American Church Mortgage (ACMC) 10-Q 14 Nov 19 2019 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2019	Nov. 14, 2019
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2019
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2019
Current Fiscal Year End Date	--12-31
Entity File Number	000-25919
Entity Registrant Name	AMERICAN CHURCH MORTGAGE CO
Entity Central Index Key	0000934543
Entity Incorporation, State or Country Code	MN
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 Common Stock, Shares Outstanding		1,677,798

Balance Sheets

Balance Sheets - USD ($)	Sep. 30, 2019	Dec. 31, 2018
ASSETS
Cash and cash equivalents	$ 120,593	$ 2,183,441
Accounts receivable	263,710	251,535
Interest receivable	196,234	184,869
Investments	2,410	2,410
Prepaid expenses	23,199	7,166
Mortgage Loans Receivable, net of allowance of $1,644,571 and $1,672,003 and deferred origination fees of $339,912 and $271,913 at September 30, 2019 and December 31, 2018, respectively	22,288,168	21,663,739
Bond Portfolio	16,023,937	15,389,807
Real Estate Held for Sale	327,925	340,659
Total Assets	(39,246,176)	(40,023,626)
LIABILITIES
Accounts payable	20,858	577,175
Management fee payable	28,508	27,701
Line of Credit	2,200,000
Dividends payable	167,780	142,613
Secured Investor Certificates, Series B	9,215,000	11,742,000
Secured Investor Certificates, Series C	6,383,000	6,541,000
Secured Investor Certificates, Series D	8,234,000	8,317,000
Secured Investor Certificates, Series E	3,452,000	2,786,000
(Less) Deferred Offering Costs, net of accumulated amortization of $929,188 and $1,059,702 at September 30, 2019 and December 31, 2018, respectively	865,399	886,411
Total liabilities	28,835,747	29,247,078
Stockholders' Equity
Common Stock, par value $.01 per share authorized, 30,000,000 shares, issued and outstanding, 1,677,798 shares at September 30, 2019 and December 31, 2018, respectively	16,778	16,778
Additional paid-in capital	19,113,458	19,113,458
Accumulated deficit	(8,719,807)	(8,353,688)
Total stockholders equity	10,410,429	10,776,548
Total liabilities and stockholders equity	$ 39,246,176	$ 40,023,626

Balance Sheets (Parenthetical)

Balance Sheets (Parenthetical) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
ASSETS
Allowance for mortgage loans recievable	$ (1,644,571)	$ (1,672,003)
Deferred origination fees for mortgage loans recievable	(339,912)	(271,913)
LIABILITIES AND STOCKHOLDERS' EQUITY
Accumulated amortization deferred offering costs	$ (901,808)	$ (1,059,702)
Stockholders' Equity
Common Stock, par value	$ .01	$ .01
Common Stock, Authorized	30,000,000	30,000,000
Common Stock, Issued	1,677,798	1,677,798
Common Stock, Outstanding	1,677,798	1,677,798

Statements of Operations

Statements of Operations - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Income Statement [Abstract]
Interest and Other Income	$ 712,657	$ 637,133	$ 2,058,680	$ 1,942,501
Interest Expense	476,734	498,619	1,397,537	1,467,597
Net Interest Income	235,923	138,514	661,143	474,904
Provision for losses on mortgage loans receivable	24,364	60,994	73,105	217,728
Net Interest Income after Provision for Mortgage Losses	211,559	77,520	588,038	257,176
Operating Expenses
Other than temporary impairment on bond portfolio	50,000		150,000
Other operating expenses	132,672	113,322	443,431	394,237
Net Income (Loss)	$ 28,887	$ (35,802)	$ (5,393)	$ (137,061)
Basic and Diluted Earnings (Loss) Income Per Share	$ .02	$ (.02)		$ (.08)
Dividends Declared Per Share	$ .10	$ .04	$ .22	$ .13
Weighted Average Common Shares Outstanding - Basic and Diluted	1,677,798	1,677,798	1,677,798	1,677,798

Statements of Cash Flows

Statements of Cash Flows - USD ($)	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Cash Flows from Operating Activities
Net (loss)	$ (5,393)	$ (137,061)
Adjustments to reconcile net (loss) income to net cash from operating activites:
Net loss on sales and impairment on real estate held for sale	12,734
Provision for losses on mortgage loans receivable	73,105	217,728
Other than temporary investements on bond portfolio	150,000
Accretion of deferred origination fees	68,000
Amortization of deferred offering costs	82,600	83,188
Accounts receivable	(12,175)	(7,885)
Interest receivable	(11,365)	(7,853)
Prepaid expenses	(16,033)	(12,523)
Accounts payable	(556,317)	62,046
Management Fee payable	807	(1,083)
Net cash (used for) by provided by operating activities	(214,037)	196,557
Cash Flows from Investing Activities
Investment in mortgage loans	(4,243,713)
Collections of mortgage loans	3,578,716	1,599,309
Investment in bonds	(895,000)	(1,238,052)
Proceeds from bonds	110,870	102,000
Proceeds from real estate held for sale	(100,537)
Net cash (used for) provided by investing activities	(1,549,664)	463,257
Cash Flows from Financing Activities
Proceeds from the sale of secured investor certificates	666,000	2,320,000
Payments on secured investor certificate maturities	(2,768,000)	(423,000)
Payments for deferred costs	(61,587)	(115,737)
Net change in short term borrowings	2,200,000
Dividends paid	(335,560)	(268,448)
Net cash (used for) provided by financing activities	(299,147)	1,512,815
Net (Decrease) Increase in Cash and Cash Equivalents	(2,062,848)	2,172,629
Cash and Cash Equivalents - Beginning Period	2,183,441	502,490
Cash and Equivalents - Ending Period	$ 120,593	$ 2,675,119

Statements of Cash Flows (Paren

Statements of Cash Flows (Parenthetical) - USD ($)	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Statement of Cash Flows [Abstract]
Dividends payable	$ 167,780	$ 67,112
Interest paid	$ 1,397,537	$ 1,467,597

