Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2023

Fair Value Disclosures [Abstract]

Fair Value Assets and Liabilities Measured on Nonrecurring Basis Valuation Techniques

(Dollars in thousands)	Fair Value		Valuation Technique	Unobservable Input	Range
December 31, 2023
MSRs (1)	$	5,926	Market Approach	Weighted average prepayment speed (PSA) (2)	129
IRLCs - net asset	$	110	Market Approach	Range of pull through rate	78% - 100%
				Average pull through rate	98%

(Dollars in thousands)	Fair Value		Valuation Technique	Unobservable Input	Range
December 31, 2022
MSRs (1)	$	5,275	Market Approach	Weighted average prepayment speed (PSA) (2)	121
IRLCs - net asset	$	28	Market Approach	Range of pull through rate	78% - 100%
				Average pull through rate	92%

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(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

The following table presents activity in MSRs for the year ended December 31, 2023.

(Dollars in thousands)	For the Year Ended December 31, 2023
Beginning balance	$	5,275
Servicing rights resulting from sales of loans	712
Servicing rights acquired in acquisition of TCFC	190
Valuation adjustment	(251)
Ending balance	$	5,926

Schedule of Derivative Asset at Fair Value

The following table presents activity in the IRLCs for the year ended December 31, 2023.

(Dollars in thousands)	For the Year Ended December 31, 2023
Beginning balance	$	28
Valuation adjustment	82
Ending balance	$	110

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

No assets were transferred from one hierarchy level to another during 2023 or 2022.

(Dollars in thousands)	Fair Value		Quoted Prices (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Observable Inputs (Level 3)
December 31, 2023
Assets:
Securities available for sale:
U.S. Government agencies	$	20,475	$	—	$	20,475	$	—
Mortgage-backed	84,027		—		84,027		—
Other debt securities	6,019		—		6,019		—
	110,521		—		110,521		—
Equity securities	5,703		—		5,703		—
TBA forward trades	2		—		2		—
Loans Held for Sale	8,782		—		8,782		—
Loans Held for Investment, at fair value	9,944		—		9,944		—
MSRs	5,926		—		—		5,926
IRLCs	110		—		—		110
Total assets at fair value	$	140,988	$	—	$	134,952	$	6,036
Liabilities:
TBA forward trades	$	176	$	—	$	176	$	—
Total liabilities at fair value	$	176	$	—	$	176	$	—

(Dollars in thousands)	Fair Value		Quoted Prices (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Observable Inputs (Level 3)
December 31, 2022
Assets:
Securities available for sale:
U.S. Government agencies	$	18,178	$	—	$	18,178	$	—
Mortgage-backed	63,519		—		63,519		—
Other debt securities	1,890		—		1,890		—
	83,587		—		83,587		—
Equity securities	1,233		—		1,233		—
TBA forward trades	41		—		41		—
Loans Held for Sale	4,248		—		4,248		—
Loans Held for Investment, at fair value	8,437		—		8,437		—
MSRs	5,275		—		—		5,275
IRLCs	35		—		—		35
Total assets at fair value	$	102,856	$	—	$	97,546	$	5,310
Liabilities:
IRLCs	$	7	$	—	$	—	$	7
TBA securities	6		—		6		—
Total liabilities at fair value	$	13	$	—	$	6	$	7

Fair Value of Assets Measured on Nonrecurring Basis

Assets are classified in their entirety based on the lowest level of input that is significant to the fair value measurement.

	Quantitative Information about Level 3 Fair Value Measurements
(Dollars in thousands)	Fair Value		Valuation Technique	Unobservable Input	Range	Weighted Average
December 31, 2023
Nonrecurring measurements:
Individually evaluated collateral dependent loan	$	633	Appraisal of collateral(1)	Appraisal adjustment(2) Liquidation expense(2)	51% 10%	51% 10%
Other real estate owned	$	179	Appraisal of collateral(1)	Appraisal adjustment(2)	0% - 20%	0%

	Quantitative Information about Level 3 Fair Value Measurements
(Dollars in thousands)	Fair Value		Valuation Technique	Unobservable Input	Range	Weighted Average
December 31, 2022
Nonrecurring measurements:
Other real estate owned	$	197	Appraisal of collateral(1)	Appraisal adjustment(2)	0% - 20%	(2%)

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

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