Real Estate and Other Assets Owned

9 Months Ended

Sep. 30, 2015

Text Block [Abstract]

Real Estate and Other Assets Owned

(6) REAL ESTATE AND OTHER ASSETS OWNED

The Company’s real estate and other assets owned represent properties and personal collateral acquired through customer loan defaults. The property is recorded at the lower of cost or fair value less estimated cost to sell and carrying cost at the date acquired. Any difference between the book value and estimated market value is recognized as a charge off through the allowance for loan loss account. Additional real estate owned and other asset losses may be determined on individual properties at specific intervals or at the time of disposal. In general, the Company will obtain a new appraisal on all real estate owned with a book balance in excess of $250,000 on an annual basis. Additional losses are recognized as a non-interest expense.

At September 30, 2015, December 31, 2014, and September 30, 2014, the composition of the Company’s balance of non-accrual loans, real estate owned and other assets owned are as follows:

	September 30, 2015			December 31, 2014			September 30, 2014
	(Dollars in Thousands)
One-to-four family mortgages	$	55			159			120
Land		943			1,768			1,834
Non-residential real estate		738			—			—
Total other assets owned	$	1,736			1,927			1,954
Total non-accrual loans	$	7,158			3,175			1,117
Past due 90 days still accruing		1,486			—			—
Total non-performing assets	$	10,380			5,102			3,071
Non-performing assets / Total assets		1.18	%		0.55	%		0.33	%

The following is a summary of the activity in the Company’s real estate and other assets owned for the nine month period ending September 30, 2015:

			Activity During 2015
	Balance							Reduction		Gain (Loss)			Balance
	December 31, 2014		Foreclosures		Proceeds			in Values		on Sale			September 30, 2015
	(Dollars in Thousands)
One-to-four family mortgages	$	159		105		(194	)		—		(15	)		55
Land		1,768		—		(124	)		—		(701	)		943
Non-residential real estate		—		738		—			—		—			738
Total	$	1,927		843		(318	)		—		(716	)		1,736

The following is a summary of the activity in the Company’s real estate and other assets owned for the year ended December 31, 2014:

	Activity During 2014
	Balance							Reduction			Gain (Loss)			Balance
	December 31, 2013		Foreclosures		Sales			in Values			on Sale			December 31, 2014
	(Dollars in Thousands)
One-to-four family mortgages	$	350		461		(667	)		(5	)		20			159
Land		1,124		943		(123	)		(157	)		(19	)		1,768
Non-residential real estate		200		175		(328	)		—			(47	)		—
Total	$	1,674		1,579		(1,118	)		(162	)		(46	)		1,927