Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2022

Fair Value Disclosures [Abstract]

Significant Fair Value of Assets and Liabilities Measured on Recurring and Non Recurring Basis

	Fair Value Measurements at March 31, 2022 Using:
	Carrying Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in thousands)
Measured on a recurring basis:
Assets:
Investment securities:
Debt securities available-for-sale:
U.S. Government agency	$	75,620	$	—	$	75,620	$	—
Mortgage-backed securities:
Pass-through certificates:
GSE	564,390		—		564,390		—
REMICs:
GSE	311,103		—		311,103		—
	875,493		—		875,493		—
Other debt securities:
Municipal bonds	52		—		52		—
Corporate bonds	203,112		—		203,112		—
	203,164		—		203,164		—
Total debt securities available-for-sale	1,154,277		—		1,154,277		—
Trading securities	12,156		12,156		—		—
Equity securities (1)	368		368		—		—
Total	$	1,166,801	$	12,524	$	1,154,277	$	—
Measured on a non-recurring basis:
Assets:
Loans individually evaluated for impairment:
Real estate loans:
Commercial real estate	$	3,401	$	—	$	—	$	3,401
Home equity and lines of credit	26		—		—		26
Total individually evaluated real estate loans	3,427		—		—		3,427
Commercial and industrial loans	64		—		—		64
Other real estate owned	100		—		—		100
Total	$	3,591	$	—	$	—	$	3,591

(1) Excludes investment measured at net asset value of $7.5 million at March 31, 2022, which has not been classified in the fair value hierarchy.

	Fair Value Measurements at December 31, 2021 Using:
	Carrying Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in thousands)
Measured on a recurring basis:
Assets:
Investment securities:
Debt securities available-for-sale:
U.S. Government agency securities	$	2,290	$	—	$	2,290	$	—
Mortgage-backed securities:
Pass-through certificates:
GSE	581,406		—		581,406		—
REMICs:
GSE	391,710		—		391,710		—
	973,116		—		973,116		—
Other debt securities:
Municipal bonds	72		—		72		—
Corporate bonds	232,759		—		232,759		—
	232,831		—		232,831		—
Total debt securities available-for-sale	1,208,237		—		1,208,237		—
Trading securities	13,461		13,461		—		—
Equity securities (1)	328		328		—		—
Total	$	1,222,026	$	13,789	$	1,208,237	$	—
Measured on a non-recurring basis:
Assets:
Loans individually evaluated for impairment:
Real estate loans:
Commercial real estate	$	3,599	$	—	$	—	$	3,599
One-to-four family residential mortgage	169		—		—		169
Home equity and lines of credit	27		—		—		27
Total impaired real estate loans	3,795		—		—		3,795
Commercial and industrial loans	12		—		—		12
Other real estate owned	100		—		—		100
Total	$	3,907	$	—	$	—	$	3,907

(1) Excludes investment measured at net asset value of $5.0 million at December 31, 2021, which has not been classified in the fair value hierarchy.

Level 3 Assets Measured at Fair Value on a Non-Recurring Basis

The following table presents qualitative information for Level 3 assets measured at fair value on a non-recurring basis at March 31, 2022 and December 31, 2021 (dollars in thousands):

	Fair Value				Valuation Methodology	Unobservable Inputs	Range of Inputs
	March 31, 2022		December 31, 2021				March 31, 2022	December 31, 2021
Individually evaluated loans	$	3,491	$	3,807	Appraisals	Discount for costs to sell	7.0%	7.0%
						Discount for quick sale	10.0%	10.0%
					Discounted cash flows	Interest rates	4.88% to 7.50%	4.88% to 6.25%
Other real estate owned	100		100		Appraisals	Discount for costs to sell	7.0%	7.0%

Estimated Fair Values of Significant Financial Instruments

The estimated fair values of the Company’s significant financial instruments at March 31, 2022 and December 31, 2021, are presented in the following tables (in thousands):

	March 31, 2022
			Estimated Fair Value
	Carrying Value		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and cash equivalents	$	135,514	$	135,514	$	—	$	—	$	135,514
Trading securities	12,156		12,156		—		—		12,156
Debt securities available-for-sale	1,154,277		—		1,154,277		—		1,154,277
Debt securities held-to-maturity	5,243		—		5,182		—		5,182
Equity securities (1)	368		368		—		—		368
FHLBNY stock, at cost	21,211		—		21,211		—		21,211
Net loans held-for-investment	3,859,307		—		—		3,838,452		3,838,452
Derivative assets	2,643		—		2,643		—		2,643
Financial liabilities:
Deposits	$	4,302,866	$	—	$	4,305,018	$	—	$	4,305,018
Borrowed funds	397,877		—		391,323		—		391,323
Advance payments by borrowers for taxes and insurance	30,032		—		30,032		—		30,032
Derivative liabilities	2,645		—		2,645		—		2,645

(1) Excludes investment measured at net asset value of $7.5 million at March 31, 2022, which has not been classified in the fair value hierarchy.

	December 31, 2021
			Estimated Fair Value
	Carrying Value		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and cash equivalents	$	91,068	$	91,068	$	—	$	—	$	91,068
Trading securities	13,461		13,461		—		—		13,461
Debt securities available-for-sale	1,208,237		—		1,208,237		—		1,208,237
Debt securities held-to-maturity	5,283		—		5,475		—		5,475
Equity securities (1)	328		328		—		—		328
FHLBNY stock, at cost	22,336		—		22,336		—		22,336
Net loans held-for-investment	3,767,644		—		—		3,904,026		3,904,026
Derivative assets	923		—		923		—		923
Financial liabilities:
Deposits	$	4,169,334	$	—	$	4,172,125	$	—	$	4,172,125
Borrowed funds	421,755		—		426,235		—		426,235
Advance payments by borrowers for taxes and insurance	24,909		—		24,909		—		24,909
Derivative liabilities	925		—		925		—		925

(1) Excludes investment measured at net asset value of $5.0 million at December 31, 2021, which has not been classified in the fair value hierarchy.