Loans and Allowance for Credit Losses (Tables)

3 Months Ended

Mar. 31, 2019

Receivables [Abstract]

Schedule of Financing Receivables

(Dollars in thousands)	March 31, 2019		December 31, 2018
Construction	$	142,071	$	127,572
Residential real estate		427,023		429,560
Commercial real estate		529,229		523,427
Commercial		106,172		107,522
Consumer		7,221		7,274
Total loans		1,211,716		1,195,355
Allowance for credit losses		(10,418)		(10,343)
Total loans, net	$	1,201,298	$	1,185,012

Allowance for Credit Losses on Financing Receivables

			Residential		Commercial
(Dollars in thousands)	Construction		real estate		real estate		Commercial		Consumer		Total
March 31, 2019
Loans individually evaluated for impairment	$	2,814	$	7,218	$	12,841	$	315	$	—	$	23,188
Loans collectively evaluated for impairment		139,257		419,805		516,388		105,857		7,221		1,188,528
Total loans	$	142,071	$	427,023	$	529,229	$	106,172	$	7,221	$	1,211,716
Allowance for credit losses allocated to:
Loans individually evaluated for impairment	$	279	$	427	$	94	$	12	$	—	$	812
Loans collectively evaluated for impairment		2,378		2,006		2,963		1,997		262		9,606
Total allowance	$	2,657	$	2,433	$	3,057	$	2,009	$	262	$	10,418

			Residential		Commercial
(Dollars in thousands)	Construction		real estate		real estate		Commercial		Consumer		Total
December 31, 2018
Loans individually evaluated for impairment	$	2,893	$	8,553	$	13,532	$	340	$	—	$	25,318
Loans collectively evaluated for impairment		124,679		421,007		509,895		107,182		7,274		1,170,037
Total loans	$	127,572	$	429,560	$	523,427	$	107,522	$	7,274	$	1,195,355
Allowance for credit losses allocated to:
Loans individually evaluated for impairment	$	320	$	301	$	104	$	36	$	—	$	761
Loans collectively evaluated for impairment		2,342		2,052		2,973		1,913		302		9,582
Total allowance	$	2,662	$	2,353	$	3,077	$	1,949	$	302	$	10,343

Impaired Financing Receivables

			Recorded		Recorded				March 31, 2019
	Unpaid		investment		investment				Average		Interest
	principal		with no		with an		Related		recorded		recorded
(Dollars in thousands)	balance		allowance		allowance		allowance		investment		investment
March 31, 2019
Impaired nonaccrual loans:
Construction	$	3,149		83		2,682		279		2,791		—
Residential real estate		3,213		2,456		528		253		3,338		—
Commercial real estate		9,955		9,229		67		67		9,318		—
Commercial		425		—		315		12		325		—
Consumer		—		—		—		—		—		—
Total	$	16,742	$	11,768	$	3,592	$	611	$	15,772	$	—
Impaired accruing TDRs:
Construction	$	49	$	49	$	—	$	—	$	50	$	7
Residential real estate		4,234		1,234		3,000		174		4,308		39
Commercial real estate		3,545		2,848		697		27		3,550		39
Commercial		—		—		—		—		—		—
Consumer		—		—		—		—		—		—
Total	$	7,828	$	4,131	$	3,697	$	201	$	7,908	$	85
Total impaired loans:
Construction	$	3,198	$	132	$	2,682	$	279	$	2,841	$	7
Residential real estate		7,447		3,690		3,528		427		7,646		39
Commercial real estate		13,500		12,077		764		94		12,868		39
Commercial		425		—		315		12		325		—
Consumer		—		—		—		—		—		—
Total	$	24,570	$	15,899	$	7,289	$	812	$	23,680	$	85

			Recorded		Recorded				March 31, 2018
	Unpaid		investment		investment				Average		Interest
	principal		with no		with an		Related		recorded		income
(Dollars in thousands)	balance		allowance		allowance		allowance		investment		recognized
December 31, 2018
Impaired nonaccrual loans:
Construction	$	3,219	$	127	$	2,715	$	320	$	2,989	$	—
Residential real estate		4,281		2,605		1,494		118		1,625		—
Commercial real estate		10,029		9,307		67		67		720		—
Commercial		445		—		340		36		345		—
Consumer		—		—		—		—		—		—
Total	$	17,974	$	12,039	$	4,616	$	541	$	5,679	$	—
Impaired accruing TDRs:
Construction	$	51	$	51	$	—	$	—	$	2,977	$	13
Residential real estate		4,454		1,440		3,014		183		4,292		46
Commercial real estate		4,158		1,286		2,872		37		4,650		41
Commercial		—		—		—		—		—		—
Consumer		—		—		—		—		—		—
Total	$	8,663	$	2,777	$	5,886	$	220	$	11,919	$	100
Total impaired loans:
Construction	$	3,270	$	178	$	2,715	$	320	$	5,966	$	13
Residential real estate		8,735		4,045		4,508		301		5,917		46
Commercial real estate		14,187		10,593		2,939		104		5,370		41
Commercial		445		—		340		36		345		—
Consumer		—		—		—		—		—		—
Total	$	26,637	$	14,816	$	10,502	$	761	$	17,598	$	100

