State and municipal securities $ — $ — $ — $ — $ 1,240 $ — $ — $ 1,240 Total $ — $ — $ — $ — $ 1,240 $ — $ — $ 1,240 *Amortized cost of other debt securities is net of ACL totaling $ 2.0 million at June 30, 2023.
Summary of Sales, Maturities, Prepayments and Calls of Securities	Results from sales, maturities, prepayments and calls of securities available for sale were as follows (in thousands): Three Months Ended Six Months Ended June 30, 2023 June 30, 2022 June 30, 2023 June 30, 2022 Proceeds $ 9,434 $ 20,672 $ 20,279 $ 41,525 Gross gains — — 6 — Gross losses — — ( 1 ) —
Summary of Amortized Cost and Fair Value of Debt Securities by Contractual Maturity	The amortized cost and fair value of securities at June 30, 2023, by contractual maturity, are shown below (in thousands). Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately. Available-for-sale Amortized Estimated Due in less than one year $ 5,302 $ 5,300 Due one to five years 37,736 35,952 Due five to ten years 94,058 82,908 Due beyond ten years 18,041 14,565 Mortgage-backed securities 285,138 231,429 Asset-backed securities 3,186 3,108 Total $ 443,461 $ 373,262
Summary of Securities with Unrealized Losses and Length of Time Continuous Loss Positions	Securities in an unrealized loss position for which an ACL has not been recorded as of June 30, 2023 and December 31, 2022, and the length of time they were in continuous loss positions as of such dates are as follows (in thousands): Less than 12 months 12 months or more Total June 30, 2023 Estimated Gross Estimated Gross Estimated Gross U. S. government agency securities $ — $ — $ 11,856 $ ( 1,689 ) $ 11,856 $ ( 1,689 ) State and municipal securities 5,557 ( 60 ) 48,072 ( 8,077 ) 53,629 ( 8,137 ) Mortgage-backed securities 8,882 ( 382 ) 222,547 ( 53,327 ) 231,429 ( 53,709 ) Asset-backed securities — — 3,108 ( 78 ) 3,108 ( 78 ) Other debt securities 14,753 ( 1,677 ) 42,250 ( 5,093 ) 57,003 ( 6,770 ) Total temporarily impaired securities $ 29,192 $ ( 2,119 ) $ 327,833 $ ( 68,264 ) $ 357,025 $ ( 70,383 ) December 31, 2022 U. S. government agency securities $ 6,243 $ ( 836 ) $ 6,659 $ ( 799 ) $ 12,902 $ ( 1,635 ) State and municipal securities 12,952 ( 422 ) 41,779 ( 8,957 ) 54,731 ( 9,379 ) Mortgage-backed securities 81,751 ( 7,647 ) 161,708 ( 48,013 ) 243,459 ( 55,660 ) Asset-backed securities 3,270 ( 62 ) — — 3,270 ( 62 ) Other debt securities 41,018 ( 2,028 ) 24,084 ( 1,413 ) 65,102 ( 3,441 ) Total temporarily impaired securities $ 145,234 $ ( 10,995 ) $ 234,230 $ ( 59,182 ) $ 379,464 $ ( 70,177 )
Available-for-sale Securities, Allowance for Credit Loss Rollforward	The following table shows a rollforward of the ACL on available for sale securities for the six months ended June 30, 2023: Other debt securities Balance at December 31, 2022 $ — Adoption of CECL — Additions for securities for which no previous expected credit losses were recognized 2,000 Total $ 2,000

Loans and Allowance for Credi_2

Loans and Allowance for Credit Losses (Tables)	6 Months Ended
	Jun. 30, 2023
Receivables [Abstract]
Summary of Loans Held for Investment Portfolio	A summary of the loans held for investment portfolio as of June 30, 2023 and December 31, 2022 follows (in thousands): June 30, 2023 December 31, 2022 Commercial real estate - owner occupied $ 275,712 $ 246,109 Commercial real estate - non-owner occupied 802,574 803,611 Consumer real estate 429,517 402,615 Construction and land development 230,859 229,972 Commercial and industrial 518,136 496,347 Consumer 52,759 53,382 Other 49,371 80,762 Total 2,358,928 2,312,798 Allowance for credit losses on loans ( 25,524 ) ( 23,806 ) Total loans, net $ 2,333,404 $ 2,288,992
Schedule of Recorded Investment in Loans By Aging Category and Accrual Status	Non-accrual and Past Due Loans The following table presents the recorded investment in loans by aging category and accrual status of June 30, 2023 and December 31, 2022 by class of loans (in thousands): Accruing 30 - 59 60 - 89 Greater Than Days Days 89 Days Total Loans Not Non-Accrual Past Due Past Due Past Due Past Due Past Due Loans Total June 30, 2023 Commercial real estate - owner occupied $ — $ — $ 5 $ 5 $ 270,794 $ 4,913 $ 275,712 Commercial real estate - non-owner occupied — — — — 802,123 451 802,574 Consumer real estate 499 66 92 657 426,883 1,977 429,517 Construction and land development — — — — 230,853 6 230,859 Commercial and industrial 457 5 696 1,158 513,127 3,851 518,136 Consumer 124 56 144 324 52,417 18 52,759 Other — — — — 49,370 1 49,371 Total $ 1,080 $ 127 $ 937 $ 2,144 $ 2,345,567 $ 11,217 $ 2,358,928 Accruing 30 - 59 60 - 89 Greater Than Days Days 89 Days Total Loans Not Non-Accrual Past Due Past Due Past Due Past Due Past Due Loans Total December 31, 2022 Commercial real estate - owner occupied $ — $ — $ — $ — $ 239,351 $ 4,982 $ 244,333 Commercial real estate - non-owner occupied — — — — 802,107 — 802,107 Consumer real estate 456 231 87 774 393,893 456 395,123 Construction and land development — — — — 229,896 8 229,904 Commercial and industrial 76 53 744 873 489,842 4,065 494,780 Consumer 178 39 14 231 52,731 54 53,016 Other — — 37 37 80,535 — 80,572 Purchased credit impaired 175 149 143 467 11,347 1,149 12,963 Total $ 885 $ 472 $ 1,025 $ 2,382 $ 2,299,702 $ 10,714 $ 2,312,798
Schedule of Recorded Investment in Nonaccrual Loans	The following table presents the recorded investment in nonaccrual loans as of June 30, 2023 by class of loans (in thousands): Non-Accrual loans with no allowance Non-Accrual loans with allowance Total Non-Accrual Loans Commercial real estate - owner occupied $ 4,913 $ — $ 4,913 Commercial real estate - non-owner occupied 451 — 451 Consumer real estate 1,977 — 1,977 Construction and land development 6 — 6 Commercial and industrial 444 3,407 3,851 Consumer 18 — 18 Other 1 — 1 Total $ 7,810 $ 3,407 $ 11,217
Summary of Risk Category of Loans by Applicable Class of Loans	The following table provides the risk category of loans by applicable class of loans and vintage year as of June 30, 2023 (in thousands): Term Loans by Origination Year 2023 2022 2021 2020 2019 Prior Revolvers Revolvers converted to term loans Total Commercial real estate - owner occupied Pass $ 18,429 $ 84,447 $ 88,266 $ 27,450 $ 19,337 $ 25,191 $ 7,524 $ — $ 270,644 Special Mention — — — — — — — — — Substandard — — 2,562 — 154 2,352 — — 5,068 Doubtful — — — — — — — — — Total $ 18,429 $ 84,447 $ 90,828 $ 27,450 $ 19,491 $ 27,543 $ 7,524 $ — $ 275,712 Current period gross charge-offs — — — — — — — — — Commercial real estate - non-owner occupied Pass $ 29,710 $ 307,369 $ 213,493 $ 105,927 $ 41,304 $ 93,486 $ 10,648 $ 186 $ 802,123 Special Mention — — — — — — — — — Substandard — 236 — — — — 215 — 451 Doubtful — — — — — — — — — Total $ 29,710 $ 307,605 $ 213,493 $ 105,927 $ 41,304 $ 93,486 $ 10,863 $ 186 $ 802,574 Current period gross charge-offs — — — — — — — — — Consumer real estate Pass $ 24,396 $ 94,240 $ 38,255 $ 16,964 $ 14,779 $ 45,206 $ 190,185 $ 2,205 $ 426,230 Special Mention 37 — — — 264 267 — 12 580 Substandard 89 915 28 40 195 1,232 166 2 2,667 Doubtful — — — — — — 40 — 40 Total $ 24,522 $ 95,155 $ 38,283 $ 17,004 $ 15,238 $ 46,705 $ 190,391 $ 2,219 $ 429,517 Current period gross charge-offs — — — — — — — — — Construction and land development Pass $ 15,457 $ 114,910 $ 76,293 $ 12,064 $ 6,209 $ 3,375 $ 962 $ — $ 229,270 Special Mention — — — — — — — — — Substandard — 1,583 — — — 6 — — 1,589 Doubtful — — — — — — — — — Total $ 15,457 $ 116,493 $ 76,293 $ 12,064 $ 6,209 $ 3,381 $ 962 $ — $ 230,859 Current period gross charge-offs — — — — — — — — — Commercial and industrial Pass $ 46,214 $ 148,489 $ 82,401 $ 47,292 $ 17,803 $ 11,239 $ 140,421 $ 2,982 $ 496,841 Special Mention 52 14 2,300 3,191 — — 2,681 — 8,238 Substandard 8 — 88 5,101 — — 7,434 245 12,876 Doubtful — — — 129 22 30 — 181 Total $ 46,274 $ 148,503 $ 84,789 $ 55,713 $ 17,825 $ 11,239 $ 150,566 $ 3,227 $ 518,136 Current period gross charge-offs — 80 9 98 59 — 61 — 307 Consumer Pass $ 11,381 $ 14,420 $ 7,332 $ 2,379 $ 744 $ 541 $ 15,153 $ 734 $ 52,684 Special Mention — — — — — — — — — Substandard — 35 28 — 11 — — — 74 Doubtful — — 1 — — — — — 1 Total $ 11,381 $ 14,455 $ 7,361 $ 2,379 $ 755 $ 541 $ 15,153 $ 734 $ 52,759 Current period gross charge-offs — 18 25 20 12 93 — — 168 Other Pass $ 10,636 $ 6,555 $ 21,686 $ 5,031 $ 851 $ 1,977 $ 2,060 $ 364 $ 49,160 Special Mention — 155 — — — — — — 155 Substandard — — 2 53 — 1 — — 56 Doubtful — — — — — — — — — Total $ 10,636 $ 6,710 $ 21,688 $ 5,084 $ 851 $ 1,978 $ 2,060 $ 364 $ 49,371 Current period gross charge-offs — — — — — 58 — — 58 Total Portfolio Pass $ 156,223 $ 770,430 $ 527,726 $ 217,107 $ 101,027 $ 181,015 $ 366,953 $ 6,471 $ 2,326,952 Special Mention 89 169 2,300 3,191 264 267 2,681 12 8,973 Substandard 97 2,769 2,708 5,194 360 3,591 7,815 247 22,781 Doubtful — — 1 129 22 — 70 — 222 Total $ 156,409 $ 773,368 $ 532,735 $ 225,621 $ 101,673 $ 184,873 $ 377,519 $ 6,730 $ 2,358,928 Current period gross charge-offs $ - $ 98 $ 34 $ 118 $ 71 $ 151 $ 61 $ - $ 533 The following table provides the risk category of loans by applicable class of loans as of December 31, 2022 (in thousands): Non-impaired Loans December 31, 2022 Pass Special Substandard Doubtful Total Impaired Total Commercial real estate - owner occupied $ 234,619 $ 4,731 $ 440 $ — $ 4,543 $ 244,333 Commercial real estate - non-owner occupied 802,107 — — — — 802,107 Consumer real estate 393,734 555 467 — 367 395,123 Construction and land development 229,897 — — — 7 229,904 Commercial and industrial 477,081 516 12,751 127 4,305 494,780 Consumer 52,911 — 84 2 19 53,016 Other 80,504 — 68 — — 80,572 Purchased credit impaired 11,595 68 1,259 41 — 12,963 Total $ 2,282,448 $ 5,870 $ 15,069 $ 170 $ 9,241 $ 2,312,798
Schedule of Loan Modification	The following table represents the loans at June 30, 2023 that were both experiencing financial difficulty and modified during the six months ended June 30, 2023 , by class and by type of modification. No modifications were made during the three months ended June 30, 2023. The percentage of loans that were modified to borrowers in financial distress as compared to the total loans of each class is also presented below. Payment Delay Term Extension Total Class of Loans Commercial and industrial $ 3,670 $ 320 0.77 % Total $ 3,670 $ 320 0.17 %
Financial Effect of the Loan Modification	The following table presents the financial effect of the loan modifications represented above to borrowers experiencing financial difficulty for the six months ended June 30, 2023: Weighted-Average Weighted-Average Payment Term Delay Extension Commercial and industrial 7 mos. 6 mos. Total 7 mos. 6 mos.
Schedule of Collateral Dependent Loans by Class of Loan and Type of Collateral	The following table presents collateral dependent loans, which are individually evaluated to determine expected credit losses, as of June 30, 2023 by class of loan and type of collateral. Real Estate Total Commercial real estate - owner occupied $ 5,478 $ 5,478 Commercial and industrial 317 317 Total $ 5,795 $ 5,795
Summary of Changes and Breakdown of Allowance for Loan Losses and Loan Portfolio by Loan Category	The following table details the changes in the ACL for the three and six month periods ended June 30, 2023 and 2022 (in thousands): CECL Incurred Loss For the three months ended June 30, 2023 2022 Beginning Balance Charge-Offs Recoveries Provision Ending Balance Beginning Balance Charge-Offs Recoveries Provision Ending Balance Commercial real estate - owner occupied $ 2,319 $ — $ — $ 43 $ 2,362 $ 1,844 $ ( 12 ) $ 226 $ ( 206 ) $ 1,852 Commercial real estate - non-owner occupied 5,610 — — 1,297 6,907 5,143 — — 154 5,297 Consumer real estate 3,808 — 44 ( 41 ) 3,811 2,214 — 1 340 2,555 Construction and land development 3,691 — — 258 3,949 3,308 — — ( 37 ) 3,271 Commercial and industrial 6,773 ( 159 ) 3 ( 619 ) 5,998 7,206 ( 161 ) 23 396 7,464 Consumer 1,567 ( 67 ) 25 ( 24 ) 1,501 381 ( 66 ) 24 159 498 Other 1,421 ( 32 ) 2 ( 395 ) 996 761 ( 52 ) 1 37 747 Total allowance for credit losses - loans $ 25,189 $ ( 258 ) $ 74 $ 519 $ 25,524 $ 20,857 $ ( 291 ) $ 275 $ 843 $ 21,684 Allowance for credit losses - unfunded commitments 4,060 — — ( 497 ) $ 3,563 $ 319 — — — $ 319 CECL Incurred Loss For the six months ended June 30, 2023 2022 Beginning Balance Adoption of CECL Jan. 1, 2023 Charge-Offs Recoveries Provision Ending Balance Beginning Balance Charge-Offs Recoveries Provision Ending Balance Commercial real estate - owner occupied $ 1,967 $ 209 $ 2,176 $— $— $ 186 $ 2,362 $ 1,685 $( 12 ) $ 226 $( 47 ) $ 1,852 Commercial real estate - non-owner occupied 5,967 ( 632 ) 5,335 — — 1,572 6,907 5,439 — — ( 142 ) 5,297 Consumer real estate 3,153 650 3,803 — 44 ( 36 ) 3,811 2,412 — 1 142 2,555 Construction and land development 3,830 ( 266 ) 3,564 — — 385 3,949 3,769 — — ( 498 ) 3,271 Commercial and industrial 7,654 ( 995 ) 6,659 ( 307 ) 5 ( 359 ) 5,998 7,441 ( 161 ) 23 161 7,464 Consumer 430 1,127 1,557 ( 168 ) 128 ( 16 ) 1,501 397 ( 147 ) 81 167 498 Other 805 1,404 2,209 ( 58 ) 7 ( 1,162 ) 996 555 ( 90 ) 6 276 747 Total $ 23,806 $ 1,497 $ 25,303 $( 533 ) $ 184 $ 570 $ 25,524 $ 21,698 $( 410 ) $ 337 $ 59 $ 21,684 Allowance for credit losses - unfunded commitments $ 319 3,350 3,669 — — ( 106 ) $ 3,563 $ 319 — — — $ 319 A breakdown of the ALL and the loan portfolio by loan category as previously required by ASC Topic 310 at December 31, 2022 follows (in thousands): Commercial real estate - owner occupied Commercial real estate - non-owner occupied Consumer Construction Commercial Consumer Other Total December 31, 2022 Allowance for Loan Losses: Collectively evaluated for impairment $ 1,967 $ 5,967 $ 3,153 $ 3,830 $ 6,909 $ 378 $ 805 $ 23,009 Individually evaluated for impairment — — — — 716 — — 716 Purchased credit impaired — — — — 29 52 — 81 Balances, end of period $ 1,967 $ 5,967 $ 3,153 $ 3,830 $ 7,654 $ 430 $ 805 $ 23,806 Loans: Collectively evaluated for impairment $ 239,790 $ 802,107 $ 394,756 $ 229,897 $ 490,475 $ 52,997 $ 80,572 $ 2,290,594 Individually evaluated for impairment 4,543 — 367 7 4,305 19 — 9,241 Purchased credit impaired 1,776 1,504 7,492 68 1,567 366 190 12,963 Balances, end of period $ 246,109 $ 803,611 $ 402,615 $ 229,972 $ 496,347 $ 53,382 $ 80,762 $ 2,312,798
Summary of Loans Individually Evaluated for Impairment	The following table presents additional detail on loans individually evaluated for impairment as previously required by ASC Topic 310 as of December 31, 2022 (in thousands): December 31, 2022 Recorded Unpaid Related With no related allowance recorded: Commercial real estate - owner occupied $ 4,543 $ 4,551 $ — Commercial real estate - non-owner occupied — — — Consumer real estate 367 393 — Construction and land development 7 8 — Commercial and industrial 420 412 — Consumer 19 19 — Other — — — Subtotal 5,356 5,383 — With an allowance recorded: Commercial real estate - owner occupied — — — Commercial real estate - non-owner occupied — Consumer real estate — — — Construction and land development — — — Commercial and industrial 3,885 4,061 716 Consumer — — — Other — — — Subtotal 3,885 4,061 716 Total $ 9,241 $ 9,444 $ 716 The average balances of impaired loans and income recognized on impaired loans while they were considered impaired under Incurred Loss are presented below for the period indicated (in thousands). Three Months Ended Six Months Ended June 30, 2022 June 30, 2022 Average Interest Average Interest With no related allowance recorded: Commercial real estate - owner occupied $ — $ — $ — $ — Commercial real estate - non-owner occupied — — — — Consumer real estate 203 — 207 — Construction and land development 9 — 9 — Commercial and industrial 80 — 81 — Consumer 10 — 10 — Other — — — — Subtotal 302 — 307 — With an allowance recorded: Commercial real estate - owner occupied — — — — Commercial real estate - non-owner occupied — — Consumer real estate — — — — Construction and land development — — — — Commercial and industrial — — — — Consumer — — — — Other — — — — Subtotal — — — — Total $ 302 $ — $ 307 $ —
Schedule of Activity in Purchased Credit Impaired Loans	The following table presents changes in the carrying value of PCI loans (in thousands) for the periods indicated: Three Months Ended Six Months Ended June 30, 2022 Balance at beginning of period $ 17,658 $ 19,261 Change due to payments received and accretion ( 1,960 ) ( 3,371 ) Reclassification of discount to allowance for loan losses 111 ( 81 ) Balance at end of period $ 15,809 $ 15,809 The following table presents changes in the accretable yield for PCI loans (in thousands) for the periods indicated: Three Months Ended Six Months Ended June 30, 2022 Balance at beginning of period $ 5,326 $ 5,763 Accretion ( 432 ) ( 869 ) Reclassification from nonaccretable difference 304 304 Other, net ( 206 ) ( 206 ) Balance at end of period $ 4,992 $ 4,992
Summary of Loans Held for Sale	A summary of the loans held for sale as of June 30, 2023 and December 31, 2022 follows (in thousands): June 30, 2023 December 31, 2022 Residential mortgage $ 28,121 $ 12,636 Guaranteed portion of SBA loans 20,774 32,072 Total $ 48,895 $ 44,708

