Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2021 | May 13, 2021 | |
Cover [Abstract] | ||
Entity Central Index Key | 0000868271 | |
Entity Registrant Name | SEVERN BANCORP INC | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2021 | |
Document Transition Report | false | |
Entity File Number | 0-49731 | |
Entity Incorporation, State or Country Code | MD | |
Entity Tax Identification Number | 52-1726127 | |
Entity Address, Address Line One | 200 Westgate Circle, SuiteĀ 200 | |
Entity Address, City or Town | Annapolis | |
Entity Address, State or Province | MD | |
Entity Address, Postal Zip Code | 21401 | |
City Area Code | 410 | |
Local Phone Number | 260-2000 | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Trading Symbol | SVBI | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 12,858,339 |
CONSOLIDATED STATEMENTS OF FINA
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
ASSETS | ||
Cash and due from banks | $ 6,248 | $ 4,819 |
Federal funds sold and interest-bearing deposits in other banks | 250,847 | 151,790 |
Cash and cash equivalents | 257,095 | 156,609 |
CDs held for investment | 3,330 | 3,580 |
AFS securities, at fair value | 132,698 | 65,098 |
HTM securities (fair value of $15,094 and $16,603 at March 31, 2021 and December 31, 2020, respectively) | 14,516 | 15,943 |
LHFS, at fair value | 50,124 | 36,299 |
Loans receivable | 621,512 | 642,882 |
Allowance | (8,135) | (8,670) |
Loans, net | 613,377 | 634,212 |
Real estate acquired through foreclosure | 1,010 | 1,010 |
Restricted stock investments | 970 | 1,236 |
Premises and equipment, net | 20,653 | 20,940 |
Accrued interest receivable | 2,439 | 2,576 |
Deferred income taxes | 882 | 1,145 |
BOLI | 5,550 | 5,517 |
Goodwill | 770 | 1,104 |
Other assets | 9,555 | 7,284 |
Total assets | 1,112,969 | 952,553 |
Deposits: | ||
Noninterest bearing | 337,141 | 245,093 |
Interest-bearing | 626,955 | 561,363 |
Total deposits | 964,096 | 806,456 |
Long-term borrowings | 10,000 | 10,000 |
Subordinated debentures | 20,619 | 20,619 |
Accrued expenses and other liabilities | 7,181 | 5,831 |
Total liabilities | 1,001,896 | 842,906 |
Stockholders' Equity: | ||
Common stock, $0.01 par value, 20,000,000 shares authorized; 12,856,989 and 12,843,349 shares issued and outstanding at March 31, 2021 and December 31, 2020, respectively | 129 | 128 |
Additional paid-in capital | 66,359 | 66,251 |
Retained earnings | 46,485 | 43,216 |
Accumulated other comprehensive (loss) income | (1,900) | 52 |
Total stockholders' equity | 111,073 | 109,647 |
Total liabilities and stockholders' equity | $ 1,112,969 | $ 952,553 |
CONSOLIDATED STATEMENTS OF FI_2
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION [Abstract] | ||
Fair Value - HTM | $ 15,094 | $ 16,603 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 20,000,000 | 20,000,000 |
Common stock, shares issued (in shares) | 12,856,989 | 12,843,349 |
Common stock, shares outstanding (in shares) | 12,856,989 | 12,843,349 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Interest income: | ||
Loans | $ 8,244 | $ 8,338 |
Securities | 292 | 219 |
Other earning assets | 73 | 359 |
Total interest income | 8,609 | 8,916 |
Interest expense: | ||
Deposits | 784 | 1,797 |
Borrowings and subordinated debentures | 167 | 364 |
Total interest expense | 951 | 2,161 |
Net interest income | 7,658 | 6,755 |
(Reversal of) provision for loan losses | (750) | 750 |
Net interest income after (reversal of) provision for loan losses | 8,408 | 6,005 |
Noninterest income: | ||
Mortgage-banking revenue | 4,396 | 1,634 |
Real estate commissions | 161 | 310 |
Real estate management fees | 165 | |
Deposit service charges | 601 | 561 |
Title company revenue | 335 | 238 |
ATM surcharges | 87 | 62 |
Income from BOLI | 33 | 37 |
Other noninterest income | 146 | 18 |
Total noninterest income | 5,759 | 3,025 |
Noninterest expense: | ||
Compensation and related expenses | 6,222 | 5,461 |
Occupancy | 471 | 518 |
Legal fees | 166 | |
Write-downs, losses, and costs of real estate acquired through foreclosure, net of gains | 2 | 74 |
FDIC insurance premiums | 56 | |
Professional fees | 151 | 303 |
Advertising | 198 | 220 |
Data processing | 462 | 460 |
Credit report and appraisal fees | 60 | 67 |
Licensing and software | 240 | 218 |
Loss on disposal of premises and equipment | 0 | 76 |
Internal audit and compliance | 133 | 64 |
Office expenses, printing, and postage | 88 | 109 |
Telecommunications | 105 | 105 |
Merger expenses | 238 | |
Other noninterest expense | 380 | 411 |
Total noninterest expense | 8,806 | 8,252 |
Net income before income tax provision | 5,361 | 778 |
Income tax provision | 1,450 | 213 |
Net income | $ 3,911 | $ 565 |
Net income per common share - basic (in dollars per share) | $ 0.30 | $ 0.04 |
Net income per common share - diluted (in dollars per share) | $ 0.30 | $ 0.04 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | ||
Net income | $ 3,911 | $ 565 |
Other comprehensive income item: | ||
Unrealized holding (losses) gains on AFS securities arising during the period (net of tax (benefit) expense of $(742) and $56) | (1,956) | 149 |
Realized losses on AFS securities arising during the period (net of tax benefit of $1) | 4 | |
Total other comprehensive income | (1,952) | 149 |
Total comprehensive income | $ 1,959 | $ 714 |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | ||
Unrealized holding gains on available-for-sale securities arising during the period, income taxes | $ (742) | $ 56 |
Realized gains, net of tax expense | $ (1) |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Gain (Loss) | Total |
Balance (in shares) at Dec. 31, 2019 | 12,810,926 | ||||
Balance at Dec. 31, 2019 | $ 128 | $ 65,944 | $ 38,560 | $ (45) | $ 104,587 |
Net income | 0 | 0 | 565 | 0 | 565 |
Stock-based compensation | 0 | 34 | 0 | 0 | 34 |
Dividends paid on common stock | $ 0 | 0 | (513) | 0 | $ (513) |
Exercise of stock options (in shares) | 2,050 | 2,050 | |||
Exercise of stock options | $ 0 | 14 | 0 | 0 | $ 14 |
Other comprehensive income | $ 0 | 0 | 0 | 149 | 149 |
Balance (in shares) at Mar. 31, 2020 | 12,812,976 | ||||
Balance at Mar. 31, 2020 | $ 128 | 65,992 | 38,612 | 104 | 104,836 |
Balance (in shares) at Dec. 31, 2020 | 12,843,349 | ||||
Balance at Dec. 31, 2020 | $ 128 | 66,251 | 43,216 | 52 | 109,647 |
Net income | 0 | 0 | 3,911 | 0 | 3,911 |
Stock-based compensation | 0 | 23 | 0 | 0 | 23 |
Dividends paid on common stock | $ 0 | 0 | (642) | 0 | $ (642) |
Exercise of stock options (in shares) | 13,640 | 13,640 | |||
Exercise of stock options | $ 1 | 85 | $ 86 | ||
Other comprehensive income | $ 0 | 0 | 0 | (1,952) | (1,952) |
Balance (in shares) at Mar. 31, 2021 | 12,856,989 | ||||
Balance at Mar. 31, 2021 | $ 129 | $ 66,359 | $ 46,485 | $ (1,900) | $ 111,073 |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY [Abstract] | ||
Dividends paid on common stock, per share (in dollars per share) | $ 0.05 | $ 0.04 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Cash flows from operating activities: | ||
Net income | $ 3,911 | $ 565 |
Adjustments to reconcile net income to net cash from operating activities: | ||
Depreciation and amortization | 389 | 394 |
Amortization of deferred loan fees | (875) | (506) |
Net amortization (accretion) of premiums and discounts on securities | 435 | (83) |
(Reversal of) provision for loan losses | (750) | 750 |
Write-downs and losses on real estate acquired through foreclosure, net of gains | 0 | 80 |
Gain on sale of mortgage loans | (4,396) | (1,634) |
Loss on disposal of property | 0 | 76 |
Loss on sale of Hyatt Commercial assets | 34 | 0 |
Proceeds from sale of LHFS | 91,625 | 33,764 |
Originations of LHFS | (101,314) | (43,216) |
Stock-based compensation | 23 | 34 |
Increase in cash surrender value of bank-owned life insurance | (33) | (37) |
Deferred income taxes | 1,004 | 1 |
Decrease in accrued interest receivable | 137 | 183 |
Increase in other assets | (2,304) | (1,160) |
Increase in accrued expenses and other liabilities | 1,349 | 1,024 |
Net cash used in operating activities | (10,765) | (9,765) |
Cash flows from investing activities: | ||
Redemption of CDs held for investment | 250 | 0 |
Loan principal repayments, net of (disbursements) | 22,720 | 10,271 |
Redemption of restricted stock investments | 266 | 132 |
Purchases of premises and equipment, net | (102) | (57) |
Activity in HTM securities: | ||
Maturities/calls/repayments | 1,198 | 3,202 |
Activity in AFS securities: | ||
Purchases | (80,454) | (7,852) |
Sales | 4,451 | 0 |
Maturities/calls/repayments | 5,504 | 2,225 |
Proceeds from sale of Hyatt Commercial | 334 | 0 |
Proceeds from sales of real estate acquired through foreclosure | 0 | 623 |
Net cash (used in) provided by investing activities | (45,833) | 8,544 |
Cash flows from financing activities: | ||
Net increase in deposits | 157,640 | 29,163 |
Common stock dividends | (642) | (513) |
Exercise of stock options | 86 | 14 |
Net cash provided by financing activities | 157,084 | 28,664 |
Increase in cash and cash equivalents | 100,486 | 27,443 |
Cash and cash equivalents at beginning of period | 156,609 | 88,193 |
Cash and cash equivalents at end of period | 257,095 | 115,636 |
Supplemental Noncash Disclosures: | ||
Interest paid on deposits and borrowed funds | 955 | 2,170 |
Income taxes paid | 0 | 493 |
Transfers of mortgage loans held for sale to loan portfolio | $ 260 | $ 0 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 1 - Summary of Significant Accounting Policies Basis of Presentation The accounting and reporting policies of the Company conform to GAAP and prevailing practices within the financial services industry for interim financial information and Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and notes required for complete financial statements and prevailing practices within the banking industry. In the opinion of management, all adjustments (comprising only of those of a normal recurring nature) necessary for a fair presentation of the results of operations for the interim periods presented have been made. The results of operations for the three months ended March 31, 2021 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2021 or any other interim or future period. Events occurring after the date of the financial statements up to the date the financial statements were available to be issued were considered in the preparation of the consolidated financial statements. These statements should be read in conjunction with the financial statements and accompanying notes included in the Companyās 2020 Annual Report on Form 10-K as filed with the SEC. Principles of Consolidation The unaudited consolidated financial statements include the accounts of Severn Bancorp, Inc., and its wholly-owned subsidiaries, Mid-Maryland Title Company, Inc., SBI Mortgage Company, and Severn Savings Bank, FSB, along with the Bankās subsidiaries, Homeowners Title and Escrow Corporation, Severn Financial Services Corporation, SSB Realty Holdings, LLC, SSB Realty Holdings II, LLC, and HS West, LLC. Also included are the accounts of SBI Mortgage Companyās subsidiary, Crownsville Development Corporation, and its subsidiary, Crownsville Holdings I, LLC. All intercompany accounts and transactions have been eliminated in the accompanying consolidated financial statements. Use of Estimates The preparation of the financial statements requires management to exercise significant judgment or discretion or make significant assumptions and estimates based on the information available that have, or could have, a material impact on the carrying value of certain assets or on income. These estimates and assumptions affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses during the periods presented. The accounting policies we view as critical are those relating to the Allowance, the valuation of real estate acquired through foreclosure, and the valuation of deferred tax assets and liabilities. Cash Flows For reporting purposes, assets grouped in the Consolidated Statements of Financial Condition under the captions āCash and due from banksā and āFederal funds sold and interest-bearing deposits in other banksā are considered cash or cash equivalents. For financial statement purposes, these assets are carried at cost. Federal funds sold and interest-bearing deposits in other banks generally have overnight maturities and are in excess of amounts that would be recoverable under FDIC insurance. Reclassifications Certain reclassifications have been made to amounts previously reported to conform to current period presentation. 2020 Correction of Prior Period Immaterial Error As disclosed in the Companyās 2020 Annual Report on Form 10-K, during 2020, the Company corrected an immaterial accounting error related to $885,000 of DTAs related to NOLs recorded in years prior to 2020 by the holding company and which accumulated over the span of many years. As the holding company has not previously generated taxable income and continues to generate no taxable income, it has no ability to utilize the NOLs. To correct this immaterial accounting error, the Company recorded an adjustment to reduce 2019's opening retained earnings in the amount of $793,000 and additional tax expense of $92,000 (the amounts deemed applicable for 2019) for the year ended December 31, 2019. These adjustments then affected the beginning balances of March 31, 2020 retained earnings and total stockholdersā equity, both of which amounts are shown in this Quarterly Report on Form 10-Q reduced by $885,000 from the amounts previously stated. COVID-19 Risks and Uncertainties On March 11, 2020, the World Health Organization declared the outbreak of COVID-19 as a global pandemic, which continues to spread throughout the U.S. and around the world. The declaration of a global pandemic indicates that almost all public commerce and related business activities must be, to varying degrees, curtailed with the goal of decreasing the rate of new infections. The outbreak of COVID-19 has adversely impacted and could continue to adversely impact a broad range of industries in which the Companyās customers operate and impair their ability to fulfill their financial obligations to the Company. On March 3, 2020, the Federal Open Market Committee reduced the target federal funds rate by 50 basis points to a target range of 1.00% to 1.25%. This rate was further reduced to a target range of 0% to 0.25% on March 16, 2020. These reductions in interest rates and other effects of the COVID-19 outbreak has affected and may continue to adversely affect the Companyās financial condition and results of operations. As a result of the spread of COVID-19, economic uncertainties have arisen which could negatively impact net interest income, noninterest income, credit quality, the Allowance, and the provision for loan losses. Additionally, there could be a potential for goodwill impairment. Other financial impact could occur though such potential impact is unknown at this time. On May 12, 2021, the Governor of Maryland lifted all remaining COVID-19 related restrictions, with the exception of wearing masks indoors, effective May 15, 2021. On May 14, 2021, the Governor also lifted the mask mandate effective May 15, 2021. Asset Sale On January 1, 2021, we sold the majority of the assets of our real estate company, Hyatt Commercial, with the exception of cash and certain fixed assets. At the time of the sale, Hyatt Commercial had $1.6 million in assets, $1.1 million of which was in cash that stayed with the Company. The remainder of the net assets were sold for $334,000 and we realized a loss of approximately $34,000. Proposed Merger with Shore Bancshares, Inc. ā On March 3, 2021, the Company and Shore entered into an agreement and plan of merger that provides that the Company will merge with and into Shore, with Shore as the surviving corporation (the āMergerā). Following the Merger, the Bank will merge with and into Shoreās wholly-owned bank subsidiary, Shore United Bank, with Shore United Bank as the surviving bank (the āBank Mergerā). At the effective time of the Merger, each outstanding share of the Companyās common stock will be converted into the right to receive (i) 0.6207 shares of Shore common stock and (ii) $1.59 in cash, together with cash in lieu of fractional shares, if any. The merger consideration is 85% stock and 15% cash. ā The completion of the Merger and the Bank Merger are subject to customary closing conditions, including approval by the Companyās stockholders, Shoreās stockholders and the receipt of regulatory approvals or waivers from the OCC and the Board of Governors of the Federal Reserve System. Prior to the completion of the Bank Merger, Shore United Bank must obtain the approval of the OCC to convert to a national banking association. The Merger is expected to be completed in the third quarter of 2021. ā Recent Accounting Pronouncements ā Pronouncements Adopted In December 2019, FASB issued ASU No. 2019-12, Simplifying the Accounting for Taxes In January 2020, FASB issued ASU No. 2020-01, , which clarifies the interaction between the three Topics. The standard was effective for fiscal years beginning after December 15, 2020. The adoption of ASU No. 2020-01 did not have a material impact on our financial position, results of operations, or cash flows. Pronouncements Issued In September 2016, FASB issued ASU No. 2016-13, Financial Instruments ā Credit Losses Financial Instruments ā Credit Losses (Topic 326): Targeted Transition Relief Financial Instruments - Credit Losses - Measured at Amortized Costs. Financial Instruments - Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates Financial Instruments - Credit Losses We have contracted with a third party vendor to assist in the transition to CECL. The Bank has purchased the third party vendorās CECL software and has separately contracted with their advisory services group to help with the installation and transition. As the Bank has been using other software of this specific vendor, they have access to the Bankās historical data. As the third party vendor has many financial institution clients, they will be able to provide peer group data to the extent the Bankās data is not sufficient to make the many determinations required under CECL. We are continuing the process of determining appropriate loan pools and economic factors to be used for CECL calculations. Although the implementation of CECL has been delayed, the Bank is continuing with the implementation at a pace to ensure that we will be in position to completely transition to CECL by the required date. While we are still in the process of evaluating the impact of the amended guidance on our Consolidated Financial Statements, it is quite possible that the Allowance will increase upon adoption given that the Allowance will be required to cover the full remaining expected life of the portfolio upon adoption, rather than the incurred loss model under current GAAP. The extent of this increase is still being evaluated and will depend on economic conditions and the composition of our loan portfolio at the time of adoption. In November 2019, FASB issued ASU 2019-11, Codification Improvements to Topic 326, Financial Instruments - Credit Losses. ASU 2019-11 provides transition relief when adjusting the effective interest rate for TDRs that exist as of the adoption date, extends the disclosure relief in ASU 2019-04 to disclose accrued interest receivable balances separately from the amortized cost basis to additional disclosures involving amortized cost basis, and provides clarification regarding application of the guidance in paragraph 326-20-35-6 for financial assets secured by collateral maintenance provisions that provide a practical expedient to measure the estimate of expected credit losses by comparing the amortized cost basis of a financial asset and the fair value of collateral securing the financial asset as of the reporting date. The effective date and transition requirements for the amendment are the same as the effective date and transition requirements in ASU 2016-13. |
Securities
Securities | 3 Months Ended |
Mar. 31, 2021 | |
Securities [Abstract] | |