Troubled Debt Restructurings on Financing Receivables

	1/1/2019												3/31/2019
	TDR		New		Disbursements		Charge-		Reclassifications/				TDR		Related
(Dollars in thousands)	Balance		TDRs		(Payments)		offs		Transfer In/(Out)		Payoffs		Balance		Allowance
For three months ended
March 31, 2019
Accruing TDRs
Construction	$	51	$	—	$	(2)	$	—	$	—	$	—	$	49	$	—
Residential real estate		4,454		—		(23)		—		—		(197)		4,234		174
Commercial real estate		4,158		—		(613)		—		—		—		3,545		27
Commercial		—		—		—		—		—		—		—		—
Consumer		—		—		—		—		—		—		—		—
Total	$	8,663	$	—	$	(638)	$	—	$	—	$	(197)	$	7,828	$	201
Nonaccrual TDRs
Construction	$	2,798	$	—	$	(33)	$	—	$	—	$	—	$	2,765	$	279
Residential real estate		—		—		—		—		—		—		—		—
Commercial real estate		—		—		—		—		—		—		—		—
Commercial		320		—		(4)		—		—		—		315		12
Consumer		—		—		—		—		—		—		—		—
Total	$	3,118	$	—	$	(38)	$	—	$	—	$	—	$	3,080	$	291
Total	$	11,781	$	—	$	(676)	$	—	$	—	$	(197)	$	10,908	$	492

	1/1/2018												3/31/2018
	TDR		New		Disbursements		Charge-		Reclassifications/				TDR		Related
(Dollars in thousands)	Balance		TDRs		(Payments)		offs		Transfer In/(Out)		Payoffs		Balance		Allowance
For the three months ended
March 31, 2018
Accruing TDRs
Construction	$	3,972	$	—	$	(3)	$	(379)	$	—	$	(2,600)	$	990	$	41
Residential real estate		4,536		—		(25)		—		(154)		(187)		4,170		223
Commercial real estate		4,818		—		(33)		—		—		(219)		4,566		36
Commercial		—		—		—		—		—		—		—		—
Consumer		—		—		—		—		—		—		—		—
Total	$	13,326	$	—	$	(61)	$	(379)	$	(154)	$	(3,006)	$	9,726	$	300
Nonaccrual TDRs
Construction	$	2,878	$	—	$	(16)	$	—	$	—	$	—	$	2,862	$	428
Residential real estate		—		—		—		—		154		—		154		—
Commercial real estate		83		—		—		—		—		—		83		—
Commercial		337		—		(4)		—		—		—		333		29
Consumer		—		—		—		—		—		—		—		—
Total	$	3,298	$	—	$	(20)	$	—	$	154	$	—	$	3,432	$	457
Total	$	16,624	$	—	$	(81)	$	(379)	$	—	$	(3,006)	$	13,158	$	757

The following tables provide information on loans that were modified and considered TDRs during the three months ended March 31, 2019 and March 31, 2018.

		Premodification		Postmodification
		outstanding		outstanding
	Number of	recorded		recorded		Related
(Dollars in thousands)	contracts	investment		investment		allowance
TDRs:
For three months ended
March 31, 2019
Construction	—	$	—	$	—	$	—
Residential real estate	—		—		—		—
Commercial real estate	—		—		—		—
Commercial	—		—		—		—
Consumer	—		—		—		—
Total	—	$	—	$	—	$	—
For three months ended
March 31, 2018
Construction	—	$	—	$	—	$	—
Residential real estate	—		—		—		—
Commercial real estate	—		—		—		—
Commercial	—		—		—		—
Consumer	—		—		—		—
Total	—	$	—	$	—	$	—