Short Term Borrowings And Lon_2

Short Term Borrowings And Long-Term Debt (Table)	6 Months Ended
	Jun. 30, 2023
Federal Home Loan Banks [Abstract]
Summary of Contractual Maturities and Average Effective Rates of Outstanding Advances	June 30, 2023 December 31, 2022 Year Amount Interest Rates Amount Interest Rates 2023 $ 50,000 5.17 % $ 15,000 4.33 %

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Loss (Tables)	6 Months Ended
	Jun. 30, 2023
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Summary of Changes in Accumulated Other Comprehensive Loss by Component, Net of Tax	The following were changes in accumulated other comprehensive loss by component, net of tax, for the periods ended June 30, 2023 and 2022 (in thousands): Unrealized Gains and Losses on Available for Sale Securities Six Months Ended June 30, 2023 Beginning balance $ ( 50,052 ) Other comprehensive income before reclassification, net of tax ( 104 ) Amounts reclassified from accumulated other comprehensive income, net of tax ( 4 ) Net current period other comprehensive income ( 108 ) Ending Balance $ ( 50,160 ) Six Months Ended June 30, 2022 Beginning balance $ ( 1,270 ) Other comprehensive loss before reclassification, net of tax ( 34,056 ) Amounts reclassified from accumulated other comprehensive loss, net of tax — Net current period other comprehensive loss ( 34,056 ) Ending Balance $ ( 35,326 )
Summary of Amounts Reclassified out off Accumulated Other Comprehensive Income (Loss)	The following amounts were reclassified out of each component of accumulated other comprehensive income (loss) for the six months ended June 30, 2023 and 2022 (in thousands). No reclassifications occurred in the three months ended June 30, 2023 or 2022. Affected Line Item Details about Accumulated Other Six Months Ended June 30, in the Statement Where Comprehensive Income (Loss) Components 2023 2022 Net Income is Presented Realized gains on available- for-sale securities $ 5 $ — Net gain on sale of securities ( 1 ) — Income tax expense $ 4 $ — Net of tax

Commitments and Contingencies (

Commitments and Contingencies (Tables)	6 Months Ended
	Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Schedule of Financial Instruments Representing Credit Risk	The following table sets forth outstanding financial instruments whose contract amounts represent credit risk as of June 30, 2023 and December 31, 2022 (in thousands): Contract or notional amount June 30, 2023 December 31, 2022 Financial instruments whose contract amounts represent Unused commitments to extend credit $ 1,079,377 $ 1,112,950 Standby letters of credit 8,939 7,288 Total $ 1,088,316 $ 1,120,238

Derivatives (Tables)

Derivatives (Tables)	6 Months Ended
	Jun. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Summary of Customer Related Interest Rate Swaps	A summary of the Company’s customer related interest rate swaps was as follows (in thousands): June 30, 2023 December 31, 2022 Notional Estimated Notional Estimated amount fair value amount fair value Interest rate swap agreements: Pay fixed/receive variable swaps $ 38,688 $ 2,276 $ 35,641 $ ( 2,343 ) Pay variable/receive fixed swaps 38,688 ( 2,276 ) 35,641 2,343 Total $ 77,376 $ — $ 71,282 $ —
Summary of Net (Losses) Gains Relating to Mortgage Banking Derivative Instruments Included in Mortgage Banking Income	The net (losses) gains relating to mortgage banking derivative instruments included in mortgage banking income were as follows (in thousands): Three Months Ended Six Months Ended June 30, 2023 June 30, 2022 June 30, 2023 June 30, 2022 Mortgage loan interest rate lock commitments $ ( 256 ) $ 401 $ 320 $ ( 70 ) Mortgage-backed securities forward sales commitments 316 ( 409 ) 20 6 Total $ 60 $ ( 8 ) $ 340 $ ( 64 )
Summary of Amount and Fair Value of Mortgage Banking Derivative Instruments Included in Consolidated Balance Sheets	The amount and fair value of mortgage banking derivatives included in the consolidated balance sheets were as follows (in thousands): June 30, 2023 December 31, 2022 Notional Estimated Notional Estimated amount fair value amount fair value Included in other assets: Mortgage loan interest rate lock commitments $ 25,936 $ 326 $ 19,413 $ 6 Mortgage-backed securities forward sales commitments 18,500 47 12,500 27

