Fair Value (Tables)

12 Months Ended

Dec. 31, 2013

Fair Value

Summary of assets measured at fair value on recurring basis

	Fair Value Measurements at December 31, 2013 Using
	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
	(In thousands)
Assets:
Securities available-for-sale – residential mortgage-backed	$	-	$	9,397	$	-	$	9,397

	Fair Value Measurements at December 31, 2012 Using
	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
	(In thousands)
Assets:
Securities available-for-sale – residential mortgage-backed	$	-	$	13,378	$	-	$	13,378

Schedule of carrying values of assets measured at fair value on non-recurring basis

	December 31, 2013		December 31, 2012
	(In thousands)
Assets:
Non-performing loans receivable held-for-sale:
One-to-four units	$	-	$	6,656
Five or more units		-		1,956
Church		-		1,556
Impaired loans carried at fair value of collateral:
One-to-four units		1,245		1,284
Five or more units		900		1,679
Commercial real estate		1,391		3,385
Church		9,024		6,649
Real estate owned:
Commercial real estate		151		2,752
Church		1,933		5,411

Schedule of gains (losses) recognized on assets measured at fair value on non-recurring basis

	For the year ended December 31,
	2013			2012
Non-performing loans receivable held-for-sale	$	(471	)	$	109
Impaired loans carried at fair value of collateral		(1,233	)		(2,677	)
Real estate owned		(590	)		(1,218	)
Total	$	(2,294	)	$	(3,786	)

Schedule of quantitative information on financial instruments measured on non-recurring basis

	December 31, 2013
	Fair Value		Valuation Technique(s)	Unobservable Input(s)	Range (Weighted Average)
	(Dollars in thousands)
Impaired loans – one-to-four units	$	1,245	Sales comparison approach	Adjustment for differences between the comparable sales	-6% to 6% (-1%)
Impaired loans – five or more units		900	Sales comparison approach	Adjustment for differences between the comparable sales	-15% to 1% (-9%)
			Income approach	Capitalization rate	8% to 9% (8.59%)
Impaired loans – commercial real estate		1,391	Sales comparison approach	Adjustment for differences between the comparable sales	-1% to 0% (-1%)
			Income approach	Capitalization rate	4.5% to 8% (7.06%)
Impaired loans – church		9,024	Sales comparison approach	Adjustment for differences between the comparable sales	-21% to 9% (-1%)
			Income approach	Capitalization rate	6.75%
Real estate owned – commercial real estate		151	Sales comparison approach	Adjustment for differences between the comparable sales	3% (3%)
			Income approach	Capitalization rate	10%
Real estate owned – church		1,933	Sales comparison approach	Adjustment for differences between the comparable sales	-7% to 7% (0%)

	December 31, 2012
	Fair Value		Valuation Technique(s)	Unobservable Input(s)	Range (Weighted Average)
	(Dollars in thousands)
Nonperforming loans held for sale – one-to-four units	$	6,656	Sales comparison approach	Adjustment for differences between the comparable sales	-30% to 23% (-8%)
Nonperforming loans held for sale – five or more units		1,956	Sales comparison approach	Adjustment for differences between the comparable sales	-13% to 17% (2%)
			Income approach	Capitalization rate	6% to 8.5% (7.54%)
Nonperforming loans held for sale – church		1,556	Sales comparison approach	Adjustment for differences between the comparable sales	-27% to 29% (1%)
Impaired loans – one-to-four units		1,284	Sales comparison approach	Adjustment for differences between the comparable sales	-5% to 18% (9%)
Impaired loans – five or more units		1,679	Sales comparison approach	Adjustment for differences between the comparable sales	-26% to 16% (-4%)
			Income approach	Capitalization rate	6.5% to 9% (7.45%)
Impaired loans – commercial real estate		3,385	Sales comparison approach	Adjustment for differences between the comparable sales	-17% to -1% (-9%)
			Income approach	Capitalization rate	7% to 9% (7.75%)
Impaired loans – church		6,649	Sales comparison approach	Adjustment for differences between the comparable sales	-45% to 8% (-20%)
			Income approach	Capitalization rate	6.75% to 8% (7.50%)
Real estate owned – commercial real estate		2,752	Sales comparison approach	Adjustment for differences between the comparable sales	-67% to 1% (-23%)
			Income approach	Capitalization rate	8% to 11% (10.14%)
Real estate owned – church		5,411	Sales comparison approach	Adjustment for differences between the comparable sales	-12% to 7% (1%)
			Income approach	Capitalization rate	11.5%

Schedule of carrying amounts and estimated fair values of financial instruments

				Fair Value Measurements at December 31, 2013 Using
	Carrying Value
				Level 1		Level 2			Level 3			Total
	(In thousands)
Financial Assets:
Cash and cash equivalents	$	58,196		$	58,196	$	-		$	-		$	58,196
Securities available-for-sale		9,397			-		9,397			-			9,397
Loans receivable held for investment		247,847			-		-			248,167			248,167
Federal Home Loan Bank stock		3,737			N/A		N/A			N/A			N/A
Accrued interest receivable		1,107			-		27			1,080			1,107
Financial Liabilities:
Deposits	$	(214,405	)	$	-	$	(209,656	)	$	-		$	(209,656	)
Federal Home Loan Bank advances		(79,500	)		-		(82,840	)		-			(82,840	)
Junior subordinated debentures		(6,000	)		-		-			(2,167	)		(2,167	)
Senior debt		(2,923	)		-		-			(1,429	)		(1,429	)
Accrued interest payable		(718	)		-		(63	)		(608	)		(671	)
Advance payments by borrowers for taxes and insurance		(776	)		-		(776	)		-			(776	)

				Fair Value Measurements at December 31, 2012 Using
	Carrying Value
				Level 1		Level 2			Level 3			Total
	(In thousands)
Financial Assets:
Cash and cash equivalents	$	64,360		$	64,360	$	-		$	-		$	64,360
Securities available-for-sale		13,378			-		13,378			-			13,378
Loans receivable held for sale		19,051			-		-			19,051			19,051
Loans receivable held for investment		251,723			-		-			252,043			252,043
Federal Home Loan Bank stock		3,901			N/A		N/A			N/A			N/A
Accrued interest receivable		1,250			-		42			1,208			1,250
Financial Liabilities:
Deposits	$	(257,071	)	$	-	$	(253,155	)	$	-		$	(253,155	)
Federal Home Loan Bank advances		(79,500	)		-		(84,769	)		-			(84,769	)
Junior subordinated debentures		(6,000	)		-		-			(4,852	)		(4,852	)
Senior debt		(5,000	)		-		-			(4,205	)		(4,205	)
Accrued interest payable		(1,941	)		-		(87	)		(1,527	)		(1,614	)
Advance payments by borrowers for taxes and insurance		(711	)		-		(711	)		-			(711	)