Securities | Note 2 - Securities ā The amortized cost and fair values of our AFS securities portfolio were as follows: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā Amortized Unrealized Unrealized ā ā ā Cost ā Gains ā Losses ā Fair Value ā ā (dollars in thousands) U.S. government agency notes ā $ 9,366 ā $ 1 ā $ 192 ā $ 9,175 Corporate obligations ā ā 2,000 ā ā 21 ā ā ā ā ā 2,021 MBS ā ā 123,953 ā ā 82 ā ā 2,533 ā ā 121,502 ā ā $ 135,319 ā $ 104 ā $ 2,725 ā $ 132,698 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā Amortized Unrealized Unrealized ā ā ā Cost ā Gains ā Losses ā Fair Value ā ā (dollars in thousands) U.S. government agency notes ā $ 6,640 ā $ 45 ā $ 25 ā $ 6,660 Corporate obligations ā ā 2,000 ā ā 34 ā ā ā ā ā 2,034 MBS ā ā 56,385 ā ā 339 ā ā 320 ā ā 56,404 ā ā $ 65,025 ā $ 418 ā $ 345 ā $ 65,098 ā The amortized cost and fair values of our HTM securities portfolio were as follows: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā Amortized Unrealized Unrealized Fair ā ā Cost ā Gains ā Losses ā Value ā ā (dollars in thousands) U.S. government agency notes ā $ 1,987 ā $ 130 ā $ ā ā $ 2,117 MBS ā 12,529 ā 448 ā ā ā 12,977 ā ā $ 14,516 ā $ 578 ā $ ā ā $ 15,094 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā Amortized Unrealized Unrealized Fair ā ā Cost ā Gains ā Losses ā Value ā ā (dollars in thousands) U.S. government agency notes ā $ 1,986 ā $ 145 ā $ ā ā $ 2,131 MBS ā 13,957 ā 515 ā ā ā 14,472 ā ā $ 15,943 ā $ 660 ā $ ā ā $ 16,603 ā Gross unrealized losses and fair value by length of time that the individual AFS securities have been in an unrealized loss position at the dates indicated are presented in the following tables: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā Less than 12 months ā 12 months or more ā Total ā # of Fair Unrealized # of Fair Unrealized # of Fair Unrealized ā ā Securities ā Value ā Losses ā Securities ā Value ā Losses ā Securities ā Value ā Losses ā ā (dollars in thousands) U.S. government agency notes ā 8 ā $ 9,056 ā $ 192 ā ā ā $ ā ā $ ā ā 8 ā $ 9,056 ā $ 192 MBS ā 61 ā 103,718 ā 2,523 ā 1 ā 511 ā 10 ā 62 ā 104,229 ā ā 2,533 ā ā 69 ā $ 112,774 ā $ 2,715 ā 1 ā $ 511 ā $ 10 ā 70 ā $ 113,285 ā $ 2,725 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā Less than 12 months ā 12 months or more ā Total ā # of Fair Unrealized # of Fair Unrealized # of Fair Unrealized ā ā Securities ā Value ā Losses ā Securities ā Value ā Losses ā Securities ā Value ā Losses ā ā (dollars in thousands) U.S. government agency notes ā 5 ā $ 4,015 ā $ 25 ā ā ā $ ā ā $ ā ā 5 ā $ 4,015 ā $ 25 MBS ā 27 ā 27,454 ā 320 ā ā ā ā ā ā ā ā ā 27 ā ā 27,454 ā ā 320 ā ā 32 ā $ 31,469 ā $ 345 ā ā ā $ ā ā $ ā ā 32 ā $ 31,469 ā $ 345 ā We did not have any HTM securities in an unrealized loss position at either March 31, 2021 or December 31, 2020. ā All of the securities that are currently in a gross unrealized loss position are so due to declines in fair values resulting from changes in interest rates or increased liquidity spreads since the time they were purchased. We have the intent and ability to hold these debt securities to maturity (including the AFS securities) and do not intend to sell, nor do we believe it will be more likely than not that we will be required to sell, any impaired securities prior to a recovery of amortized cost. We expect these securities will be repaid in full, with no losses realized. As such, management considers any impairment to be temporary. ā Contractual maturities of debt securities at March 31, 2021 are shown below. Actual maturities may differ from contractual maturities because borrowers have the right to call or prepay obligations with or without call or prepayment penalties. ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā AFS Securities ā HTM Securities ā Amortized Fair Amortized Fair ā ā Cost ā Value ā Cost ā Value ā ā (dollars in thousands) Due after one through five years ā $ 118 ā $ 119 ā $ 1,987 ā $ 2,117 Due after five years through ten years ā 7,874 ā 7,815 ā ā ā ā Due after 10 years ā ā 3,374 ā ā 3,262 ā ā ā ā ā ā MBS ā 123,953 ā 121,502 ā 12,529 ā 12,977 ā ā $ 135,319 ā $ 132,698 ā $ 14,516 ā $ 15,094 ā During the three months ended March 31, 2021, we sold $4.5 million in securities and recognized $35,000 and $40,000 in gross unrealized gains and losses, respectively. We did not sell any securities during the three months ended March 31, 2020. We had $2.9 million and $3.1 million fair value of securities pledged as collateral against certain deposits as of March 31, 2021 and December 31, 2020, respectively. |
Loans Receivable and Allowance
Loans Receivable and Allowance | 3 Months Ended |
Mar. 31, 2021 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Loans Receivable and Allowance | Note 3 - Loans Receivable and Allowance for Loan Losses Loans receivable are summarized as follows: ā ā ā ā ā ā ā ā ā March 31, ā December 31, ā ā 2021 2020 ā ā (dollars in thousands) Residential mortgage ā $ 186,591 ā $ 209,659 Commercial ā 74,617 ā 63,842 Commercial real estate ā 243,521 ā 243,435 ADC ā 103,487 ā 112,938 Home equity/2nds ā 15,173 ā 14,712 Consumer ā 1,565 ā 1,485 Total loans receivable, before net unearned fees ā 624,954 ā 646,071 Unearned loan fees ā (3,442) ā (3,189) Loans receivable ā $ 621,512 ā $ 642,882 ā Certain loans in the amount of $123.5 million have been pledged under a blanket floating lien to the FHLB as collateral against advances at March 31, 2021. At March 31, 2021, the Bank was servicing $215.4 million in loans for FNMA and $42.6 million in loans for FHLMC. At December 31, 2020, the Bank was servicing $159.8 million in loans for FNMA and $36.9 million in loans for FHLMC. These loans are not included in the table above. Also not included in the table above were MSRs of $2.9 million and $1.5 million as of March 31, 2021 and December 31, 2020, respectively. Credit Quality An Allowance is provided through charges to income in an amount that management believes will be adequate to absorb losses on existing loans that may become uncollectible based on evaluations of the collectability of loans and prior loan loss experience. Management has an established methodology to determine the adequacy of the Allowance that assesses the risks and losses inherent in the loan portfolio. The methodology takes into consideration such factors as changes in the nature and volume of the loan portfolio, overall portfolio quality, review of specific problem loans, and current economic conditions that may affect the borrowersā ability to pay. Determining the amount of the Allowance requires the use of estimates and assumptions. Actual results could differ significantly from those estimates. While management uses all available information to estimate losses on loans, future additions to the Allowance may be necessary based on changes in economic conditions and our actual loss experience. In addition, various regulatory agencies periodically review the Allowance as an integral part of their examination process. Such agencies may require us to recognize additions to the Allowance based on their judgments about information available to them at the time of their examination. Management believes the Allowance is adequate as of March 31, 2021 and December 31, 2020. For purposes of determining the Allowance, we have segmented our loan portfolio by product type. Our portfolio loan segments are residential mortgage, commercial, commercial real estate, ADC, Home equity/2nds, and consumer. We have looked at all segments and have determined that no additional subcategorization is warranted based upon our consideration of risk. Our portfolio classes are the same as our portfolio segments. Inherent Credit Risks The inherent credit risks within the loan portfolio vary depending upon the loan class as follows: Residential mortgage Commercial SBA PPP - We are participating in the PPP and began origination of such loans that are expected to be 100% guaranteed by the SBA. These loans have a 2 year (origination prior to June 5, 2020) or 5 year (originated after June 5, 2020) term at a 1.0% rate of interest with forgiveness by the SBA at the end of the term. This loan program was designed to assist our commercial customers in remaining operational during this time of uncertainty surrounding the COVID-19 pandemic. As of March 31, 2021, we held $39.0 million in PPP loans in our loan portfolio, all of which have interest forbearance. Commercial real estate ADC The sources of repayment of these loans is typically permanent financing expected to be obtained upon completion or sales of developed property. These loans are closely monitored by onsite inspections and are considered to be of a higher risk than other real estate loans due to their ultimate repayment being sensitive to general economic conditions, availability of long-term financing, interest rate sensitivity, and governmental regulation of real property. If the Bank is forced to foreclose on a project prior to or at completion due to a default, there can be no assurance that the Bank will be able to recover all of the unpaid balance of the loan as well as related foreclosure and holding costs. In addition, the Bank may be required to fund additional amounts to complete the project and may have to hold the property for an unspecified period of time. Home equity/2nds Consumer COVID-19 national and local āstay at homeā orders that were in place in many areas during the beginning of the second quarter of 2020. Although most āstay at homeā orders have since been lifted, many businesses are operating at significantly reduced capacities and many people remain unemployed. During this time of economic uncertainty, borrowers have faced and could continue to face extended periods of unemployment and may not be able to meet their loan obligations. Additionally, real estate collateral values could significantly decline and full repayment of loans could be in doubt. We have adjusted some of our economic qualitative factors that affect our Allowance calculation to reflect our best estimate of these risks. Management will continue to evaluate the adequacy of the Allowance as more economic data becomes available and as changes within our portfolio are known. To date, we have not experienced a significant increase in delinquencies or NPAs. However, the ongoing pandemic could still result in a deterioration in credit quality. The effects of the pandemic may require us to fund additional increases in the Allowance in future periods. Section 4013 of the CARES Act provides that a qualified loan modification is exempt by law from classification as a TDR pursuant to U.S. GAAP in certain circumstances. In addition, OCC Bulletin 2020-35 provides more limited circumstances in which a loan modification is not subject to classification as a TDR. CARES Act Section 4013 and OCC Bulletin 2020-35 forbearance agreements are available to both qualified commercial and consumer loan borrowers. Due to the widespread impact of COVID-19, we have had loan borrowers seek loan forbearance or loan modification agreements under the CARES Act. We held $12.4 million in loans modified under the CARES Act as of March 31, 2021, most of which have an interest deferral component. Such deferral periods range from one month to six months. We have recorded $117,000 in interest that has not yet been collected on $10.5 million in loans due to the forbearance agreements. The following tables present, by portfolio segment, the changes in the Allowance and the recorded investment in loans: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Three Months Ended March 31, 2021 ā Residential ā Commercial ā Home Equity/ ā ā ā ā Mortgage ā Commercial ā Real Estate ā ADC ā 2nds ā Consumer ā Unallocated ā Total ā ā (dollars in thousands) Beginning Balance ā $ 2,259 ā $ 1,670 ā $ 1,516 ā $ 2,947 ā $ 168 ā $ ā ā $ 110 ā $ 8,670 Charge-offs ā ā ā ā ā ā ā (34) ā ā ā ā ā ā ā (34) Recoveries ā 65 ā 5 ā 174 ā ā ā 4 ā 1 ā ā ā 249 Net recoveries (charge-offs) ā 65 ā 5 ā 174 ā (34) ā 4 ā 1 ā ā ā 215 (Reversal of) provision for loan losses ā (525) ā ā 105 ā ā (237) ā ā (208) ā ā 47 ā (1) ā 69 ā (750) Ending Balance ā $ 1,799 ā $ 1,780 ā $ 1,453 ā $ 2,705 ā $ 219 ā $ ā ā $ 179 ā $ 8,135 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Ending balance - individually evaluated for impairment ā $ 226 ā $ ā ā $ ā ā $ 29 ā $ ā ā $ ā ā $ ā ā $ 255 Ending balance - collectively evaluated for impairment ā 1,573 ā ā 1,780 ā ā 1,453 ā ā 2,676 ā ā 219 ā ā ā ā ā 179 ā 7,880 ā ā $ 1,799 ā $ 1,780 ā $ 1,453 ā $ 2,705 ā $ 219 ā $ ā ā $ 179 ā $ 8,135 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Ending loan balance -individually evaluated for impairment ā $ 6,791 ā $ ā ā $ 630 ā $ 298 ā $ 473 ā $ 62 ā ā ā ā $ 8,254 Ending loan balance -collectively evaluated for impairment ā 179,800 ā 74,617 ā 242,891 ā 103,189 ā 14,700 ā 1,503 ā ā ā ā 616,700 ā ā $ 186,591 ā $ 74,617 ā $ 243,521 ā $ 103,487 ā $ 15,173 ā $ 1,565 ā ā ā ā $ 624,954 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā Residential ā Commercial ā ā Home Equity/ ā ā ā ā Mortgage ā Commercial ā Real Estate ā ADC ā 2nds ā Consumer ā Unallocated ā Total ā ā (dollars in thousands) Ending balance - individually evaluated for impairment ā $ 542 ā $ ā ā $ ā ā $ 29 ā $ ā ā $ ā ā $ ā ā $ 571 Ending balance - collectively evaluated for impairment ā 1,717 ā 1,670 ā 1,516 ā 2,918 ā 168 ā ā ā 110 ā 8,099 ā ā $ 2,259 ā $ 1,670 ā $ 1,516 ā $ 2,947 ā $ 168 ā $ ā ā $ 110 ā $ 8,670 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Ending loan balance - individually evaluated for impairment ā $ 10,131 ā $ ā ā $ 547 ā $ 308 ā $ 491 ā $ 63 ā ā ā ā $ 11,540 Ending loan balance - collectively evaluated for impairment ā 199,528 ā 63,842 ā 242,888 ā 112,630 ā 14,221 ā 1,422 ā ā ā ā 634,531 ā ā $ 209,659 ā $ 63,842 ā $ 243,435 ā $ 112,938 ā $ 14,712 ā $ 1,485 ā ā ā ā $ 646,071 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Three Months Ended March 31, 2020 ā Residential ā Commercial ā Home Equity/ ā ā ā ā ā ā ā ā Mortgage ā Commercial ā Real Estate ā ADC ā 2nds ā Consumer ā Unallocated ā Total ā ā (dollars in thousands) Beginning Balance ā $ 2,264 ā $ 1,421 ā $ 984 ā $ 2,286 ā $ 134 ā $ ā ā $ 49 ā $ 7,138 Charge-offs ā ā ā ā ā ā ā ā ā ā ā (15) ā ā ā (15) Recoveries ā 3 ā 5 ā 32 ā ā ā 2 ā 3 ā ā ā 45 Net recoveries (charge-offs) ā 3 ā 5 ā 32 ā ā ā 2 ā (12) ā ā ā 30 Provision for loan losses ā 217 ā ā 139 ā ā 24 ā ā 329 ā ā 15 ā 12 ā 14 ā 750 Ending Balance ā $ 2,484 ā $ 1,565 ā $ 1,040 ā $ 2,615 ā $ 151 ā $ ā ā $ 63 ā $ 7,918 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Ending balance - individually evaluated for impairment ā $ 742 ā $ ā ā $ 62 ā $ 29 ā $ ā ā $ ā ā $ ā ā $ 833 Ending balance - collectively evaluated for impairment ā 1,742 ā 1,565 ā 978 ā 2,586 ā 151 ā ā ā 63 ā 7,085 ā ā $ 2,484 ā $ 1,565 ā $ 1,040 ā $ 2,615 ā $ 151 ā $ ā ā $ 63 ā $ 7,918 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Ending loan balance - individually evaluated for impairment ā $ 14,385 ā $ ā ā $ 1,208 ā $ 428 ā $ 548 ā $ 68 ā ā ā ā $ 16,637 Ending loan balance - collectively evaluated for impairment ā 246,596 ā 43,490 ā 219,446 ā 99,433 ā 11,651 ā 1,406 ā ā ā ā 622,022 ā ā $ 260,981 ā $ 43,490 ā $ 220,654 ā $ 99,861 ā $ 12,199 ā $ 1,474 ā ā ā ā $ 638,659 ā The following tables present the credit quality breakdown of our loan portfolio by class: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā Special ā ā ā Pass ā Mention ā Substandard ā Total ā (dollars in thousands) Residential mortgage ā $ 185,245 ā $ ā ā $ 1,346 $ 186,591 Commercial ā 73,417 ā 1,200 ā ā 74,617 Commercial real estate ā 242,639 ā 85 ā 797 243,521 ADC ā 103,044 ā ā ā 443 103,487 Home equity/2nds ā 15,076 ā ā ā 97 15,173 Consumer ā 1,565 ā ā ā ā 1,565 ā ā $ 620,986 ā $ 1,285 ā $ 2,683 $ 624,954 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā Special ā ā ā Pass ā Mention ā Substandard ā Total ā ā (dollars in thousands) Residential mortgage ā $ 205,225 ā $ ā ā $ 4,434 ā $ 209,659 Commercial ā 62,642 ā 1,200 ā ā ā 63,842 Commercial real estate ā 242,435 ā 86 ā 914 ā 243,435 ADC ā 112,479 ā ā ā 459 ā 112,938 Home equity/2nds ā 14,606 ā ā ā 106 ā 14,712 Consumer ā 1,485 ā ā ā ā ā 1,485 ā ā $ 638,872 ā $ 1,286 ā $ 5,913 ā $ 646,071 ā Management further monitors the performance and credit quality of the loan portfolio by analyzing the age of the portfolio as determined by the length of time a recorded payment is past due. The following tables present the classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans, excluding any CARES Act forbearance loans that may be contractually past due, but not considered such due to the legal forbearance: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā Past Due ā ā ā ā ā ā ā 30-59 ā 60-89 ā 90+ ā ā ā ā ā ā ā Non- ā Days Days Days Total Current Total Accrual ā ā (dollars in thousands) Residential mortgage ā $ ā ā $ ā ā $ 331 ā $ 331 ā $ 186,260 ā $ 186,591 ā $ 910 Commercial ā ā ā ā ā ā ā ā ā 74,617 ā 74,617 ā ā Commercial real estate ā ā ā ā ā 126 ā 126 ā 243,395 ā 243,521 ā 213 ADC ā ā ā ā ā ā ā ā ā 103,487 ā 103,487 ā 54 Home equity/2nds ā 59 ā ā ā 97 ā 156 ā 15,017 ā 15,173 ā 106 Consumer ā ā ā ā ā ā ā ā ā 1,565 ā 1,565 ā ā ā ā $ 59 ā $ ā ā $ 554 ā $ 613 ā $ 624,341 ā $ 624,954 ā $ 1,283 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā Past Due ā ā ā ā ā ā ā ā 30-59 ā 60-89 ā 90+ ā ā ā ā ā ā ā Non- ā Days Days Days Total Current Total Accrual ā (dollars in thousands) Residential mortgage ā $ 674 ā $ 213 ā $ 3,393 ā $ 4,280 ā $ 205,379 ā $ 209,659 ā $ 4,080 Commercial ā ā ā ā ā ā ā ā ā 63,842 ā 63,842 ā ā Commercial real estate ā 5 ā 87 ā 126 ā 218 ā 243,217 ā 243,435 ā 126 ADC ā ā ā ā ā ā ā ā ā 112,938 ā 112,938 ā 60 Home equity/2nds ā 60 ā ā ā 106 ā 166 ā 14,546 ā 14,712 ā 114 Consumer ā ā ā ā ā ā ā ā ā 1,485 ā 1,485 ā ā ā ā $ 739 ā $ 300 ā $ 3,625 ā $ 4,664 ā $ 641,407 ā $ 646,071 ā $ 4,380 ā We did not have any loans greater than 90 days past due and still accruing as of March 31, 2021 or December 31, 2020. The interest which would have been recorded on the above nonaccrual loans if those loans had been performing in accordance with their contractual terms was approximately $151,000 and $467,000 for the three months ended March 31, 2021 and 2020, respectively. The actual interest earned on those loans amounted to $31,000 and $60,000 for the three months ended March 31, 2021 and 2020, respectively. The following tables summarize impaired loans: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā December 31, 2020 ā Unpaid ā ā Unpaid ā ā ā Principal ā Recorded ā Related ā Principal ā Recorded ā Related ā ā Balance ā Investment ā Allowance ā Balance ā Investment ā Allowance With no related Allowance: ā (dollars in thousands) Residential mortgage ā $ 6,211 ā $ 5,793 ā $ ā ā $ 7,432 ā $ 7,152 ā $ ā Commercial ā ā ā ā ā ā ā ā ā ā ā ā Commercial real estate ā 631 ā 630 ā ā ā 548 ā 547 ā ā ADC ā 205 ā 197 ā ā ā 212 ā 206 ā ā Home equity/2nds ā 896 ā 473 ā ā ā 910 ā 491 ā ā Consumer ā 62 ā 62 ā ā ā 63 ā 63 ā ā With a related Allowance: ā ā ā ā ā ā ā ā ā ā ā ā Residential mortgage ā 998 ā 998 ā 226 ā 3,104 ā 2,979 ā 542 Commercial ā ā ā ā ā ā ā ā ā ā ā ā Commercial real estate ā ā ā ā ā ā ā ā ā ā ā ā ADC ā 101 ā 101 ā 29 ā 102 ā 102 ā 29 Home equity/2nds ā ā ā ā ā ā ā ā ā ā ā ā Consumer ā ā ā ā ā ā ā ā ā ā ā ā Totals: ā ā ā ā ā ā ā ā ā ā ā ā Residential mortgage ā 7,209 ā 6,791 ā 226 ā 10,536 ā 10,131 ā 542 Commercial ā ā ā ā ā ā ā ā ā ā ā ā Commercial real estate ā 631 ā 630 ā ā ā 548 ā 547 ā ā ADC ā 306 ā 298 ā 29 ā 314 ā 308 ā 29 Home equity/2nds ā 896 ā 473 ā ā ā 910 ā 491 ā ā Consumer ā 62 ā 62 ā ā ā 63 ā 63 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Three Months Ended March 31, ā ā 2021 ā 2020 ā Average Interest Average Interest ā ā Recorded ā Income ā Recorded ā Income ā ā Investment ā Recognized ā Investment ā Recognized With no related Allowance: ā (dollars in thousands) Residential mortgage ā $ 5,848 ā $ 83 ā $ 9,648 ā $ 89 Commercial ā ā ā ā ā ā ā ā Commercial real estate ā 632 ā 9 ā 664 ā 15 ADC ā 200 ā 3 ā 235 ā 5 Home equity/2nds ā 292 ā 7 ā 553 ā 6 Consumer ā 63 ā 1 ā 82 ā 1 With a related Allowance: ā ā ā ā ā ā ā ā Residential mortgage ā 1,000 ā 16 ā 4,571 ā 57 Commercial ā ā ā ā ā ā ā ā Commercial real estate ā ā ā ā ā 549 ā 8 ADC ā 101 ā 1 ā 104 ā 1 Home equity/2nds ā ā ā ā ā ā ā ā Consumer ā ā ā ā ā 2 ā 1 Totals: ā ā ā ā ā ā ā ā Residential mortgage ā 6,848 ā 99 ā 14,219 ā 146 Commercial ā ā ā ā ā ā ā ā Commercial real estate ā 632 ā 9 ā 1,213 ā 23 ADC ā 301 ā 4 ā 339 ā 6 Home equity/2nds ā 292 ā 7 ā 553 ā 6 Consumer ā 63 ā 1 ā 84 ā 2 ā ā There were no consumer mortgage properties included in real estate acquired through foreclosure at March 31, 2021 or December 31, 2020. Consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings were in process according to local requirements of the applicable jurisdiction totaled $505,000 as of March 31, 2021 and $3.6 million as of December 31, 2020. TDRs See discussion above in this Note regarding the CARES Act relating to loan modifications during the COVID-19 pandemic. Our portfolio of TDRs was accounted for under the following methods: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā ā ā ā Total Total ā ā Number of ā Accrual ā Number of ā Nonaccrual ā Number of ā Balance of ā ā Modifications ā Status ā Modifications ā Status ā Modifications ā Modifications ā ā (dollars in thousands) Residential mortgage 21 ā $ 5,618 2 ā $ 159 23 ā $ 5,777 Commercial real estate 1 ā 417 ā ā ā 1 ā 417 ADC 1 ā 127 ā ā ā 1 ā 127 Home equity/2nds ā 1 ā ā 187 ā ā ā ā ā 1 ā 187 Consumer 1 ā 62 ā ā ā 1 ā 62 ā 25 ā $ 6,411 2 ā $ 159 27 ā $ 6,570 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā ā ā ā Total Total ā ā Number of ā Accrual ā Number of ā Nonaccrual ā Number of ā Balance of ā ā Modifications ā Status ā Modifications ā Status ā Modifications ā Modifications ā ā (dollars in thousands) Residential mortgage 22 ā $ 5,787 2 ā $ 163 24 ā $ 5,950 Commercial real estate 1 ā 421 ā ā ā 1 ā 421 ADC 1 ā 128 ā ā ā 1 ā 128 Home equity/2nds ā 1 ā ā 190 ā ā ā ā ā 1 ā 190 Consumer 1 ā 63 ā ā ā 1 ā 63 ā 26 ā $ 6,589 2 ā $ 163 28 ā $ 6,752 ā We did not modify any loans that would qualify as TDRs during the three months ended March 31, 2021 or 2020. There were no TDRs that defaulted during the three months ended March 31, 2021 or 2020 which were modified during the previous 12 month period. |