Regulatory Capital Requiremen_2

Regulatory Capital Requirements (Tables)	6 Months Ended
	Jun. 30, 2023
Banking and Thrift, Interest [Abstract]
Schedule of Capital Amounts and Ratios	The Company’s and the Bank’s capital amounts and ratios as of June 30, 2023 and December 31, 2022 are presented in the following table (dollars in thousands). Actual Minimum capital Minimum to be Amount Ratio Amount Ratio Amount Ratio At June 30, 2023: Total capital to risk-weighted assets: CapStar Financial Holdings, Inc. $ 409,876 14.37 % $ 228,145 8.0 % N/A N/A CapStar Bank 394,468 13.80 228,599 8.0 $ 285,749 10 % Tier I capital to risk-weighted assets: CapStar Financial Holdings, Inc. 353,569 12.40 171,109 6.0 N/A N/A CapStar Bank 367,894 12.87 171,449 6.0 228,599 8.00 Common equity Tier 1 capital to risk weighted CapStar Financial Holdings, Inc. 353,569 12.40 128,332 4.5 N/A N/A CapStar Bank 351,394 12.30 128,587 4.5 185,737 6.50 Tier I capital to average assets: CapStar Financial Holdings, Inc. 353,569 11.05 127,964 4.0 N/A N/A CapStar Bank 367,894 11.51 127,901 4.0 159,877 5.00 At December 31, 2022: Total capital to risk-weighted assets: CapStar Financial Holdings, Inc. $ 410,704 14.51 % $ 226,491 8.0 % N/A N/A CapStar Bank 402,453 14.22 226,407 8.0 $ 283,009 10 % Tier I capital to risk-weighted assets: CapStar Financial Holdings, Inc. 356,913 12.61 169,868 6.0 N/A N/A CapStar Bank 378,328 13.37 169,805 6.0 226,407 8.00 Common equity Tier 1 capital to risk weighted CapStar Financial Holdings, Inc. 356,913 12.61 127,401 4.5 N/A N/A CapStar Bank 361,828 12.79 127,354 4.5 183,956 6.50 Tier I capital to average assets: CapStar Financial Holdings, Inc. 356,913 11.40 125,202 4.0 N/A N/A CapStar Bank 378,328 12.10 125,089 4.0 156,361 5.00 (1) For the calendar year 2023, the Company must maintain a capital conservation buffer of Tier 1 common equity capital in excess of minimum risk-based capital ratios by at least 2.5 % to avoid limits on capital distributions and certain discretionary bonus payments to executive officers and similar employees. (2) For the Company to be well-capitalized, the Bank must be well-capitalized and the Company must not be subject to any written agreement, order, capital directive, or prompt corrective action directive issued by the Federal Reserve to meet and maintain a specific capital level for any capital measure.

Earnings Per Share (Tables)

Earnings Per Share (Tables)	6 Months Ended
	Jun. 30, 2023
Earnings Per Share [Abstract]
Summary of Basic and Diluted Earnings Per Share	The following is a summary of the basic and diluted earnings per share calculation for the three and six month periods ended June 30, 2023 and 2022 (in thousands except share and per share data): Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Basic net income per share calculation: Numerator – Net income $ 7,804 $ 9,972 $ 14,250 $ 20,645 Denominator – Average common shares outstanding 21,065,115 22,022,109 21,311,691 22,109,737 Basic net income per share $ 0.37 $ 0.45 $ 0.67 $ 0.93 Diluted net income per share calculation: Numerator – Net income $ 7,804 $ 9,972 $ 14,250 $ 20,645 Denominator – Average common shares outstanding 21,065,115 22,022,109 21,311,691 22,109,737 Dilutive shares contingently issuable 42,342 52,151 38,281 54,217 Average diluted common shares outstanding 21,107,457 22,074,260 21,349,972 22,163,954 Diluted net income per share $ 0.37 $ 0.45 $ 0.67 $ 0.93

Fair Value (Tables)

Fair Value (Tables)	6 Months Ended
	Jun. 30, 2023
Fair Value Disclosures [Abstract]
Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis	Assets and liabilities measured at fair value on a recurring basis are summarized below (in thousands): Fair value measurements at June 30, 2023 Quoted prices in active Significant markets for other Significant identical observable unobservable Carrying assets inputs inputs Value (Level 1) (Level 2) (Level 3) Assets: Securities available-for-sale: U. S. government agency securities $ 11,856 $ — $ 11,856 $ — State and municipal securities 68,829 — 68,829 — Mortgage-backed securities 231,429 — 231,429 — Asset-backed securities 3,108 — 3,108 — Other debt securities 58,040 — 58,040 — Loans held for sale 28,121 — 28,121 — Derivative assets: Interest rate swaps - customer related 2,276 — 2,276 — Mortgage loan interest rate lock commitments 326 — — 326 Mortgage-backed securities forward sales commitments 47 — 47 — Liabilities: Derivative liabilities: Interest rate swaps - customer related ( 2,276 ) — ( 2,276 ) — Fair value measurements at December 31, 2022 Quoted prices in active Significant markets for other Significant identical observable unobservable Carrying assets inputs inputs Value (Level 1) (Level 2) (Level 3) Assets: Securities available-for-sale: U. S. government agency securities $ 12,902 $ — $ 12,902 $ — State and municipal securities 68,312 — 68,312 — Mortgage-backed securities 244,828 — 244,828 — Asset-backed securities 3,270 — 3,270 — Other debt securities 67,104 — 67,104 — Loans held for sale 12,636 — 12,636 — Derivative assets: Interest rate swaps - customer related 2,343 — 2,343 — Mortgage loan interest rate lock commitments 6 — — 6 Mortgage-backed securities forward sales commitments 27 — 27 — Liabilities: Derivative liabilities: Interest rate swaps - customer related ( 2,343 ) — ( 2,343 ) —
Reconciliation of Assets Measured at Fair Value on Recurring Basis using Significant Unobservable Inputs (Level 3)	The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30, 2023 and 2022 (in thousands): Mortgage Loan Interest Rate Lock Commitments 2023 2022 Balance of recurring Level 3 assets at January 1st $ 6 $ 696 Total gains or losses for the period: Included in mortgage banking income 320 ( 70 ) Balance of recurring Level 3 assets at June 30th $ 326 $ 626
Summary of Quantitative Information About Level 3 Fair Value Measurements for Assets Measured at Fair Value on Recurring and Non-recurring Basis	The following table presents quantitative information about recurring Level 3 fair value measurements (dollars in thousands): Range Fair Valuation (Weighted- June 30, 2023 Value Technique(s) Unobservable Input(s) Average) Assets: Non-hedging derivatives: Mortgage loan interest rate lock commitments $ 326 Consensus pricing Origination pull-through rate 80 % - 100 % ( 93 %) Range Fair Valuation (Weighted- December 31, 2022 Value Technique(s) Unobservable Input(s) Average) Assets: Non-hedging derivatives: Mortgage loan interest rate lock commitments $ 6 Consensus pricing Origination pull-through rate 80 % - 100 % ( 94 %) The following table presents quantitative information about June 30, 2023 and December 31, 2022 Level 3 fair value measurements for assets measured at fair value on a non-recurring basis (dollars in thousands): Range Fair Valuation (Weighted- June 30, 2023 Value Technique(s) Unobservable Input(s) Average) Individually evaluated loans: Commercial and industrial $ 109 Sales comparison approach Appraisal discounts 10 % Commercial and industrial 320 Income approach Fair value discount 9 % December 31, 2022 Impaired loans: Commercial and industrial $ 3,069 Sales comparison approach Appraisal discounts 10 % Commercial and industrial 100 Income approach Fair value discount 9 %
Summary of Assets Measured at Fair Value on a Nonrecurring Basis	Assets measured at fair value on a nonrecurring basis as of June 30, 2023 and December 31, 2022 are summarized below (in thousands). Quoted prices in active Significant markets for other Significant identical observable unobservable Carrying assets inputs inputs Value (level 1) (level 2) (level 3) Fair value measurements at June 30, 2023 Assets: Individually evaluated loans: Commercial and industrial $ 3,255 — — $ 3,255 Fair value measurements at December 31, 2022 Assets: Impaired loans: Commercial and industrial $ 3,169 — — $ 3,169
Summary of Carrying Value and Fair Values of the Bank's Financial Instruments	The carrying value and estimated fair values of the Bank’s financial instruments at June 30, 2023 and December 31, 2022 were as follows (in thousands): June 30, 2023 December 31, 2022 Carrying Carrying Fair value amount Fair value amount Fair value level of input Financial assets: Cash and due from banks, interest-bearing deposits in $ 168,826 $ 168,826 $ 130,838 $ 130,838 Level 1 Federal funds sold 1,883 1,883 4,467 4,467 Level 1 Securities available-for-sale 373,262 373,262 396,416 396,416 Level 2 Securities held-to-maturity — — 1,240 1,240 Level 2 Loans held for sale 48,895 50,543 44,708 46,585 Level 2 Restricted equity securities 16,130 N/A 16,632 N/A N/A Loans held for investment 2,358,928 2,289,811 2,312,798 2,265,617 Level 3 Accrued interest receivable 11,117 11,117 10,511 10,511 Level 2 Other assets 94,260 94,260 93,230 93,230 Level 2 / Level 3 Financial liabilities: Deposits 2,710,759 2,701,868 2,679,819 2,659,822 Level 2 Subordinated notes and Federal Home Loan bank advances and other borrowings 79,733 79,829 44,666 43,831 Level 2 Other liabilities 7,724 7,724 4,605 4,605 Level 3

Summary of Significant Accoun_3

Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) $ in Thousands		6 Months Ended
	Jan. 01, 2023	Jun. 30, 2023
Summary Of Significant Accounting Policies [Line Items]
Transition adjustment increase in allowance for credit losses	$ 1,500
Reclassification of purchased accounting discounts	200
Unfunded commitments credit exposures	3,400
Increased deferred tax assets	1,300
Accrued interest receivable		$ 9,500
Mortgage loans charge off period		180 days
Debt Held To Maturity Securities Member
Summary Of Significant Accounting Policies [Line Items]
Accrued interest receivable on debt securities		$ 0
Available For Sale Debt Securities
Summary Of Significant Accounting Policies [Line Items]
Accrued interest receivable on debt securities		$ 1,600
Cumulative Effect Period Of Adoption Adjustment
Summary Of Significant Accounting Policies [Line Items]
Net decrease to retained earnings	(3,400)
Increase to ACL	$ 200
Minimum
Summary Of Significant Accounting Policies [Line Items]
Minimum number of days past due for debt security		90 days

Acquisition - Additional Inform

Acquisition - Additional Information (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Business Acquisition [Line Items]
Goodwill	$ 45,317	$ 46,069

Acquisition - Schedule of Consi

Acquisition - Schedule of Consideration Paid and Amounts of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Total cost of acquisition
Goodwill recorded related to acquisition	$ 45,317	$ 46,069

Securities - Summary of Amortiz

Securities - Summary of Amortized Cost and Fair Value of Available-for-sale and Held-to-maturity Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Securities available for sale [Abstract]
Amortized Cost	$ 443,461	$ 466,461
Gross unrealized gains	184	132
Gross unrealized (losses)	(70,383)	(70,177)
Estimated fair value	373,262	396,416
Securities held to maturity [Abstract]
Amortized Cost	0	1,240
Estimated fair value	0	1,240
U. S. government agency securities
Securities available for sale [Abstract]
Amortized Cost	13,545	14,537
Gross unrealized (losses)	(1,689)	(1,635)
Estimated fair value	11,856	12,902
State and municipal securities
Securities available for sale [Abstract]
Amortized Cost	76,818	77,562
Gross unrealized gains	148	129
Gross unrealized (losses)	(8,137)	(9,379)
Estimated fair value	68,829	68,312
Securities held to maturity [Abstract]
Amortized Cost	0	1,240
Estimated fair value	0	1,240
Mortgage-backed securities
Securities available for sale [Abstract]
Amortized Cost	285,138	300,488
Gross unrealized (losses)	(53,709)	(55,660)
Estimated fair value	231,429	244,828
Asset-backed securities
Securities available for sale [Abstract]
Amortized Cost	3,186	3,332
Gross unrealized (losses)	(78)	(62)
Estimated fair value	3,108	3,270
Other debt securities
Securities available for sale [Abstract]
Amortized Cost	64,774	70,542
Gross unrealized gains	36	3
Gross unrealized (losses)	(6,770)	(3,441)
Estimated fair value	$ 58,040	$ 67,104

Securities - Summary of Amort_2

Securities - Summary of Amortized Cost and Fair Value of Available-for-sale and Held-to-maturity Securities (Parenthetical) (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Debt Securities, Available-for-Sale [Line Items]
Securities available for sale, allowance for credit loss	$ 2,000	$ 0
Other debt securities
Debt Securities, Available-for-Sale [Line Items]
Securities available for sale, allowance for credit loss	$ 2,000

