Fair Value Measurements (Tables)

3 Months Ended

Jun. 30, 2020

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Abstract]

Fair Value, Assets Measured on Recurring Basis

The following table presents, by valuation hierarchy, assets that are measured at fair value on a recurring basis as of June 30, 2020 and March 31, 2020, and that are included in the Company’s Consolidated Statements of Financial Condition at these dates:

	Fair Value Measurements at June 30, 2020, Using
$ in thousands	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Fair Value
Mortgage servicing rights	$	—	$	—	$	152	$	152
Investment securities
Available-for-sale:
Mortgage-backed securities:
Government National Mortgage Association	—		1,939		—		1,939
Federal Home Loan Mortgage Corporation	—		5,175		—		5,175
U.S. Government Agency securities	—		22,524		—		22,524
Corporate bonds	—		6,283		—		6,283
Muni securities	—		17,610		—		17,610
Asset-backed securities	—		9,981		—		9,981
Total available-for-sale securities	—		63,512		—		63,512
Total	$	—	$	63,512	$	152	$	64,589

	Fair Value Measurements at March 31, 2020, Using
$ in thousands	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Fair Value
Mortgage servicing rights	$	—	$	—	$	145	$	145
Investment securities
Available-for-sale:
Mortgage-backed securities:
Government National Mortgage Association	—		3,587		—		3,587
Federal Home Loan Mortgage Corporation	—		9,538		—		9,538
Federal National Mortgage Association	—		22,168		—		22,168
U.S. Government Agency securities	—		26,481		—		26,481
Corporate bonds	—		4,055		—		4,055
Total available-for-sale securities	—		65,829		—		65,829
Total assets	$	—	$	65,829	$	145	$	65,974

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation

The following table includes a rollforward of assets classified by the Company within Level 3 of the valuation hierarchy for the three months ended June 30, 2020 and 2019:

$ in thousands	Beginning balance, April 1, 2020	Total Realized/Unrealized Gains/(Losses) Recorded in Income (1)	Issuances / (Settlements)	Transfers to/(from) Level 3	Ending balance, June 30, 2020	Change in Unrealized Gains/(Losses) Related to Instruments Held at June 30, 2020
Mortgage servicing rights	145	7	—	—	152	7

$ in thousands	Beginning balance, April 1, 2019	Total Realized/Unrealized Gains/(Losses) Recorded in Income (1)	Issuances / (Settlements)	Transfers to/(from) Level 3	Ending balance, June 30, 2019	Change in Unrealized Gains/(Losses) Related to Instruments Held at June 30, 2019
Mortgage servicing rights	180	(12)	—	—	168	(12)

Fair Value, Assets Measured on Recurring Basis, Valuation Techniques

For Level 3 assets measured at fair value on a recurring basis as of June 30, 2020 and March 31, 2020, the significant unobservable inputs used in the fair value measurements were as follows:

$ in thousands	Fair Value June 30, 2020	Valuation Technique	Significant Unobservable Inputs	Significant Unobservable Input Value
Mortgage servicing rights	152	Discounted Cash Flow	Weighted Average Constant Prepayment Rate (1)	14.32	%
			Option Adjusted Spread ("OAS") applied to Treasury curve	1200 basis points

$ in thousands	Fair Value March 31, 2020	Valuation Technique	Significant Unobservable Inputs	Significant Unobservable Input Value
Mortgage servicing rights	145	Discounted Cash Flow	Weighted Average Constant Prepayment Rate (1)	15.64	%
			Option Adjusted Spread ("OAS" applied to Treasury curve	1200 basis points

⁽¹⁾ Represents annualized loan repayment rate assumptions

Fair Value Measurements, Nonrecurring

The following table presents assets and liabilities that were measured at fair value on a non-recurring basis as of June 30, 2020 and March 31, 2020, and that are included in the Company’s Consolidated Statements of Financial Condition at these dates:

	Fair Value Measurements at June 30, 2020, Using
	Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs		Total Fair Value
$ in thousands	(Level 1)		(Level 2)		(Level 3)
Impaired loans	$	—	$	—	$	1,038	$	1,038
Other real estate owned	—		—		120		$	120

	Fair Value Measurements at March 31, 2020, Using
	Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs		Total Fair Value
$ in thousands	(Level 1)		(Level 2)		(Level 3)
Impaired loans	$	—	$	—	$	1,293	$	1,293
Other real estate owned	—		—		120		$	120

Fair Value, Assets Measured on Nonrecurring Basis, Valuation Techniques

For Level 3 assets measured at fair value on a non-recurring basis as of June 30, 2020 and March 31, 2020, the significant unobservable inputs used in the fair value measurements were as follows:

$ in thousands	Fair Value June 30, 2020		Valuation Technique	Significant Unobservable Inputs	Significant Unobservable Input Value
Impaired loans	$	1,038	Appraisal of collateral	Appraisal adjustments	7.5% cost to sell
Other real estate owned	120		Appraisal of collateral	Appraisal adjustments	7.5% cost to sell

$ in thousands	Fair Value March 31, 2020		Valuation Technique	Significant Unobservable Inputs	Significant Unobservable Input Value
Impaired loans	$	1,293	Appraisal of collateral	Appraisal adjustments	7.5% cost to sell
Other real estate owned	120		Appraisal of collateral	Appraisal adjustments	7.5% cost to sell