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Basis of Presentation	1. BASIS OF PRESENTATION The accompanying unaudited financial statements of American Church Mortgage Company, (the “Company”) were prepared in accordance with instructions for Form 10-Q and Regulation S-X and do not include information or footnotes necessary for a complete presentation of financial condition, results of operations, changes in equity and cash flows in conformity with accounting principles generally accepted in the United States of America. In the opinion of management, all adjustments necessary for a fair presentation of the financial statements have been included. The results of operations for the nine month period ended September 30, 2019 are not necessarily indicative of the results which may be expected for the entire year. These statements should be read in conjunction with the Financial Statements and notes thereto for the year ended December 31, 2018 filed with the U.S. Securities and Exchange Commission (“SEC”) as part of American Church Mortgage Company’s Annual Report on Form 10-K for the year ended December 31, 2018.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Business American Church Mortgage Company, a Minnesota corporation, was incorporated on May 27, 1994. The Company is engaged primarily in the business of making mortgage loans to churches and other nonprofit religious organizations throughout the United States, on terms established for individual organizations. Accounting Estimates Management uses estimates and assumptions in preparing these financial statements in accordance with accounting principles generally accepted in the United States of America. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could differ from those estimates. The most sensitive estimates relate to the realizability of the mortgage loans receivable, the valuation of the bond portfolio and the valuation of real estate held for sale. It is at least reasonably possible that these estimates could change in the near term and that the effect of the change, if any, may be material to the financial statements. Concentration of Credit Risk The Company's loans have been granted to churches and other non-profit religious organizations. The ability of the Company’s debtors to honor their contracts is dependent on member contributions and the involvement in the church or organization of its senior pastor. Cash and Cash Equivalents The Company considers all highly liquid debt instruments purchased with maturities of three months or less to be cash equivalents. The Company maintains accounts primarily at two financial institutions. At times throughout the year, the Company’s cash and equivalents balances may exceed amounts insured by the Federal Deposit Insurance Corporation. Cash in money market funds is not federally insured. The Company had $1,483 and $974,346 in a money market fund account at September 30, 2019 and December 31, 2018, respectively. The Company has not experienced any losses in such accounts. Bond Portfolio The Company accounts for the bond portfolio under the Accounting Standards Codification (ASC) 320, Investments-Debt and Equity Securities. The Company classifies the bond portfolio as “available-for sale” and measures the portfolio at fair value. While the bonds are generally held until contractual maturity, the Company classifies them as available for sale as the bonds may be used to repay secured investor certificates or provide additional liquidity or working capital in the short term. Allowance for Loan Losses on Mortgage Loans Receivable The Company records mortgage loans receivable at estimated net realizable value, which is the unpaid principal balances of the mortgage loans receivable, less the allowance for loan losses on mortgage loans receivable and less deferred loan origination fees. The Company’s loan policy provides an allowance for estimated uncollectible loans based on an evaluation of the current status of the loan portfolio with application of reserve percentages to specific loans based on payment status. This policy reserves for principal amounts outstanding on a specific loan if cumulative interruptions occur in the normal payment schedule of the loan, therefore, the Company recognizes a provision for losses and an allowance for the outstanding principal amount of the loan in the Company’s portfolio if the amount is in doubt of collection. Additionally, no interest income is recognized on impaired loans that are declared to be in default and are in the foreclosure process. At September 30, 2019, the Company reserved $1,644,571 for sixteen mortgage loans. Ten of these loans are three or more mortgage payments in arrears of which three are declared to be in default and one is in the foreclosure process. The total principal amount of these sixteen loans totaled approximately $6,764 A summary of transactions in the allowance for mortgage loans for the period ended September 30, 2019 is as follows: Balance at December 31, 2018 $ 1,672,003 Provision for additional losses 73,105 Proceeds from sale of property held for sale (100,537) Balance at September 30, 2019 $ 1,644,571 The total impaired loans, which are loans that are in the foreclosure process or are declared to be in default, were approximately $1,358,000 and $1,498,000 at September 30, 2019 and December 31, 2018, respectively, which the Company believes are adequately secured by the underlying collateral and the allowance for mortgage loans. Approximately $771,000 of the Company’s allowance for mortgage loans was allocated to these loans at September 30, 2019. Approximately $833,000 of the Company’s allowance for mortgage loans was allocated to impaired loans at December 31, 2018. The Company will declare a loan to be in default and will place the loan on non-accrual status when the following thresholds have been met: (i) the borrower has missed three consecutive mortgage payments; (ii) the borrower has not communicated to the Company any legitimate reason for delinquency in its payments to the Company and has not arranged for the re-continuance of payments; (iii) lines of communication to the borrower have broken down such that any reasonable prospect of rehabilitating the loan and return of regular payments is gone. The Company’s policies on payments received and interest accrued on non-accrual loans are as follows: (i) The Company will accept payments on loans that are currently on non-accrual status when a borrower has communicated to us that they intend to meet their mortgage obligations. The accrual of interest on a loan is discontinued when the loan becomes 90 days delinquent or whenever management believes the borrower will be unable to make payments as they become due. When loans are placed on nonaccrual status or charged off, all unpaid accrued interest is reversed against interest income. The interest on these loans is subsequently accounted for on the cash basis or using the cost-recovery method until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. No interest income was recognized on non-accrual loans as of September 30, 2019. When a loan is declared in default according to the Company’s policy or deemed to be doubtful of collection, the loan committee of the Advisor to the Company will direct the staff to charge-off the uncollectable receivables. Loans totaling approximately $2,878,000 and $2,853,000 exceeded 90 days past due but continued to accrue interest as of September 30, 2019 and December 31, 2018, respectively. The Company believes that continued interest accruals are appropriate because the loans are well secured, not deemed to be in technical default and the Company is actively pursuing collection of past due payments. Real Estate Held for Sale The Company records real estate held for sale at the estimated fair value, which is net of the expected expenses related to the sale of the real estate. The fair value of our real estate held for sale, which represents the carrying value, totaled $327,925 and $340,659 as of September 30, 2019 and December 31, 2018, respectively. Carrying Value of Long-Lived