Securities - Summary of Securit

Securities - Summary of Securities with Unrealized Losses and Length of Time Continuous Loss Positions (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Schedule Of Available For Sale Securities [Line Items]
Less than 12 months, Estimated fair value	$ 29,192	$ 145,234
Less than 12 months, Gross unrealized losses	(2,119)	(10,995)
12 months or more, Estimated fair value	327,833	234,230
12 months or more, Gross unrealized losses	(68,264)	(59,182)
Total, Estimated fair value	357,025	379,464
Total, Gross unrealized losses	(70,383)	(70,177)
U. S. government agency securities
Schedule Of Available For Sale Securities [Line Items]
Less than 12 months, Estimated fair value	0	6,243
Less than 12 months, Gross unrealized losses	0	(836)
12 months or more, Estimated fair value	11,856	6,659
12 months or more, Gross unrealized losses	(1,689)	(799)
Total, Estimated fair value	11,856	12,902
Total, Gross unrealized losses	(1,689)	(1,635)
State and municipal securities
Schedule Of Available For Sale Securities [Line Items]
Less than 12 months, Estimated fair value	5,557	12,952
Less than 12 months, Gross unrealized losses	(60)	(422)
12 months or more, Estimated fair value	48,072	41,779
12 months or more, Gross unrealized losses	(8,077)	(8,957)
Total, Estimated fair value	53,629	54,731
Total, Gross unrealized losses	(8,137)	(9,379)
Mortgage-backed securities
Schedule Of Available For Sale Securities [Line Items]
Less than 12 months, Estimated fair value	8,882	81,751
Less than 12 months, Gross unrealized losses	(382)	(7,647)
12 months or more, Estimated fair value	222,547	161,708
12 months or more, Gross unrealized losses	(53,327)	(48,013)
Total, Estimated fair value	231,429	243,459
Total, Gross unrealized losses	(53,709)	(55,660)
Asset-backed securities
Schedule Of Available For Sale Securities [Line Items]
Less than 12 months, Estimated fair value	0	3,270
Less than 12 months, Gross unrealized losses	0	(62)
12 months or more, Estimated fair value	3,108
12 months or more, Gross unrealized losses	(78)
Total, Estimated fair value	3,108	3,270
Total, Gross unrealized losses	(78)	(62)
Other debt securities
Schedule Of Available For Sale Securities [Line Items]
Less than 12 months, Estimated fair value	14,753	41,018
Less than 12 months, Gross unrealized losses	(1,677)	(2,028)
12 months or more, Estimated fair value	42,250	24,084
12 months or more, Gross unrealized losses	(5,093)	(1,413)
Total, Estimated fair value	57,003	65,102
Total, Gross unrealized losses	$ (6,770)	$ (3,441)

Securities - Additional Informa

Securities - Additional Information (Details) $ in Thousands		3 Months Ended		6 Months Ended
	Dec. 31, 2023 USD ($)	Jun. 30, 2023 USD ($) Security	Jun. 30, 2022 USD ($)	Jun. 30, 2023 USD ($) Security	Jun. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)
Schedule Of Available For Sale Securities [Line Items]
Number of debt securities available-for-sale in an unrealized loss position | Security		300		300
Amortized Cost		$ 0		$ 0		$ 1,240
Provision for credit losses on loans		519	$ 843	570	$ 59
Allowance for credit loss
Schedule Of Available For Sale Securities [Line Items]
Financing Receivable, Allowance for Credit Loss		0		0
Scenario forecast
Schedule Of Available For Sale Securities [Line Items]
Provision for credit losses on loans	$ 2,000
Public Deposits, Derivative Positions and Federal Home Loan Bank Advances
Schedule Of Available For Sale Securities [Line Items]
Market value of securities		$ 200,500		$ 200,500

Securities - Summary of Sales,

Securities - Summary of Sales, Maturities, Prepayments and Calls of Securities (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Investments, Debt and Equity Securities [Abstract]
Proceeds	$ 9,434	$ 20,672	$ 20,279	$ 41,525
Gross gains			6
Gross losses			$ (1)

Securities - Summary of Amort_3

Securities - Summary of Amortized Cost and Fair Value of Debt and Equity Securities by Contractual Maturity (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Available-for-sale, Amortized cost [Abstract]
Due in less than one year	$ 5,302
Due one to five years	37,736
Due five to ten years	94,058
Due beyond ten years	18,041
Amortized Cost	443,461
Available-for-sale, Estimated fair value [Abstract]
Due in less than one year	5,300
Due one to five years	35,952
Due five to ten years	82,908
Due beyond ten years	14,565
Estimated fair value	373,262	$ 396,416
Held-to-maturity, Amortized cost [Abstract]
Amortized Cost	0	1,240
Securities held to maturity [Abstract]
Estimated fair value	0	1,240
Mortgage-backed securities
Available-for-sale, Amortized cost [Abstract]
Amortized cost	285,138
Available-for-sale, Estimated fair value [Abstract]
Estimated fair value	231,429
Estimated fair value	231,429	244,828
Asset-backed securities
Available-for-sale, Amortized cost [Abstract]
Amortized cost	3,186
Available-for-sale, Estimated fair value [Abstract]
Estimated fair value	3,108
Estimated fair value	$ 3,108	$ 3,270

Securities - Summary of Allowan

Securities - Summary of Allowance for Credit Loss Rollforward (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Investments, Debt and Equity Securities [Abstract]
Balance at December 31, 2022	$ 2,000	$ 0
Adoption of CECL	0
Additions for securities for which no previous expected credit losses were recognized	2,000
Total	$ 2,000	$ 0

Loans and Allowance for Credi_3

Loans and Allowance for Credit Losses - Summary of Loans Held for Investment Portfolio (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Loans And Leases Receivable Disclosure [Line Items]
Total loans	$ 2,358,928	$ 2,312,798
Allowance for credit losses on loans	(25,524)	(23,806)
Loans, net	2,333,404	2,288,992
Commercial real estate - owner occupied
Loans And Leases Receivable Disclosure [Line Items]
Total loans	275,712	246,109
Commercial real estate - non-owner occupied
Loans And Leases Receivable Disclosure [Line Items]
Total loans	802,574	803,611
Consumer real estate
Loans And Leases Receivable Disclosure [Line Items]
Total loans	429,517	402,615
Construction and land development
Loans And Leases Receivable Disclosure [Line Items]
Total loans	230,859	229,972
Commercial and industrial
Loans And Leases Receivable Disclosure [Line Items]
Total loans	518,136	496,347
Consumer
Loans And Leases Receivable Disclosure [Line Items]
Total loans	52,759	53,382
Other
Loans And Leases Receivable Disclosure [Line Items]
Total loans	$ 49,371	$ 80,762

Loans and Allowance for Credi_4

Loans and Allowance for Credit Losses - Schedule of Aging of Recorded Investment in Past-due Loans, by Class of Loans (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	$ 2,144	$ 2,382
Loans Not Past Due	2,345,567	2,299,702
Non-Accrual Loans	11,217	10,714
Total loans excluding purchased credit impaired	2,358,928	2,312,798
Commercial real estate - non-owner occupied
Financing Receivable Recorded Investment Past Due [Line Items]
Loans Not Past Due	802,123	802,107
Non-Accrual Loans	451
Total loans excluding purchased credit impaired	802,574	802,107
Commercial real estate - owner occupied
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	5
Loans Not Past Due	270,794	239,351
Non-Accrual Loans	4,913	4,982
Total loans excluding purchased credit impaired	275,712	244,333
Consumer real estate
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	657	774
Loans Not Past Due	426,883	393,893
Non-Accrual Loans	1,977	456
Total loans excluding purchased credit impaired	429,517	395,123
Construction and land development
Financing Receivable Recorded Investment Past Due [Line Items]
Loans Not Past Due	230,853	229,896
Non-Accrual Loans	6	8
Total loans excluding purchased credit impaired	230,859	229,904
Commercial and industrial
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	1,158	873
Loans Not Past Due	513,127	489,842
Non-Accrual Loans	3,851	4,065
Total loans excluding purchased credit impaired	518,136	494,780
Consumer
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	324	231
Loans Not Past Due	52,417	52,731
Non-Accrual Loans	18	54
Total loans excluding purchased credit impaired	52,759	53,016
Other
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due		37
Loans Not Past Due	49,370	80,535
Non-Accrual Loans	1
Total loans excluding purchased credit impaired	49,371	80,572
Purchased credit impaired
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due		467
Loans Not Past Due		11,347
Non-Accrual Loans		1,149
Total loans excluding purchased credit impaired		12,963
30 - 59 Days Past Due
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	1,080	885
30 - 59 Days Past Due | Consumer real estate
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	499	456
30 - 59 Days Past Due | Commercial and industrial
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	457	76
30 - 59 Days Past Due | Consumer
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	124	178
30 - 59 Days Past Due | Purchased credit impaired
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due		175
60 - 89 Days Past Due
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	127	472
60 - 89 Days Past Due | Consumer real estate
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	66	231
60 - 89 Days Past Due | Commercial and industrial
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	5	53
60 - 89 Days Past Due | Consumer
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	56	39
60 - 89 Days Past Due | Purchased credit impaired
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due		149
Greater than 89 Days Past Due
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	937	1,025
Greater than 89 Days Past Due | Commercial real estate - owner occupied
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	5
Greater than 89 Days Past Due | Consumer real estate
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	92	87
Greater than 89 Days Past Due | Commercial and industrial
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	696	744
Greater than 89 Days Past Due | Consumer
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due	$ 144	14
Greater than 89 Days Past Due | Other
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due		37
Greater than 89 Days Past Due | Purchased credit impaired
Financing Receivable Recorded Investment Past Due [Line Items]
Total Past Due		$ 143

Loans and Allowance for Credi_5

Loans and Allowance for Credit Losses - Schedule of Recorded Investment in Nonaccrual Loans (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Accounts Notes And Loans Receivable [Line Items]
Non-Accrual loans with no allowance	$ 7,810
Non-Accrual loans with allowance	3,407
Total Non-Accrual Loans	11,217	$ 10,714
Commercial real estate - non-owner occupied
Accounts Notes And Loans Receivable [Line Items]
Non-Accrual loans with no allowance	451
Total Non-Accrual Loans	451
Commercial real estate - owner occupied
Accounts Notes And Loans Receivable [Line Items]
Non-Accrual loans with no allowance	4,913
Total Non-Accrual Loans	4,913	4,982
Consumer real estate
Accounts Notes And Loans Receivable [Line Items]
Non-Accrual loans with no allowance	1,977
Total Non-Accrual Loans	1,977
Construction and Land Development
Accounts Notes And Loans Receivable [Line Items]
Non-Accrual loans with no allowance	6
Total Non-Accrual Loans	6
Commercial and industrial
Accounts Notes And Loans Receivable [Line Items]
Non-Accrual loans with no allowance	444
Non-Accrual loans with allowance	3,407
Total Non-Accrual Loans	3,851	4,065
Consumer
Accounts Notes And Loans Receivable [Line Items]
Non-Accrual loans with no allowance	18
Total Non-Accrual Loans	18	54
Other
Accounts Notes And Loans Receivable [Line Items]
Non-Accrual loans with no allowance	1
Total Non-Accrual Loans	$ 1
Purchased credit impaired
Accounts Notes And Loans Receivable [Line Items]
Total Non-Accrual Loans		$ 1,149

Loans and Allowance for Credi_6

Loans and Allowance for Credit Losses - Additional Information (Details) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2023 USD ($) Contract	Mar. 31, 2023 Contract	Jun. 30, 2022 USD ($)	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)
Loans And Leases Receivable Disclosure [Line Items]
Outstanding balance of loans originated under PPP	$ 2,333,404			$ 2,333,404		$ 2,288,992
Specific allowance related to loans						716
Loan modification payment default | Contract	0	0
Impact of PCI loans on ALL			$ 0		$ 0
Interest income recognized			$ 0	0
Unfunded Loan Commitment [Member]
Loans And Leases Receivable Disclosure [Line Items]
ACL for unfunded loan commitments	$ 3,600			$ 3,600		300
Commercial and industrial
Loans And Leases Receivable Disclosure [Line Items]
Specific allowance related to loans						$ 716