Troubled Debt Restructurings That Defaulted On Financing Receivables

	Number of	Recorded		Related
(Dollars in thousands)	contracts	investment		allowance
TDRs that subsequently defaulted:
For three months ended
March 31, 2019
Construction	—	$	—	$	—
Residential real estate	—		—		—
Commercial real estate	—		—		—
Commercial	—		—		—
Consumer	—		—		—
Total	—	$	—	$	—
For three months ended
March 31, 2018
Construction	—	$	—	$	—
Residential real estate	—		—		—
Commercial real estate	—		—		—
Commercial	—		—		—
Consumer	—		—		—
Total	—	$	—	$	—

Financing Receivable Credit Quality Indicators

					Special
(Dollars in thousands)	Pass/Performing		Pass/Watch		Mention		Substandard		Doubtful		Total
March 31, 2019
Construction	$	108,606	$	28,496	$	2,186	$	2,783	$	—	$	142,071
Residential real estate		386,816		31,783		4,245		4,179		—		427,023
Commercial real estate		399,958		108,186		5,967		15,118		—		529,229
Commercial		88,627		16,705		490		350		—		106,172
Consumer		6,770		448		—		3		—		7,221
Total	$	990,777	$	185,618	$	12,888	$	22,433	$	—	$	1,211,716

					Special
(Dollars in thousands)	Pass/Performing		Pass/Watch		Mention		Substandard		Doubtful		Total
December 31, 2018
Construction	$	93,977	$	30,735	$	—	$	2,860	$	—	$	127,572
Residential real estate		386,553		33,739		3,769		5,499		—		429,560
Commercial real estate		389,219		113,873		4,515		15,820		—		523,427
Commercial		90,777		15,727		642		376		—		107,522
Consumer		6,805		466		—		3		—		7,274
Total	$	967,331	$	194,540	$	8,926	$	24,558	$	—	$	1,195,355

Past Due Financing Receivables

	Accruing
				30‑59 days			60‑89 days			Greater than			Total
(Dollars in thousands)	Current			past due			past due			90 days			past due			Nonaccrual			Total
March 31, 2019
Construction	$	139,087		$	219		$	—		$	—		$	219		$	2,765		$	142,071
Residential real estate		419,955			3,967			82			35			4,084			2,984			427,023
Commercial real estate		515,652			4,123			158			—			4,281			9,296			529,229
Commercial		105,741			104			—			12			116			315			106,172
Consumer		7,172			28			21			—			49			—			7,221
Total	$	1,187,607		$	8,441		$	261		$	47		$	8,749		$	15,360		$	1,211,716
Percent of total loans		98.0	%		0.7	%		—	%		—	%		0.7	%		1.3	%		100.0	%

	Accruing
				30‑59 days			60‑89 days			Greater than			Total
(Dollars in thousands)	Current			past due			past due			90 days			past due			Nonaccrual			Total
December 31, 2018
Construction	$	124,535		$	195		$	—		$	—		$	195		$	2,842		$	127,572
Residential real estate		423,732			1,384			206			139			1,729			4,099			429,560
Commercial real estate		512,252			253			1,548			—			1,801			9,374			523,427
Commercial		107,089			83			10			—			93			340			107,522
Consumer		7,238			30			6			—			36			—			7,274
Total	$	1,174,846		$	1,945		$	1,770		$	139		$	3,854		$	16,655		$	1,195,355
Percent of total loans		98.3	%		0.2	%		0.1	%		0.0	%		0.3	%		1.4	%		100.0	%

Consolidated Allowance for Credit Losses on Financing Receivables

			Residential		Commercial
(Dollars in thousands)	Construction		real estate		real estate		Commercial		Consumer		Total
For three months ended
March 31, 2019
Allowance for credit losses:
Beginning Balance	$	2,662	$	2,353	$	3,077	$	1,949	$	302	$	10,343
Charge-offs		—		(123)		—		(81)		(6)		(210)
Recoveries		3		8		99		75		—		185
Net charge-offs		3		(115)		99		(6)		(6)		(25)
Provision		(8)		195		(119)		66		(34)		100
Ending Balance	$	2,657	$	2,433	$	3,057	$	2,009	$	262	$	10,418

			Residential		Commercial
(Dollars in thousands)	Construction		real estate		real estate		Commercial		Consumer		Total
For three months ended
March 31, 2018
Allowance for credit losses:
Beginning Balance	$	2,460	$	2,284	$	2,594	$	2,241	$	202	$	9,781
Charge-offs		(379)		(138)		—		—		(10)		(527)
Recoveries		9		13		10		143		—		175
Net charge-offs		(370)		(125)		10		143		(10)		(352)
Provision		451		200		39		(226)		25		489
Ending Balance	$	2,541	$	2,359	$	2,643	$	2,158	$	217	$	9,918