Assets The Company tests long-lived assets or asset groups for recoverability when events or changes in circumstances indicate that the carrying amount may not be recoverable. Circumstances which could trigger a review include, but are not limited to: significant decreases in the market price of the asset; significant adverse changes in the business climate or legal factors; accumulation of costs significantly in excess of the amount originally expected for the acquisition or construction of the asset; current period cash flow or operating losses combined with a history of losses or a forecast of continuing losses associated with the use of the asset; and current expectation that the asset will more likely than not be sold or disposed of significantly before the end of the estimated useful life. Recoverability is assessed based on the carrying amount of the asset compared to the sum of the undiscounted cash flows expected to result from the use and the eventual disposal of the asset, as well as specific appraisal in certain instances. An impairment loss is recognized when the carrying amount is deemed not recoverable and exceeds fair value as determined through various valuation techniques including, but not limited to, discounted cash flow models, quoted market values, and third party independent appraisals. Revenue Recognition Interest income on mortgage loans receivable and the bond portfolio is recognized as earned per the terms of the specific asset. Other income included with interest represents cash received for loan origination fees, which are recognized over the life of the loan as an adjustment to the yield on the loan. As of January 1, 2018, the Company adopted ASU 2014-09 Revenue from Contracts with Customers - Topic 606 Gain Losses on Real Estate Held For Sale The Company records a gain or loss from real estate held for sale when control of the property transfers to the buyer, which generally occurs at the time of an executed deed. When the Company finances real estate held for sale to the buyer, the Company assesses whether the buyer is committed to perform their obligations under the contract and whether collectability of the transaction price is probable. Once these criteria are met, real estate held for sale is derecognized and the gain or loss on sale is recorded upon the transfer of control of the property to the buyer. In determining the gain or loss on the sale, the Company adjusts the transaction prices and related gain (loss) on sale if a significant financing component is present. Deferred Financing Costs The Company defers the costs related to obtaining financing. These costs are amortized over the life of the financing using the straight line method, which approximates the effective interest method. Income (Loss) Per Common Share No adjustments were made to income (loss) for the purpose of calculating earnings per share, as there were no potential dilutive shares outstanding. Recent Accounting Pronouncements In 2016 the FASB issued ASU 2016-13, “Financial Instruments-Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments.” ASU 2016-13 is intended to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit. For public entities, ASU 2016-13 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. The Company has not yet fully evaluated the potential effects of adopting ASU 2016-13 on the Company’s results of operations, financial position or cash flows. Recent Accounting Pronouncements – Adopted In the first quarter of 2018, the Company adopted Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers (Topic 606). Subsequent Events The Company has evaluated events and transactions through the date the financial statements were available to be issued. No material events or transactions occurred in the time period referenced above requiring adjustment to or disclosure in the September 30, 2019 financial statements.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2019
Fair Value Disclosures [Abstract]
Fair Value Measurements	3. FAIR VALUE MEASUREMENT The Company measures certain financial instruments at fair value in our balance sheets. The fair value of these instruments is based on valuations that include inputs that can be classified within one of the three levels of a hierarchy. Level 1 inputs include quoted market prices in an active market for identical assets or liabilities. Level 2 inputs are market data, other than Level 1, that are observable either directly or indirectly. Level 2 inputs include quoted market prices for similar assets or liabilities, quoted market prices in an inactive market, and other observable information that can be corroborated by market data. Level 3 inputs are unobservable and corroborated by little or no market data. Except for the bond portfolio, which is required by authoritative accounting guidance to be recorded at fair value in our balance sheets, the Company elected not to record any other financial assets or liabilities at fair value on a recurring basis. We recorded an aggregate other than temporary impairment for losses on our Agape bonds (Note 4), which totaled $608,000 and $458,000 for the periods ended September 30, 2019 and December 31, 2018, respectively. The following table summarizes the Company’s financial instruments that were measured at fair value on a recurring basis: Fair Value Measurement September 30, 2019 Fair Value Level 3 Bond portfolio $ 16,023,937 $ 16,023,937 Fair Value Measurement December 31, 2018 Fair Value Level 3 Bond portfolio $ 15,389,807 $ 15,389,807 We determine the fair value of the bond portfolio shown in the table above by comparing it with similar instruments in inactive markets. The analysis reflects the contractual terms of the bonds, which are callable at par by the issuer at any time, and the anticipated cash flows of the bonds and uses observable and unobservable market-based inputs. Unobservable inputs include our internal credit rating and selection of similar bonds for valuation. The change in Level 3 assets measured at fair value on a recurring basis is summarized as follows: Bond Portfolio Balance at December 31, 2018 $ 15,389,807 Additional losses on bond portfolio (150,000 ) Purchases 895,000 Proceeds (110,870 ) Balance at September 30, 2019 $ 16,023,937 Real estate held for sale and impaired loans are recorded at fair value on a nonrecurring basis. The fair value of real estate held for sale was based upon the listed sales price less expected selling costs, which is a Level 3 input. The resulting impairment charges were $0 and $114,787 for the periods ended September 30, 2019 and December 31, 2018, respectively. The following table summarizes the Company’s financial instruments that were measured at fair value on a nonrecurring basis: September 30, 2019 Level 1 Level 2 Level 3 Fair Value at September 30, Impaired Loans $ — $ — $ 586,973 $ 586,973 Real estate held for resale — — 327,925 327,925 Totals $ — $ — $ 914,898 $ 914,898 December 31, 2018 Level 1 Level 2 Level 3 Fair Value at December 31, Impaired Loans $ — $ — $ 665,267 $ 665,267 Real estate held for resale — — 340,659 340,659 Totals $ — $ — $ 1,005,926 $ 1,005,926 The change in Level 3 assets measured at fair value on a nonrecurring basis is summarized as follows: Impaired Loans Real Estate Held for Sale Balance at December 31, 2018 $ 665,267 $ 340,659 Dispositions/Proceeds (39,730 ) — Impairment (38,564 ) (12,734 ) Balance at September 30, 2019 $ 586,973 $ 327,925 The fair value of impaired loans referenced above was determined by obtaining independent third party appraisals and/or internally developed collateral valuations to support the Company’s estimates and judgments in determining the fair value of the underlying collateral supporting impaired loans. The fair value of real estate held for resale referenced above was determined by obtaining market price valuations from independent third parties wherever such quotes were available for the other collateral owned. The Company utilized independent third party appraisal to support the Company’s estimates and judgments in determining fair value for other real estate owned.