Regulatory Matters
Regulatory Matters | 3 Months Ended |
Mar. 31, 2021 | |
Regulatory Matters [Abstract] | |
Regulatory Matters | Note 4 - Regulatory Matters The Bank is subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary, actions by regulators that, if undertaken, could have a direct material effect on our financial condition. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Bankās capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. In July 2013, federal bank regulatory agencies issued final rules to revise their risk-based capital requirements and the method for calculating risk-weighted assets to make them consistent with Basel III. On January 1, 2015, the Basel III rules became effective and included transition provisions which implement certain portions of the rules through January 1, 2019. Under the final rules, the effects of certain accumulated other comprehensive income items are not excluded, however, banking organizations like us that are not considered āadvanced approachesā banking organizations may make a one-time permanent election to continue to exclude these items, which we have done. The Basel III rules also establish a ācapital conservation bufferā of 2.5% above the regulatory minimum capital requirements, which must consist entirely of common equity Tier 1 capital. An institution would be subject to limitations on paying dividends, engaging in share repurchases, and paying discretionary bonuses to executive officers if its capital level falls below the buffer amount. These limitations establish a maximum percentage of eligible retained income that could be utilized for such actions. As a result of the Economic Growth, Regulatory Relief, and Consumer Protection Act, the federal banking agencies have developed a āCommunity Bank Leverage Ratioā (the ratio of a bankās tier 1 capital to average total consolidated assets) for financial institutions with assets of less than $10 billion. A āqualifying community bankā that exceeds this ratio will be deemed to be in compliance with all other capital and leverage requirements, including the capital requirements to be considered āwell capitalizedā under Prompt Corrective Action statutes. The federal banking agencies have set the Community Bank Leverage Ratio at 9%. A financial institution can elect to be subject to this new definition, which we did on January 1, 2020. The CARES Act temporarily lowered this ratio to 8% beginning in the second quarter of 2020. The ratio then rose to 8.5% for 2021 and re-establishes at 9% on January 1, 2022. As of the date of our last regulatory exam, the Bank was considered āwell capitalizedā and as of March 31, 2021, the Bank continued to meet the requirements to be considered āwell capitalizedā based on applicable U.S. regulatory capital ratio requirements. The Bankās regulatory capital amounts and ratios were as follows: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā To be Well ā ā ā ā ā ā Capitalized Under ā ā ā ā ā ā Prompt Corrective ā ā Actual ā ā ā Action Provision ā Amount Ratio Amount Ratio March 31, 2021 ā (dollars in thousands) ā Community bank leverage ratio ā $ 125,768 12.1 % 88,419 8.5 % ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā ā ā ā ā ā ā ā ā Community bank leverage ratio ā $ 122,196 13.7 % 71,495 8.0 % ā |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 5 - Earnings Per Share Basic earnings per share is computed by dividing net income available to common stockholders by the weighted average number of shares of common stock outstanding for each period. Diluted earnings per share reflect additional common shares that would have been outstanding if dilutive potential common shares had been issued. Potential common shares that may be issued by the Company relate to outstanding stock options and are determined using the treasury stock method. There were 10,500 shares that were anti-dilutive for the three months ended March 31, 2020. There were no anti-dilutive shares for the three months ended March 31, 2021. Information relating to the calculations of our income per common share is summarized as follows: ā ā ā ā ā ā ā ā ā ā Three Months Ended March 31, ā 2021 2020 ā ā (dollars in thousands, except for per share data) Weighted-average shares outstanding - basic ā 12,847,418 ā 12,812,642 Dilution ā 54,067 ā 37,499 Weighted-average share outstanding - diluted ā 12,901,485 ā 12,850,141 ā ā ā ā ā ā ā Net income ā $ 3,911 ā $ 565 Net income per share - basic ā $ 0.30 ā $ 0.04 Net income per share - diluted ā $ 0.30 ā $ 0.04 ā |
Stock-based Compensation
Stock-based Compensation | 3 Months Ended |
Mar. 31, 2021 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | Note 6 - Stock-Based Compensation We maintain a stock-based compensation plan for directors, officers, and other key employees of the Company. The aggregate number of shares of common stock that could be issued with respect to the awards granted under the Plan is 500,000. Under the terms of the Plan, the Company has the ability to grant various stock compensation incentives, including stock options, stock appreciation rights, and restricted stock. The Plan was granted under terms and conditions determined by the Compensation Committee of the Board of Directors. Under the Plan, stock options generally have a maximum term of ten years We account for stock-based compensation in accordance with FASB ASC Topic 718, Compensation ā Stock Compensation, Information regarding our stock-based compensation plan is as follows as of and for the three months ended March 31: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā 2021 ā 2020 ā ā ā Weighted- ā ā ā Weighted- ā ā ā ā Weighted- ā Average ā Aggregate ā ā ā Weighted- ā Average ā Aggregate ā ā ā ā Average ā Remaining ā Intrinsic ā ā ā Average ā Remaining ā Intrinsic ā ā Number ā Exercise ā Contractual ā Value ā Number ā Exercise ā Contractual ā Value ā ā of Shares ā Price ā Term (in years) ā (in thousands) ā of Shares ā Price ā Term (in years) ā (in thousands) Outstanding at beginning of period 220,250 ā $ 6.89 ā 234,173 ā $ 6.60 ā Granted ā ā ā ā 10,500 ā 8.26 ā Exercised (13,640) ā 6.28 $ 79 (2,050) ā 6.78 $ ā Outstanding at end of period 206,610 ā $ 6.93 1.2 ā $ 1,069 242,623 ā $ 6.67 2.7 ā $ 69 Exercisable at end of period 155,306 ā $ 6.78 0.8 ā $ 827 159,884 ā $ 6.37 2.3 ā $ 69 ā The stock-based compensation expense amounts and fair values of options at the time of the grants were derived using the Black-Scholes option-pricing model. The following weighted average assumptions were used to value options granted for the three months ended March 31, 2020. There were no options granted in 2021. ā ā ā ā ā ā Expected life ā 5.5 years Risk-free interest rate ā ā 0.95 % Expected volatility ā ā 27.83 % Expected dividend yield ā $ 1.95 Weighted average per share fair value of options granted ā $ 1.75 ā ā As of March 31, 2021, there was $129,000 of total unrecognized stock-based compensation expense related to nonvested stock options, which is expected to be recognized over the next 23 months |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2021 | |
Commitments and Contingencies | |
Commitments and Contingencies | Note 7 - Commitments and Contingencies Off-Balance Sheet Instruments The Bank is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financial needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit, which involve, to varying degrees, elements of credit risk in excess of the amount recognized in the Consolidated Statements of Financial Condition. The contract amounts of these instruments express the extent of involvement we have in each class of financial instruments. Our exposure to credit loss from nonperformance by the other party to the above mentioned financial instruments is represented by the contractual amount of those instruments. We use the same credit policies in making commitments and conditional obligations as we do for on-balance sheet instruments. Unless otherwise noted, we require collateral or other security to support financial instruments with off-balance sheet credit risk. ā ā ā ā ā ā ā ā ā March 31, 2021 ā December 31, 2020 ā ā (dollars in thousands) Standby letters of credit ā $ 2,804 ā $ 3,251 Home equity lines of credit ā 18,678 ā 17,005 Unadvanced construction commitments ā 84,866 ā 74,626 Lines of credit ā 30,510 ā 30,190 Loans sold and serviced with limited repurchase provisions ā 38,877 ā 41,800 ā Standby letters of credit are conditional commitments issued by the Bank guaranteeing performance by a customer to various municipalities. These guarantees are issued primarily to support performance arrangements and are limited to real estate transactions. The majority of these standby letters of credit expire within twelve months, with automatic one year renewals. The Bank has the option to stop any automatic renewal. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending other loan commitments. The Bank requires collateral supporting these letters of credit as deemed necessary. Management believes, except for certain standby letters of credit, that the proceeds obtained through a liquidation of such collateral would be sufficient to cover the maximum potential amount of future payments required under the corresponding guarantees. The current amount of the liability as of both March 31, 2021 and December 31, 2020 for guarantees under standby letters of credit issued was $8,000. Home equity lines of credit are loan commitments to individuals as long as there is no violation of any condition established in the contract. Commitments under home equity lines expire ten years after the date the loan closes and are secured by real estate. We evaluate each customerās credit worthiness on a case-by-case basis. Unadvanced construction commitments are loan commitments made to borrowers for both residential and commercial projects that are either in process or are expected to begin construction shortly. Lines of credit are loan commitments to individuals and companies as long as there is no violation of any condition established in the contract. Lines of credit have a fixed expiration date. The Bank evaluates each customerās credit worthiness on a case-by-case basis. The Bank has entered into several agreements to sell mortgage loans to third parties. These agreements contain limited provisions that require the Bank to repurchase a loan if the loan becomes delinquent within a period ranging generally from 120 to 180 days Other Contingencies The Company provides banking services to customers who do business in the medical-use cannabis industry. While the growing, processing, and sales of medical-use cannabis is legal in the state of Maryland, the business currently violates Federal law. The Company may be deemed to be aiding and abetting illegal activities through the services that it provides to these customers. The strict enforcement of Federal laws regarding medical-use cannabis would likely result in the Companyās inability to continue to provide banking services to these customers and the Company could have legal action taken against it by the Federal government, including imprisonment and fines. There is an uncertainty of the potential impact to the Companyās consolidated financial statements if the Federal government takes actions against the Company. As of March 31, 2021, the Company has not Following is a summary of the level of business activities with our medical-use cannabis customers: ā Deposit and loan balances at March 31, 2021 were approximately $60.7 million, or 6.3% of total deposits, and $22.9 million, or 3.7% of total loans, respectively. Deposit and loan balances at December 31, 2020 were approximately $42.8 million, or 5.3% of total deposits, and $18.7 million, or 2.9% of total loans, respectively. ā Interest and noninterest income for the three months ended March 31, 2021 were approximately $219,000 and $564,000 , respectively. Interest and noninterest income for the three months ended March 31, 2020 were approximately $155,000 and $519,000 , respectively. ā The volume of deposits in the accounts of medical-use cannabis customers for the three months ended March 31, 2021 and 2020 was approximately $171.3 million and $100.8 million, respectively. |
Derivatives
Derivatives | 3 Months Ended |
Mar. 31, 2021 | |
Derivatives | |
Derivatives | Note 8 - Derivatives We maintain and account for derivatives, in the form of IRLCs and mandatory forward contracts, in accordance with the FASB guidance on accounting for derivative instruments and hedging activities. We recognize gains and losses on IRLCs, mandatory forward contracts, and best effort forward contracts on the loan pipeline through mortgage-banking revenue in the Consolidated Statements of Income. IRLCs on mortgage loans that we intend to sell in the secondary market are considered derivatives. We are exposed to price risk from the time a mortgage loan closes until the time the loan is sold. The period of time between issuance of a loan commitment and closing and sale of the loan generally ranges from 14 days to 60 days. For these IRLCs, we attempt to protect the Bank from changes in interest rates through the use of best efforts and mandatory forward contracts. Mandatory forward contracts are also considered derivatives and are reported in the table below. Best efforts forward contracts are not derivatives, however, we have elected to measure and report these commitments at fair value. These assets and liabilities are included in the Consolidated Statements of Financial Condition in other assets and accrued expenses and other liabilities, respectively. Information pertaining to the carrying amounts of our derivative financial instruments follows: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā December 31, 2020 ā ā Notional ā Estimated ā Notional ā Estimated ā Amount Fair Value Amount Fair Value ā (dollars in thousands) Asset - IRLCs ā $ 46,317 ā $ 781 ā $ 44,243 ā $ 1,128 Asset - mandatory forward contracts ā 17,553 ā ā 94 ā ā ā ā ā ā Asset - TBA securities ā ā 78,000 ā ā 1,465 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Liability - mandatory forward contracts ā $ 67,928 ā $ 1,061 ā $ ā ā $ ā Liability - TBA securities ā ā 2,500 ā ā 4 ā ā 79,500 ā ā 557 ā |
Segments
Segments | 3 Months Ended |
Mar. 31, 2021 | |
Segments | |
Segments | Note 9 ā Segments We are in the business of providing financial services and we operate in two business segments ā commercial and consumer banking and mortgage-banking. Commercial and consumer banking is conducted through the Bank and involves delivering a broad range of financial services, including lending and deposit taking, to individuals and commercial enterprises. This segment also includes our treasury and administrative functions. Mortgage-banking is conducted through the Bankās secondary marketing department and involves originating first- and second-lien residential mortgages for sale in the secondary market and to the Bank. The following tables present certain information regarding our business segments for the three months ended March 31, 2021 and 2020: ā ā ā ā ā ā ā ā ā ā ā ā ā 2021 ā ā Commercial and ā Mortgage- ā ā ā Consumer Banking Banking Total ā ā (dollars in thousands) Interest income ā $ 8,354 ā $ 255 ā $ 8,609 Interest expense ā ā (912) ā ā (39) ā ā (951) Net interest income ā 7,442 ā 216 ā 7,658 Reversal of provision for loan losses ā 750 ā ā ā 750 Net interest income after reversal of provision for loan losses ā 8,192 ā 216 ā 8,408 Noninterest income ā 1,363 ā 4,396 ā 5,759 Noninterest expense ā (6,562) ā (2,244) ā (8,806) Net income before income taxes ā ā 2,993 ā ā 2,368 ā ā 5,361 Income tax provision ā (798) ā (652) ā (1,450) Net income ā $ 2,195 ā $ 1,716 ā $ 3,911 Total Assets ā $ 1,062,845 ā $ 50,124 ā $ 1,112,969 ā ā ā ā ā ā ā ā ā ā ā ā ā 2020 ā ā Commercial and ā Mortgage- ā ā ā Consumer Banking Banking Total ā ā (dollars in thousands) Interest income ā $ 8,785 ā $ 131 ā $ 8,916 Interest expense ā ā (2,117) ā ā (44) ā ā (2,161) Net interest income ā 6,668 ā 87 ā 6,755 Provision for loan losses ā (750) ā ā ā (750) Net interest income after provision for loan losses ā 5,918 ā 87 ā 6,005 Noninterest income ā 1,391 ā 1,634 ā 3,025 Noninterest expense ā (7,189) ā (1,063) ā (8,252) Net income before income taxes ā ā 120 ā ā 658 ā ā 778 Income tax provision ā (32) ā (181) ā (213) Net income ā $ 88 ā $ 477 ā $ 565 Total Assets ā $ 834,474 ā $ 21,996 ā $ 856,470 ā |
Fair Value
Fair Value | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value of Financial Instruments | |
Fair Value of Financial Instruments | ā Note 10 - Fair Value ā Fair value is the exchange price that would be received for an asset or paid to transfer a liability (an 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. A fair value hierarchy that prioritizes the inputs to valuation methods is used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair market hierarchy are as follows: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. Level 2: Quoted prices in markets that are not active, or inputs that are observable either directly or indirectly, for substantially the full term of the asset or liability. Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e. supported with little or no market activity). An asset or liabilityās level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. We record transfers between levels at the end of the reporting period in which the change in significant inputs occurs. Assets Measured on a Recurring Basis The following table presents fair value measurements for assets that are measured at fair value on a recurring basis as of and for the three months ended March 31, 2021: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Significant ā ā ā ā ā Other ā Significant ā Total Changes ā ā ā ā Quoted ā Observable ā Unobservable ā In Fair Values ā ā Carrying ā Prices ā Inputs ā Inputs ā Included In ā ā Value ā (Level 1) ā (Level 2) ā (Level 3) ā Period Income Assets: ā (dollars in thousands) AFS securities - U.S. government agency notes ā $ 9,175 ā $ ā ā $ 9,175 ā $ ā ā $ ā AFS securities - corporate obligations ā ā 2,021 ā ā ā ā ā 2,021 ā ā ā ā ā ā AFS securities - MBS ā ā 121,502 ā ā ā ā ā 121,502 ā ā ā ā ā ā LHFS ā 50,124 ā ā ā 50,124 ā ā ā 305 MSRs ā 2,927 ā ā ā ā ā 2,927 ā 826 IRLCs ā 781 ā ā ā ā ā 781 ā (347) Best efforts forward contracts ā 26 ā ā ā 26 ā ā ā 25 Mandatory forward contracts ā 94 ā ā ā 94 ā ā ā (736) TBA securities ā ā 1,465 ā ā ā ā 1,465 ā ā ā ā 1,465 Liabilities: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Mandatory forward contracts ā 1,061 ā ā ā 1,061 ā ā ā 1,055 TBA securities ā 4 ā ā ā 4 ā ā ā 553 ā The following table presents fair value measurements for assets and liabilities that are measured at fair value on a recurring basis as of and for the year ended December 31, 2020: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Significant ā ā ā ā Other ā Significant ā Total Changes ā ā ā Quoted ā Observable ā Unobservable ā In Fair Values ā ā Carrying ā Prices ā Inputs ā Inputs ā Included In ā ā Value ā (Level 1) ā (Level 2) ā (Level 3) ā Period Income Assets: ā (dollars in thousands) AFS securities - U.S. government agency notes ā ā 6,660 ā $ ā ā $ 6,660 ā $ ā ā $ ā AFS securities - corporate obligations ā ā 2,034 ā ā ā ā ā 2,034 ā ā ā ā ā ā AFS securities - MBS ā ā 56,404 ā ā ā ā ā 56,404 ā ā ā ā ā ā LHFS ā 36,299 ā ā ā 36,299 ā ā ā 323 MSRs ā 1,451 ā ā ā ā ā 1,451 ā (1,013) IRLCs ā 1,128 ā ā ā ā ā 1,128 ā 949 Liabilities: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā TBA securities ā 557 ā ā ā 557 ā ā ā (557) ā The following table provides additional quantitative information about assets measured at fair value on a recurring basis and for which we have utilized Level 3 inputs to determine fair value: ā ā ā ā ā ā ā ā ā ā ā ā ā Fair Value Valuation ā Range ā ā Estimate ā Technique ā Unobservable Input ā (Weighted-Average) March 31, 2021: ā (dollars in thousands) ā ā ā ā ā MSRs ā $ 2,927 Market Approach Weighted average prepayment speed 155 % IRLCs - net asset ā ā 781 ā Market Approach ā Range of pull through rate ā 78% - 100 % ā ā ā ā ā ā ā Average pull through rate ā 97 % ā ā December 31, 2020: ā ā MSRs ā $ 1,451 Market Approach Weighted average prepayment speed 326 % IRLCs - net asset ā ā 1,128 Market Approach Range of pull through rate ā 77% - 100 % ā ā ā ā ā ā ā Average pull through rate ā 93 % (1) The weighted average was calculated with reference to the principal balance of the underlying mortgages. ā The following table shows the activity in the MSRs: ā ā ā ā ā ā ā ā ā ā Three Months Ended March 31, ā 2021 2020 ā ā (dollars in thousands) Beginning balance ā $ 1,451 ā $ 323 Additions ā ā 650 ā ā ā Valuation adjustment ā ā 826 ā ā (83) Ending balance ā $ 2,927 ā $ 240 ā The following table shows the activity in the IRLCs: ā ā ā ā ā ā ā ā ā ā Three Months Ended March 31, ā 2021 2020 ā ā (dollars in thousands) Beginning balance ā $ 1,128 ā $ 179 Valuation adjustment ā ā (347) ā ā (240) Ending balance ā $ 781 ā $ (61) ā AFS Securities The estimated fair values of AFS debt securities are obtained from a nationally-recognized pricing service. This pricing service develops estimated fair values by analyzing like securities and applying available market information through processes such as benchmark curves, benchmarking of like securities, sector groupings, and matrix pricing to prepare valuations. Matrix pricing is a mathematical technique widely used in the industry to value debt securities without relying exclusively on quoted prices for the specific securities, but rather by relying on the securitiesā relationship to other benchmark quoted securities. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information, and the bondās terms and conditions, among other things, and are based on market data obtained from sources independent from the Bank. U.S Treasury Securities are considered Level 1 and all of our other securities are considered Level 2. The Level 2 investments in the Bankās portfolio are priced using those inputs that, based on the analysis prepared by the pricing service, reflect the assumptions that market participants would use to price the assets. The Bank has determined that the Level 2 designation is appropriate for these securities because, as with most fixed-income securities, those in the Bankās portfolio are not exchange-traded, and such nonexchange-traded fixed income securities are typically priced by correlation to observed market data. LHFS LHFS are carried at fair value, which is determined based on outstanding investor commitments or, in the absence of such commitments, on current investor yield requirements or third party pricing models. MSRs The fair value of MSRs is determined using a valuation model administered by a third party that calculates the present value of estimated future net servicing income. The model incorporates assumptions that market participants use in estimating future net servicing income, including estimates of prepayment speeds, discount rate, default rates, cost to service (including delinquency and foreclosure costs), escrow account earnings, contractual servicing fee income, and other ancillary income such as late fees. Management reviews all significant assumptions on a monthly basis. Mortgage loan prepayment speed, a key assumption in the model, is the annual rate at which borrowers are forecasted to repay their mortgage loan principal. The discount rate used to determine the present value of estimated future net servicing income, another key assumption in the model, is an estimate of the required rate of return investors in the market would require for an asset with similar risk. Both assumptions can, and generally will, change as market conditions and interest rates change. IRLCs We utilize a third party specialist model to estimate the fair value of our IRLCs, which are valued based upon mandatory pricing quotes from correspondent lenders less estimated costs to process and settle the loan. Fair value is adjusted for the estimated probability of the loan closing with the borrower. Forward Contracts To avoid interest rate risk, we enter into best efforts forward sales commitments with investors at the time we make an IRLC to a borrower. Once a loan has been closed and funded, the best efforts commitments convert to mandatory forward sales commitments. The mandatory commitments are derivatives, and the bank measures and reports them at fair value. Fair value is based on the gain or loss that would occur if we were to pair-off the transaction with the investor at the measurement date. This is a level 2 input. We have elected to measure and report best efforts commitments at fair value using a valuation methodology similar to that used for our mandatory commitments. Assets Measured on a Nonrecurring Basis ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā ā ā ā ā ā ā Significant ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Other ā Significant ā ā ā ā ā ā ā ā ā Quoted ā Observable ā Unobservable ā ā ā ā ā ā Carrying ā Prices ā Inputs ā Inputs ā Range of ā Weighted ā Value (Level 1) (Level 2) (Level 3) Discount Average ā ā (dollars in thousands) ā ā ā ā ā Impaired loans ā $ 844 ā $ ā ā $ ā ā $ 844 12% - 14% ā 12 % ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā ā ā ā ā ā ā ā Significant ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Other ā Significant ā ā ā ā ā ā ā ā ā Quoted ā Observable ā Unobservable ā ā ā ā ā ā Carrying ā Prices ā Inputs ā Inputs ā Range of ā Weighted ā Value (Level 1) (Level 2) (Level 3) Discount Average ā ā (dollars in thousands) ā ā ā ā ā Impaired loans ā $ 2,510 ā $ ā ā $ ā ā $ 2,510 0% - 14% ā 9 % (1) Discount based on current market conditions and estimated selling costs (2) Inputs are weighted based on the relative fair values of the instruments ā Impaired Loans Impaired loans are those for which we have measured impairment based on the present value of expected future cash flows or on the fair value of the loanās collateral. Fair value is generally determined based upon independent third-party appraisals of the properties, or discounted cash flows based upon the expected proceeds. If it is determined that the repayment of the loan will be provided solely by the underlying collateral, and there are no other available and reliable sources of repayment, the loan is considered collateral dependent. Impaired loans that are considered collateral dependent are carried at LCM. Collateral may be in the form of real estate or business assets including equipment, inventory, and/or accounts receivable. The use of independent appraisals and managementās best judgment are significant inputs in arriving at the fair value measure of the underlying collateral and impaired loans are therefore classified within level 3 of the fair value hierarchy. For such loans that are classified as impaired, an Allowance is established when the present value of the expected future cash flows of the impaired loan is lower than the carrying value of that loan. For such impaired loans that are classified as collateral dependent, an Allowance is established when the current market value of the underlying collateral less its estimated disposal costs has not been finalized, but management determines that it is likely that the value is lower than the carrying value of that loan. Once the net collateral value has been determined, a charge-off is taken for the difference between the net collateral value and the carrying value of the loan. Real Estate Acquired Through Foreclosure We record foreclosed real estate assets at the fair value less estimated selling costs on their acquisition dates and at the lower of such initial amount or estimated fair value less estimated selling costs thereafter. We generally obtain certified external appraisals of real estate acquired through foreclosure and estimate fair value using those appraisals. Other valuation sources may be used, including broker price opinions, letters of intent, and executed sale agreements. Fair Value of All Financial Instruments The carrying value and fair value of all financial instruments are summarized in the following tables: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā Carrying ā Fair Value ā Value Level 1 Level 2 Level 3 Total Assets: ā (dollars in thousands) Cash and cash equivalents ā $ 257,095 ā $ 257,095 ā $ ā ā $ ā ā $ 257,095 CDs held for investment ā ā 3,330 ā 3,330 ā ā ā ā ā ā ā 3,330 AFS securities ā 132,698 ā ā ā 132,698 ā ā ā 132,698 HTM securities ā 14,516 ā ā ā 15,094 ā ā ā 15,094 LHFS ā 50,124 ā ā ā 50,124 ā ā ā 50,124 Loans receivable, net ā 613,377 ā ā ā ā ā 618,858 ā 618,858 Restricted stock investments ā 970 ā ā ā 970 ā ā ā 970 Accrued interest receivable ā 2,439 ā ā ā 2,439 ā ā ā 2,439 MSRs ā 2,927 ā ā ā ā ā 2,927 ā 2,927 IRLCs ā 781 ā ā ā ā ā 781 ā 781 Best effort forward contracts ā 26 ā ā ā 26 ā ā ā 26 Mandatory forward contracts ā 94 ā ā ā 94 ā ā ā 94 TBA securities ā 1,465 ā ā ā 1,465 ā ā ā 1,465 Liabilities: ā ā ā ā ā ā ā ā ā ā ā ā Deposits ā 964,096 ā ā ā 970,488 ā ā ā 970,488 Accrued interest payable ā 160 ā ā ā 160 ā ā ā 160 Borrowings ā 10,000 ā ā ā 10,273 ā ā ā 10,273 Subordinated debentures ā 20,619 ā ā ā ā ā 16,276 ā 16,276 Mandatory forward contracts ā 1,061 ā ā ā 1,061 ā ā ā 1,061 TBA securities ā 4 ā ā ā 4 ā ā ā 4 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā Carrying ā Fair Value ā Value Level 1 Level 2 Level 3 Total Assets: ā (dollars in thousands) Cash and cash equivalents ā $ 156,609 ā $ 156,609 ā $ ā ā $ ā ā $ 156,609 CDs held for investment ā ā 3,580 ā 3,580 ā ā ā ā ā ā ā 3,580 AFS securities ā 65,098 ā ā ā 65,098 ā ā ā 65,098 HTM securities ā 15,943 ā ā ā 16,603 ā ā ā 16,603 LHFS ā 36,299 ā ā ā 36,299 ā ā ā 36,299 Loans receivable, net ā 634,212 ā ā ā ā ā 639,597 ā 639,597 Restricted stock investments ā 1,236 ā ā ā 1,236 ā ā ā 1,236 Accrued interest receivable ā 2,576 ā ā ā 2,576 ā ā ā 2,576 MSRs ā 1,451 ā ā ā ā ā 1,451 ā 1,451 IRLCs ā 1,128 ā ā ā ā ā 1,128 ā 1,128 Liabilities: ā ā ā ā ā ā ā ā ā ā ā ā ā ā Deposits ā 806,456 ā ā ā 806,444 ā ā ā 806,444 Accrued interest payable ā 164 ā ā ā 164 ā ā ā 164 Borrowings ā 10,000 ā ā ā 10,313 ā ā ā 10,313 Subordinated debentures ā 20,619 ā ā ā ā ā ā 16,157 ā 16,157 TBA securities ā 557 ā ā ā 557 ā ā ā 557 ā Limitations Fair value estimates are made at a specific point in time, based on relevant market information and information about financial instruments. These estimates do not reflect any premium or discount that could result from a one-time sale of our total holdings of a particular financial instrument. Because no market exists for a significant portion of our 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 estimates. The above information should not be interpreted as an estimate of the fair value of the Company since a fair value calculation is only provided for a limited portion of our assets and liabilities. Due to a wide range of valuation techniques and the degree of subjectivity used in making the estimates, comparisons between our disclosures and those of other companies may not be meaningful. There were no transfers between any of Levels 1, 2 and 3 for the three months ended March 31, 2021 or 2020 or for the year ended December 31, 2020. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accounting and reporting policies of the Company conform to GAAP and prevailing practices within the financial services industry for interim financial information and Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and notes required for complete financial statements and prevailing practices within the banking industry. In the opinion of management, all adjustments (comprising only of those of a normal recurring nature) necessary for a fair presentation of the results of operations for the interim periods presented have been made. The results of operations for the three months ended March 31, 2021 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2021 or any other interim or future period. Events occurring after the date of the financial statements up to the date the financial statements were available to be issued were considered in the preparation of the consolidated financial statements. These statements should be read in conjunction with the financial statements and accompanying notes included in the Companyās 2020 Annual Report on Form 10-K as filed with the SEC. |
Principles of Consolidation | Principles of Consolidation The unaudited consolidated financial statements include the accounts of Severn Bancorp, Inc., and its wholly-owned subsidiaries, Mid-Maryland Title Company, Inc., SBI Mortgage Company, and Severn Savings Bank, FSB, along with the Bankās subsidiaries, Homeowners Title and Escrow Corporation, Severn Financial Services Corporation, SSB Realty Holdings, LLC, SSB Realty Holdings II, LLC, and HS West, LLC. Also included are the accounts of SBI Mortgage Companyās subsidiary, Crownsville Development Corporation, and its subsidiary, Crownsville Holdings I, LLC. All intercompany accounts and transactions have been eliminated in the accompanying consolidated financial statements. |
Use of Estimates | Use of Estimates The preparation of the financial statements requires management to exercise significant judgment or discretion or make significant assumptions and estimates based on the information available that have, or could have, a material impact on the carrying value of certain assets or on income. These estimates and assumptions affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses during the periods presented. The accounting policies we view as critical are those relating to the Allowance, the valuation of real estate acquired through foreclosure, and the valuation of deferred tax assets and liabilities. |
Cash Flows | Cash Flows For reporting purposes, assets grouped in the Consolidated Statements of Financial Condition under the captions āCash and due from banksā and āFederal funds sold and interest-bearing deposits in other banksā are considered cash or cash equivalents. For financial statement purposes, these assets are carried at cost. Federal funds sold and interest-bearing deposits in other banks generally have overnight maturities and are in excess of amounts that would be recoverable under FDIC insurance. |
Reclassifications | Reclassifications Certain reclassifications have been made to amounts previously reported to conform to current period presentation. |
Correction of Prior Period Immaterial Error | 2020 Correction of Prior Period Immaterial Error As disclosed in the Companyās 2020 Annual Report on Form 10-K, during 2020, the Company corrected an immaterial accounting error related to $885,000 of DTAs related to NOLs recorded in years prior to 2020 by the holding company and which accumulated over the span of many years. As the holding company has not previously generated taxable income and continues to generate no taxable income, it has no ability to utilize the NOLs. To correct this immaterial accounting error, the Company recorded an adjustment to reduce 2019's opening retained earnings in the amount of $793,000 and additional tax expense of $92,000 (the amounts deemed applicable for 2019) for the year ended December 31, 2019. These adjustments then affected the beginning balances of March 31, 2020 retained earnings and total stockholdersā equity, both of which amounts are shown in this Quarterly Report on Form 10-Q reduced by $885,000 from the amounts previously stated. |
COVID 19 Risks and Uncertainties | COVID-19 Risks and Uncertainties On March 11, 2020, the World Health Organization declared the outbreak of COVID-19 as a global pandemic, which continues to spread throughout the U.S. and around the world. The declaration of a global pandemic indicates that almost all public commerce and related business activities must be, to varying degrees, curtailed with the goal of decreasing the rate of new infections. The outbreak of COVID-19 has adversely impacted and could continue to adversely impact a broad range of industries in which the Companyās customers operate and impair their ability to fulfill their financial obligations to the Company. On March 3, 2020, the Federal Open Market Committee reduced the target federal funds rate by 50 basis points to a target range of 1.00% to 1.25%. This rate was further reduced to a target range of 0% to 0.25% on March 16, 2020. These reductions in interest rates and other effects of the COVID-19 outbreak has affected and may continue to adversely affect the Companyās financial condition and results of operations. As a result of the spread of COVID-19, economic uncertainties have arisen which could negatively impact net interest income, noninterest income, credit quality, the Allowance, and the provision for loan losses. Additionally, there could be a potential for goodwill impairment. Other financial impact could occur though such potential impact is unknown at this time. On May 12, 2021, the Governor of Maryland lifted all remaining COVID-19 related restrictions, with the exception of wearing masks indoors, effective May 15, 2021. On May 14, 2021, the Governor also lifted the mask mandate effective May 15, 2021. |
Asset Sale | Asset Sale On January 1, 2021, we sold the majority of the assets of our real estate company, Hyatt Commercial, with the exception of cash and certain fixed assets. At the time of the sale, Hyatt Commercial had $1.6 million in assets, $1.1 million of which was in cash that stayed with the Company. The remainder of the net assets were sold for $334,000 and we realized a loss of approximately $34,000. |
Proposed Merger with Shore Bancshares, Inc. | Proposed Merger with Shore Bancshares, Inc. ā On March 3, 2021, the Company and Shore entered into an agreement and plan of merger that provides that the Company will merge with and into Shore, with Shore as the surviving corporation (the āMergerā). Following the Merger, the Bank will merge with and into Shoreās wholly-owned bank subsidiary, Shore United Bank, with Shore United Bank as the surviving bank (the āBank Mergerā). At the effective time of the Merger, each outstanding share of the Companyās common stock will be converted into the right to receive (i) 0.6207 shares of Shore common stock and (ii) $1.59 in cash, together with cash in lieu of fractional shares, if any. The merger consideration is 85% stock and 15% cash. ā The completion of the Merger and the Bank Merger are subject to customary closing conditions, including approval by the Companyās stockholders, Shoreās stockholders and the receipt of regulatory approvals or waivers from the OCC and the Board of Governors of the Federal Reserve System. Prior to the completion of the Bank Merger, Shore United Bank must obtain the approval of the OCC to convert to a national banking association. The Merger is expected to be completed in the third quarter of 2021. ā |
