XML 34 R24.htm IDEA: XBRL DOCUMENT v3.22.2.2
Loans Receivable Held for Investment (Tables)
 6 Months Ended
Jun. 30, 2022
Loans Receivable Held for Investment [Abstract]  
Loans Receivable Held for Investment

Loans receivable held for investment were as follows as of the dates indicated:
  
   
June 30, 2022
    
December 31, 2021
  
   
(In thousands)
  
Real estate:
            
Single family
  
$
32,597
    
$
45,372
  
Multi-family
    
405,140
      
393,704
  
Commercial real estate
    
85,156
      
93,193
  
Church
    
20,626
      
22,503
  
Construction
    
36,168
      
32,072
  
Commercial – other
    
64,591
      
46,539
  
SBA loans (1)
     4,451       18,837  
Consumer
    
51
      
-
  
Gross loans receivable before deferred loan costs and premiums
    
648,780
      
652,220
  
Unamortized net deferred loan costs and premiums
    
1,902
      
1,526
  
Gross loans receivable
    
650,682
      
653,746
  
Credit and interest marks on purchased loans, net
     (852 )     (1,842 )
Allowance for loan losses     (2,962 )     (3,391 )
Loans receivable, net
  
$
646,868
    
$
648,513
  
Carrying Amount of Purchased Credit Impaired Loans The carrying amount of those loans as of June 30, 2022, and December 31, 2021, was as follows:

 
  
June 30, 2022
     December 31, 2021  
 
  
(In thousands)
  
Real estate:
            
Single family
  
$
53
     $ 558  
Commercial real estate
    
-
       221  
Commercial – other
    
107
       104  
   
$
160
     $ 883  
Accretable yield on Purchased Credit Impaired Loans

The following table summarizes the accretable yield on the PCI loans for the three and six months ended June 30, 2022 and June 30, 2021:

   
Three months ended
June 30, 2022
    
Six months ended
June 30, 2022
  
         
(In thousands)
  
             
Balance at the beginning of the period
  
$
165
    
$
883
  
Deduction due to payoffs
    
-
      
(707
)
Accretion
    
5
      
16
  
Balance at the end of the period
  
$
160
    
$
160
  


 
Three months ended
June 30, 2021
    
Six months ended
June 30, 2021
  
   
(In thousands)
  
             
Balance at the beginning of the period
   $ -     $ -  
Additions
    
346
      
346
  
Accretion
    
19
   
19
Balance at the end of the period
  
$
327
    
$
327
  
Activity in Allowance for Loan Losses by Loan Type

The following tables present the activity in the allowance for loan losses by loan type for the periods indicated:
 
   
For the three months ended June 30, 2022
  
   
Real Estate
                    
   
Single
Family
    
Multi-
Family
    
Commercial
Real Estate
    
Church
    
Construction
    
Commercial - Other
    
Consumer
    
Total
  
Beginning balance
  
$
157
    
$
2,771
    
$
217
    
$
63
    
$
236
    
$
95
    
$
-
    
$
3,539
  
Provision for (recapture of) loan losses
    
(37
)
    
(493
)
    
(64
)
    
(15
)
    
(15
)
    
43
      
4
      
(577
)
Recoveries
    
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
  
Loans charged off
    
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
  
Ending balance
  
$
120
    
$
2,278
    
$
153
    
$
48
    
$
221
    
$
138
    
$
4
    
$
2,962
  
   
   
For the three months ended June 30, 2021
  
   
Real Estate
                    
   
Single
Family
    
Multi-
Family
    
Commercial Real Estate
    
Church
    
Construction
    
Commercial - Other
    
Consumer
    
Total
  
Beginning balance
  
$
275
    
$
2,473
    
$
219
    
$
221
    
$
22
    
$
5
    
$
-
    
$
3,215
  
Provision for (recapture of) loan losses
    
(105
)
    
133
      
8
      
(13
)
    
59
      
(1
)
    
-
      
81
  
Recoveries
    
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
  
Loans charged off
    
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
  
Ending balance
  
$
170
    
$
2,606
    
$
227
    
$
208
    
$
81
    
$
4
    
$
-
    
$
3,296
  
 
   