Mortgage Loans Receivable and B

Mortgage Loans Receivable and Bond Portfolio	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Mortgage Loans Receivable and Bond Portfolio	4. MORTGAGE LOANS RECEIVABLE AND BOND PORTFOLIO At September 30, 2019, the Company had first mortgage loans receivable totaling $24,272,651. The loans bear interest ranging from 0% to 10.25% with a weighted average of approximately 7.98% at September 30, 2019. At December 31, 2018, the Company had first mortgage loans receivable totaling $23,607,655. The loans bear interest ranging from 0% to 10.25% with a weighted average of approximately 8.15% at December 31, 2018. The Company has a portfolio of secured church bonds at September 30, 2019 and December 31, 2018, which are carried at fair value. The bonds pay either semi-annual or quarterly interest ranging from 3.75% to 9.75%. The aggregate par value of secured church bonds equaled approximately $16,631,937 at September 30, 2019 with a weighted average interest rate of 6.87% and approximately $15,847,807 at December 31, 2018 with a weighted average interest rate of 6.80%. These bonds are due at various maturity dates through February 2047. The Company has recorded an aggregate other than temporary impairment of $608,000 and $458,000 for September 30, 2019 and December 31, 2018, respectively for the First Mortgage Bonds issued by Agape Assembly Baptist Church. This bond series in the aggregate constitute approximately 6.17% and 6.47% of the bond portfolio at September 30, 2019 and December 31, 2018, respectively. The Company had maturities and redemptions of bonds of approximately $111,000 for the nine months ended September 30, 2019 and $723,000 for the year ended December 31, 2018, respectively. The contractual maturity schedule for mortgage loans receivable and the bond portfolio as of September 30, 2019, is as follows: Mortgage Loans Bond Portfolio October 1, 2019 through December 31, 2019 $ 290,077 $ 66,000 2020 5,007,492 246,000 2021 683,844 270,000 2022 1,481,816 192,000 2023 842,656 295,000 Thereafter 15,966,767 15,562,937 24,272,651 16,631,937 Less loan loss and other than temporary impairment on bonds allowance (1,644,571) (608,000) Less deferred origination fees (339,912 ___-____ Totals $ 22,288,168 $ 16,023,937 The Company currently owns $529,000 First Mortgage Bonds and $497,000 Second Mortgage Bonds issued by Agape Assembly Baptist Church located in Orlando, Florida. The total principal amount of First Mortgage Bonds issued by Agape is $7,200,000, and the total principal amount of Second Mortgage Bonds issued is $715,000. Agape defaulted on its payment obligations to bondholders in September 2010. The church subsequently commenced a Chapter 11 bankruptcy reorganization proceeding regarding the property that secures the First Mortgage Bonds in December 2010. In October 2014, the bondholders of Agape agreed to a modification in the terms of their bonds which resulted in the temporary resumption of both principal and interest payments to both the first and second mortgage bond holders. Both the First Mortgage Bonds and Second Mortgage Bonds were modified to a fully amortized fixed rate, quarterly interest payment of 6.25% with a new maturity date of September 2037 for all the issued and outstanding bonds. The Company, along with all other bondholders, has a superior lien over all other creditors. The Church subsequently defaulted on their modification agreement in 2016 and no interest payments were made to bondholders during the period ended September 30, 2019. However, the trustee made a distribution to bondholders during 2017 of $18.75 per $1,000 bond as a repayment of principal only, effectively reducing the outstanding balance of each $1,000 bond to approximately $826. The Company has an aggregate other than temporary impairment of $608,000 and $458,000 for the First and Second Mortgage Bonds at September 30, 2019 and December 31, 2018, respectively, which effectively reduces the bonds to the fair value amount management believes will be recovered. The Company restructured two mortgage loans during the year ended December 31, 2018. The first restructured loan was a $669,544 first mortgage loan located in Indianapolis, Indiana. The Church was unable to meet its monthly debt obligations. The Company reduced the Church’s monthly mortgage obligation to interest only payments for a period of three years. After the initial three-year period, the Church will resume its regular monthly mortgage payments. The Church accepted the restructured loan terms. The modification had no effect on the Company’s financial statements. The second restructured loan was a $470,000 first mortgage loan located in Cincinnati, Ohio. The Church was unable to meet its monthly debt obligations. The Company reduced the Church’s monthly mortgage obligation to interest only for a period of three years which included a reduction in their interest rate. After the initial three-year term, the rate of interest will increase for an additional three-year period. At the end of the sixth year, the Church will resume its regular monthly mortgage payments at the original rate of interest. The Church accepted the restructured loan terms. The modification had no effect on the Company’s financial statements. The Company did not restructure any loans during the nine month period ended September 30, 2019. A summary of loans re-structured or modified for the nine month period ended September 30, 2019 and the year ended December 31, 2018 are shown below. All of the loans, except one, shown are currently performing under the terms of the modifications for their mortgage obligations. The one loan that is not performing under the modification agreement is a second mortgage loan with a current unpaid principal balance of approximately $45,000. This loan has been declared to be in default. September 30, 2019 Type of Loan Number of Loans Original Principal Balance Original Average Interest Rate Unpaid Principal Balance Modified Average Interest Rate First Mortgage Loan 7 $4,415,544 8.014% $3,416,056 6.03% December 31, 2018 Type of Loan Number of Loans Original Principal Balance Original Average Interest Rate Unpaid Principal Balance Modified Average Interest Rate First Mortgage Loan 7 $4,415,544 8.014% $3,838,819 6.03%