Loans and Allowance for Credi_7

Loans and Allowance for Credit Losses - Summary of Risk Category of Loans by Applicable Class of Loans (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired	$ 2,358,928	$ 2,312,798
Purchased credit impaired		12,963
Total loans	2,358,928	2,312,798
Originated in current fiscal year	0
Originated in prior year	98
Originated two years prior	34
Originated three years prior	118
Originated four years prior	71
Originated five or more years prior	151
Revolvers	0
Revolvers converted to term loans	0
Total	533
Consumer real estate
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	0
Commercial real estate - non-owner occupied
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired	802,574	802,107
Purchased credit impaired		1,504
Total loans	802,574	803,611
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	0
Commercial real estate - owner occupied
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired	275,712	244,333
Purchased credit impaired		1,776
Total loans	275,712	246,109
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	0
Consumer real estate
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		395,123
Purchased credit impaired		7,492
Total loans	429,517	402,615
Construction and land development
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired	230,859	229,904
Purchased credit impaired		68
Total loans	230,859	229,972
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	0
Commercial and industrial
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired	518,136	494,780
Purchased credit impaired		1,567
Total loans	518,136	496,347
Originated in current fiscal year
Originated in prior year	80
Originated two years prior	9
Originated three years prior	98
Originated four years prior
Originated five or more years prior
Revolvers
Revolvers converted to term loans
Total	307
Consumer
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired	52,759	53,016
Purchased credit impaired		366
Total loans	52,759	53,382
Originated in current fiscal year	0
Originated in prior year	18
Originated two years prior	25
Originated three years prior	20
Originated four years prior	12
Originated five or more years prior	93
Revolvers	0
Revolvers converted to term loans	0
Total	168
Other
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired	49,371	80,572
Purchased credit impaired		190
Total loans	49,371	80,762
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	58
Revolvers	0
Revolvers converted to term loans	0
Total	58
Purchased credit impaired
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		12,963
Purchased credit impaired		12,963
Pass
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	156,223
Originated in prior year	770,430
Originated two years prior	527,726
Originated three years prior	217,107
Originated four years prior	101,027
Originated five or more years prior	181,015
Revolvers	366,953
Revolvers converted to term loans	6,471
Total	2,326,952
Pass | Consumer real estate
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	46,214
Originated in prior year	94,240
Originated two years prior	82,401
Originated three years prior	47,292
Originated four years prior	17,803
Originated five or more years prior	11,239
Revolvers	140,421
Revolvers converted to term loans	2,982
Total	496,841
Pass | Commercial real estate - non-owner occupied
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	29,710
Originated in prior year	307,369
Originated two years prior	213,493
Originated three years prior	105,927
Originated four years prior	41,304
Originated five or more years prior	93,486
Revolvers	10,648
Revolvers converted to term loans	186
Total	802,123
Pass | Commercial real estate - owner occupied
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	18,429
Originated in prior year	84,447
Originated two years prior	88,266
Originated three years prior	27,450
Originated four years prior	19,337
Originated five or more years prior	25,191
Revolvers	7,524
Revolvers converted to term loans	0
Total	270,644
Pass | Construction and land development
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	15,457
Originated in prior year	114,910
Originated two years prior	76,293
Originated three years prior	12,064
Originated four years prior	6,209
Originated five or more years prior	3,375
Revolvers	962
Revolvers converted to term loans	0
Total	229,270
Pass | Commercial and industrial
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	24,396
Originated in prior year	148,489
Originated two years prior	38,255
Originated three years prior	16,964
Originated four years prior	14,779
Originated five or more years prior	45,206
Revolvers	190,185
Revolvers converted to term loans	2,205
Total	426,230
Pass | Consumer
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	11,381
Originated in prior year	14,420
Originated two years prior	7,332
Originated three years prior	2,379
Originated four years prior	744
Originated five or more years prior	541
Revolvers	15,153
Revolvers converted to term loans	734
Total	52,684
Pass | Other
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	10,636
Originated in prior year	6,555
Originated two years prior	21,686
Originated three years prior	5,031
Originated four years prior	851
Originated five or more years prior	1,977
Revolvers	2,060
Revolvers converted to term loans	364
Total	49,160
Special Mention
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	89
Originated in prior year	169
Originated two years prior	2,300
Originated three years prior	3,191
Originated four years prior	264
Originated five or more years prior	267
Revolvers	2,681
Revolvers converted to term loans	12
Total	8,973
Special Mention | Consumer real estate
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated two years prior	0
Originated three years prior	0
Revolvers	0
Total	155
Special Mention | Commercial real estate - non-owner occupied
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	0
Special Mention | Commercial real estate - owner occupied
Financing Receivable Recorded Investment [Line Items]
Originated in prior year	0
Special Mention | Construction and land development
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	0
Special Mention | Commercial and industrial
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	14
Originated two years prior	2,300
Originated three years prior	3,191
Originated four years prior
Originated five or more years prior
Revolvers	2,681
Revolvers converted to term loans
Total	8,238
Special Mention | Consumer
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	0
Special Mention | Other
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	37
Originated in prior year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	580
Substandard
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	97
Originated in prior year	2,769
Originated two years prior	2,708
Originated three years prior	5,194
Originated four years prior	360
Originated five or more years prior	3,591
Revolvers	7,815
Revolvers converted to term loans	247
Total	22,781
Substandard | Consumer real estate
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	89
Originated in prior year	915
Originated two years prior	28
Originated three years prior	40
Originated four years prior	195
Originated five or more years prior	1,232
Revolvers	166
Revolvers converted to term loans	2
Total	2,667
Substandard | Commercial real estate - non-owner occupied
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	236
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	215
Revolvers converted to term loans	0
Total	451
Substandard | Commercial real estate - owner occupied
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	2,562
Originated three years prior	0
Originated four years prior	154
Originated five or more years prior	2,352
Revolvers
Revolvers converted to term loans
Total	5,068
Substandard | Construction and land development
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	1,583
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	1,589
Substandard | Commercial and industrial
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	8
Originated in prior year	0
Originated two years prior	88
Originated three years prior	5,101
Originated four years prior	0
Originated five or more years prior	0
Revolvers	7,434
Revolvers converted to term loans	245
Total	12,876
Substandard | Consumer
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	35
Originated two years prior	28
Originated three years prior	0
Originated four years prior	11
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	74
Substandard | Other
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	2
Originated three years prior	53
Originated four years prior	0
Originated five or more years prior	1
Revolvers	0
Revolvers converted to term loans	0
Total	56
Doubtful
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	1
Originated three years prior	129
Originated four years prior	22
Originated five or more years prior	0
Revolvers	70
Revolvers converted to term loans	0
Total	222
Doubtful | Consumer real estate
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	40
Revolvers converted to term loans	0
Total	40
Doubtful | Commercial real estate - non-owner occupied
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	0
Doubtful | Commercial real estate - owner occupied
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year
Originated two years prior
Originated three years prior	0
Originated four years prior
Originated five or more years prior
Revolvers
Revolvers converted to term loans
Total
Doubtful | Construction and land development
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	0
Doubtful | Commercial and industrial
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year
Originated in prior year	0
Originated two years prior
Originated three years prior	129
Originated four years prior	22
Revolvers	30
Revolvers converted to term loans
Total	181
Doubtful | Consumer
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	1
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	1
Doubtful | Other
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	0
Originated in prior year	0
Originated two years prior	0
Originated three years prior	0
Originated four years prior	0
Originated five or more years prior	0
Revolvers	0
Revolvers converted to term loans	0
Total	0
Total Impaired Loans
Financing Receivable Recorded Investment [Line Items]
Total loans		9,241
Originated in current fiscal year	156,409
Originated in prior year	773,368
Originated two years prior	532,735
Originated three years prior	225,621
Originated four years prior	101,673
Originated five or more years prior	184,873
Revolvers	377,519
Revolvers converted to term loans	6,730
Total	2,358,928
Total Impaired Loans | Consumer real estate
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	24,522
Originated in prior year	95,155
Originated two years prior	38,283
Originated three years prior	17,004
Originated four years prior	15,238
Originated five or more years prior	46,705
Revolvers	190,391
Revolvers converted to term loans	2,219
Total	429,517
Total Impaired Loans | Commercial real estate - non-owner occupied
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	29,710
Originated in prior year	307,605
Originated two years prior	213,493
Originated three years prior	105,927
Originated four years prior	41,304
Originated five or more years prior	93,486
Revolvers	10,863
Revolvers converted to term loans	186
Total	802,574
Total Impaired Loans | Commercial real estate - owner occupied
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		4,543
Originated in current fiscal year	18,429
Originated in prior year	84,447
Originated two years prior	90,828
Originated three years prior	27,450
Originated four years prior	19,491
Originated five or more years prior	27,543
Revolvers	7,524
Revolvers converted to term loans	0
Total	275,712
Total Impaired Loans | Consumer real estate
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		367
Total Impaired Loans | Construction and land development
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		7
Originated in current fiscal year	15,457
Originated in prior year	116,493
Originated two years prior	76,293
Originated three years prior	12,064
Originated four years prior	6,209
Originated five or more years prior	3,381
Revolvers	962
Revolvers converted to term loans	0
Total	230,859
Total Impaired Loans | Commercial and industrial
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		4,305
Originated in current fiscal year	46,274
Originated in prior year	148,503
Originated two years prior	84,789
Originated three years prior	55,713
Originated four years prior	17,825
Originated five or more years prior	11,239
Revolvers	150,566
Revolvers converted to term loans	3,227
Total	518,136
Total Impaired Loans | Consumer
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		19
Originated in current fiscal year	11,381
Originated in prior year	14,455
Originated two years prior	7,361
Originated three years prior	2,379
Originated four years prior	755
Originated five or more years prior	541
Revolvers	15,153
Revolvers converted to term loans	734
Total	52,759
Total Impaired Loans | Other
Financing Receivable Recorded Investment [Line Items]
Originated in current fiscal year	10,636
Originated in prior year	6,710
Originated two years prior	21,688
Originated three years prior	5,084
Originated four years prior	851
Originated five or more years prior	1,978
Revolvers	2,060
Revolvers converted to term loans	364
Total	$ 49,371
Performing Financial Instruments | Pass
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		393,734
Total loans		2,282,448
Performing Financial Instruments | Pass | Commercial real estate - non-owner occupied
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		802,107
Performing Financial Instruments | Pass | Commercial real estate - owner occupied
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		234,619
Performing Financial Instruments | Pass | Construction and land development
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		229,897
Performing Financial Instruments | Pass | Commercial and industrial
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		477,081
Performing Financial Instruments | Pass | Consumer
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		52,911
Performing Financial Instruments | Pass | Other
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		80,504
Performing Financial Instruments | Pass | Purchased credit impaired
Financing Receivable Recorded Investment [Line Items]
Purchased credit impaired		11,595
Performing Financial Instruments | Special Mention
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		555
Total loans		5,870
Performing Financial Instruments | Special Mention | Commercial real estate - owner occupied
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		4,731
Performing Financial Instruments | Special Mention | Commercial and industrial
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		516
Performing Financial Instruments | Special Mention | Purchased credit impaired
Financing Receivable Recorded Investment [Line Items]
Purchased credit impaired		68
Performing Financial Instruments | Substandard
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		467
Total loans		15,069
Performing Financial Instruments | Substandard | Commercial real estate - owner occupied
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		440
Performing Financial Instruments | Substandard | Commercial and industrial
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		12,751
Performing Financial Instruments | Substandard | Consumer
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		84
Performing Financial Instruments | Substandard | Other
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		68
Performing Financial Instruments | Substandard | Purchased credit impaired
Financing Receivable Recorded Investment [Line Items]
Purchased credit impaired		1,259
Performing Financial Instruments | Doubtful
Financing Receivable Recorded Investment [Line Items]
Total loans		170
Performing Financial Instruments | Doubtful | Commercial and industrial
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		127
Performing Financial Instruments | Doubtful | Consumer
Financing Receivable Recorded Investment [Line Items]
Total loans excluding purchased credit impaired		2
Performing Financial Instruments | Doubtful | Purchased credit impaired
Financing Receivable Recorded Investment [Line Items]
Purchased credit impaired		$ 41

Loan and Allowance for Loan Los

Loan and Allowance for Loan Losses - Schedule of Loan Modification (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2023 USD ($)
Financing Receivable, Modified [Line Items]
Percentage Related to Loan Modification	0.17%
Commercial Portfolio Segment [Member]
Financing Receivable, Modified [Line Items]
Percentage Related to Loan Modification	0.77%
Extended Maturity [Member]
Financing Receivable, Modified [Line Items]
Financing Receivable, Modifications	$ 320
Extended Maturity [Member] | Commercial Portfolio Segment [Member]
Financing Receivable, Modified [Line Items]
Financing Receivable, Modifications	320
Payment Deferral [Member]
Financing Receivable, Modified [Line Items]
Financing Receivable, Modifications	3,670
Payment Deferral [Member] | Commercial Portfolio Segment [Member]
Financing Receivable, Modified [Line Items]
Financing Receivable, Modifications	$ 3,670

