Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2022

Fair Value Measurements [Abstract]

Fair Value Assets and Liabilities Measured on Nonrecurring Basis Valuation Techniques

(Dollars in thousands)	Fair Value		Valuation Technique	Unobservable Input	Range
March 31, 2022
MSRs (1)	$	5,113	Market Approach	Weighted average prepayment speed (PSA) (2)	121
IRLCs - net asset	$	217	Market Approach	Range of pull through rate	78% - 100%
				Average pull through rate	92%

(Dollars in thousands)	Fair Value		Valuation Technique	Unobservable Input	Range
December 31, 2021
MSRs (1)	$	4,087	Market Approach	Weighted average prepayment speed (PSA) (2)	156
IRLCs - net asset	$	380	Market Approach	Range of pull through rate	77% - 100%
				Average pull through rate	93%

(1) The weighted average was calculated with reference to the principal balance of the underlying mortgages.

(2) PSA = Public Securities Association Standard Prepayment Model

Schedule of Servicing Asset at Fair Value

(Dollars in thousands)	March 31, 2022
Beginning balance	$	4,087
Servicing rights reulting from sales of loans		472
Valuation adjustment		554
Ending balance	$	5,113

Schedule of Derivative Asset at Fair Value

(Dollars in thousands)	March 31, 2022
Beginning balance	$	380
Valuation adjustment		(163)
Ending balance	$	217

Schedule of Fair Value of Assets and Liabilities Measured on Recurring Basis

					Significant
					Other		Significant
			Quoted		Observable		Unobservable
			Prices		Inputs		Inputs
(Dollars in thousands)	Fair Value		(Level 1)		(Level 2)		(Level 3)
March 31, 2022
Assets:
Securities available for sale:
U.S. Government agencies	$	21,255	$	—	$	21,255	$	—
Mortgage-backed		83,442		—		83,442		—
Other Debt Securities		1,998		—		1,998		—
		106,695		—		106,695		—
Equity securities		1,305		—		1,305		—
TBA securities		838		—		838		—
LHFS		12,906		—		12,906		—
MSRs		5,113		—		—		5,113
IRLCs		217		—		—		217
Total assets at fair value	$	127,074	$	—	$	121,744	$	5,330
Liabilities:
TBA securities	$	6	$	—	$	6	$	—
Total liabilities at fair value	$	6	$	—	$	6	$	—

					Significant
					Other		Significant
			Quoted		Observable		Unobservable
			Prices		Inputs		Inputs
(Dollars in thousands)	Fair Value		(Level 1)		(Level 2)		(Level 3)
December 31, 2021
Assets:
Securities available for sale:
U.S. Government agencies	$	22,305	$	—	$	22,305	$	—
Mortgage-backed		92,637		—		92,637		—
Other Debt Securities		2,040		—		2,040		—
		116,982		—		116,982		—
Equity securities		1,372		—		1,372		—
TBA securities		55		—		55		—
LHFS		37,749		—		37,749		—
MSRs		4,087		—		—		4,087
IRLCs		380		—		—		380
Total assets at fair value	$	160,625	$	—	$	156,158	$	4,467
Liabilities:
TBA securities	$	41	$	—	$	41	$	—
Total liabilities at fair value	$	41	$	—	$	41	$	—

Fair Value of Assets Measured on Nonrecurring Basis

	Quantitative Information about Level 3 Fair Value Measurements
								Weighted
(Dollars in thousands)	Fair Value		Valuation Technique		Unobservable Input		Range	Average (3)
March 31, 2022
Nonrecurring measurements:
Impaired loans	$	617	Appraisal of collateral	(1)	Liquidation expense	(2)	10%	(10%)
Impaired loans	$	1,878	Discounted cash flow analysis	(1)	Discount rate		6% - 7.25%	(6%)
Other real estate owned	$	561	Appraisal of collateral	(1)	Appraisal adjustments	(2)	0% - 20%	(7%)

	Quantitative Information about Level 3 Fair Value Measurements
								Weighted
(Dollars in thousands)	Fair Value		Valuation Technique		Unobservable Input		Range	Average (3)
December 31, 2021
Nonrecurring measurements:
Impaired loans	$	617	Appraisal of collateral	(1)	Liquidation expense	(2)	10%	(10%)
Impaired loans	$	2,026	Discounted cash flow analysis	(1)	Discount rate		4% - 7.25%	(6%)
Other real estate owned	$	532	Appraisal of collateral	(1)	Appraisal adjustments	(2)	20% - 40%	(35%)

(1)Fair value is generally determined through independent appraisals of the underlying collateral (impaired loans and OREO) or discounted cash flow analyses (impaired loans), which generally include various level III inputs which are not identifiable.

(2)Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal.

(3)Unobservable inputs were weighted by the relative fair value of the instruments.

Schedule of Estimated Fair Values of Financial Assets and Liabilities

	March 31, 2022				December 31, 2021
			Estimated				Estimated
	Carrying		Fair		Carrying		Fair
(Dollars in thousands)	Amount		Value		Amount		Value
Financial assets
Level 1 inputs
Cash and cash equivalents	$	570,976	$	570,976	$	583,613	$	583,613
Level 2 inputs
Investment securities available for sale	$	106,695	$	106,695	$	116,982	$	116,982
Investment securities held to maturity		407,138		390,541		404,594		401,524
Equity securities		1,305		1,305		1,372		1,372
Restricted securities		9,894		9,894		4,159		4,159
LHFS		12,906		12,906		37,749		37,749
TBA securities		838		838		55		55
Cash surrender value on life insurance		58,186		58,186		47,935		47,935
Level 3 inputs
Loans, net	$	2,166,396	$	2,140,286	$	2,105,231	$	2,106,373
MSRs		5,113		5,113		4,087		4,087
IRLCs		217		217		380		380
Financial liabilities
Level 2 inputs
Deposits:
Noninterest-bearing demand	$	876,415	$	876,415	$	927,497	$	927,497
Checking plus interest		695,407		695,407		524,143		524,143
Money market		726,858		726,858		889,099		889,099
Savings		309,926		309,926		225,546		225,546
Club		745		745		388		388
Certificates of deposit		459,144		459,171		459,563		461,135
Securities sold under retail repurchase agreement		—		—		4,143		4,143
Advances from FHLB - long-term		10,094		10,052		10,135		10,187
Subordinated debt		42,840		45,430		42,762		44,876
TBA Securities		6		6		41		41