For the six months ended June 30, 2022
  
   
Real Estate
                    
   
Single
Family
    
Multi-
Family
    
Commercial Real Estate
    
Church
    
Construction
    
Commercial - Other
    
Consumer
    
Total
  
Beginning balance
  
$
145
    
$
2,657
    
$
236
    
$
103
    
$
212
    
$
23
    
$
15
    
$
3,391
  
Provision for (recapture of) loan losses
    
(25
)
    
(379
)
    
(83
)
    
(55
)
    
9
      
115
      
(11
)
    
(429
)
Recoveries
    
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
  
Loans charged off
    
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
  
Ending balance
  
$
120
    
$
2,278
    
$
153
    
$
48
    
$
221
    
$
138
    
$
4
    
$
2,962
  


   
For the six months ended June 30, 2021
  
   
Real Estate
                    
   
Single
Family
    
Multi-
Family
    
Commercial Real Estate
    
Church
    
Construction
    
Commercial - Other
    
Consumer
    
Total
  
Beginning balance
  
$
296
    
$
2,433
    
$
222
    
$
237
    
$
22
    
$
4
    
$
1
    
$
3,215
  
Provision for (recapture of) loan losses
    
(126
)
    
173
      
5
      
(29
)
    
59
      
-
      
(1
)
    
81
  
Recoveries
    
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
  
Loans charged off
    
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
  
Ending balance
  
$
170
    
$
2,606
    
$
227
    
$
208
    
$
81
    
$
4
    
$
-
    
$
3,296
  
Allowance for Loan Losses and Recorded Investment in Loans by Type of Loans and Based on Impairment Method

The following tables present the balance in the allowance for loan losses and the recorded investment (unpaid contractual principal balance less charge-offs, less interest applied to principal, plus unamortized deferred costs and premiums) by loan type and based on impairment method as of the dates indicated:
   
   
June 30, 2022
  
   
Real Estate
                    
   
Single
Family
    
Multi-
Family
    
Commercial
Real Estate
    
Church
    
Construction
    
Commercial - Other
     Consumer    
Total
  
   
(In thousands)
  
Allowance for loan losses:
                                                
Ending allowance balance attributable to loans:                                                
Individually evaluated for impairment
  
$
3
    
$
-
    
$
-
    
$
4
    
$
-
    
$
-
     $ -    
$
7
  
Collectively evaluated for impairment
    
117
      
2,278
      
153
      
44
      
221
      
138
       4      
2,955
  
Total ending allowance balance
  
$
120
    
$
2,278
    
$
153
    
$
48
    
$
221
    
$
138
     $ 4    
$
2,962
  
Loans:
                                                                
Loans individually evaluated for impairment
  
$
62
    
$
271
    
$
-
    
$
1,864
    
$
-
    
$
-
     $ -    
$
2,197
  
Loans collectively evaluated for impairment
    
22,849
      
375,409
      
18,748
      
9,713
      
30,762
      
43,305
       51      
500,837
  
Subtotal
     22,911       375,680       18,748       11,577       30,762       43,305       51       503,034  
Loans acquired in the Merger
     9,732       31,556       66,360       9,000       5,264       25,736       -       147,648  
Total ending loans balance
  
$
32,643
    
$
407,236
    
$
85,108
    
$
20,577
    
$
36,026
    
$
69,041
     $ 51    
$
650,682
  
 
    December 31, 2021  
   
Real Estate
                    
   
Single
Family
    
Multi-
Family
    
Commercial
Real Estate
    
Church
    
Construction
    
Commercial - Other
    
SBA
   
Total
  
                                                 
Allowance for loan losses:
                                                
Ending allowance balance attributable to loans:                                                
Individually evaluated for impairment
  
$
3
    
$
-
    
$
-
    
$
4
    
$
-
     $ -     $ -    
$
7
  
Collectively evaluated for impairment
    
142
      
2,657
      
236
      
99
      
212
      
23
       15      
3,384
  
Total ending allowance balance
  
$
145
    
$
2,657
    
$
236
    
$
103
    
$
212
    
$
23
     $ 15    
$
3,391
  
Loans:
                                                                