Recent Accounting Pronouncements | Recent Accounting Pronouncements ā Pronouncements Adopted In December 2019, FASB issued ASU No. 2019-12, Simplifying the Accounting for Taxes In January 2020, FASB issued ASU No. 2020-01, , which clarifies the interaction between the three Topics. The standard was effective for fiscal years beginning after December 15, 2020. The adoption of ASU No. 2020-01 did not have a material impact on our financial position, results of operations, or cash flows. Pronouncements Issued In September 2016, FASB issued ASU No. 2016-13, Financial Instruments ā Credit Losses Financial Instruments ā Credit Losses (Topic 326): Targeted Transition Relief Financial Instruments - Credit Losses - Measured at Amortized Costs. Financial Instruments - Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates Financial Instruments - Credit Losses We have contracted with a third party vendor to assist in the transition to CECL. The Bank has purchased the third party vendorās CECL software and has separately contracted with their advisory services group to help with the installation and transition. As the Bank has been using other software of this specific vendor, they have access to the Bankās historical data. As the third party vendor has many financial institution clients, they will be able to provide peer group data to the extent the Bankās data is not sufficient to make the many determinations required under CECL. We are continuing the process of determining appropriate loan pools and economic factors to be used for CECL calculations. Although the implementation of CECL has been delayed, the Bank is continuing with the implementation at a pace to ensure that we will be in position to completely transition to CECL by the required date. While we are still in the process of evaluating the impact of the amended guidance on our Consolidated Financial Statements, it is quite possible that the Allowance will increase upon adoption given that the Allowance will be required to cover the full remaining expected life of the portfolio upon adoption, rather than the incurred loss model under current GAAP. The extent of this increase is still being evaluated and will depend on economic conditions and the composition of our loan portfolio at the time of adoption. In November 2019, FASB issued ASU 2019-11, Codification Improvements to Topic 326, Financial Instruments - Credit Losses. ASU 2019-11 provides transition relief when adjusting the effective interest rate for TDRs that exist as of the adoption date, extends the disclosure relief in ASU 2019-04 to disclose accrued interest receivable balances separately from the amortized cost basis to additional disclosures involving amortized cost basis, and provides clarification regarding application of the guidance in paragraph 326-20-35-6 for financial assets secured by collateral maintenance provisions that provide a practical expedient to measure the estimate of expected credit losses by comparing the amortized cost basis of a financial asset and the fair value of collateral securing the financial asset as of the reporting date. The effective date and transition requirements for the amendment are the same as the effective date and transition requirements in ASU 2016-13. |
Securities (Tables)
Securities (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Securities [Abstract] | |
Amortized cost and fair value of investment securities AFS | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā Amortized Unrealized Unrealized ā ā ā Cost ā Gains ā Losses ā Fair Value ā ā (dollars in thousands) U.S. government agency notes ā $ 9,366 ā $ 1 ā $ 192 ā $ 9,175 Corporate obligations ā ā 2,000 ā ā 21 ā ā ā ā ā 2,021 MBS ā ā 123,953 ā ā 82 ā ā 2,533 ā ā 121,502 ā ā $ 135,319 ā $ 104 ā $ 2,725 ā $ 132,698 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā Amortized Unrealized Unrealized ā ā ā Cost ā Gains ā Losses ā Fair Value ā ā (dollars in thousands) U.S. government agency notes ā $ 6,640 ā $ 45 ā $ 25 ā $ 6,660 Corporate obligations ā ā 2,000 ā ā 34 ā ā ā ā ā 2,034 MBS ā ā 56,385 ā ā 339 ā ā 320 ā ā 56,404 ā ā $ 65,025 ā $ 418 ā $ 345 ā $ 65,098 |
Amortized cost and fair value of investment securities held to maturity | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā Amortized Unrealized Unrealized Fair ā ā Cost ā Gains ā Losses ā Value ā ā (dollars in thousands) U.S. government agency notes ā $ 1,987 ā $ 130 ā $ ā ā $ 2,117 MBS ā 12,529 ā 448 ā ā ā 12,977 ā ā $ 14,516 ā $ 578 ā $ ā ā $ 15,094 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā Amortized Unrealized Unrealized Fair ā ā Cost ā Gains ā Losses ā Value ā ā (dollars in thousands) U.S. government agency notes ā $ 1,986 ā $ 145 ā $ ā ā $ 2,131 MBS ā 13,957 ā 515 ā ā ā 14,472 ā ā $ 15,943 ā $ 660 ā $ ā ā $ 16,603 |
Schedule of AFS securities in an unrealized loss position | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā Less than 12 months ā 12 months or more ā Total ā # of Fair Unrealized # of Fair Unrealized # of Fair Unrealized ā ā Securities ā Value ā Losses ā Securities ā Value ā Losses ā Securities ā Value ā Losses ā ā (dollars in thousands) U.S. government agency notes ā 8 ā $ 9,056 ā $ 192 ā ā ā $ ā ā $ ā ā 8 ā $ 9,056 ā $ 192 MBS ā 61 ā 103,718 ā 2,523 ā 1 ā 511 ā 10 ā 62 ā 104,229 ā ā 2,533 ā ā 69 ā $ 112,774 ā $ 2,715 ā 1 ā $ 511 ā $ 10 ā 70 ā $ 113,285 ā $ 2,725 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā Less than 12 months ā 12 months or more ā Total ā # of Fair Unrealized # of Fair Unrealized # of Fair Unrealized ā ā Securities ā Value ā Losses ā Securities ā Value ā Losses ā Securities ā Value ā Losses ā ā (dollars in thousands) U.S. government agency notes ā 5 ā $ 4,015 ā $ 25 ā ā ā $ ā ā $ ā ā 5 ā $ 4,015 ā $ 25 MBS ā 27 ā 27,454 ā 320 ā ā ā ā ā ā ā ā ā 27 ā ā 27,454 ā ā 320 ā ā 32 ā $ 31,469 ā $ 345 ā ā ā $ ā ā $ ā ā 32 ā $ 31,469 ā $ 345 |
Amortized cost and estimated fair value of debt securities | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā AFS Securities ā HTM Securities ā Amortized Fair Amortized Fair ā ā Cost ā Value ā Cost ā Value ā ā (dollars in thousands) Due after one through five years ā $ 118 ā $ 119 ā $ 1,987 ā $ 2,117 Due after five years through ten years ā 7,874 ā 7,815 ā ā ā ā Due after 10 years ā ā 3,374 ā ā 3,262 ā ā ā ā ā ā MBS ā 123,953 ā 121,502 ā 12,529 ā 12,977 ā ā $ 135,319 ā $ 132,698 ā $ 14,516 ā $ 15,094 |
Loans Receivable and Allowance
Loans Receivable and Allowance (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Summary of loans receivable | ā ā ā ā ā ā ā ā ā March 31, ā December 31, ā ā 2021 2020 ā ā (dollars in thousands) Residential mortgage ā $ 186,591 ā $ 209,659 Commercial ā 74,617 ā 63,842 Commercial real estate ā 243,521 ā 243,435 ADC ā 103,487 ā 112,938 Home equity/2nds ā 15,173 ā 14,712 Consumer ā 1,565 ā 1,485 Total loans receivable, before net unearned fees ā 624,954 ā 646,071 Unearned loan fees ā (3,442) ā (3,189) Loans receivable ā $ 621,512 ā $ 642,882 |
Changes in allowance and recorded investment | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Three Months Ended March 31, 2021 ā Residential ā Commercial ā Home Equity/ ā ā ā ā Mortgage ā Commercial ā Real Estate ā ADC ā 2nds ā Consumer ā Unallocated ā Total ā ā (dollars in thousands) Beginning Balance ā $ 2,259 ā $ 1,670 ā $ 1,516 ā $ 2,947 ā $ 168 ā $ ā ā $ 110 ā $ 8,670 Charge-offs ā ā ā ā ā ā ā (34) ā ā ā ā ā ā ā (34) Recoveries ā 65 ā 5 ā 174 ā ā ā 4 ā 1 ā ā ā 249 Net recoveries (charge-offs) ā 65 ā 5 ā 174 ā (34) ā 4 ā 1 ā ā ā 215 (Reversal of) provision for loan losses ā (525) ā ā 105 ā ā (237) ā ā (208) ā ā 47 ā (1) ā 69 ā (750) Ending Balance ā $ 1,799 ā $ 1,780 ā $ 1,453 ā $ 2,705 ā $ 219 ā $ ā ā $ 179 ā $ 8,135 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Ending balance - individually evaluated for impairment ā $ 226 ā $ ā ā $ ā ā $ 29 ā $ ā ā $ ā ā $ ā ā $ 255 Ending balance - collectively evaluated for impairment ā 1,573 ā ā 1,780 ā ā 1,453 ā ā 2,676 ā ā 219 ā ā ā ā ā 179 ā 7,880 ā ā $ 1,799 ā $ 1,780 ā $ 1,453 ā $ 2,705 ā $ 219 ā $ ā ā $ 179 ā $ 8,135 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Ending loan balance -individually evaluated for impairment ā $ 6,791 ā $ ā ā $ 630 ā $ 298 ā $ 473 ā $ 62 ā ā ā ā $ 8,254 Ending loan balance -collectively evaluated for impairment ā 179,800 ā 74,617 ā 242,891 ā 103,189 ā 14,700 ā 1,503 ā ā ā ā 616,700 ā ā $ 186,591 ā $ 74,617 ā $ 243,521 ā $ 103,487 ā $ 15,173 ā $ 1,565 ā ā ā ā $ 624,954 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā Residential ā Commercial ā ā Home Equity/ ā ā ā ā Mortgage ā Commercial ā Real Estate ā ADC ā 2nds ā Consumer ā Unallocated ā Total ā ā (dollars in thousands) Ending balance - individually evaluated for impairment ā $ 542 ā $ ā ā $ ā ā $ 29 ā $ ā ā $ ā ā $ ā ā $ 571 Ending balance - collectively evaluated for impairment ā 1,717 ā 1,670 ā 1,516 ā 2,918 ā 168 ā ā ā 110 ā 8,099 ā ā $ 2,259 ā $ 1,670 ā $ 1,516 ā $ 2,947 ā $ 168 ā $ ā ā $ 110 ā $ 8,670 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Ending loan balance - individually evaluated for impairment ā $ 10,131 ā $ ā ā $ 547 ā $ 308 ā $ 491 ā $ 63 ā ā ā ā $ 11,540 Ending loan balance - collectively evaluated for impairment ā 199,528 ā 63,842 ā 242,888 ā 112,630 ā 14,221 ā 1,422 ā ā ā ā 634,531 ā ā $ 209,659 ā $ 63,842 ā $ 243,435 ā $ 112,938 ā $ 14,712 ā $ 1,485 ā ā ā ā $ 646,071 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Three Months Ended March 31, 2020 ā Residential ā Commercial ā Home Equity/ ā ā ā ā ā ā ā ā Mortgage ā Commercial ā Real Estate ā ADC ā 2nds ā Consumer ā Unallocated ā Total ā ā (dollars in thousands) Beginning Balance ā $ 2,264 ā $ 1,421 ā $ 984 ā $ 2,286 ā $ 134 ā $ ā ā $ 49 ā $ 7,138 Charge-offs ā ā ā ā ā ā ā ā ā ā ā (15) ā ā ā (15) Recoveries ā 3 ā 5 ā 32 ā ā ā 2 ā 3 ā ā ā 45 Net recoveries (charge-offs) ā 3 ā 5 ā 32 ā ā ā 2 ā (12) ā ā ā 30 Provision for loan losses ā 217 ā ā 139 ā ā 24 ā ā 329 ā ā 15 ā 12 ā 14 ā 750 Ending Balance ā $ 2,484 ā $ 1,565 ā $ 1,040 ā $ 2,615 ā $ 151 ā $ ā ā $ 63 ā $ 7,918 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Ending balance - individually evaluated for impairment ā $ 742 ā $ ā ā $ 62 ā $ 29 ā $ ā ā $ ā ā $ ā ā $ 833 Ending balance - collectively evaluated for impairment ā 1,742 ā 1,565 ā 978 ā 2,586 ā 151 ā ā ā 63 ā 7,085 ā ā $ 2,484 ā $ 1,565 ā $ 1,040 ā $ 2,615 ā $ 151 ā $ ā ā $ 63 ā $ 7,918 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Ending loan balance - individually evaluated for impairment ā $ 14,385 ā $ ā ā $ 1,208 ā $ 428 ā $ 548 ā $ 68 ā ā ā ā $ 16,637 Ending loan balance - collectively evaluated for impairment ā 246,596 ā 43,490 ā 219,446 ā 99,433 ā 11,651 ā 1,406 ā ā ā ā 622,022 ā ā $ 260,981 ā $ 43,490 ā $ 220,654 ā $ 99,861 ā $ 12,199 ā $ 1,474 ā ā ā ā $ 638,659 ā |
Credit quality breakdown of loan portfolio by class | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā Special ā ā ā Pass ā Mention ā Substandard ā Total ā (dollars in thousands) Residential mortgage ā $ 185,245 ā $ ā ā $ 1,346 $ 186,591 Commercial ā 73,417 ā 1,200 ā ā 74,617 Commercial real estate ā 242,639 ā 85 ā 797 243,521 ADC ā 103,044 ā ā ā 443 103,487 Home equity/2nds ā 15,076 ā ā ā 97 15,173 Consumer ā 1,565 ā ā ā ā 1,565 ā ā $ 620,986 ā $ 1,285 ā $ 2,683 $ 624,954 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā Special ā ā ā Pass ā Mention ā Substandard ā Total ā ā (dollars in thousands) Residential mortgage ā $ 205,225 ā $ ā ā $ 4,434 ā $ 209,659 Commercial ā 62,642 ā 1,200 ā ā ā 63,842 Commercial real estate ā 242,435 ā 86 ā 914 ā 243,435 ADC ā 112,479 ā ā ā 459 ā 112,938 Home equity/2nds ā 14,606 ā ā ā 106 ā 14,712 Consumer ā 1,485 ā ā ā ā ā 1,485 ā ā $ 638,872 ā $ 1,286 ā $ 5,913 ā $ 646,071 |
Classes of the loan portfolio summarized by the aging categories of performing loans and nonaccrual loans | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā Past Due ā ā ā ā ā ā ā 30-59 ā 60-89 ā 90+ ā ā ā ā ā ā ā Non- ā Days Days Days Total Current Total Accrual ā ā (dollars in thousands) Residential mortgage ā $ ā ā $ ā ā $ 331 ā $ 331 ā $ 186,260 ā $ 186,591 ā $ 910 Commercial ā ā ā ā ā ā ā ā ā 74,617 ā 74,617 ā ā Commercial real estate ā ā ā ā ā 126 ā 126 ā 243,395 ā 243,521 ā 213 ADC ā ā ā ā ā ā ā ā ā 103,487 ā 103,487 ā 54 Home equity/2nds ā 59 ā ā ā 97 ā 156 ā 15,017 ā 15,173 ā 106 Consumer ā ā ā ā ā ā ā ā ā 1,565 ā 1,565 ā ā ā ā $ 59 ā $ ā ā $ 554 ā $ 613 ā $ 624,341 ā $ 624,954 ā $ 1,283 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā Past Due ā ā ā ā ā ā ā ā 30-59 ā 60-89 ā 90+ ā ā ā ā ā ā ā Non- ā Days Days Days Total Current Total Accrual ā (dollars in thousands) Residential mortgage ā $ 674 ā $ 213 ā $ 3,393 ā $ 4,280 ā $ 205,379 ā $ 209,659 ā $ 4,080 Commercial ā ā ā ā ā ā ā ā ā 63,842 ā 63,842 ā ā Commercial real estate ā 5 ā 87 ā 126 ā 218 ā 243,217 ā 243,435 ā 126 ADC ā ā ā ā ā ā ā ā ā 112,938 ā 112,938 ā 60 Home equity/2nds ā 60 ā ā ā 106 ā 166 ā 14,546 ā 14,712 ā 114 Consumer ā ā ā ā ā ā ā ā ā 1,485 ā 1,485 ā ā ā ā $ 739 ā $ 300 ā $ 3,625 ā $ 4,664 ā $ 641,407 ā $ 646,071 ā $ 4,380 |
Summary of Impaired loans | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā December 31, 2020 ā Unpaid ā ā Unpaid ā ā ā Principal ā Recorded ā Related ā Principal ā Recorded ā Related ā ā Balance ā Investment ā Allowance ā Balance ā Investment ā Allowance With no related Allowance: ā (dollars in thousands) Residential mortgage ā $ 6,211 ā $ 5,793 ā $ ā ā $ 7,432 ā $ 7,152 ā $ ā Commercial ā ā ā ā ā ā ā ā ā ā ā ā Commercial real estate ā 631 ā 630 ā ā ā 548 ā 547 ā ā ADC ā 205 ā 197 ā ā ā 212 ā 206 ā ā Home equity/2nds ā 896 ā 473 ā ā ā 910 ā 491 ā ā Consumer ā 62 ā 62 ā ā ā 63 ā 63 ā ā With a related Allowance: ā ā ā ā ā ā ā ā ā ā ā ā Residential mortgage ā 998 ā 998 ā 226 ā 3,104 ā 2,979 ā 542 Commercial ā ā ā ā ā ā ā ā ā ā ā ā Commercial real estate ā ā ā ā ā ā ā ā ā ā ā ā ADC ā 101 ā 101 ā 29 ā 102 ā 102 ā 29 Home equity/2nds ā ā ā ā ā ā ā ā ā ā ā ā Consumer ā ā ā ā ā ā ā ā ā ā ā ā Totals: ā ā ā ā ā ā ā ā ā ā ā ā Residential mortgage ā 7,209 ā 6,791 ā 226 ā 10,536 ā 10,131 ā 542 Commercial ā ā ā ā ā ā ā ā ā ā ā ā Commercial real estate ā 631 ā 630 ā ā ā 548 ā 547 ā ā ADC ā 306 ā 298 ā 29 ā 314 ā 308 ā 29 Home equity/2nds ā 896 ā 473 ā ā ā 910 ā 491 ā ā Consumer ā 62 ā 62 ā ā ā 63 ā 63 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Three Months Ended March 31, ā ā 2021 ā 2020 ā Average Interest Average Interest ā ā Recorded ā Income ā Recorded ā Income ā ā Investment ā Recognized ā Investment ā Recognized With no related Allowance: ā (dollars in thousands) Residential mortgage ā $ 5,848 ā $ 83 ā $ 9,648 ā $ 89 Commercial ā ā ā ā ā ā ā ā Commercial real estate ā 632 ā 9 ā 664 ā 15 ADC ā 200 ā 3 ā 235 ā 5 Home equity/2nds ā 292 ā 7 ā 553 ā 6 Consumer ā 63 ā 1 ā 82 ā 1 With a related Allowance: ā ā ā ā ā ā ā ā Residential mortgage ā 1,000 ā 16 ā 4,571 ā 57 Commercial ā ā ā ā ā ā ā ā Commercial real estate ā ā ā ā ā 549 ā 8 ADC ā 101 ā 1 ā 104 ā 1 Home equity/2nds ā ā ā ā ā ā ā ā Consumer ā ā ā ā ā 2 ā 1 Totals: ā ā ā ā ā ā ā ā Residential mortgage ā 6,848 ā 99 ā 14,219 ā 146 Commercial ā ā ā ā ā ā ā ā Commercial real estate ā 632 ā 9 ā 1,213 ā 23 ADC ā 301 ā 4 ā 339 ā 6 Home equity/2nds ā 292 ā 7 ā 553 ā 6 Consumer ā 63 ā 1 ā 84 ā 2 ā ā |
Schedule of Troubled Debt Restructure Loans | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā ā ā ā Total Total ā ā Number of ā Accrual ā Number of ā Nonaccrual ā Number of ā Balance of ā ā Modifications ā Status ā Modifications ā Status ā Modifications ā Modifications ā ā (dollars in thousands) Residential mortgage 21 ā $ 5,618 2 ā $ 159 23 ā $ 5,777 Commercial real estate 1 ā 417 ā ā ā 1 ā 417 ADC 1 ā 127 ā ā ā 1 ā 127 Home equity/2nds ā 1 ā ā 187 ā ā ā ā ā 1 ā 187 Consumer 1 ā 62 ā ā ā 1 ā 62 ā 25 ā $ 6,411 2 ā $ 159 27 ā $ 6,570 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā ā ā ā Total Total ā ā Number of ā Accrual ā Number of ā Nonaccrual ā Number of ā Balance of ā ā Modifications ā Status ā Modifications ā Status ā Modifications ā Modifications ā ā (dollars in thousands) Residential mortgage 22 ā $ 5,787 2 ā $ 163 24 ā $ 5,950 Commercial real estate 1 ā 421 ā ā ā 1 ā 421 ADC 1 ā 128 ā ā ā 1 ā 128 Home equity/2nds ā 1 ā ā 190 ā ā ā ā ā 1 ā 190 Consumer 1 ā 63 ā ā ā 1 ā 63 ā 26 ā $ 6,589 2 ā $ 163 28 ā $ 6,752 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Regulatory Matters [Abstract] | |
Bank's actual capital amounts and ratios | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā To be Well ā ā ā ā ā ā Capitalized Under ā ā ā ā ā ā Prompt Corrective ā ā Actual ā ā ā Action Provision ā Amount Ratio Amount Ratio March 31, 2021 ā (dollars in thousands) ā Community bank leverage ratio ā $ 125,768 12.1 % 88,419 8.5 % ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā ā ā ā ā ā ā ā ā Community bank leverage ratio ā $ 122,196 13.7 % 71,495 8.0 % |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Earnings Per Share [Abstract] | |
Earnings per share calculation | ā ā ā ā ā ā ā ā ā ā Three Months Ended March 31, ā 2021 2020 ā ā (dollars in thousands, except for per share data) Weighted-average shares outstanding - basic ā 12,847,418 ā 12,812,642 Dilution ā 54,067 ā 37,499 Weighted-average share outstanding - diluted ā 12,901,485 ā 12,850,141 ā ā ā ā ā ā ā Net income ā $ 3,911 ā $ 565 Net income per share - basic ā $ 0.30 ā $ 0.04 Net income per share - diluted ā $ 0.30 ā $ 0.04 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Stock-Based Compensation [Abstract] | |
Information regarding stock option plan | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā 2021 ā 2020 ā ā ā Weighted- ā ā ā Weighted- ā ā ā ā Weighted- ā Average ā Aggregate ā ā ā Weighted- ā Average ā Aggregate ā ā ā ā Average ā Remaining ā Intrinsic ā ā ā Average ā Remaining ā Intrinsic ā ā Number ā Exercise ā Contractual ā Value ā Number ā Exercise ā Contractual ā Value ā ā of Shares ā Price ā Term (in years) ā (in thousands) ā of Shares ā Price ā Term (in years) ā (in thousands) Outstanding at beginning of period 220,250 ā $ 6.89 ā 234,173 ā $ 6.60 ā Granted ā ā ā ā 10,500 ā 8.26 ā Exercised (13,640) ā 6.28 $ 79 (2,050) ā 6.78 $ ā Outstanding at end of period 206,610 ā $ 6.93 1.2 ā $ 1,069 242,623 ā $ 6.67 2.7 ā $ 69 Exercisable at end of period 155,306 ā $ 6.78 0.8 ā $ 827 159,884 ā $ 6.37 2.3 ā $ 69 |
Stock options valuation assumptions | ā ā ā ā ā ā Expected life ā 5.5 years Risk-free interest rate ā ā 0.95 % Expected volatility ā ā 27.83 % Expected dividend yield ā $ 1.95 Weighted average per share fair value of options granted ā $ 1.75 ā |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Commitments and Contingencies | |
Contract amounts for off-balance sheet instruments | ā ā ā ā ā ā ā ā ā March 31, 2021 ā December 31, 2020 ā ā (dollars in thousands) Standby letters of credit ā $ 2,804 ā $ 3,251 Home equity lines of credit ā 18,678 ā 17,005 Unadvanced construction commitments ā 84,866 ā 74,626 Lines of credit ā 30,510 ā 30,190 Loans sold and serviced with limited repurchase provisions ā 38,877 ā 41,800 |
Derivatives (Tables)
Derivatives (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Derivatives | |
Schedule of carrying amounts of our derivative financial instruments | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā December 31, 2020 ā ā Notional ā Estimated ā Notional ā Estimated ā Amount Fair Value Amount Fair Value ā (dollars in thousands) Asset - IRLCs ā $ 46,317 ā $ 781 ā $ 44,243 ā $ 1,128 Asset - mandatory forward contracts ā 17,553 ā ā 94 ā ā ā ā ā ā Asset - TBA securities ā ā 78,000 ā ā 1,465 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Liability - mandatory forward contracts ā $ 67,928 ā $ 1,061 ā $ ā ā $ ā Liability - TBA securities ā ā 2,500 ā ā 4 ā ā 79,500 ā ā 557 |
Segments (Tables)
Segments (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Segments | |
Schedule of information regarding our business segments | ā ā ā ā ā ā ā ā ā ā ā ā ā 2021 ā ā Commercial and ā Mortgage- ā ā ā Consumer Banking Banking Total ā ā (dollars in thousands) Interest income ā $ 8,354 ā $ 255 ā $ 8,609 Interest expense ā ā (912) ā ā (39) ā ā (951) Net interest income ā 7,442 ā 216 ā 7,658 Reversal of provision for loan losses ā 750 ā ā ā 750 Net interest income after reversal of provision for loan losses ā 8,192 ā 216 ā 8,408 Noninterest income ā 1,363 ā 4,396 ā 5,759 Noninterest expense ā (6,562) ā (2,244) ā (8,806) Net income before income taxes ā ā 2,993 ā ā 2,368 ā ā 5,361 Income tax provision ā (798) ā (652) ā (1,450) Net income ā $ 2,195 ā $ 1,716 ā $ 3,911 Total Assets ā $ 1,062,845 ā $ 50,124 ā $ 1,112,969 ā ā ā ā ā ā ā ā ā ā ā ā ā 2020 ā ā Commercial and ā Mortgage- ā ā ā Consumer Banking Banking Total ā ā (dollars in thousands) Interest income ā $ 8,785 ā $ 131 ā $ 8,916 Interest expense ā ā (2,117) ā ā (44) ā ā (2,161) Net interest income ā 6,668 ā 87 ā 6,755 Provision for loan losses ā (750) ā ā ā (750) Net interest income after provision for loan losses ā 5,918 ā 87 ā 6,005 Noninterest income ā 1,391 ā 1,634 ā 3,025 Noninterest expense ā (7,189) ā (1,063) ā (8,252) Net income before income taxes ā ā 120 ā ā 658 ā ā 778 Income tax provision ā (32) ā (181) ā (213) Net income ā $ 88 ā $ 477 ā $ 565 Total Assets ā $ 834,474 ā $ 21,996 ā $ 856,470 |
Fair Value (Tables)
Fair Value (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value of Financial Instruments | |
Schedule of fair value measurements for assets and liabilities on a recurring basis | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Significant ā ā ā ā ā Other ā Significant ā Total Changes ā ā ā ā Quoted ā Observable ā Unobservable ā In Fair Values ā ā Carrying ā Prices ā Inputs ā Inputs ā Included In ā ā Value ā (Level 1) ā (Level 2) ā (Level 3) ā Period Income Assets: ā (dollars in thousands) AFS securities - U.S. government agency notes ā $ 9,175 ā $ ā ā $ 9,175 ā $ ā ā $ ā AFS securities - corporate obligations ā ā 2,021 ā ā ā ā ā 2,021 ā ā ā ā ā ā AFS securities - MBS ā ā 121,502 ā ā ā ā ā 121,502 ā ā ā ā ā ā LHFS ā 50,124 ā ā ā 50,124 ā ā ā 305 MSRs ā 2,927 ā ā ā ā ā 2,927 ā 826 IRLCs ā 781 ā ā ā ā ā 781 ā (347) Best efforts forward contracts ā 26 ā ā ā 26 ā ā ā 25 Mandatory forward contracts ā 94 ā ā ā 94 ā ā ā (736) TBA securities ā ā 1,465 ā ā ā ā 1,465 ā ā ā ā 1,465 Liabilities: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Mandatory forward contracts ā 1,061 ā ā ā 1,061 ā ā ā 1,055 TBA securities ā 4 ā ā ā 4 ā ā ā 553 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Significant ā ā ā ā Other ā Significant ā Total Changes ā ā ā Quoted ā Observable ā Unobservable ā In Fair Values ā ā Carrying ā Prices ā Inputs ā Inputs ā Included In ā ā Value ā (Level 1) ā (Level 2) ā (Level 3) ā Period Income Assets: ā (dollars in thousands) AFS securities - U.S. government agency notes ā ā 6,660 ā $ ā ā $ 6,660 ā $ ā ā $ ā AFS securities - corporate obligations ā ā 2,034 ā ā ā ā ā 2,034 ā ā ā ā ā ā AFS securities - MBS ā ā 56,404 ā ā ā ā ā 56,404 ā ā ā ā ā ā LHFS ā 36,299 ā ā ā 36,299 ā ā ā 323 MSRs ā 1,451 ā ā ā ā ā 1,451 ā (1,013) IRLCs ā 1,128 ā ā ā ā ā 1,128 ā 949 Liabilities: ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā TBA securities ā 557 ā ā ā 557 ā ā ā (557) |