Secured Investor Certificates

Secured Investor Certificates	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Secured Investor Certificates	5. SECURED INVESTOR CERTIFICATES Secured investor certificates are collateralized by certain mortgage loans receivable or secured church bonds of approximately the same value as the certificates. The weighted average interest rate on the certificates was 6.32% and 6.35% at September 30, 2019 and December 31, 2018, respectively. Holders of the secured investor certificates may renew certificates at the current rates and terms upon maturity at the Company’s discretion. Renewals upon maturity are considered neither proceeds from nor issuance of secured investor certificates. Renewals totaled approximately $296,000 and $1,671,000 at September 30, 2019 and December 31, 2018, respectively. The secured investor certificates have certain financial and non-financial covenants identified in the respective series’ trust indentures. The estimated maturity schedule for the secured investor certificates at September 30, 2019 is as follows: October 1, 2019 through December 31, 2019 $ 1,041,000 2020 4,117,000 2021 2,168,000 2022 996,000 2023 3,383,000 Thereafter 15,579,000 $27,284,000 Less deferred offering costs (865,399) Totals $ 26,418,601

Transactions With Affiliates

Transactions With Affiliates	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Transactions With Affiliates	6. TRANSACTIONS WITH AFFILIATES The Company has an Advisory Agreement with Church Loan Advisors, Inc. (the “Advisor”). The Advisor is responsible for the day-to-day operations of the Company and provides office space and administrative services. The Advisor and the Company are related through common ownership and common management. For its services, the Advisor is entitled to receive a management fee equal to 1.25% annually of the Company's Average Invested Assets, plus one-half of any origination fee charged to borrowers on mortgage loans made by the Company. A majority of the independent board members approve the Advisory Agreement on an annual basis. The Company paid the Advisor management and origination fees of approximately $240,000 and $322,000 at September 30, 2019 and December 31, 2018, respectively.

Line of Credit

Line of Credit	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Line of Credit	7. LINE OF CREDIT On April 9, 2018, the Company entered into a Loan and Security Agreement (the “Loan Agreement”) with Alerus Financial, N.A., as lender (the “Lender”), and a Revolving Note (the “Note”) evidencing a $4,000,000 revolving loan (the “Revolving Loan”). The Lender agrees to make loans to the Company from time to time and after the date of the loan agreement and the Company may repay and re-borrow pursuant to the terms and conditions of the Revolving Loan as long as no borrowing causes that dollar limit to be exceeded and the Company is not otherwise in default on the Revolving Loan. The Revolving Loan is secured by a first priority security interest in substantially all of the Company’s assets other than collateral pledged to secure the Company’s secured investor certificates, both those currently issued and any potentially issued in the future. The Company borrowed against the line of credit during the nine month period ended September 30, 2019 and has and outstanding balance of $2,200,000 as of September 30, 2019. The original maturity date of the Note was April 9, 2019 and the interest rate is the prevailing London Interbank Offering Rate (LIBOR) plus 2.70% adjusted monthly. On July 22, 2019 the revolving loan was extended for an additional year to July 22, 2020.

Fair Value Financial Instrument

Fair Value Financial Instruments	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Fair Value Financial Instruments	8. FAIR VALUE OF FINANCIAL INSTRUMENTS The Company is required to disclose the fair value information about financial instruments, where it is practicable to estimate that value. Because assumptions used in these valuation techniques are inherently subjective in nature, the estimated fair values cannot always be substantiated by comparison to independent market quotes and, in many cases, the estimated fair values could not necessarily be realized in an immediate sale or settlement of the instrument. The fair value estimates presented herein are based on relevant information available to management as of September 30, 2019 and December 31, 2018, respectively. Management is not aware of any factors that would significantly affect these estimated fair value amounts. As these reporting requirements exclude certain financial instruments and all non-financial instruments, the aggregate fair value amounts presented herein do not represent management’s estimate of the underlying value of the Company. The estimated fair values of the Company’s financial instruments, none of which are held for trading purposes, are as follows: September 30, 2019 December 31, 2018 Carrying Fair Carrying Fair Amount Value Amount Value Cash and equivalents $ 120,593 $ 120,593 $ 2,183,441 $ 2,183,441 Accounts receivable 263,710 263,710 251,535 251,535 Interest receivable 196,234 196,234 184,869 184,869 Mortgage loans receivable 24,272,651 27,489,894 23,607,655 23,905,564 Bond portfolio 16,631,937 16,023,937 15,847,807 15,389,807 Secured investor certificates 26,418,601 34,788,901 29,386,000 34,099,540

