Loans and Allowance for Loan Losses (Tables)

12 Months Ended

Jun. 30, 2020

Loans and Allowance for Loan Losses

Schedule of classes of loans

(dollars in thousands)	June 30, 2020		June 30, 2019
Real Estate Loans:
Residential	$	627,357	$	491,992
Construction		185,924		123,287
Commercial		887,419		840,777
Consumer loans		80,767		97,534
Commercial loans		468,448		355,874
		2,249,915		1,909,464
Loans in process		(78,452)		(43,153)
Deferred loan fees, net		(4,395)		(3)
Allowance for loan losses		(25,139)		(19,903)
Total loans	$	2,141,929	$	1,846,405

Schedule of balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment methods

(dollars in thousands)	Residential		Construction		Commercial
June 30, 2020	Real Estate		Real Estate		Real Estate		Consumer		Commercial		Total
Allowance for loan losses:
Balance, beginning of period	$	3,706	$	1,365	$	9,399	$	1,046	$	4,387	$	19,903
Provision charged to expense		1,529		645		2,730		300		798		6,002
Losses charged off		(379)		—		(12)		(189)		(273)		(853)
Recoveries		19		—		15		25		28		87
Balance, end of period	$	4,875	$	2,010	$	12,132	$	1,182	$	4,940	$	25,139
Ending Balance: individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—
Ending Balance: collectively evaluated for impairment	$	4,875	$	2,010	$	12,132	$	1,182	$	4,940	$	25,139
Ending Balance: loans acquired with deteriorated credit quality	$	—	$	—	$	—	$	—	$	—	$	—
Loans:
Ending Balance: individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—
Ending Balance: collectively evaluated for impairment	$	626,085	$	106,194	$	872,716	$	80,767	$	463,902	$	2,149,664
Ending Balance: loans acquired with deteriorated credit quality	$	1,272	$	1,278	$	14,703	$	—	$	4,546	$	21,799

(dollars in thousands)	Residential		Construction		Commercial
June 30, 2019	Real Estate		Real Estate		Real Estate		Consumer		Commercial		Total
Allowance for loan losses:
Balance, beginning of period	$	3,226	$	1,097	$	8,793	$	902	$	4,196	$	18,214
Provision charged to expense		487		268		765		231		281		2,032
Losses charged off		(30)		—		(164)		(103)		(92)		(389)
Recoveries		23		—		5		16		2		46
Balance, end of period	$	3,706	$	1,365	$	9,399	$	1,046	$	4,387	$	19,903
Ending Balance: individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—
Ending Balance: collectively evaluated for impairment	$	3,706	$	1,365	$	9,399	$	1,046	$	4,387	$	19,903
Ending Balance: loans acquired with deteriorated credit quality	$	—	$	—	$	—	$	—	$	—	$	—
Loans:
Ending Balance: individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—
Ending Balance: collectively evaluated for impairment	$	490,307	$	78,826	$	821,415	$	97,534	$	349,681	$	1,837,763
Ending Balance: loans acquired with deteriorated credit quality	$	1,685	$	1,308	$	19,362	$	—	$	6,193	$	28,548

(dollars in thousands)	Residential		Construction		Commercial
June 30, 2018	Real Estate		Real Estate		Real Estate		Consumer		Commercial		Total
Allowance for loan losses:
Balance, beginning of period	$	3,230	$	964	$	7,068	$	757	$	3,519	$	15,538
Provision charged to expense		184		142		1,779		251		691		3,047
Losses charged off		(190)		(9)		(56)		(129)		(22)		(406)
Recoveries		2		—		2		23		8		35
Balance, end of period	$	3,226	$	1,097	$	8,793	$	902	$	4,196	$	18,214

Schedule of credit risk profile of the Company's loan portfolio based on rating category and payment activity