Schedule of additional quantitative information about assets measured at fair value on a recurring basis | ā ā ā ā ā ā ā ā ā ā ā ā ā Fair Value Valuation ā Range ā ā Estimate ā Technique ā Unobservable Input ā (Weighted-Average) March 31, 2021: ā (dollars in thousands) ā ā ā ā ā MSRs ā $ 2,927 Market Approach Weighted average prepayment speed 155 % IRLCs - net asset ā ā 781 ā Market Approach ā Range of pull through rate ā 78% - 100 % ā ā ā ā ā ā ā Average pull through rate ā 97 % ā ā December 31, 2020: ā ā MSRs ā $ 1,451 Market Approach Weighted average prepayment speed 326 % IRLCs - net asset ā ā 1,128 Market Approach Range of pull through rate ā 77% - 100 % ā ā ā ā ā ā ā Average pull through rate ā 93 % (1) The weighted average was calculated with reference to the principal balance of the underlying mortgages. |
Schedule of activity of servicing assets at fair value | ā ā ā ā ā ā ā ā ā ā Three Months Ended March 31, ā 2021 2020 ā ā (dollars in thousands) Beginning balance ā $ 1,451 ā $ 323 Additions ā ā 650 ā ā ā Valuation adjustment ā ā 826 ā ā (83) Ending balance ā $ 2,927 ā $ 240 |
Schedule of Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | ā ā ā ā ā ā ā ā ā ā Three Months Ended March 31, ā 2021 2020 ā ā (dollars in thousands) Beginning balance ā $ 1,128 ā $ 179 Valuation adjustment ā ā (347) ā ā (240) Ending balance ā $ 781 ā $ (61) |
Schedule of assets measured at fair value on a nonrecurring basis | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā ā ā ā ā ā ā Significant ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Other ā Significant ā ā ā ā ā ā ā ā ā Quoted ā Observable ā Unobservable ā ā ā ā ā ā Carrying ā Prices ā Inputs ā Inputs ā Range of ā Weighted ā Value (Level 1) (Level 2) (Level 3) Discount Average ā ā (dollars in thousands) ā ā ā ā ā Impaired loans ā $ 844 ā $ ā ā $ ā ā $ 844 12% - 14% ā 12 % ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā ā ā ā ā ā ā ā Significant ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā Other ā Significant ā ā ā ā ā ā ā ā ā Quoted ā Observable ā Unobservable ā ā ā ā ā ā Carrying ā Prices ā Inputs ā Inputs ā Range of ā Weighted ā Value (Level 1) (Level 2) (Level 3) Discount Average ā ā (dollars in thousands) ā ā ā ā ā Impaired loans ā $ 2,510 ā $ ā ā $ ā ā $ 2,510 0% - 14% ā 9 % (1) Discount based on current market conditions and estimated selling costs (2) Inputs are weighted based on the relative fair values of the instruments |
Estimated fair values of financial instruments | ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā March 31, 2021 ā ā Carrying ā Fair Value ā Value Level 1 Level 2 Level 3 Total Assets: ā (dollars in thousands) Cash and cash equivalents ā $ 257,095 ā $ 257,095 ā $ ā ā $ ā ā $ 257,095 CDs held for investment ā ā 3,330 ā 3,330 ā ā ā ā ā ā ā 3,330 AFS securities ā 132,698 ā ā ā 132,698 ā ā ā 132,698 HTM securities ā 14,516 ā ā ā 15,094 ā ā ā 15,094 LHFS ā 50,124 ā ā ā 50,124 ā ā ā 50,124 Loans receivable, net ā 613,377 ā ā ā ā ā 618,858 ā 618,858 Restricted stock investments ā 970 ā ā ā 970 ā ā ā 970 Accrued interest receivable ā 2,439 ā ā ā 2,439 ā ā ā 2,439 MSRs ā 2,927 ā ā ā ā ā 2,927 ā 2,927 IRLCs ā 781 ā ā ā ā ā 781 ā 781 Best effort forward contracts ā 26 ā ā ā 26 ā ā ā 26 Mandatory forward contracts ā 94 ā ā ā 94 ā ā ā 94 TBA securities ā 1,465 ā ā ā 1,465 ā ā ā 1,465 Liabilities: ā ā ā ā ā ā ā ā ā ā ā ā Deposits ā 964,096 ā ā ā 970,488 ā ā ā 970,488 Accrued interest payable ā 160 ā ā ā 160 ā ā ā 160 Borrowings ā 10,000 ā ā ā 10,273 ā ā ā 10,273 Subordinated debentures ā 20,619 ā ā ā ā ā 16,276 ā 16,276 Mandatory forward contracts ā 1,061 ā ā ā 1,061 ā ā ā 1,061 TBA securities ā 4 ā ā ā 4 ā ā ā 4 ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā ā December 31, 2020 ā ā Carrying ā Fair Value ā Value Level 1 Level 2 Level 3 Total Assets: ā (dollars in thousands) Cash and cash equivalents ā $ 156,609 ā $ 156,609 ā $ ā ā $ ā ā $ 156,609 CDs held for investment ā ā 3,580 ā 3,580 ā ā ā ā ā ā ā 3,580 AFS securities ā 65,098 ā ā ā 65,098 ā ā ā 65,098 HTM securities ā 15,943 ā ā ā 16,603 ā ā ā 16,603 LHFS ā 36,299 ā ā ā 36,299 ā ā ā 36,299 Loans receivable, net ā 634,212 ā ā ā ā ā 639,597 ā 639,597 Restricted stock investments ā 1,236 ā ā ā 1,236 ā ā ā 1,236 Accrued interest receivable ā 2,576 ā ā ā 2,576 ā ā ā 2,576 MSRs ā 1,451 ā ā ā ā ā 1,451 ā 1,451 IRLCs ā 1,128 ā ā ā ā ā 1,128 ā 1,128 Liabilities: ā ā ā ā ā ā ā ā ā ā ā ā ā ā Deposits ā 806,456 ā ā ā 806,444 ā ā ā 806,444 Accrued interest payable ā 164 ā ā ā 164 ā ā ā 164 Borrowings ā 10,000 ā ā ā 10,313 ā ā ā 10,313 Subordinated debentures ā 20,619 ā ā ā ā ā ā 16,157 ā 16,157 TBA securities ā 557 ā ā ā 557 ā ā ā 557 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - USD ($) | Mar. 03, 2021 | Jan. 01, 2021 | Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2018 |
Prior Period Adjustment | |||||||
Assets | $ 1,112,969,000 | $ 856,470,000 | $ 952,553,000 | ||||
Retained earnings | 46,485,000 | 43,216,000 | |||||
Stockholders' Equity | 111,073,000 | 104,836,000 | $ 104,587,000 | 109,647,000 | |||
Liabilities and Equity | 1,112,969,000 | $ 952,553,000 | |||||
Income tax provision | 1,450,000 | 213,000 | |||||
Net income | 3,911,000 | 565,000 | |||||
Business Combinations [Abstract] | |||||||
Proceeds from sale | 334,000 | 0 | |||||
Loss on sale of Hyatt Commercial assets | 34,000 | 0 | |||||
Advertising Costs | |||||||
Advertising Expense | $ 198,000 | $ 220,000 | |||||
Residential Mortgage [Member] | |||||||
Loans Receivable | |||||||
Maximum percentage of lending of appraised value of property | 80.00% | ||||||
Shore [Member] | Scenario, Plan [Member] | |||||||
Business Combinations [Abstract] | |||||||
Shares received in merger per share tendered | 0.6207 | ||||||
Cash received in merger per share tendered | $ 1.59 | ||||||
Consideration, portion as equity | 85.00% | ||||||
Consideration, portion as cash | 15.00% | ||||||
Discontinued Operations, Disposed of by Sale [Member] | Louis Hyatt [Member] | |||||||
Business Combinations [Abstract] | |||||||
Assets at sale date | $ 1,600,000 | ||||||
Cash that stayed with the Company | 1,100,000 | ||||||
Proceeds from sale | 334,000 | ||||||
Loss on sale of Hyatt Commercial assets | $ 34,000 | ||||||
Adjustment | |||||||
Prior Period Adjustment | |||||||
Deferred tax assets | (885,000) | ||||||
Retained earnings | $ (793,000) | ||||||
Stockholders' Equity | (885,000) | ||||||
Income tax provision | $ 92,000 |
Securities - AFS cost to fv (De
Securities - AFS cost to fv (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost - AFS | $ 135,319 | $ 65,025 |
Unrealized Gains - AFS | 104 | 418 |
Unrealized Losses - AFS | 2,725 | 345 |
Fair Value - AFS | 132,698 | 65,098 |
U.S. Government Agency Notes [Member] | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost - AFS | 9,366 | 6,640 |
Unrealized Gains - AFS | 1 | 45 |
Unrealized Losses - AFS | 192 | 25 |
Fair Value - AFS | 9,175 | 6,660 |
Corporate Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost - AFS | 2,000 | 2,000 |
Unrealized Gains - AFS | 21 | 34 |
Unrealized Losses - AFS | 0 | |
Fair Value - AFS | 2,021 | 2,034 |
Mortgage-backed Securities [Member] | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost - AFS | 123,953 | 56,385 |
Unrealized Gains - AFS | 82 | 339 |
Unrealized Losses - AFS | 2,533 | 320 |
Fair Value - AFS | $ 121,502 | $ 56,404 |
Securities - HTM cost to fv (De
Securities - HTM cost to fv (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost - HTM | $ 14,516 | $ 15,943 |
Unrealized Gains - HTM | 578 | 660 |
Unrealized Losses - HTM | 0 | 0 |
Fair Value - HTM | 15,094 | 16,603 |
U.S. Government Agency Notes [Member] | ||
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost - HTM | 1,987 | 1,986 |
Unrealized Gains - HTM | 130 | 145 |
Unrealized Losses - HTM | 0 | 0 |
Fair Value - HTM | 2,117 | 2,131 |
Mortgage-backed Securities [Member] | ||
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost - HTM | 12,529 | 13,957 |
Unrealized Gains - HTM | 448 | 515 |
Unrealized Losses - HTM | 0 | 0 |
Fair Value - HTM | $ 12,977 | $ 14,472 |
Securities - AFS unrealized los
Securities - AFS unrealized loss position (Details) $ in Thousands | Mar. 31, 2021USD ($) | Dec. 31, 2020USD ($)security |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Number of Positions [Abstract] | ||
Less than 12 months Securities | 69 | 32 |
12 months or more securities | 1 | |
Total Securities | 70 | 32 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | $ 112,774 | $ 31,469 |
12 Months or More, Fair Value | 511 | |
Total, Estimated Fair Value | 113,285 | 31,469 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Losses | 2,715 | 345 |
12 Months or More, Unrealized Losses | 10 | |
Total, Unrealized Losses | $ 2,725 | $ 345 |
U.S. Government Agency Notes [Member] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Number of Positions [Abstract] | ||
Less than 12 months Securities | 8 | 5 |
12 months or more securities | 0 | |
Total Securities | 8 | 5 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | $ 9,056 | $ 4,015 |
12 Months or More, Fair Value | 0 | |
Total, Estimated Fair Value | 9,056 | 4,015 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Losses | 192 | 25 |
12 Months or More, Unrealized Losses | 0 | |
Total, Unrealized Losses | $ 192 | $ 25 |
Mortgage-backed Securities [Member] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Number of Positions [Abstract] | ||
Less than 12 months Securities | 61 | 27 |
12 months or more securities | 1 | |
Total Securities | 62 | 27 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 Months, Fair Value | $ 103,718 | $ 27,454 |
12 Months or More, Fair Value | 511 | |
Total, Estimated Fair Value | 104,229 | 27,454 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Losses | 2,523 | 320 |
12 Months or More, Unrealized Losses | 10 | |
Total, Unrealized Losses | $ 2,533 | $ 320 |
Securities - Contractual Maturi
Securities - Contractual Maturities, etc. (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
AFS Securities, Amortized Cost | |||
Due after one through five years | $ 118,000 | ||
Due after five years through ten years | 7,874,000 | ||
Due after 10 years | 3,374,000 | ||
Mortgage-backed securities | 123,953,000 | ||
Amortized Cost | 135,319,000 | $ 65,025,000 | |
AFS Securities, Fair Value | |||
Due after one through five years | 119,000 | ||
Due after five years through ten years | 7,815,000 | ||
Due after 10 years | 3,262,000 | ||
Mortgage-backed securities | 121,502,000 | ||
Fair Value - AFS | 132,698,000 | 65,098,000 | |
HTM Securities, Amortized Cost | |||
Due after one through five years | 1,987,000 | ||
Due after five years through ten years | 0 | ||
Mortgage-backed securities | 12,529,000 | ||
Amortized Cost | 14,516,000 | 15,943,000 | |
HTM Securities, Fair Value | |||
Due after one through five years | 2,117,000 | ||
Due after five years through ten years | 0 | ||
Mortgage-backed securities | 12,977,000 | ||
Fair Value - HTM | 15,094,000 | 16,603,000 | |
Sales | 4,451,000 | $ 0 | |
Gross recognized gain on sale | 35,000 | ||
Gross recognized loss on sale | 40,000 | ||
Securities pledged as collateral for borrowings | $ 2,900,000 | $ 3,100,000 |
Loans Receivable and Allowanc_2
Loans Receivable and Allowance - Loans Receivable (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | $ 624,954 | $ 646,071 | $ 638,659 |
Unearned loan fees | (3,442) | (3,189) | |
Loans receivable | 621,512 | 642,882 | |
Loans Pledged as Collateral | 123,500 | ||
Federal National Mortgage Association Certificates and Obligations (FNMA) [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Mortgage Loans Serviced | 215,400 | 159,800 | |
Federal Home Loan Mortgage Corporation Certificates and Obligations (FHLMC) [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Mortgage Loans Serviced | 42,600 | 36,900 | |
Mortgage Servicing Rights [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
MSRs | 2,927 | 1,451 | |
Residential Mortgage [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | 186,591 | 209,659 | 260,981 |
Commercial [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | 74,617 | 63,842 | 43,490 |
Commercial Real Estate [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | 243,521 | 243,435 | 220,654 |
Construction, Land Acquisition and Development Portfolio Segment [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | 103,487 | 112,938 | 99,861 |
Home Equity/2nds Portfolio Segment [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | 15,173 | 14,712 | 12,199 |
Consumer Portfolio Segment [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | $ 1,565 | $ 1,485 | $ 1,474 |
Loans Receivable and Allowanc_3
Loans Receivable and Allowance - Credit (Details) | 3 Months Ended | ||
Mar. 31, 2021USD ($)item | Dec. 31, 2020USD ($) | Mar. 31, 2020USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | $ 624,954,000 | $ 646,071,000 | $ 638,659,000 |
Financing Receivable, Modifications, Cares Act | 12,400,000 | ||
Financing Receivable, Interest Only Deferred Payments | 117,000 | ||
Financing Receivable, Interest Recorded but not Collected, Recorded Investment | $ 10,500,000 | ||
Residential Mortgage [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loan to value ratio | 80.00% | ||
Loans and Leases Receivable, Gross | $ 186,591,000 | 209,659,000 | 260,981,000 |
Residential Mortgage [Member] | Minimum [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of dwelling units | item | 1 | ||
Residential Mortgage [Member] | Maximum [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of dwelling units | item | 4 | ||
Commercial [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | $ 74,617,000 | 63,842,000 | 43,490,000 |
Commercial [Member] | SBA CARES Act Paycheck Protection Program [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | 39,000,000 | ||
Consumer Portfolio Segment [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | 1,565,000 | 1,485,000 | 1,474,000 |
Home Equity/2nds Portfolio Segment [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable, Gross | $ 15,173,000 | $ 14,712,000 | $ 12,199,000 |
Home Equity/2nds Portfolio Segment [Member] | Minimum [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of dwelling units | item | 1 | ||
Home Equity/2nds Portfolio Segment [Member] | Maximum [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of dwelling units | item | 4 |
Loans Receivable and Allowanc_4
Loans Receivable and Allowance - Changes in the Allowance and Recorded Investment in Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning Balance | $ 8,670 | $ 7,138 | |||
Charge-offs | (34) | (15) | |||
Recoveries | 249 | 45 | |||
Net recoveries (charge-offs) | 215 | 30 | |||
(Reversal of) provision for loan losses | (750) | 750 | |||
Ending Balance | 8,135 | 7,918 | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||
Ending balance - individually evaluated for impairment | $ 255 | $ 571 | $ 833 | ||
Ending balance - collectively evaluated for impairment | 7,880 | 8,099 | 7,085 | ||
Allowance for loans losses | 8,670 | 7,918 | 8,135 | 8,670 | 7,918 |
Ending loan balance -individually evaluated for impairment | 8,254 | 11,540 | 16,637 | ||
Ending loan balance -collectively evaluated for impairment | 616,700 | 634,531 | 622,022 | ||
Loans receivable | 624,954 | 646,071 | 638,659 | ||
Residential Mortgage [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning Balance | 2,259 | 2,264 | |||
Recoveries | 65 | 3 | |||
Net recoveries (charge-offs) | 65 | 3 | |||
(Reversal of) provision for loan losses | (525) | 217 | |||
Ending Balance | 1,799 | 2,484 | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||
Ending balance - individually evaluated for impairment | 226 | 542 | 742 | ||
Ending balance - collectively evaluated for impairment | 1,573 | 1,717 | 1,742 | ||
Allowance for loans losses | 1,799 | 2,484 | 1,799 | 2,259 | 2,484 |
Ending loan balance -individually evaluated for impairment | 6,791 | 10,131 | 14,385 | ||
Ending loan balance -collectively evaluated for impairment | 179,800 | 199,528 | 246,596 | ||
Loans receivable | 186,591 | 209,659 | 260,981 | ||
Commercial [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning Balance | 1,670 | 1,421 | |||
Charge-offs | 0 | ||||
Recoveries | 5 | 5 | |||
Net recoveries (charge-offs) | 5 | 5 | |||
(Reversal of) provision for loan losses | 105 | 139 | |||
Ending Balance | 1,780 | 1,565 | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||
Ending balance - individually evaluated for impairment | 0 | ||||
Ending balance - collectively evaluated for impairment | 1,780 | 1,670 | 1,565 | ||
Allowance for loans losses | 1,780 | 1,565 | 1,780 | 1,670 | 1,565 |
Ending loan balance -individually evaluated for impairment | 0 | ||||
Ending loan balance -collectively evaluated for impairment | 74,617 | 63,842 | 43,490 | ||
Loans receivable | 74,617 | 63,842 | 43,490 | ||
Commercial Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning Balance | 1,516 | 984 | |||
Recoveries | 174 | 32 | |||
Net recoveries (charge-offs) | 174 | 32 | |||
(Reversal of) provision for loan losses | (237) | 24 | |||
Ending Balance | 1,453 | 1,040 | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||
Ending balance - individually evaluated for impairment | 62 | ||||
Ending balance - collectively evaluated for impairment | 1,453 | 1,516 | 978 | ||
Allowance for loans losses | 1,453 | 1,040 | 1,453 | 1,516 | 1,040 |
Ending loan balance -individually evaluated for impairment | 630 | 547 | 1,208 | ||
Ending loan balance -collectively evaluated for impairment | 242,891 | 242,888 | 219,446 | ||
Loans receivable | 243,521 | 243,435 | 220,654 | ||
Construction, Land Acquisition and Development Portfolio Segment [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning Balance | 2,947 | 2,286 | |||
Charge-offs | (34) | ||||
Recoveries | 0 | ||||
Net recoveries (charge-offs) | (34) | ||||
(Reversal of) provision for loan losses | (208) | 329 | |||
Ending Balance | 2,705 | 2,615 | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||
Ending balance - individually evaluated for impairment | 29 | 29 | 29 | ||
Ending balance - collectively evaluated for impairment | 2,676 | 2,918 | 2,586 | ||
Allowance for loans losses | 2,705 | 2,615 | 2,705 | 2,947 | 2,615 |
Ending loan balance -individually evaluated for impairment | 298 | 308 | 428 | ||
Ending loan balance -collectively evaluated for impairment | 103,189 | 112,630 | 99,433 | ||
Loans receivable | 103,487 | 112,938 | 99,861 | ||
Home Equity/2nds Portfolio Segment [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning Balance | 168 | 134 | |||
Charge-offs | 0 | ||||
Recoveries | 4 | 2 | |||
Net recoveries (charge-offs) | 4 | 2 | |||
(Reversal of) provision for loan losses | 47 | 15 | |||
Ending Balance | 219 | 151 | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||
Ending balance - individually evaluated for impairment | 0 | ||||
Ending balance - collectively evaluated for impairment | 219 | 168 | 151 | ||
Allowance for loans losses | 219 | 151 | 219 | 168 | 151 |
Ending loan balance -individually evaluated for impairment | 473 | 491 | 548 | ||
Ending loan balance -collectively evaluated for impairment | 14,700 | 14,221 | 11,651 | ||
Loans receivable | 15,173 | 14,712 | 12,199 | ||
Consumer Portfolio Segment [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning Balance | 0 | ||||
Charge-offs | 0 | (15) | |||
Recoveries | 1 | 3 | |||
Net recoveries (charge-offs) | 1 | (12) | |||
(Reversal of) provision for loan losses | (1) | 12 | |||
Ending Balance | 0 | ||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||
Ending balance - individually evaluated for impairment | 0 | ||||
Ending balance - collectively evaluated for impairment | 0 | ||||
Allowance for loans losses | 0 | 0 | 0 | ||
Ending loan balance -individually evaluated for impairment | 62 | 63 | 68 | ||
Ending loan balance -collectively evaluated for impairment | 1,503 | 1,422 | 1,406 | ||
Loans receivable | 1,565 | 1,485 | 1,474 | ||
Unallocated Financing Receivables [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning Balance | 110 | 49 | |||