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Business American Church Mortgage Company, a Minnesota corporation, was incorporated on May 27, 1994. The Company is engaged primarily in the business of making mortgage loans to churches and other nonprofit religious organizations throughout the United States, on terms established for individual organizations.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid debt instruments purchased with maturities of three months or less to be cash equivalents. The Company maintains accounts primarily at two financial institutions. At times throughout the year, the Company’s cash and equivalents balances may exceed amounts insured by the Federal Deposit Insurance Corporation. Cash in money market funds is not federally insured. The Company had $1,483 and $974,346 in a money market fund account at September 30, 2019 and December 31, 2018, respectively. The Company has not experienced any losses in such accounts.
Bond Portfolio	Bond Portfolio The Company accounts for the bond portfolio under the Accounting Standards Codification (ASC) 320, Investments-Debt and Equity Securities. The Company classifies the bond portfolio as “available-for sale” and measures the portfolio at fair value. While the bonds are generally held until contractual maturity, the Company classifies them as available for sale as the bonds may be used to repay secured investor certificates or provide additional liquidity or working capital in the short term.
Allowance for Loan Losses on Mortgage Loans Receivable	Allowance for Loan Losses on Mortgage Loans Receivable The Company records mortgage loans receivable at estimated net realizable value, which is the unpaid principal balances of the mortgage loans receivable, less the allowance for loan losses on mortgage loans receivable and less deferred loan origination fees. The Company’s loan policy provides an allowance for estimated uncollectible loans based on an evaluation of the current status of the loan portfolio with application of reserve percentages to specific loans based on payment status. This policy reserves for principal amounts outstanding on a specific loan if cumulative interruptions occur in the normal payment schedule of the loan, therefore, the Company recognizes a provision for losses and an allowance for the outstanding principal amount of the loan in the Company’s portfolio if the amount is in doubt of collection. Additionally, no interest income is recognized on impaired loans that are declared to be in default and are in the foreclosure process. At September 30, 2019, the Company reserved $1,644,571 for sixteen mortgage loans. Ten of these loans are three or more mortgage payments in arrears of which three are declared to be in default and one is in the foreclosure process. The total principal amount of these sixteen loans totaled approximately $6,764 A summary of transactions in the allowance for mortgage loans for the period ended September 30, 2019 is as follows: Balance at December 31, 2018 $ 1,672,003 Provision for additional losses 73,105 Proceeds from sale of property held for sale (100,537) Balance at September 30, 2019 $ 1,644,571 The total impaired loans, which are loans that are in the foreclosure process or are declared to be in default, were approximately $1,358,000 and $1,498,000 at September 30, 2019 and December 31, 2018, respectively, which the Company believes are adequately secured by the underlying collateral and the allowance for mortgage loans. Approximately $771,000 of the Company’s allowance for mortgage loans was allocated to these loans at September 30, 2019. Approximately $833,000 of the Company’s allowance for mortgage loans was allocated to impaired loans at December 31, 2018. The Company will declare a loan to be in default and will place the loan on non-accrual status when the following thresholds have been met: (i) the borrower has missed three consecutive mortgage payments; (ii) the borrower has not communicated to the Company any legitimate reason for delinquency in its payments to the Company and has not arranged for the re-continuance of payments; (iii) lines of communication to the borrower have broken down such that any reasonable prospect of rehabilitating the loan and return of regular payments is gone. The Company’s policies on payments received and interest accrued on non-accrual loans are as follows: (i) The Company will accept payments on loans that are currently on non-accrual status when a borrower has communicated to us that they intend to meet their mortgage obligations. The accrual of interest on a loan is discontinued when the loan becomes 90 days delinquent or whenever management believes the borrower will be unable to make payments as they become due. When loans are placed on nonaccrual status or charged off, all unpaid accrued interest is reversed against interest income. The interest on these loans is subsequently accounted for on the cash basis or using the cost-recovery method until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. No interest income was recognized on non-accrual loans as of September 30, 2019. When a loan is declared in default according to the Company’s policy or deemed to be doubtful of collection, the loan committee of the Advisor to the Company will direct the staff to charge-off the uncollectable receivables. Loans totaling approximately $2,878,000 and $2,853,000 exceeded 90 days past due but continued to accrue interest as of September 30, 2019 and December 31, 2018, respectively. The Company believes that continued interest accruals are appropriate because the loans are well secured, not deemed to be in technical default and the Company is actively pursuing collection of past due payments.
Real Estate Held for Sale	Real Estate Held for Sale The Company records real estate held for sale at the estimated fair value, which is net of the expected expenses related to the sale of the real estate. The fair value of our real estate held for sale, which represents the carrying value, totaled $327,925 and $340,659 as of September 30, 2019 and December 31, 2018, respectively.
Carrying Value of Long-Lived Assets	Carrying Value of Long-Lived Assets The Company tests long-lived assets or asset groups for recoverability when events or changes in circumstances indicate that the carrying amount may not be recoverable. Circumstances which could trigger a review include, but are not limited to: significant decreases in the market price of the asset; significant adverse changes in the business climate or legal factors; accumulation of costs significantly in excess of the amount originally expected for the acquisition or construction of the asset; current period cash flow or operating losses combined with a history of losses or a forecast of continuing losses associated with the use of the asset; and current expectation that the asset will more likely than not be sold or disposed of significantly before the end of the estimated useful life. Recoverability is assessed based on the carrying amount of the asset compared to the sum of the undiscounted cash flows expected to result from the use and the eventual disposal of the asset, as well as specific appraisal in certain instances. An impairment loss is recognized when the carrying amount is deemed not recoverable and exceeds fair value as determined through various valuation techniques including, but not limited to, discounted cash flow models, quoted market values, and third party independent appraisals.
Revenue Recognition	Revenue Recognition Interest income on mortgage loans receivable and the bond portfolio is recognized as earned per the terms of the specific asset. Other income included with interest represents cash received for loan origination fees, which are recognized over the life of the loan as an adjustment to the yield on the loan. As of January 1, 2018, the Company adopted ASU 2014-09 Revenue from Contracts with Customers - Topic 606
Gain Losses on Real Estate Held For Sale	Gain Losses on Real Estate Held For Sale The Company records a gain or loss from real estate held for sale when control of the property transfers to the buyer, which generally occurs at the time of an executed deed. When the Company finances real estate held for sale to the buyer, the Company assesses whether the buyer is committed to perform their obligations under the contract and whether collectability of the transaction price is probable. Once these criteria are met, real estate held for sale is derecognized and the gain or loss on sale is recorded upon the transfer of control of the property to the buyer. In determining the gain or loss on the sale, the Company adjusts the transaction prices and related gain (loss) on sale if a significant financing component is present.
Deferred Financing Costs	Deferred Financing Costs The Company defers the costs related to obtaining financing. These costs are amortized over the life of the financing using the straight line method, which approximates the effective interest method.
Income (Loss) Per Common Share	Income (Loss) Per Common Share No adjustments were made to income (loss) for the purpose of calculating earnings per share, as there were no potential dilutive shares outstanding.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In 2016 the FASB issued ASU 2016-13, “Financial Instruments-Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments.” ASU 2016-13 is intended to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit. For public entities, ASU 2016-13 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. The Company has not yet fully evaluated the potential effects of adopting ASU 2016-13 on the Company’s results of operations, financial position or cash flows.
Recent Accounting Pronouncements – Adopted	Recent Accounting Pronouncements Adopted In the first quarter of 2018, the Company adopted Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers (Topic 606).
Subsequent Events	Subsequent Events The Company has evaluated events and transactions through the date the financial statements were available to be issued. No material events or transactions occurred in the time period referenced above requiring adjustment to or disclosure in the September 30, 2019 financial statements.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
Loan Loss Allowance Mortgage Loans	Balance at December 31, 2018 $ 1,672,003 Provision for additional losses 73,105 Proceeds from sale of property held for sale (100,537) Balance at September 30, 2019 $ 1,644,571

