Other Real Estate Owned, Net

9 Months Ended

Sep. 30, 2021

Other Real Estate Owned, Net [Abstract]

Other Real Estate Owned, Net

Note 6 - Other Real Estate Owned, net

The following table presents the components of other real estate owned (“OREO”) at September 30, 2021 and December 31, 2020:

(in thousands)	September 30, 2021		December 31, 2020
Commercial real estate	$	900	$	945
Acquisition and development		5,763		8,441
Residential mortgage		—		—
Total OREO, net	$	6,663	$	9,386

The following table presents the activity in the OREO valuation allowance for the nine and three month periods ended September 30, 2021 and 2020:

	Nine Months Ended				Three Months Ended
	September 30,				September 30,
(in thousands)	2021		2020		2021		2020
Balance beginning of period	$	1,010	$	1,790	$	543	$	1,734
Fair value adjustment		(160)		102		—		63
Sales of OREO		(396)		(261)		(89)		(166)
Balance at end of period	$	454	$	1,631	$	454	$	1,631

The following table presents the components of OREO (income)/expenses, net, for the nine and three month periods ended September 30, 2021 and 2020:

	Nine Months Ended				Three Months Ended
	September 30,				September 30,
(in thousands)	2021		2020		2021		2020
(Gains)/losses on sale of real estate, net	$	(594)	$	(93)	$	2	$	(72)
Fair value adjustment, net		(160)		102		—		63
Expenses, net		345		117		150		52
Rental and other income		(51)		(123)		(2)		(37)
Total OREO (income)/expense, net	$	(460)	$	3	$	150	$	6