Charge-offs | 0 | ||||
Recoveries | 0 | ||||
Net recoveries (charge-offs) | 0 | ||||
(Reversal of) provision for loan losses | 69 | 14 | |||
Ending Balance | 179 | 63 | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||
Ending balance - individually evaluated for impairment | 0 | ||||
Ending balance - collectively evaluated for impairment | 179 | 110 | 63 | ||
Allowance for loans losses | $ 179 | $ 63 | $ 179 | $ 110 | $ 63 |
Loans Receivable and Allowanc_5
Loans Receivable and Allowance - Credit Quality Breakdown of Loan Portfolio (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | $ 624,954 | $ 646,071 | $ 638,659 |
Pass [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 620,986 | 638,872 | |
Special Mention [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 1,285 | 1,286 | |
Substandard [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 2,683 | 5,913 | |
Residential Mortgage [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 186,591 | 209,659 | 260,981 |
Residential Mortgage [Member] | Pass [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 185,245 | 205,225 | |
Residential Mortgage [Member] | Special Mention [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 0 | 0 | |
Residential Mortgage [Member] | Substandard [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 1,346 | 4,434 | |
Commercial [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 74,617 | 63,842 | 43,490 |
Commercial [Member] | Pass [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 73,417 | 62,642 | |
Commercial [Member] | Special Mention [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 1,200 | 1,200 | |
Commercial [Member] | Substandard [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 0 | 0 | |
Commercial Real Estate [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 243,521 | 243,435 | 220,654 |
Commercial Real Estate [Member] | Pass [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 242,639 | 242,435 | |
Commercial Real Estate [Member] | Special Mention [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 85 | 86 | |
Commercial Real Estate [Member] | Substandard [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 797 | 914 | |
Construction, Land Acquisition and Development Portfolio Segment [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 103,487 | 112,938 | 99,861 |
Construction, Land Acquisition and Development Portfolio Segment [Member] | Pass [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 103,044 | 112,479 | |
Construction, Land Acquisition and Development Portfolio Segment [Member] | Special Mention [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 0 | 0 | |
Construction, Land Acquisition and Development Portfolio Segment [Member] | Substandard [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 443 | 459 | |
Home Equity/2nds Portfolio Segment [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 15,173 | 14,712 | 12,199 |
Home Equity/2nds Portfolio Segment [Member] | Pass [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 15,076 | 14,606 | |
Home Equity/2nds Portfolio Segment [Member] | Special Mention [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 0 | 0 | |
Home Equity/2nds Portfolio Segment [Member] | Substandard [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 97 | 106 | |
Consumer Portfolio Segment [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 1,565 | 1,485 | $ 1,474 |
Consumer Portfolio Segment [Member] | Pass [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 1,565 | 1,485 | |
Consumer Portfolio Segment [Member] | Special Mention [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | 0 | 0 | |
Consumer Portfolio Segment [Member] | Substandard [Member] | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Loans receivable | $ 0 | $ 0 |
Loans Receivable and Allowanc_6
Loans Receivable and Allowance - Classes by Aging Categories (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | $ 613,000 | $ 4,664,000 | |
Loans receivable, current | 624,341,000 | 641,407,000 | |
Loans receivable | 624,954,000 | $ 638,659,000 | 646,071,000 |
Loans receivable, nonaccrual | 1,283,000 | 4,380,000 | |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 | |
Loans and Leases Receivable, Impaired, Interest Lost on Nonaccrual Loans | 151,000 | 467,000 | |
Loans and Leases Receivable, Impaired, Interest Income Recorded on Nonaccrual Loans | 31,000 | 60,000 | |
Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 59,000 | 739,000 | |
Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 300,000 | |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 554,000 | 3,625,000 | |
Residential Mortgage [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 331,000 | 4,280,000 | |
Loans receivable, current | 186,260,000 | 205,379,000 | |
Loans receivable | 186,591,000 | 260,981,000 | 209,659,000 |
Loans receivable, nonaccrual | 910,000 | 4,080,000 | |
Residential Mortgage [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 674,000 | |
Residential Mortgage [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 213,000 | |
Residential Mortgage [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 331,000 | 3,393,000 | |
Commercial [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 0 | |
Loans receivable, current | 74,617,000 | 63,842,000 | |
Loans receivable | 74,617,000 | 43,490,000 | 63,842,000 |
Loans receivable, nonaccrual | 0 | 0 | |
Commercial [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 0 | |
Commercial [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 0 | |
Commercial [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 0 | |
Commercial Real Estate [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 126,000 | 218,000 | |
Loans receivable, current | 243,395,000 | 243,217,000 | |
Loans receivable | 243,521,000 | 220,654,000 | 243,435,000 |
Loans receivable, nonaccrual | 213,000 | 126,000 | |
Commercial Real Estate [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 5,000 | |
Commercial Real Estate [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 87,000 | |
Commercial Real Estate [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 126,000 | 126,000 | |
Construction, Land Acquisition and Development Portfolio Segment [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 0 | |
Loans receivable, current | 103,487,000 | 112,938,000 | |
Loans receivable | 103,487,000 | 99,861,000 | 112,938,000 |
Loans receivable, nonaccrual | 54,000 | 60,000 | |
Construction, Land Acquisition and Development Portfolio Segment [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 0 | |
Construction, Land Acquisition and Development Portfolio Segment [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 0 | |
Construction, Land Acquisition and Development Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 0 | |
Home Equity/2nds Portfolio Segment [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 156,000 | 166,000 | |
Loans receivable, current | 15,017,000 | 14,546,000 | |
Loans receivable | 15,173,000 | 12,199,000 | 14,712,000 |
Loans receivable, nonaccrual | 106,000 | 114,000 | |
Home Equity/2nds Portfolio Segment [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 59,000 | 60,000 | |
Home Equity/2nds Portfolio Segment [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 0 | |
Home Equity/2nds Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 97,000 | 106,000 | |
Consumer Portfolio Segment [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 0 | |
Loans receivable, current | 1,565,000 | 1,485,000 | |
Loans receivable | 1,565,000 | $ 1,474,000 | 1,485,000 |
Loans receivable, nonaccrual | 0 | 0 | |
Consumer Portfolio Segment [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 0 | |
Consumer Portfolio Segment [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | 0 | 0 | |
Consumer Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Loans receivable, past due | $ 0 | $ 0 |
Loans Receivable and Allowances
Loans Receivable and Allowances - Impaired Loans (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Financing Receivable, Impaired [Line Items] | |||
Real estate acquired through foreclosure | $ 1,010,000 | $ 1,010,000 | |
Residential Mortgage [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Unpaid principal balance, with no related allowance | 6,211,000 | 7,432,000 | |
Recorded investment, with no related allowance | 5,793,000 | 7,152,000 | |
Unpaid principal balance, with a related allowance | 998,000 | 3,104,000 | |
Recorded investment, with a related allowance | 998,000 | 2,979,000 | |
Related allowance | 226,000 | 542,000 | |
Unpaid principal balance | 7,209,000 | 10,536,000 | |
Recorded investment | 6,791,000 | 10,131,000 | |
Average recorded investment, with no related allowance | 5,848,000 | $ 9,648,000 | |
Interest income recognized, with no related allowance | 83,000 | 89,000 | |
Average recorded investment, with a related allowance | 1,000,000 | 4,571,000 | |
Interest income recognized, with a related allowance | 16,000 | 57,000 | |
Average recorded investment | 6,848,000 | 14,219,000 | |
Interest income recognized | 99,000 | 146,000 | |
Commercial [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Unpaid principal balance, with no related allowance | 0 | 0 | |
Recorded investment, with no related allowance | 0 | 0 | |
Unpaid principal balance, with a related allowance | 0 | 0 | |
Recorded investment, with a related allowance | 0 | 0 | |
Related allowance | 0 | 0 | |
Unpaid principal balance | 0 | 0 | |
Recorded investment | 0 | 0 | |
Commercial Real Estate [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Unpaid principal balance, with no related allowance | 631,000 | 548,000 | |
Recorded investment, with no related allowance | 630,000 | 547,000 | |
Unpaid principal balance, with a related allowance | 0 | 0 | |
Recorded investment, with a related allowance | 0 | 0 | |
Related allowance | 0 | ||
Unpaid principal balance | 631,000 | 548,000 | |
Recorded investment | 630,000 | 547,000 | |
Average recorded investment, with no related allowance | 632,000 | 664,000 | |
Interest income recognized, with no related allowance | 9,000 | 15,000 | |
Average recorded investment, with a related allowance | 549,000 | ||
Interest income recognized, with a related allowance | 8,000 | ||
Average recorded investment | 632,000 | 1,213,000 | |
Interest income recognized | 9,000 | 23,000 | |
Construction, Land Acquisition and Development Portfolio Segment [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Unpaid principal balance, with no related allowance | 205,000 | 212,000 | |
Recorded investment, with no related allowance | 197,000 | 206,000 | |
Unpaid principal balance, with a related allowance | 101,000 | 102,000 | |
Recorded investment, with a related allowance | 101,000 | 102,000 | |
Related allowance | 29,000 | 29,000 | |
Unpaid principal balance | 306,000 | 314,000 | |
Recorded investment | 298,000 | 308,000 | |
Average recorded investment, with no related allowance | 200,000 | 235,000 | |
Interest income recognized, with no related allowance | 3,000 | 5,000 | |
Average recorded investment, with a related allowance | 101,000 | 104,000 | |
Interest income recognized, with a related allowance | 1,000 | 1,000 | |
Average recorded investment | 301,000 | 339,000 | |
Interest income recognized | 4,000 | 6,000 | |
Home Equity/2nds Portfolio Segment [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Unpaid principal balance, with no related allowance | 896,000 | 910,000 | |
Recorded investment, with no related allowance | 473,000 | 491,000 | |
Unpaid principal balance, with a related allowance | 0 | 0 | |
Recorded investment, with a related allowance | 0 | 0 | |
Related allowance | 0 | 0 | |
Unpaid principal balance | 896,000 | 910,000 | |
Recorded investment | 473,000 | 491,000 | |
Average recorded investment, with no related allowance | 292,000 | 553,000 | |
Interest income recognized, with no related allowance | 7,000 | 6,000 | |
Average recorded investment | 292,000 | 553,000 | |
Interest income recognized | 7,000 | 6,000 | |
Consumer Portfolio Segment [Member] | |||
Financing Receivable, Impaired [Line Items] | |||
Unpaid principal balance, with no related allowance | 62,000 | 63,000 | |
Recorded investment, with no related allowance | 62,000 | 63,000 | |
Unpaid principal balance, with a related allowance | 0 | 0 | |
Recorded investment, with a related allowance | 0 | 0 | |
Related allowance | 0 | 0 | |
Unpaid principal balance | 62,000 | 63,000 | |
Recorded investment | 62,000 | 63,000 | |
Average recorded investment, with no related allowance | 63,000 | 82,000 | |
Interest income recognized, with no related allowance | 1,000 | 1,000 | |
Average recorded investment, with a related allowance | 2,000 | ||
Interest income recognized, with a related allowance | 1,000 | ||
Average recorded investment | 63,000 | 84,000 | |
Interest income recognized | 1,000 | $ 2,000 | |
Real estate acquired through foreclosure | 0 | 0 | |
Mortgage Loans in Process of Foreclosure, Amount | $ 505,000 | $ 3,600,000 |
Loans Receivable and Allowanc_7
Loans Receivable and Allowance - Portfolio of TDRs (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021USD ($)itemloan | Mar. 31, 2020loanitem | Dec. 31, 2020USD ($)item | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 27 | 28 | |
Financing Receivable, Modifications, Number of Contracts | loan | 0 | 0 | |
TDR, total balance of modifications | $ | $ 6,570 | $ 6,752 | |
Financing Receivable, Troubled Debt Restructuring, Subsequent Default, Number of Contracts | 0 | 0 | |
Accrual Status Loan [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 25 | 26 | |
TDR, total balance of modifications | $ | $ 6,411 | $ 6,589 | |
Nonaccrual Status Loan [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 2 | 2 | |
TDR, total balance of modifications | $ | $ 159 | $ 163 | |
Residential Mortgage [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 23 | 24 | |
TDR, total balance of modifications | $ | $ 5,777 | $ 5,950 | |
Residential Mortgage [Member] | Accrual Status Loan [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 21 | 22 | |
TDR, total balance of modifications | $ | $ 5,618 | $ 5,787 | |
Residential Mortgage [Member] | Nonaccrual Status Loan [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 2 | 2 | |
TDR, total balance of modifications | $ | $ 159 | $ 163 | |
Commercial Real Estate [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 1 | 1 | |
TDR, total balance of modifications | $ | $ 417 | $ 421 | |
Commercial Real Estate [Member] | Accrual Status Loan [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 1 | 1 | |
TDR, total balance of modifications | $ | $ 417 | $ 421 | |
Commercial Real Estate [Member] | Nonaccrual Status Loan [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 0 | 0 | |
TDR, total balance of modifications | $ | $ 0 | $ 0 | |
Construction, Land Acquisition and Development Portfolio Segment [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 1 | 1 | |
TDR, total balance of modifications | $ | $ 127 | $ 128 | |
Construction, Land Acquisition and Development Portfolio Segment [Member] | Accrual Status Loan [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 1 | 1 | |
TDR, total balance of modifications | $ | $ 127 | $ 128 | |
Construction, Land Acquisition and Development Portfolio Segment [Member] | Nonaccrual Status Loan [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 0 | 0 | |
TDR, total balance of modifications | $ | $ 0 | $ 0 | |
Home Equity/2nds Portfolio Segment [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 1 | 1 | |
TDR, total balance of modifications | $ | $ 187 | $ 190 | |
Home Equity/2nds Portfolio Segment [Member] | Accrual Status Loan [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 1 | 1 | |
TDR, total balance of modifications | $ | $ 187 | $ 190 | |
Home Equity/2nds Portfolio Segment [Member] | Nonaccrual Status Loan [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 0 | 0 | |
TDR, total balance of modifications | $ | $ 0 | $ 0 | |
Consumer Portfolio Segment [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 1 | 1 | |
TDR, total balance of modifications | $ | $ 62 | $ 63 | |
Consumer Portfolio Segment [Member] | Accrual Status Loan [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 1 | 1 | |
TDR, total balance of modifications | $ | $ 62 | $ 63 | |
Consumer Portfolio Segment [Member] | Nonaccrual Status Loan [Member] | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
TDRs, total number of modifications | 0 | 0 | |
TDR, total balance of modifications | $ | $ 0 | $ 0 |
Regulatory Matters (Details)
Regulatory Matters (Details) $ in Thousands | Mar. 31, 2021USD ($) | Dec. 31, 2020USD ($) |
Tier 1 capital (to average quarterly assets) [Abstract] | ||
Tier I Capital average, Actual Amount | $ 125,768 | $ 122,196 |
Tier I Capital average, Ratio | 12.1 | 13.7 |
Tier I Capital Average To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 88,419 | $ 71,495 |
Tier I Capital Average To Be Well Capitalized Under Prompt Corrective Provisions, Ratio | 8.50% | 8.00% |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Earnings Per Share [Abstract] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | 0 | 10,500 |
Weighted-average shares outstanding - basic (in shares) | 12,847,418 | 12,812,642 |
Dilution (in shares) | 54,067 | 37,499 |
Weighted-average share outstanding - diluted (in shares) | 12,901,485 | 12,850,141 |
Net income | $ 3,911 | $ 565 |
Net income per common share - basic (in dollars per share) | $ 0.30 | $ 0.04 |
Net income per common share - diluted (in dollars per share) | $ 0.30 | $ 0.04 |
Stock-based Compensation (Detai
Stock-based Compensation (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Number of shares authorized under the plan (in shares) | 500,000 | |
Stock-based compensation expense | $ 23,000 | $ 34,000 |
Maximum [Member] | Stock Option [Member] | ||
Stock options expiry period | 10 years | |
Stock options vesting period | 5 years |
Stock-Based Compensation - Roll
Stock-Based Compensation - Rollforward (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Outstanding, number of shares, beginning (in shares) | 220,250 | 234,173 |
Granted, number of shares (in shares) | 0 | 10,500 |
Exercised, number of shares (in shares) | (13,640) | (2,050) |
Outstanding, number of shares, ending (in shares) | 206,610 | 242,623 |
Exercisable, number of shares (in shares) | 155,306 | 159,884 |
Exercise price | ||
Outstanding, weighted average exercise price, beginning (in dollars per share) | $ 6.89 | $ 6.60 |
Granted, weighted average exercise price (in dollars per share) | 8.26 | |
Exercised, weighted average exercise price (in dollars per share) | 6.28 | 6.78 |
Outstanding, weighted average exercise price, ending (in dollars per share) | 6.93 | 6.67 |
Exercisable, weighted average exercise price (in dollars per share) | $ 6.78 | $ 6.37 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | ||
Outstanding, weighted average remaining contractual term (Year) | 1 year 2 months 12 days | 2 years 8 months 12 days |
Outstanding, aggregate intrinsic value | $ 1,069 | $ 69 |
Exercisable, weighted average remaining contractual term (Year) | 9 months 18 days | 2 years 3 months 18 days |
Exercised, aggregate intrinsic value | $ 79 | |
Exercisable, aggregate intrinsic value | $ 827 | $ 69 |
Stock-Based Compensation - Assu
Stock-Based Compensation - Assumptions and Unrecognized (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ||
Expected life | 5 years 6 months | |
Risk-free interest rate | 0.95% | |
Expected volatility | 27.83% | |
Expected dividend yield | 1.95% | |
Weighted average per share fair value of options granted (in dollars per share) | $ 1.75 | |
Unrecognized stock-based compensation expense | $ 129,000 | |
Unrecognized stock-based compensation expected to be recognized period | 24 months |
Commitments and Contingencies_2
Commitments and Contingencies (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |||
Letters of credit expiry period | 12 months | ||
Letters of Credit, Renewal Period (Year) | 1 year | ||
Current liability for guarantees | $ 8,000 | $ 8,000 | |
Loan commitment expiry period | 10 years | ||
Repurchases of loans previously sold | $ 0 | $ 0 | |
Deposits | 964,096,000 | 806,456,000 | |
Interest income | 7,658,000 | 6,755,000 | |
Noninterest Income | 5,759,000 | 3,025,000 | |
Business Activities With Medical Use Cannabis Customers [Member] | |||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |||
Loss Contingency Accrual, Ending Balance | $ 0 | ||
Minimum [Member] | |||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |||
Period of delinquency under repurchase agreement | 120 days | ||
Maximum [Member] | |||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |||