Loans individually evaluated for impairment
  
$
65
    
$
282
    
$
-
    
$
1,954
    
$
-
    
$
-
     $ -    
$
2,301
  
Loans collectively evaluated for impairment
    
32,599
      
353,179
      
25,507
      
9,058
      
24,225
      
3,124
       -      
447,692
  
Subtotal     32,664       353,461       25,507       11,012       24,225       3,124       -       449,993  
Loans acquired in the Merger
     12,708       41,769       67,686       11,491       7,847       43,415       18,837       203,753  
Total ending loans balance
  
$
45,372
    
$
395,230
    
$
93,193
    
$
22,503
    
$
32,072
    
$
46,539
     $ 18,837    
$
653,746
  
Loans Individually Evaluated for Impairment by Loan Type

The following table presents information related to loans individually evaluated for impairment by loan type as of the dates indicated:
  
   
June 30, 2022
    
December 31, 2021
  
   
Unpaid
Principal
Balance
    
Recorded
Investment
    
Allowance
for Loan
Losses
Allocated
    
Unpaid
Principal
Balance
    
Recorded
Investment
    
Allowance
for Loan
Losses
Allocated
  
   
(In thousands)
  
With no related allowance recorded:
                                    
Multi-family
    $
271
      $
271
      $
-
      $
282
      $
282
      $
-
  
Church
    
2,085
      
1,772
      
-
      
1,854
      
1,854
      
-
  
With an allowance recorded:
                                                
Single family
    
62
      
62
      
3
      
65
      
65
      
3
  
Church
    
92
      
92
      
4
      
100
      
100
      
4
  
Total
  
$
2,510
    
$
2,197
    
$
7
    
$
2,301
    
$
2,301
    
$
7
  
Average of Loans Individually Evaluated for Impairment by Loan Type and Related Interest Income

The following tables present the monthly average of loans individually evaluated for impairment by loan type and the related interest income for the periods indicated:
   
   
Three Months Ended June 30, 2022
    
Three Months Ended June 30, 2021
  
   
Average
Recorded
Investment
    
Cash Basis
Interest
Income
Recognized
    
Average
Recorded
Investment
    
Cash Basis
Interest
Income
Recognized
  
   
(In thousands)
  
Single family
  
$
63
    
$
1
    
$
316
    
$
4
  
Multi-family
    
274
      
5
      
292
      
5
  
Church
    
2,197
      
25
      
3,742
      
63
  
Commercial - other
    
-
      
-
      
11
      
-
  
Total
  
$
2,534
    
$
31
    
$
4,361
    
$
72
  

   
Six Months Ended June 30, 2022
    
Six Months Ended June 30, 2021
  
   
Average
Recorded Investment
    
Cash Basis
Interest
Income
Recognized
    
Average
Recorded
Investment
    
Cash Basis
Interest
Income
Recognized
  
   
(In thousands)
  
Single family
  
$
64
    
$
2
    
$
426
    
$
10
  
Multi-family
    
276
      
10
      
294
      
10
  
Church
    
2,210
      
50
      
3,766
      
126
  
Commercial - other
    
-
      
-
      
26
      
1
  
Total
  
$
2,550
    
$
62
    
$
4,512
    
$
147
  
Aging of Recorded Investment in Past Due Loans by Loan Type

The following tables present the aging of the recorded investment in past due loans by loan type as of the dates indicated:

   
June 30, 2022
  
   
30-59
Days
Past Due
    
60-89
Days
Past Due
    
Greater
than
90 Days
Past Due
    
Total
Past Due
    
Current
    
Total
  
   
(In thousands)
  
Loans receivable held for investment:
                                    
Single family
  
$
-
    
$
-
    
$
-
    
$
-
    
$
32,643
    
$
32,643
  
Multi-family
    
-
      
-
      
-
      
-
      
407,236
      
407,236
  
Commercial real estate
    
-
      
-
      
-
      
-
      
85,108
      
85,108
  
Church
    
-
      
-
      
-
      
-
      
20,577
      
20,577
  
Construction
    
-
      
-
      
-
      
-
      
36,026
      
36,026
  
Commercial - other
    
-
      
-
      
-
      
-
      
64,590
      
64,590
  
 SBA loans     -
      -
      -       -       4,451
      4,451
 
Consumer
    
-
      
-
      
-
      
-
      
51
      
51
  
Total
  
$
-
    
$
-
    
$
-
    
$
-
    
$
650,682
    
$
650,682
  
   
   