Loan and Allowance for Loan L_2

Loan and Allowance for Loan Losses - Schedule of Financial Effect of the Loan Modification (Details)	6 Months Ended
	Jun. 30, 2023
Financing Receivable, Modified [Line Items]
Weighted-average term extension	6 months
Weighted-average payment delay	7 months
Commercial and industrial
Financing Receivable, Modified [Line Items]
Weighted-average term extension	6 months
Weighted-average payment delay	7 months

Loans and Allowance for Credi_8

Loans and Allowance for Credit Losses - Schedule of Collateral Dependent Loans by Class of Loan and Type of Collateral (Details) $ in Thousands	Jun. 30, 2023 USD ($)
Real Estate [Member]
Financing Receivable, Modified [Line Items]
Collateral dependent loans	$ 5,795
Collateral Pledged [Member]
Financing Receivable, Modified [Line Items]
Collateral dependent loans	5,795
Commercial real estate - owner occupied | Real Estate [Member]
Financing Receivable, Modified [Line Items]
Collateral dependent loans	5,478
Commercial real estate - owner occupied | Collateral Pledged [Member]
Financing Receivable, Modified [Line Items]
Collateral dependent loans	5,478
Commercial and industrial | Real Estate [Member]
Financing Receivable, Modified [Line Items]
Collateral dependent loans	317
Commercial and industrial | Collateral Pledged [Member]
Financing Receivable, Modified [Line Items]
Collateral dependent loans	$ 317

Loans and Allowance for Credi_9

Loans and Allowance for Credit Losses - Summary of Changes in Allowance for Loan Losses (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2023	Mar. 31, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning Balance	$ 25,189	$ 23,806	$ 20,857	$ 23,806	$ 21,698
Adoption of CECL				0
After Adoption of CECL				25,303
Charged-off loans	(258)		(291)	(533)	(410)
Recoveries	74		275	184	337
Provision for loan losses	519		843	570	59
Ending Balance	25,524	25,189	21,684	25,524	21,684
Cumulative Effect, Period of Adoption, Adjustment [Member]
Financing Receivable Allowance For Credit Losses [Line Items]
Adoption of CECL				1,497
Commercial real estate - owner occupied
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning Balance	2,319	1,967	1,844	1,967	1,685
After Adoption of CECL				2,176
Charged-off loans	0		0		(12)
Recoveries	0		0		226
Provision for loan losses	43		(206)	186	(47)
Ending Balance	2,362	2,319	1,852	2,362	1,852
Commercial real estate - owner occupied | Cumulative Effect, Period of Adoption, Adjustment [Member]
Financing Receivable Allowance For Credit Losses [Line Items]
Adoption of CECL				209
Commercial real estate - non-owner occupied
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning Balance	5,610	5,967	5,143	5,967	5,439
After Adoption of CECL				5,335
Charged-off loans	0		0
Recoveries	0		0
Provision for loan losses	1,297		154	1,572	(142)
Ending Balance	6,907	5,610	5,297	6,907	5,297
Commercial real estate - non-owner occupied | Cumulative Effect, Period of Adoption, Adjustment [Member]
Financing Receivable Allowance For Credit Losses [Line Items]
Adoption of CECL				(632)
Consumer real estate
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning Balance	3,808	3,153	2,214	3,153	2,412
After Adoption of CECL				3,803
Charged-off loans	0		0
Recoveries	0		0	44	1
Provision for loan losses	(41)		340	(36)	142
Ending Balance	3,811	3,808	2,555	3,811	2,555
Consumer real estate | Cumulative Effect, Period of Adoption, Adjustment [Member]
Financing Receivable Allowance For Credit Losses [Line Items]
Adoption of CECL				650
Construction and land development
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning Balance	3,691	3,830	3,308	3,830	3,769
After Adoption of CECL				3,564
Charged-off loans	0		0
Recoveries	0		0
Provision for loan losses	258		(37)	385	(498)
Ending Balance	3,949	3,691	3,271	3,949	3,271
Construction and land development | Cumulative Effect, Period of Adoption, Adjustment [Member]
Financing Receivable Allowance For Credit Losses [Line Items]
Adoption of CECL				(266)
Commercial and industrial
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning Balance	6,773	7,654	7,206	7,654	7,441
After Adoption of CECL				6,659
Charged-off loans	(159)		0	(307)	161
Recoveries	3		0	5	23
Provision for loan losses	(619)		396	(359)	161
Ending Balance	5,998	6,773	7,464	5,998	7,464
Commercial and industrial | Cumulative Effect, Period of Adoption, Adjustment [Member]
Financing Receivable Allowance For Credit Losses [Line Items]
Adoption of CECL				(995)
Consumer
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning Balance	1,567	430	381	430	397
After Adoption of CECL				1,557
Charged-off loans	(67)		(66)	(168)	(147)
Recoveries	25		24	128	81
Provision for loan losses	(24)		159	(16)	167
Ending Balance	1,501	1,567	498	1,501	498
Consumer | Cumulative Effect, Period of Adoption, Adjustment [Member]
Financing Receivable Allowance For Credit Losses [Line Items]
Adoption of CECL				1,127
Other
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning Balance	1,421	805	761	805	555
After Adoption of CECL				2,209
Charged-off loans	(32)		(52)	(58)	(90)
Recoveries	2		1	7	6
Provision for loan losses	(395)		37	(1,162)	276
Ending Balance	996	1,421	747	996	747
Other | Cumulative Effect, Period of Adoption, Adjustment [Member]
Financing Receivable Allowance For Credit Losses [Line Items]
Adoption of CECL				1,404
Unfunded Commitments [Member]
Financing Receivable Allowance For Credit Losses [Line Items]
Beginning Balance	4,060	319	319	319	319
After Adoption of CECL				3,669
Charged-off loans	0		0
Recoveries	0		0
Provision for loan losses		(497)	0	(106)
Ending Balance	$ 3,563	$ 4,060	$ 319	3,563	$ 319
Unfunded Commitments [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]
Financing Receivable Allowance For Credit Losses [Line Items]
Adoption of CECL				$ 3,350

Loans and Allowance for Cred_10

Loans and Allowance for Credit Losses - Summary of Breakdown of Allowance for Loan Losses and Loan Portfolio by Loan Category (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Mar. 31, 2023	Dec. 31, 2022	Jun. 30, 2022	Mar. 31, 2022	Dec. 31, 2021
Allowance for Loan Losses:
Collectively evaluated for impairment			$ 23,009
Individually evaluated for impairment			716
Purchased credit impaired			81
Allowance for Loan Losses, Ending Balance	$ 25,524	$ 25,189	23,806	$ 21,684	$ 20,857	$ 21,698
Loans:
Collectively evaluated for impairment			2,290,594
Individually evaluated for impairment			9,241
Purchased credit impaired			12,963
Total	2,358,928		2,312,798
Commercial real estate - owner occupied
Allowance for Loan Losses:
Collectively evaluated for impairment			1,967
Allowance for Loan Losses, Ending Balance	2,362	2,319	1,967	1,852	1,844	1,685
Loans:
Collectively evaluated for impairment			239,790
Individually evaluated for impairment			4,543
Purchased credit impaired			1,776
Total	275,712		246,109
Commercial real estate - non-owner occupied
Allowance for Loan Losses:
Collectively evaluated for impairment			5,967
Allowance for Loan Losses, Ending Balance	6,907	5,610	5,967	5,297	5,143	5,439
Loans:
Collectively evaluated for impairment			802,107
Purchased credit impaired			1,504
Total	802,574		803,611
Consumer real estate
Allowance for Loan Losses:
Collectively evaluated for impairment			3,153
Allowance for Loan Losses, Ending Balance			3,153
Loans:
Collectively evaluated for impairment			394,756
Individually evaluated for impairment			367
Purchased credit impaired			7,492
Total	429,517		402,615
Construction and land development
Allowance for Loan Losses:
Collectively evaluated for impairment			3,830
Allowance for Loan Losses, Ending Balance	3,949	3,691	3,830	3,271	3,308	3,769
Loans:
Collectively evaluated for impairment			229,897
Individually evaluated for impairment			7
Purchased credit impaired			68
Total	230,859		229,972
Commercial and industrial
Allowance for Loan Losses:
Collectively evaluated for impairment			6,909
Individually evaluated for impairment			716
Purchased credit impaired			29
Allowance for Loan Losses, Ending Balance	5,998	6,773	7,654	7,464	7,206	7,441
Loans:
Collectively evaluated for impairment			490,475
Individually evaluated for impairment			4,305
Purchased credit impaired			1,567
Total	518,136		496,347
Consumer
Allowance for Loan Losses:
Collectively evaluated for impairment			378
Purchased credit impaired			52
Allowance for Loan Losses, Ending Balance	1,501	1,567	430	498	381	397
Loans:
Collectively evaluated for impairment			52,997
Individually evaluated for impairment			19
Purchased credit impaired			366
Total	52,759		53,382
Other
Allowance for Loan Losses:
Collectively evaluated for impairment			805
Allowance for Loan Losses, Ending Balance	996	$ 1,421	805	$ 747	$ 761	$ 555
Loans:
Collectively evaluated for impairment			80,572
Purchased credit impaired			190
Total	$ 49,371		$ 80,762

Loans and Allowance for Cred_11

Loans and Allowance for Credit Losses - Summary of Loans Individually Evaluated for Impairment (Details) $ in Thousands	Dec. 31, 2022 USD ($)
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Recorded investment	$ 5,356
Impaired loans with no related allowance recorded, Unpaid principal balance	5,383
Impaired loans with an allowance recorded, Recorded investment	3,885
Impaired loans with an allowance recorded, Unpaid principal balance	4,061
Impaired loans with an allowance recorded, Related allowance	716
Recorded investment	9,241
Unpaid principal balance	9,444
Commercial real estate - owner occupied
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Recorded investment	4,543
Impaired loans with no related allowance recorded, Unpaid principal balance	4,551
Commercial real estate - non-owner occupied
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Recorded investment	0
Impaired loans with no related allowance recorded, Unpaid principal balance	0
Consumer real estate
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Recorded investment	367
Impaired loans with no related allowance recorded, Unpaid principal balance	393
Construction and land development
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Recorded investment	7
Impaired loans with no related allowance recorded, Unpaid principal balance	8
Commercial and industrial
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Recorded investment	420
Impaired loans with no related allowance recorded, Unpaid principal balance	412
Impaired loans with an allowance recorded, Recorded investment	3,885
Impaired loans with an allowance recorded, Unpaid principal balance	4,061
Impaired loans with an allowance recorded, Related allowance	716
Consumer
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Recorded investment	19
Impaired loans with no related allowance recorded, Unpaid principal balance	$ 19

Loans and Allowance for Cred_12

Loans and Allowance for Credit Losses - Summary of Average Balances of Impaired Loans and Income Recognized on Impaired Loans While They were Considered Impaired Under Incurred Loss (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2023	Jun. 30, 2022
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Average recorded investment	$ 302			$ 307
Impaired loans with no related allowance recorded, Interest income recognized	0
Average recorded investment	302	$ 307
Interest income recognized	0		$ 0
Commercial Real Estate Owner Occupied [Member]
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Average recorded investment	0
Impaired loans with no related allowance recorded, Interest income recognized	0
Consumer real estate
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Average recorded investment	203			207
Construction and land development
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Average recorded investment	9			9
Commercial and industrial
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Average recorded investment	80			81
Consumer
Financing Receivable Impaired [Line Items]
Impaired loans with no related allowance recorded, Average recorded investment	$ 10			$ 10

Loans and Allowance for Cred_13

Loans and Allowance for Credit Losses - Schedule of Activity in Purchased Credit Impaired Loans (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2022
Certain Loans Acquired In Transfer Accounted For As Debt Securities Accretable Yield Movement Schedule [Line Items]
Balance, beginning , carrying value	$ 17,658	$ 19,261
Change due to payments received and accretion	(1,960)	(3,371)
Reclassification of discount to allowance for loan losses	111	(81)
Balance, ending, carrying value	15,809	15,809
Accretable Yield For PCI Loans
Certain Loans Acquired In Transfer Accounted For As Debt Securities Accretable Yield Movement Schedule [Line Items]
Balance, beginning , carrying value	5,326	5,763
Accretion	(432)	(869)
Reclassification from Nonaccretable Difference	304	304
Other, Net	(206)	(206)
Balance, ending, carrying value	$ 4,992	$ 4,992