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2019
Fair Value Disclosures [Abstract]
Fair Value Financial Instruments Recurring Basis	Fair Value Measurement September 30, 2019 Fair Value Level 3 Bond portfolio $ 16,023,937 $ 16,023,937 Fair Value Measurement December 31, 2018 Fair Value Level 3 Bond portfolio $ 15,389,807 $ 15,389,807
Change In Fair Value Bond Portfolio	Bond Portfolio Balance at December 31, 2018 $ 15,389,807 Additional losses on bond portfolio (150,000 ) Purchases 895,000 Proceeds (110,870 ) Balance at September 30, 2019 $ 16,023,937
Fair Value Financial Instruments on a Non-Recurring Basis	September 30, 2019 Level 1 Level 2 Level 3 Fair Value at September 30, Impaired Loans $ — $ — $ 586,973 $ 586,973 Real estate held for resale — — 327,925 327,925 Totals $ — $ — $ 914,898 $ 914,898 December 31, 2018 Level 1 Level 2 Level 3 Fair Value at December 31, Impaired Loans $ — $ — $ 665,267 $ 665,267 Real estate held for resale — — 340,659 340,659 Totals $ — $ — $ 1,005,926 $ 1,005,926
Changes In Fair Value Financial Instruments nonrecurring basis	Impaired Loans Real Estate Held for Sale Balance at December 31, 2018 $ 665,267 $ 340,659 Dispositions/Proceeds (39,730 ) — Impairment (38,564 ) (12,734 ) Balance at September 30, 2019 $ 586,973 $ 327,925

Mortgage Loans Receivable and_2

Mortgage Loans Receivable and Bond Portfolio (Tables)	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Mortgage Loans Receivable and Bond Portfolio	Mortgage Loans Bond Portfolio October 1, 2019 through December 31, 2019 $ 290,077 $ 66,000 2020 5,007,492 246,000 2021 683,844 270,000 2022 1,481,816 192,000 2023 842,656 295,000 Thereafter 15,966,767 15,562,937 24,272,651 16,631,937 Less loan loss and other than temporary impairment on bonds allowance (1,644,571) (608,000) Less deferred origination fees (339,912 ___-____ Totals $ 22,288,168 $ 16,023,937
Restructured Loans	September 30, 2019 Type of Loan Number of Loans Original Principal Balance Original Average Interest Rate Unpaid Principal Balance Modified Average Interest Rate First Mortgage Loan 7 $4,415,544 8.014% $3,416,056 6.03% December 31, 2018 Type of Loan Number of Loans Original Principal Balance Original Average Interest Rate Unpaid Principal Balance Modified Average Interest Rate First Mortgage Loan 7 $4,415,544 8.014% $3,838,819 6.03%

Secured Investor Certificates (

Secured Investor Certificates (Tables)	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Secured Investor Certificates	October 1, 2019 through December 31, 2019 $ 1,041,000 2020 4,117,000 2021 2,168,000 2022 996,000 2023 3,383,000 Thereafter 15,579,000 $27,284,000 Less deferred offering costs (865,399) Totals $ 26,418,601

Fair Value Financial Instrume_2

Fair Value Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2019
Notes to Financial Statements
Carrying Amount And Fair Value Financial Instruments	September 30, 2019 December 31, 2018 Carrying Fair Carrying Fair Amount Value Amount Value Cash and equivalents $ 120,593 $ 120,593 $ 2,183,441 $ 2,183,441 Accounts receivable 263,710 263,710 251,535 251,535 Interest receivable 196,234 196,234 184,869 184,869 Mortgage loans receivable 24,272,651 27,489,894 23,607,655 23,905,564 Bond portfolio 16,631,937 16,023,937 15,847,807 15,389,807 Secured investor certificates 26,418,601 34,788,901 29,386,000 34,099,540

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Loan Loss Allowance Mortgage Loans (Details)	9 Months Ended
	Sep. 30, 2019USD ($)
Accounting Policies [Abstract]
Balance at December 31, 2018	$ 1,672,003
Provision for losses on mortgage loans receivable	73,105
Reclassified to real estate held for sale	(100,537)
Balance at September 30, 2019	$ 1,644,571

Fair Value Measurements - Fair

Fair Value Measurements - Fair Value Financial Instruments Recurring Basis (Details) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
Gross Bond portfolio	$ 16,023,937	$ 15,389,807
Level 3
Gross Bond portfolio	$ 16,023,937	$ 15,389,807

Fair Value Measurements - Chang

Fair Value Measurements - Change In Fair Value Bond Portfolio (Details)	9 Months Ended
	Sep. 30, 2019USD ($)
Fair Value Disclosures [Abstract]
Balance at December 31, 2018	$ 15,389,807
Additional losses on bond portfolio	(150,000)
Purchases	895,000
Proceeds	(110,870)
Balance at September 30, 2019	$ 16,023,937

Fair Value Measurements - Fai_2

Fair Value Measurements - Fair Value Financial Instruments on a Non-Recurring Basis (Details) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
Impaired Loans	$ 586,973	$ 665,267
Real estate held for resale	327,925	340,659
Total Fair Value Measurement	914,898	1,005,926
Impaired Loans and Real Estate Held For Sale Level 1
Impaired Loans
Real estate held for resale
Total Fair Value Measurement
Impaired Loans and Real Estate Held For Sale Level 2
Impaired Loans
Real estate held for resale
Total Fair Value Measurement
Level 3
Impaired Loans	586,973	665,267
Real estate held for resale	327,925	340,659
Total Fair Value Measurement	$ 914,898	$ 1,005,926