December 31, 2021
  
   
30-59
Days
Past Due
    
60-89
Days
Past Due
    
Greater
than
90 Days
Past Due
    
Total
Past Due
    
Current
    
Total
  
   
(In thousands)
  
Loans receivable held for investment:
                                    
Single family
  
$
-
    
$
-
    
$
-
    
$
-
    
$
45,372
    
$
45,372
  
Multi-family
    
-
      
-
      
-
      
-
      
395,230
      
395,230
  
Commercial real estate
    
-
      
2,423
      
-
      
2,423
      
90,770
      
93,193
  
Church
    
-
      
-
      
-
      
-
      
22,503
      
22,503
  
Construction
    
-
      
-
      
-
      
-
      
32,072
      
32,072
  
Commercial - other
    
-
      
-
      
-
      
-
      
46,539
      
46,539
  
Consumer
    
-
      
-
      
-
      
-
      
18,837
      
18,837
  
Total
  
$
-
    
$
2,423
    
$
-
    
$
2,423
    
$
651,323
    
$
653,746
  
Recorded Investment in Non-accrual Loans by Loan Type

The following table presents the recorded investment in non-accrual loans by loan type as of the dates indicated:
   
   
June 30, 2022
    
December 31, 2021
  
   
(In thousands)
  
Loans receivable held for investment:
            
Church
   $
627
     $
684
  
Total non-accrual loans
  
$
627
    
$
684
  
Risk Categories of Loans by Loan Type Based on the most recent analysis performed, the risk categories of loans by loan type as of the dates indicated were as follows:
   
   
June 30, 2022
  
   
Pass
    
Watch
    
Special Mention
    
Substandard
    
Doubtful
    
Loss
     Total  
   
(In thousands)
  
Single family
  
$
31,607
    
$
363
    
$
265
    
$
408
    
$
-
    
$
-
     $ 32,643  
Multi-family
    
390,186
      
4,694
      
4,216
      
8,140
      
-
      
-
       407,236  
Commercial real estate
    
66,110
      
8,338
      
5,930
      
4,730
      
-
      
-
       85,108  
Church
    
16,086
      
2,095
      
-
      
2,396
      
-
      
-
       20,577  
Construction
    
8,998
      
27,028
      
-
      
-
      
-
      
-
       36,026  
Commercial - others
    
49,367
      
14,916
      
-
      
300
      
7
      
-
       64,590  
SBA
     3,789
       662
       -
       -
       -
       -
       4,451  
Consumer
    
51
      
-
      
-
      
-
      
-
      
-
       51  
Total
  
$
566,194
    
$
58,096
    
$
10,411
    
$
15,974
    
$
7
    
$
-
     $ 650,682  

 
  
December 31, 2021
  
 
  
Pass
    
Watch
    
Special Mention
    
Substandard
    
Doubtful
    
Loss
     Total  
 
  
(In thousands)
  
Single family
  
$
42,454
    
$
1,343
    
$
271
    
$
1,304
    
$
-
    
$
-
     $ 45,372  
Multi-family
    
378,141
      
7,987
      
575
      
8,527
      
-
      
-
       395,230  
Commercial real estate
    
69,257
      
7,034
      
9,847
      
7,055
      
-
      
-
       93,193  
Church
    
20,021
      
-
      
-
      
2,482
      
-
      
-
       22,503  
Construction
    
10,522
      
21,550
      
-
      
-
      
-
      
-
       32,072  
Commercial - other
    
33,988
      
12,551
      
-
      
-
      
-
      
-
       46,539  
SBA
    
18,665
      
-
      
172
      
-
      
-
      
-
       18,837  
Total
  
$
573,048
    
$
50,465
    
$
10,865
    
$
19,368
    
$
-
    
$
-
     $ 653,746