Loans and Allowance for Cred_14

Loans and Allowance for Credit Losses - Summary of Loans Held for Sale (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Loans and Leases Receivable Disclosure [Line Items]
Financing Receivable, Held-for-Sale	$ 48,895	$ 44,708
Guaranteed portion of SBA loans [Member]
Loans and Leases Receivable Disclosure [Line Items]
Financing Receivable, Held-for-Sale	20,774	32,072
Residential Mortgage [Member]
Loans and Leases Receivable Disclosure [Line Items]
Financing Receivable, Held-for-Sale	$ 28,121	$ 12,636

Short Term Borrowings And Lon_3

Short Term Borrowings And Long-Term Debt - Additional Information (Details) $ in Millions	3 Months Ended	6 Months Ended
	Sep. 30, 2020 USD ($)	Jun. 30, 2023 USD ($) BasisPoint	Dec. 31, 2022 USD ($)
Debt Instrument [Line Items]
Outstanding advances		$ 50	$ 15
Subordinated Notes
Debt Instrument [Line Items]
Proceeds from issuance of subordinated notes, net of debt issuance expense	$ 30
Debt issuance costs	$ 0.6
Maturity date	Jun. 30, 2030
Redemption date		Jun. 30, 2025
Fixed interest rate		5.25%
Debt instrument, frequency of periodic interest payment		quarterly
Debt instrument, description of variable rate basis		The notes have a fixed interest rate of 5.25% per annum for the first five years. Thereafter, the interest rate will reset quarterly to an interest rate per annum equal to a benchmark rate (which is expected to be Three-Month Term SOFR) plus 513 basis points.
Carrying value of subordinated notes		$ 29.7	$ 29.7
Subordinated Notes | SOFR
Debt Instrument [Line Items]
Debt instrument, interest rate plus basis point | BasisPoint		513
Investment securities, FHLB stock and commercial and residential real estate mortgage loans
Debt Instrument [Line Items]
Federal Home Loan Bank Advances Collateralized Investment Securities Value		$ 18.8
Mortgage loans collateralized amount		755.5
Amount of available credit		$ 490.6

Short Term Borrowings And Lon_4

Short Term Borrowings And Long-Term Debt - Summary of Contractual Maturities and Average Effective Rates of Outstanding Advances (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Debt Disclosure [Abstract]
2023	$ 50,000	$ 15,000
2023	5.17%	4.33%

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Loss - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Stockholders' Equity Note [Abstract]
Reclassification occured	$ 0	$ 0

Accumulated Other Comprehensi_4

Accumulated Other Comprehensive Loss - Summary of Changes In Accumulated Other Comprehensive Income (Loss) By Component, Net of Tax (Details) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2023	Mar. 31, 2023	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2023	Jun. 30, 2022
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning balance	$ 353,911	$ 354,182	$ 368,917	$ 380,094	$ 354,182	$ 380,094
Amounts reclassified from accumulated other comprehensive loss, net of tax	0		0
Net current period other comprehensive income	(6,309)	6,201	(13,992)	(20,064)	(108)	(34,056)
Ending balance	347,465	353,911	357,735	368,917	347,465	357,735
Unrealized Gains and Losses on Available for Sale Securities
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning balance		$ (50,052)		$ (1,270)	(50,052)	(1,270)
Other comprehensive loss before reclassification, net of tax					(104)	(34,056)
Amounts reclassified from accumulated other comprehensive loss, net of tax					(4)	0
Net current period other comprehensive income					(108)	(34,056)
Ending balance	$ (50,160)		$ (35,326)		$ (50,160)	$ (35,326)

Accumulated Other Comprehensi_5

Accumulated Other Comprehensive Loss - Summary of Amounts Reclassified out of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2023	Mar. 31, 2023	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2023	Jun. 30, 2022
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income On Derivatives [Line Items]
Net gain on sale of securities					$ 5	$ 0
Income tax expense	$ (1,785)		$ (2,426)		(3,337)	(5,031)
Net income	$ 7,804	$ 6,446	$ 9,972	$ 10,673	14,250	20,645
Reclassification out of Accumulated Other Comprehensive Income | Realized Gains on Available for Sale Securities
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income On Derivatives [Line Items]
Net gain on sale of securities					5	0
Income tax expense					(1)	0
Net income					$ 4	$ 0

Commitments and Contingencies -

Commitments and Contingencies - Schedule of Financial Instruments Representing Credit Risk (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
Unused commitments to extend credit	$ 1,079,377	$ 1,112,950
Standby letters of credit	8,939	7,288
Total	$ 1,088,316	$ 1,120,238

Derivatives - Summary of Custom

Derivatives - Summary of Customer Related Interest Rate Swaps (Details) - Interest Rate Swaps - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Derivative Instruments [Line Items]
Notional	$ 77,376,000	$ 71,282,000
Estimated	0	0
Pay fixed/receive variable swaps
Derivative Instruments [Line Items]
Notional	38,688,000	35,641,000
Estimated	2,276,000	(2,343,000)
Pay variable/receive fixed swaps
Derivative Instruments [Line Items]
Notional	38,688,000	35,641,000
Estimated	$ (2,276,000)	$ 2,343,000

Derivatives - Summary of Net (L

Derivatives - Summary of Net (Losses) Gains Relating to Mortgage Banking Derivative Instruments Included in Mortgage Banking Income (Details) - Mortgage Banking Derivative Instruments - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Derivative Instruments [Line Items]
Net (losses) gains relating to mortgage banking derivative instruments	$ 60	$ (8)	$ 340	$ (64)
Mortgage Loan Interest Rate Lock Commitments
Derivative Instruments [Line Items]
Net (losses) gains relating to mortgage banking derivative instruments	(256)	401	320	(70)
Mortgage-Backed Securities Forward Sales Commitments
Derivative Instruments [Line Items]
Net (losses) gains relating to mortgage banking derivative instruments	$ 316	$ (409)	$ 20	$ 6

Derivatives - Summary of Amount

Derivatives - Summary of Amount and Fair Value of Mortgage Banking Derivative Instruments Included in Consolidated Balance Sheets (Details) - Other Assets - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Mortgage Loan Interest Rate Lock Commitments
Derivative Instruments [Line Items]
Notional amount, assets	$ 25,936	$ 19,413
Estimated fair value, asset	326	6
Mortgage-Backed Securities Forward Sales Commitments
Derivative Instruments [Line Items]
Notional amount, liabilities	18,500	12,500
Estimated fair value, liabilities	$ 47	$ 27

Regulatory Capital Requiremen_3

Regulatory Capital Requirements - Schedule of Capital Amounts and Ratios (Details) $ in Thousands		Jun. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)
CapStar Financial Holdings, Inc.
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items]
Total capital to risk-weighted assets, actual amount		$ 409,876	$ 410,704
Tier I capital to risk-weighted assets, actual amount		353,569	356,913
Tier I capital to average assets, actual amount		$ 353,569	$ 356,913
Total capital to risk-weighted assets, actual ratio		0.1437	0.1451
Tier I capital to risk-weighted assets, actual ratio		0.124	0.1261
Tier I capital to average assets, actual ratio		0.1105	0.114
Total capital to risk-weighted assets, minimum capital requirement amount	[1]	$ 228,145	$ 226,491
Tier I capital to risk-weighted assets, minimum capital requirement amount	[1]	171,109	169,868
Tier I capital to average assets, minimum capital requirement amount	[1]	$ 127,964	$ 125,202
Total capital to risk-weighted assets, minimum capital requirement ratio	[1]	0.08	0.08
Tier I capital to risk-weighted assets, minimum capital requirement ratio	[1]	0.06	0.06
Tier I capital to average assets, minimum capital requirement ratio	[1]	0.04	0.04
CapStar Financial Holdings, Inc. | Common Stock
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items]
Tier I capital to risk-weighted assets, actual amount		$ 353,569	$ 356,913
Tier I capital to risk-weighted assets, actual ratio		0.124	0.1261
Tier I capital to risk-weighted assets, minimum capital requirement amount	[1]	$ 128,332	$ 127,401
Tier I capital to risk-weighted assets, minimum capital requirement ratio	[1]	0.045	0.045
CapStar Bank
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items]
Total capital to risk-weighted assets, actual amount		$ 394,468	$ 402,453
Tier I capital to risk-weighted assets, actual amount		367,894	378,328
Tier I capital to average assets, actual amount		$ 367,894	$ 378,328
Total capital to risk-weighted assets, actual ratio		0.138	0.1422
Tier I capital to risk-weighted assets, actual ratio		0.1287	0.1337
Tier I capital to average assets, actual ratio		0.1151	0.121
Total capital to risk-weighted assets, minimum capital requirement amount	[1]	$ 228,599	$ 226,407
Tier I capital to risk-weighted assets, minimum capital requirement amount	[1]	171,449	169,805
Tier I capital to average assets, minimum capital requirement amount	[1]	$ 127,901	$ 125,089
Total capital to risk-weighted assets, minimum capital requirement ratio	[1]	0.08	0.08
Tier I capital to risk-weighted assets, minimum capital requirement ratio	[1]	0.06	0.06
Tier I capital to average assets, minimum capital requirement ratio	[1]	0.04	0.04
Total capital to risk-weighted assets, minimum to be well capitalized amount	[2]	$ 285,749	$ 283,009
Tier I capital to risk-weighted assets, minimum to be well capitalized amount	[2]	228,599	226,407
Tier I capital to average assets, minimum to be well capitalized amount	[2]	$ 159,877	$ 156,361
Total capital to risk-weighted assets, minimum to be well capitalized ratio	[2]	0.10	0.10
Tier I capital to risk-weighted assets, minimum to be well capitalized ratio	[2]	0.08	0.08
Tier I capital to average assets, minimum to be well capitalized ratio	[2]	0.05	0.05
CapStar Bank | Common Stock
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items]
Tier I capital to risk-weighted assets, actual amount		$ 351,394	$ 361,828
Tier I capital to risk-weighted assets, actual ratio		0.123	0.1279
Tier I capital to risk-weighted assets, minimum capital requirement amount	[1]	$ 128,587	$ 127,354
Tier I capital to risk-weighted assets, minimum capital requirement ratio	[1]	0.045	0.045
Tier I capital to risk-weighted assets, minimum to be well capitalized amount	[2]	$ 185,737	$ 183,956
Tier I capital to risk-weighted assets, minimum to be well capitalized ratio	[2]	0.065	0.065
[1] For the calendar year 2023, the Company must maintain a capital conservation buffer of Tier 1 common equity capital in excess of minimum risk-based capital ratios by at least 2.5 % to avoid limits on capital distributions and certain discretionary bonus payments to executive officers and similar employees. For the Company to be well-capitalized, the Bank must be well-capitalized and the Company must not be subject to any written agreement, order, capital directive, or prompt corrective action directive issued by the Federal Reserve to meet and maintain a specific capital level for any capital measure.

Regulatory Capital Requiremen_4

Regulatory Capital Requirements - Schedule of Capital Amounts and Ratios (Parenthetical) (Details)	Jun. 30, 2023
Banking and Thrift, Interest [Abstract]
Minimum risk based capital ratios	0.25

Earnings Per Share - Summary of

Earnings Per Share - Summary of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Basic net income per share calculation:
Numerator – Net income	$ 7,804	$ 9,972	$ 14,250	$ 20,645
Denominator – Average common shares outstanding	21,065,115	22,022,109	21,311,691	22,109,737
Basic net income per share	$ 0.37	$ 0.45	$ 0.67	$ 0.93
Diluted net income per share calculation:
Numerator – Net income	$ 7,804	$ 9,972	$ 14,250	$ 20,645
Denominator – Average common shares outstanding	21,065,115	22,022,109	21,311,691	22,109,737
Dilutive shares contingently issuable	42,342	52,151	38,281	54,217
Average diluted common shares outstanding	21,107,457	22,074,260	21,349,972	22,163,954
Diluted net income per share	$ 0.37	$ 0.45	$ 0.67	$ 0.93

Fair Value - Additional Informa

Fair Value - Additional Information (Details) - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Fair Value Disclosures [Abstract]
Other real estate owned	$ 0	$ 0