Fair Value Measurements - Cha_2

Fair Value Measurements - Changes In Fair Value Financial Instruments Nonrecurring basis (Details) - Level 3	9 Months Ended
	Sep. 30, 2019USD ($)
Impaired loans
Balance at December 31, 2018	$ 665,267
Dispositions/Proceeds	(39,730)
Impairment	(38,564)
Balance at September 30, 2019	586,973
Real Estate Held For Sale
Balance at December 31, 2018	340,659
Dispositions/Proceeds
Impairment	(12,734)
Balance at September 30, 2019	$ 327,925

Mortgage Loans Receivable and_3

Mortgage Loans Receivable and Bond Portfolio - Mortgage Loans Receivable and Bond Portfolio (Details)	Sep. 30, 2019USD ($)
Mortgage Loans
October 1, 2019 through December 31, 2019	$ 290,077
2020	5,007,492
2021	683,844
2022	1,481,816
2023	842,656
Thereafter	15,966,767
Subtotal	24,272,651
Less loan loss and other than temporary impairment on bonds allowance	(1,644,571)
Less deferred origination fees	(339,912)
Totals	22,288,168
Bond Portfolio
October 1, 2019 through December 31, 2019	66,000
2020	246,000
2021	270,000
2022	192,000
2023	295,000
Thereafter	15,562,937
Subtotal	16,631,937
Less loan loss and other than temporary impairment on bonds allowance	(608,000)
Less deferred origination fees
Totals	$ 16,023,937

Mortgage Loans Receivable and_4

Mortgage Loans Receivable and Bond Portfolio - Restructured Loans (Details) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
Notes to Financial Statements
Number of Loans	$ 7	$ 7
Original Principal Balance	4,415,544	4,415,544
Original Average Interest Rate	8	8
Unpaid Principal Balance	3,416,056	3,838,819
Modified Average Interest Rate	$ 6	$ 6

Secured Investor Certificates -

Secured Investor Certificates - Secured Investor Certificates (Details) - USD ($)	3 Months Ended	9 Months Ended	12 Months Ended				129 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Sep. 30, 2034
Secured Investor Certificate Maturity Schedule		$ 27,284,000
Certificates Deferred Offering Costs		(865,339)
Secured Investor Certificates Net		$ 26,418,601
Secured Investor Certificates
Secured Investor Certificate Maturity Schedule	$ 1,041,000		$ 3,383,000	$ 996,000	$ 2,168,000	$ 4,117,000	$ 15,579,000

Fair Value Financial Instrume_3

Fair Value Financial Instruments - Carrying Amount And Fair Value Financial Instruments (Details) - USD ($)	Sep. 30, 2019	Dec. 31, 2018	Sep. 30, 2018	Dec. 31, 2017
Cash and equivalents	$ 120,593	$ 2,183,441	$ 2,675,119	$ 502,490
Carrying Amount
Cash and equivalents	120,593	2,183,441
Accounts receivable	263,710	251,535
Interest receivable	196,234	184,869
Mortgage loans receivable	24,272,651	23,607,655
Bond portfolio	16,631,937	15,847,807
Secured investor certificates	26,418,601	29,386,000
Fair Value
Cash and equivalents	120,593	2,183,441
Accounts receivable	263,710	251,535
Interest receivable	196,234	184,869
Mortgage loans receivable	27,489,894	23,905,564
Bond portfolio	16,023,937	15,389,807
Secured investor certificates	$ 34,788,901	$ 34,099,540

Summary of Significant Accoun_5

Summary of Significant Accounting Policies (Details Narrative) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
Accounting Policies [Abstract]
Money Market Funds	$ 1,483	$ 974,346
Allowance for Mortgage Loans Receivable	1,644,571	1,672,003
Loans Exceeding 90 Days Past Due	6,794,000	6,893,000
Real Estate Held for Sale Carrying Value	327,925	340,659
Allowance Allocated to Impaired Loans	771,000	833,000
Total Loans On Nonaccrual Status	1,358,000	1,498,000
Loans In Default	2,878,000	2,853,000
Loans In Foreclosure	$ 338,387

Fair Value Measurements (Detail

Fair Value Measurements (Details Narrative) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
Fair Value Disclosures [Abstract]
Loan Loss Reserve Church Bonds	$ 608,000	$ 458,000
Real Estate Impairement Charge	$ 0	$ 114,787

Mortgage Loans Receivable and_5

Mortgage Loans Receivable and Bond Portfolio (Details Narrative) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
Notes to Financial Statements
Mortgage Loans Receivable Gross	$ 24,272,651	$ 23,607,655
Church Bonds Owned Gross	16,631,937	15,847,807
Bond Reserve Fund	608,000	458,000
Agape First Mortgage Bonds	529,000	529,000
Agape Second Mortgage Bonds	497,000	497,000
Agape First Mortgage Bonds Gross	7,200,000	7,200,000
Agape Second Mortgage Bonds Gross	715,000	715,000
Agape Distribution to Bondholders	19	19
Principal Balance Agape Bonds	826	826
Maturities and Redemption of Bonds	84,000	723,000
Restructured Mortgage Loans	1,139,544	1,139,544
Non-Performing Modified Loan	$ 45,000

Secured Investor Certificates_2

Secured Investor Certificates (Details Narrative) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
Notes to Financial Statements
Renewals Secured Investor Certificates	$ 296,000	$ 1,671,000

Line of Credit (Details Narrati

Line of Credit (Details Narrative)	Sep. 30, 2019USD ($)
Notes to Financial Statements
Line Of Credit	$ 4,000,000
Outstanding Line of Credit	$ 2,200,000

Transactions With Affiliates (D

Transactions With Affiliates (Details Narrative) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2019	Dec. 31, 2018
Notes to Financial Statements
Advisor Managment Fees	$ 240,000	$ 322,000