Period of delinquency under repurchase agreement | 180 days | ||
Cannabis Customers [Member] | Business Activities With Medical Use Cannabis Customers [Member] | |||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |||
Deposits | $ 60,700,000 | $ 42,800,000 | |
Percentage of deposits in total deposits | 6.30% | 5.30% | |
Loan balances | $ 22,900,000 | $ 18,700,000 | |
Percentage of loans in total loans | 3.70% | 2.90% | |
Interest income | $ 219,000 | 155,000 | |
Noninterest Income | 564,000 | 519,000 | |
Volume of deposits accepted | 171,300,000 | $ 100,800,000 | |
Standby Letters of Credit [Member] | |||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |||
Off-balance sheet credit risk | 2,804,000 | $ 3,251,000 | |
Home Equity Line of Credit [Member] | |||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |||
Off-balance sheet credit risk | 18,678,000 | 17,005,000 | |
Unadvanced Construction Commitments [Member] | |||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |||
Off-balance sheet credit risk | 84,866,000 | 74,626,000 | |
Lines of Credit [Member] | |||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |||
Off-balance sheet credit risk | 30,510,000 | 30,190,000 | |
Loans Sold and Serviced with Limited Repurchase Provisions [Member] | |||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |||
Off-balance sheet credit risk | $ 38,877,000 | $ 41,800,000 |
Derivatives (Details)
Derivatives (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Dec. 31, 2020 | |
Minimum [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Term of Contract (Day) | 14 days | |
Maximum [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Term of Contract (Day) | 60 days | |
Interest Rate Lock Commitments [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset, notional amount | $ 46,317 | $ 44,243 |
Asset, estimated fair value | 781 | 1,128 |
Mandatory Forward Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset, notional amount | 17,553 | |
Asset, estimated fair value | 94 | |
Liability, notional amount | 67,928 | |
Liability, estimated fair value | 1,061 | |
TBA securities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset, notional amount | 78,000 | |
Asset, estimated fair value | 1,465 | |
Liability, notional amount | 2,500 | 79,500 |
Liability, estimated fair value | $ 4 | $ 557 |
Segments (Details)
Segments (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021USD ($)item | Mar. 31, 2020USD ($) | Dec. 31, 2020USD ($) | |
Segment Reporting Information [Line Items] | |||
Number of business segments | item | 2 | ||
Interest income | $ 8,609 | $ 8,916 | |
Interest expense | (951) | (2,161) | |
Net interest income | 7,658 | 6,755 | |
(Reversal of) provision for loan losses | 750 | (750) | |
Net interest income after (reversal of) provision for loan losses | 8,408 | 6,005 | |
Noninterest Income | 5,759 | 3,025 | |
Noninterest expense | (8,806) | (8,252) | |
Net income before income tax provision | 5,361 | 778 | |
Income tax provision | (1,450) | (213) | |
Net income | 3,911 | 565 | |
Total Assets | 1,112,969 | 856,470 | $ 952,553 |
Commercial and Consumer Banking [Member] | |||
Segment Reporting Information [Line Items] | |||
Interest income | 8,354 | 8,785 | |
Interest expense | (912) | (2,117) | |
Net interest income | 7,442 | 6,668 | |
(Reversal of) provision for loan losses | 750 | (750) | |
Net interest income after (reversal of) provision for loan losses | 8,192 | 5,918 | |
Noninterest Income | 1,363 | 1,391 | |
Noninterest expense | (6,562) | (7,189) | |
Net income before income tax provision | 2,993 | 120 | |
Income tax provision | (798) | (32) | |
Net income | 2,195 | 88 | |
Total Assets | 1,062,845 | 834,474 | |
Mortgage Banking [Member] | |||
Segment Reporting Information [Line Items] | |||
Interest income | 255 | 131 | |
Interest expense | (39) | (44) | |
Net interest income | 216 | 87 | |
Net interest income after (reversal of) provision for loan losses | 216 | 87 | |
Noninterest Income | 4,396 | 1,634 | |
Noninterest expense | (2,244) | (1,063) | |
Net income before income tax provision | 2,368 | 658 | |
Income tax provision | (652) | (181) | |
Net income | 1,716 | 477 | |
Total Assets | $ 50,124 | $ 21,996 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments - Fair Value Measurements for Assets and Liabilities on a Recurring Basis (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | $ 132,698 | $ 65,098 |
Mortgage loans held for sale ("LHFS") | 50,124 | 36,299 |
Reported Value Measurement [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 132,698 | 65,098 |
Mortgage loans held for sale ("LHFS") | 50,124 | 36,299 |
Reported Value Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loans held for sale ("LHFS") | 50,124 | 36,299 |
MSRs | 2,927 | 1,451 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 0 | 0 |
Mortgage loans held for sale ("LHFS") | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 132,698 | 65,098 |
Mortgage loans held for sale ("LHFS") | 50,124 | 36,299 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 0 | 0 |
Mortgage loans held for sale ("LHFS") | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loans held for sale ("LHFS") | 0 | 0 |
MSRs | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loans held for sale ("LHFS") | 50,124 | 36,299 |
MSRs | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loans held for sale ("LHFS") | 0 | 0 |
MSRs | 2,927 | 1,451 |
Changes Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loans held for sale ("LHFS") | 305 | 323 |
MSRs | 826 | (1,013) |
U.S. Government Agency Notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 9,175 | 6,660 |
U.S. Government Agency Notes [Member] | Reported Value Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 9,175 | 6,660 |
U.S. Government Agency Notes [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 0 | 0 |
U.S. Government Agency Notes [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 9,175 | 6,660 |
U.S. Government Agency Notes [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 0 | 0 |
U.S. Government Agency Notes [Member] | Changes Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 0 | 0 |
Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 2,021 | 2,034 |
Corporate Debt Securities [Member] | Reported Value Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 2,021 | 2,034 |
Corporate Debt Securities [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 0 | 0 |
Corporate Debt Securities [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 2,021 | 2,034 |
Corporate Debt Securities [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 0 | 0 |
Corporate Debt Securities [Member] | Changes Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 0 | 0 |
Mortgage-backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 121,502 | 56,404 |
Mortgage-backed Securities [Member] | Reported Value Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 121,502 | 56,404 |
Mortgage-backed Securities [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 0 | 0 |
Mortgage-backed Securities [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 121,502 | 56,404 |
Mortgage-backed Securities [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 0 | 0 |
Mortgage-backed Securities [Member] | Changes Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value - AFS | 0 | 0 |
Interest Rate Lock Commitments [Member] | Reported Value Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 781 | 1,128 |
Interest Rate Lock Commitments [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | 0 |
Interest Rate Lock Commitments [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | 0 |
Interest Rate Lock Commitments [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 781 | 1,128 |
Interest Rate Lock Commitments [Member] | Changes Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | (347) | 949 |
Mandatory Forward Contracts [Member] | Reported Value Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 94 | |
Derivative liability | 1,061 | |
Mandatory Forward Contracts [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Mandatory Forward Contracts [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 94 | |
Derivative liability | 1,061 | |
Mandatory Forward Contracts [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | |
Derivative liability | 0 | |
Mandatory Forward Contracts [Member] | Changes Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | (736) | |
Derivative liability | 1,055 | |
Best Efforts Forward Contracts [Member] | Reported Value Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 26 | |
Best Efforts Forward Contracts [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | |
Best Efforts Forward Contracts [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 26 | |
Best Efforts Forward Contracts [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | |
Best Efforts Forward Contracts [Member] | Changes Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 25 | |
TBA securities [Member] | Reported Value Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 1,465 | |
Derivative liability | 4 | 557 |
TBA securities [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | |
Derivative liability | 0 | 0 |
TBA securities [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 1,465 | |
Derivative liability | 4 | 557 |
TBA securities [Member] | Estimate of Fair Value Measurement [Member] | Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | |
Derivative liability | 0 | 0 |
TBA securities [Member] | Changes Measurement [Member] | Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 1,465 | |
Derivative liability | $ 553 | $ (557) |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments - Additional Quantitative Information (Details) $ in Thousands | Mar. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($) |
Interest Rate Lock Commitments [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
IRLCs - net asset, amount | $ 781 | $ 1,128 | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | Valuation, Market Approach [Member] | Interest Rate Lock Commitments [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
IRLCs - net asset, amount | $ 781 | $ 1,128 | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | Valuation, Market Approach [Member] | Weighted Average [Member] | Measurement Input, Pull Through Rate [Member] | Interest Rate Lock Commitments [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
IRLCs - net asset, input | 0.97 | 0.93 | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | Valuation, Market Approach [Member] | Minimum [Member] | Measurement Input, Pull Through Rate [Member] | Interest Rate Lock Commitments [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
IRLCs - net asset, input | 0.78 | 0.77 | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | Valuation, Market Approach [Member] | Maximum [Member] | Measurement Input, Pull Through Rate [Member] | Interest Rate Lock Commitments [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
IRLCs - net asset, input | 1 | 1 | ||
Mortgage Servicing Rights [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
MSRs, amount | $ 2,927 | $ 1,451 | ||
Mortgage Servicing Rights [Member] | Fair Value, Recurring [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
MSRs, amount | 2,927 | 1,451 | $ 240 | $ 323 |
Mortgage Servicing Rights [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | Valuation, Market Approach [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
MSRs, amount | $ 2,927 | $ 1,451 | ||
Mortgage Servicing Rights [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | Valuation, Market Approach [Member] | Weighted Average [Member] | Measurement Input, Prepayment Rate [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
MSRs, input | 1.55 | 3.26 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Activity in MSRs (Details) - Mortgage Servicing Rights [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Beginning balance | $ 1,451 | |
Ending balance | 2,927 | |
Fair Value, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Beginning balance | 1,451 | $ 323 |
Additions | 650 | 0 |
Valuation adjustment | 826 | (83) |
Ending balance | $ 2,927 | $ 240 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments - Activity in IRLCs, etc. (Details) - Fair Value, Recurring [Member] - Interest Rate Lock Commitments [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Beginning balance | $ 1,128 | $ 179 |
Valuation adjustment | (347) | (240) |
Ending balance | $ 781 | $ (61) |
Fair Value of Financial Instr_5
Fair Value of Financial Instruments - Assets Measured on a Nonrecurring Basis (Details) - Fair Value, Nonrecurring [Member] - Impaired Loans [Member] $ in Thousands | Mar. 31, 2021USD ($) | Dec. 31, 2020USD ($) |
Weighted Average [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans, measurement input | 0.12 | |
Measurement Input, Discount Rate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans, measurement input | 9 | |
Measurement Input, Discount Rate [Member] | Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans, measurement input | 0.12 | 0 |
Measurement Input, Discount Rate [Member] | Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans, measurement input | 0.14 | 0.14 |
Reported Value Measurement [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | $ 844 | $ 2,510 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | $ 844 | $ 2,510 |
Fair Value of Financial Instr_6
Fair Value of Financial Instruments - Carrying Value and Fair Value of Financial Instruments (Details) - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Dec. 31, 2020 | |
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and cash equivalents | $ 257,095,000 | $ 156,609,000 |
Certificates of deposit held for investment | 3,330,000 | 3,580,000 |
Fair Value - AFS | 132,698,000 | 65,098,000 |
HTM securities | 15,094,000 | 16,603,000 |
LHFS | 50,124,000 | 36,299,000 |
Loans receivable, net | 618,858,000 | 639,597,000 |
Restricted stock investments | 970,000 | 1,236,000 |
Accrued interest receivable | 2,439,000 | 2,576,000 |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Deposits | 970,488,000 | 806,444,000 |
Accrued interest payable | 160,000 | 164,000 |
Borrowings | 10,273,000 | 10,313,000 |
Subordinated debentures | 16,276,000 | 16,157,000 |
Assets or liabilities transferred between levels 1, 2 and 3 | 0 | 0 |
Interest Rate Lock Commitments [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 781,000 | 1,128,000 |
Mandatory Forward Contracts [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 94,000 | |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Derivative liability | 1,061,000 | |
Best Efforts Forward Contracts [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 26,000 | |
TBA securities [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 1,465,000 | |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Derivative liability | 4,000 | 557,000 |
Mortgage Servicing Rights [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
MSRs, amount | 2,927,000 | 1,451,000 |
Reported Value Measurement [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and cash equivalents | 257,095,000 | 156,609,000 |
Certificates of deposit held for investment | 3,330,000 | 3,580,000 |
Fair Value - AFS | 132,698,000 | 65,098,000 |
HTM securities | 14,516,000 | 15,943,000 |
LHFS | 50,124,000 | 36,299,000 |
Loans receivable, net | 613,377,000 | 634,212,000 |
Restricted stock investments | 970,000 | 1,236,000 |
Accrued interest receivable | 2,439,000 | 2,576,000 |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Deposits | 964,096,000 | 806,456,000 |
Accrued interest payable | 160,000 | 164,000 |
Borrowings | 10,000,000 | 10,000,000 |
Subordinated debentures | 20,619,000 | 20,619,000 |
Reported Value Measurement [Member] | Interest Rate Lock Commitments [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 781,000 | 1,128,000 |
Reported Value Measurement [Member] | Mandatory Forward Contracts [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 94,000 | |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Derivative liability | 1,061,000 | |
Reported Value Measurement [Member] | Best Efforts Forward Contracts [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 26,000 | |
Reported Value Measurement [Member] | TBA securities [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 1,465,000 | |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Derivative liability | 4,000 | 557,000 |
Reported Value Measurement [Member] | Mortgage Servicing Rights [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
MSRs, amount | 2,927,000 | 1,451,000 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and cash equivalents | 257,095,000 | 156,609,000 |
Certificates of deposit held for investment | 3,330,000 | 3,580,000 |
Fair Value - AFS | 0 | 0 |
HTM securities | 0 | 0 |
LHFS | 0 | 0 |
Loans receivable, net | 0 | 0 |
Restricted stock investments | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Deposits | 0 | 0 |
Accrued interest payable | 0 | 0 |
Borrowings | 0 | 0 |
Subordinated debentures | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | Interest Rate Lock Commitments [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | Mandatory Forward Contracts [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 0 | |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Derivative liability | 0 | |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | Best Efforts Forward Contracts [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 0 | |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | TBA securities [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 0 | |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Derivative liability | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | Mortgage Servicing Rights [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
MSRs, amount | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and cash equivalents | 0 | 0 |
Certificates of deposit held for investment | 0 | 0 |
Fair Value - AFS | 132,698,000 | 65,098,000 |
HTM securities | 15,094,000 | 16,603,000 |
LHFS | 50,124,000 | 36,299,000 |
Loans receivable, net | 0 | 0 |
Restricted stock investments | 970,000 | 1,236,000 |
Accrued interest receivable | 2,439,000 | 2,576,000 |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Deposits | 970,488,000 | 806,444,000 |
Accrued interest payable | 160,000 | 164,000 |
Borrowings | 10,273,000 | 10,313,000 |
Subordinated debentures | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | Interest Rate Lock Commitments [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | Mandatory Forward Contracts [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 94,000 | |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Derivative liability | 1,061,000 | |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | Best Efforts Forward Contracts [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 26,000 | |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | TBA securities [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 1,465,000 | |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Derivative liability | 4,000 | 557,000 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 2 [Member] | Mortgage Servicing Rights [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
MSRs, amount | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and cash equivalents | 0 | 0 |
Certificates of deposit held for investment | 0 | 0 |
Fair Value - AFS | 0 | 0 |
HTM securities | 0 | 0 |
LHFS | 0 | 0 |
Loans receivable, net | 618,858,000 | 639,597,000 |
Restricted stock investments | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Deposits | 0 | 0 |
Accrued interest payable | 0 | 0 |
Borrowings | 0 | 0 |
Subordinated debentures | 16,276,000 | 16,157,000 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | Interest Rate Lock Commitments [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 781,000 | 1,128,000 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | Mandatory Forward Contracts [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 0 | |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Derivative liability | 0 | |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | Best Efforts Forward Contracts [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 0 | |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | TBA securities [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Derivative asset | 0 | |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Derivative liability | 0 | 0 |
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | Mortgage Servicing Rights [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
MSRs, amount | $ 2,927,000 | $ 1,451,000 |