Fair Value - Summary of Assets

Fair Value - Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Assets:
Securities available-for-sale, at fair value net of allowance for credit losses of $2,000 and $0 at June 30, 2023 and December 31, 2022, respectively	$ 373,262	$ 396,416
Loans held for sale carried at fair value	$ 28,121	12,636
Derivative liabilities:
Derivative Liability, Statement of Financial Position [Extensible Enumeration]	Other Liabilities
U. S. government agency securities
Assets:
Securities available-for-sale, at fair value net of allowance for credit losses of $2,000 and $0 at June 30, 2023 and December 31, 2022, respectively	$ 11,856	12,902
State and municipal securities
Assets:
Securities available-for-sale, at fair value net of allowance for credit losses of $2,000 and $0 at June 30, 2023 and December 31, 2022, respectively	68,829	68,312
Asset-backed securities
Assets:
Securities available-for-sale, at fair value net of allowance for credit losses of $2,000 and $0 at June 30, 2023 and December 31, 2022, respectively	3,108	3,270
Other debt securities
Assets:
Securities available-for-sale, at fair value net of allowance for credit losses of $2,000 and $0 at June 30, 2023 and December 31, 2022, respectively	58,040	67,104
Significant Unobservable Inputs (Level 3) | Mortgage Loan Interest Rate Lock Commitments | Non designated
Derivative assets:
Loan, Mortgage, Held-for-Sale, Fair Value Disclosure	326	6
Fair Value Measurements Recurring Basis
Assets:
Loans held for sale carried at fair value	28,121	12,636
Fair Value Measurements Recurring Basis | U. S. government agency securities
Assets:
Loans held for sale carried at fair value	11,856	12,902
Fair Value Measurements Recurring Basis | State and municipal securities
Assets:
Loans held for sale carried at fair value	68,829	68,312
Fair Value Measurements Recurring Basis | Mortgage-backed Securities-residential
Assets:
Loans held for sale carried at fair value	231,429	244,828
Fair Value Measurements Recurring Basis | Asset-backed securities
Assets:
Loans held for sale carried at fair value	3,108	3,270
Fair Value Measurements Recurring Basis | Other debt securities
Assets:
Loans held for sale carried at fair value	58,040	67,104
Fair Value Measurements Recurring Basis | Mortgage Loan Interest Rate Lock Commitments | Non designated
Derivative assets:
Loan, Mortgage, Held-for-Sale, Fair Value Disclosure	326	6
Fair Value Measurements Recurring Basis | Forward Sales Commitments | Non designated
Derivative assets:
Mortgage-backed securities forward sales commitments, asset		27
Derivative liabilities:
Derivative Liabilities - customer related	(2,276)
Mortgage-backed securities forward sales commitments, liability	47
Fair Value Measurements Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Loans held for sale carried at fair value	0	0
Fair Value Measurements Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | U. S. government agency securities
Assets:
Loans held for sale carried at fair value	0	0
Fair Value Measurements Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | State and municipal securities
Assets:
Loans held for sale carried at fair value	0	0
Fair Value Measurements Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed Securities-residential
Assets:
Loans held for sale carried at fair value	0	0
Fair Value Measurements Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Asset-backed securities
Assets:
Loans held for sale carried at fair value	0	0
Fair Value Measurements Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other debt securities
Assets:
Loans held for sale carried at fair value	0	0
Fair Value Measurements Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage Loan Interest Rate Lock Commitments | Non designated
Derivative assets:
Loan, Mortgage, Held-for-Sale, Fair Value Disclosure	0	0
Fair Value Measurements Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Forward Sales Commitments | Non designated
Derivative assets:
Mortgage-backed securities forward sales commitments, asset		0
Derivative liabilities:
Derivative Liabilities - customer related	0
Mortgage-backed securities forward sales commitments, liability	0
Fair Value Measurements Recurring Basis | Significant Other Observable Inputs (Level 2)
Assets:
Loans held for sale carried at fair value	28,121	12,636
Fair Value Measurements Recurring Basis | Significant Other Observable Inputs (Level 2) | U. S. government agency securities
Assets:
Loans held for sale carried at fair value	11,856	12,902
Fair Value Measurements Recurring Basis | Significant Other Observable Inputs (Level 2) | State and municipal securities
Assets:
Loans held for sale carried at fair value	68,829	68,312
Fair Value Measurements Recurring Basis | Significant Other Observable Inputs (Level 2) | Mortgage-backed Securities-residential
Assets:
Loans held for sale carried at fair value	231,429	244,828
Fair Value Measurements Recurring Basis | Significant Other Observable Inputs (Level 2) | Asset-backed securities
Assets:
Loans held for sale carried at fair value	3,108	3,270
Fair Value Measurements Recurring Basis | Significant Other Observable Inputs (Level 2) | Other debt securities
Assets:
Loans held for sale carried at fair value	58,040	67,104
Fair Value Measurements Recurring Basis | Significant Other Observable Inputs (Level 2) | Mortgage Loan Interest Rate Lock Commitments | Non designated
Derivative assets:
Loan, Mortgage, Held-for-Sale, Fair Value Disclosure	0	0
Fair Value Measurements Recurring Basis | Significant Other Observable Inputs (Level 2) | Forward Sales Commitments | Non designated
Derivative assets:
Mortgage-backed securities forward sales commitments, asset		27
Derivative liabilities:
Derivative Liabilities - customer related	(2,276)
Mortgage-backed securities forward sales commitments, liability	47
Fair Value Measurements Recurring Basis | Significant Unobservable Inputs (Level 3)
Assets:
Loans held for sale carried at fair value	0	0
Fair Value Measurements Recurring Basis | Significant Unobservable Inputs (Level 3) | U. S. government agency securities
Assets:
Loans held for sale carried at fair value	0	0
Fair Value Measurements Recurring Basis | Significant Unobservable Inputs (Level 3) | State and municipal securities
Assets:
Loans held for sale carried at fair value	0	0
Fair Value Measurements Recurring Basis | Significant Unobservable Inputs (Level 3) | Mortgage-backed Securities-residential
Assets:
Loans held for sale carried at fair value	0	0
Fair Value Measurements Recurring Basis | Significant Unobservable Inputs (Level 3) | Asset-backed securities
Assets:
Loans held for sale carried at fair value	0	0
Fair Value Measurements Recurring Basis | Significant Unobservable Inputs (Level 3) | Other debt securities
Assets:
Loans held for sale carried at fair value	0	0
Fair Value Measurements Recurring Basis | Significant Unobservable Inputs (Level 3) | Mortgage Loan Interest Rate Lock Commitments | Non designated
Derivative assets:
Loan, Mortgage, Held-for-Sale, Fair Value Disclosure	326	6
Fair Value Measurements Recurring Basis | Significant Unobservable Inputs (Level 3) | Forward Sales Commitments | Non designated
Derivative assets:
Mortgage-backed securities forward sales commitments, asset		0
Derivative liabilities:
Derivative Liabilities - customer related	0
Mortgage-backed securities forward sales commitments, liability	0
Fair Value Measurements Recurring Basis | Customer Related | Non designated
Derivative assets:
Interest rate swaps - customer related, asset	2,276	2,343
Derivative liabilities:
Interest rate swaps - customer related, liability		(2,343)
Fair Value Measurements Recurring Basis | Customer Related | Quoted Prices in Active Markets for Identical Assets (Level 1) | Non designated
Derivative assets:
Interest rate swaps - customer related, asset	0	0
Derivative liabilities:
Interest rate swaps - customer related, liability		0
Fair Value Measurements Recurring Basis | Customer Related | Significant Other Observable Inputs (Level 2) | Non designated
Derivative assets:
Interest rate swaps - customer related, asset	2,276	2,343
Derivative liabilities:
Interest rate swaps - customer related, liability		(2,343)
Fair Value Measurements Recurring Basis | Customer Related | Significant Unobservable Inputs (Level 3) | Non designated
Derivative assets:
Interest rate swaps - customer related, asset	$ 0	0
Derivative liabilities:
Interest rate swaps - customer related, liability		$ 0

Fair Value - Reconciliation of

Fair Value - Reconciliation of Assets Measured at Fair Value on Recurring Basis using Significant Unobservable Inputs (Level 3) (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]
Fair Value, Net Derivative Asset (Liability), Recurring Basis, Unobservable Input Reconciliation, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration]	Mortgage Banking Non Interest Income	Mortgage Banking Non Interest Income
Mortgage Loan Interest Rate Lock Commitments | Significant Unobservable Inputs (Level 3) | Fair Value Measurements Recurring Basis
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]
Balance of recurring Level 3 assets at January 1st	$ 6	$ 696
Included in mortgage banking income	320	(70)
Balance of recurring Level 3 assets at March 31st	$ 326	$ 626

Fair Value - Summary of Quantit

Fair Value - Summary of Quantitative Information About Level 3 Fair Value Measurements on Recurring and Non-recurring Basis (Details) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)
Commercial and industrial | Fair Value, Nonrecurring
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Individually evaluated loans	$ 3,255
Impaired loans		$ 3,169
Significant Unobservable Inputs (Level 3) | Commercial and industrial | Fair Value, Nonrecurring
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Individually evaluated loans	$ 3,255
Impaired loans		$ 3,169
Significant Unobservable Inputs (Level 3) | Commercial and industrial | Sales Comparison Approach | Fair Value, Nonrecurring
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Valuation Technique(s)	Sales comparison approach	Sales comparison approach
Unobservable Input(s)	Appraisal discounts	Appraisal discounts
Unobservable inputs range	0.10	0.10
Individually evaluated loans	$ 109	$ 3,069
Significant Unobservable Inputs (Level 3) | Commercial and industrial | Income Approach | Fair Value, Nonrecurring
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Valuation Technique(s)	Income approach	Income approach
Unobservable Input(s)	Fair value discount	Fair value discount
Unobservable inputs range	0.09	0.09
Individually evaluated loans	$ 320	$ 100
Significant Unobservable Inputs (Level 3) | Mortgage Loan Interest Rate Lock Commitments | Non designated
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Mortgage loan interest rate lock commitments	$ 326	$ 6
Valuation Technique(s)	Consensus pricing	Consensus pricing
Unobservable Input(s)	Origination pull-through rate	Origination pull-through rate
Significant Unobservable Inputs (Level 3) | Mortgage Loan Interest Rate Lock Commitments | Non designated | Minimum
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Unobservable inputs range	0.80	0.80
Significant Unobservable Inputs (Level 3) | Mortgage Loan Interest Rate Lock Commitments | Non designated | Maximum
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Unobservable inputs range	1	1
Significant Unobservable Inputs (Level 3) | Mortgage Loan Interest Rate Lock Commitments | Non designated | Weighted Average
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Unobservable inputs range	0.93	0.94

Fair Value - Summary of Asset_2

Fair Value - Summary of Assets Measured at Fair Value on a Nonrecurring Basis (Details) - Fair Value, Nonrecurring - Commercial and industrial - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Individually evaluated loans	$ 3,255
Impaired loans		$ 3,169
Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Individually evaluated loans	0
Impaired loans		0
Significant Other Observable Inputs (Level 2)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Individually evaluated loans	0
Impaired loans		0
Significant Unobservable Inputs (Level 3)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Individually evaluated loans	$ 3,255
Impaired loans		$ 3,169

Fair Value - Summary of Carryin

Fair Value - Summary of Carrying Value and Fair Values of the Bank's Financial Instruments (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Financial assets:
Securities available-for-sale, at fair value net of allowance for credit losses of $2,000 and $0 at June 30, 2023 and December 31, 2022, respectively	$ 373,262	$ 396,416
Securities held to maturity, fair value	0	1,240
Loans held for sale carried at fair value	28,121	12,636
Carrying amount
Financial assets:
Cash and due from banks, interest-bearing deposits in financial institutions	168,826	130,838
Federal funds sold	1,883	4,467
Securities available-for-sale, at fair value net of allowance for credit losses of $2,000 and $0 at June 30, 2023 and December 31, 2022, respectively	373,262	396,416
Securities held to maturity, fair value	0	1,240
Loans held for sale carried at fair value	48,895	44,708
Restricted equity securities	16,130	16,632
Loans held for investment	2,358,928	2,312,798
Accrued interest receivable	11,117	10,511
Other assets	94,260	93,230
Financial liabilities:
Deposits	2,710,759	2,679,819
Subordinated notes and Federal Home Loan bank advances	79,733	44,666
Other liabilities	7,724	4,605
Fair value | Level 1
Financial assets:
Cash and due from banks, interest-bearing deposits in financial institutions	168,826	130,838
Federal funds sold	1,883	4,467
Fair value | Level 2
Financial assets:
Securities available-for-sale, at fair value net of allowance for credit losses of $2,000 and $0 at June 30, 2023 and December 31, 2022, respectively	373,262	396,416
Securities held to maturity, fair value	0	1,240
Loans held for sale carried at fair value	50,543	46,585
Accrued interest receivable	11,117	10,511
Financial liabilities:
Subordinated notes and Federal Home Loan bank advances	79,829	43,831
Fair value | Level 3
Financial assets:
Loans held for investment	2,289,811	2,265,617
Financial liabilities:
Deposits	2,701,868	2,659,822
Other liabilities	7,724	4,605
Fair value | Level 2 / Level 3
Financial assets:
Other assets	$ 94,260	$ 93,230