(dollars in thousands)	Residential		Construction		Commercial
June 30, 2020	Real Estate		Real Estate		Real Estate		Consumer		Commercial
Pass	$	620,004	$	103,105	$	829,276	$	80,517	$	457,385
Watch		1,900		4,367		45,262		45		4,708
Special Mention		—		—		403		25		—
Substandard		5,453		—		11,590		180		6,355
Doubtful		—		—		888		—		—
Total	$	627,357	$	107,472	$	887,419	$	80,767	$	468,448

(dollars in thousands)	Residential		Construction		Commercial
June 30, 2019	Real Estate		Real Estate		Real Estate		Consumer		Commercial
Pass	$	482,869	$	80,134	$	802,479	$	97,012	$	341,069
Watch		1,236		—		21,693		170		7,802
Special Mention		103		—		3,463		26		—
Substandard		7,784		—		13,142		291		7,003
Doubtful		—		—		—		35		—
Total	$	491,992	$	80,134	$	840,777	$	97,534	$	355,874

Schedule of company's loan portfolio aging analysis

					Greater Than								Greater Than 90
(dollars in thousands)	30-59 Days		60-89 Days		90 Days		Total				Total Loans		Days Past Due
June 30, 2020	Past Due		Past Due		Past Due		Past Due		Current		Receivable		and Accruing
Real Estate Loans:
Residential	$	772	$	378	$	654	$	1,804	$	625,553	$	627,357	$	—
Construction		—		—		—		—		107,472		107,472		—
Commercial		641		327		1,073		2,041		885,378		887,419		—
Consumer loans		180		53		193		426		80,341		80,767		—
Commercial loans		93		1,219		810		2,122		466,326		468,448		—
Total loans	$	1,686	$	1,977	$	2,730	$	6,393	$	2,165,070	$	2,171,463	$	—

					Greater Than								Greater Than 90
(dollars in thousands)	30-59 Days		60-89 Days		90 Days		Total				Total Loans		Days Past Due
June 30, 2019	Past Due		Past Due		Past Due		Past Due		Current		Receivable		and Accruing
Real Estate Loans:
Residential	$	227	$	1,054	$	1,714	$	2,995	$	488,997	$	491,992	$	—
Construction		—		—		—		—		80,134		80,134		—
Commercial		296		1		5,617		5,914		834,863		840,777		—
Consumer loans		128		46		176		350		97,184		97,534		—
Commercial loans		424		25		1,902		2,351		353,523		355,874		—
Total loans	$	1,075	$	1,126	$	9,409	$	11,610	$	1,854,701	$	1,866,311	$	—

Schedule of impaired loans

(dollars in thousands)	Recorded		Unpaid Principal		Specific
June 30, 2020	Balance		Balance		Allowance
Loans without a specific valuation allowance:
Residential real estate	$	3,811	$	4,047	$	—
Construction real estate		1,278		1,312		—
Commercial real estate		19,271		23,676		—
Consumer loans		—		—		—
Commercial loans		5,040		6,065		—
Loans with a specific valuation allowance:
Residential real estate	$	—	$	—	$	—
Construction real estate		—		—		—
Commercial real estate		—		—		—
Consumer loans		—		—		—
Commercial loans		—		—		—
Total:
Residential real estate	$	3,811	$	4,047	$	—
Construction real estate	$	1,278	$	1,312	$	—
Commercial real estate	$	19,271	$	23,676	$	—
Consumer loans	$	—	$	—	$	—
Commercial loans	$	5,040	$	6,065	$	—

Schedule of interest income recognized on impaired loans

	Fiscal 2020
	Average
	Investment in		Interest Income
(dollars in thousands)	Impaired Loans		Recognized
Residential Real Estate	$	1,440	$	89
Construction Real Estate		1,295		134
Commercial Real Estate		16,175		1,276
Consumer Loans		—		—
Commercial Loans		5,597		419
Total Loans	$	24,507	$	1,918

	Fiscal 2019
	Average
	Investment in		Interest Income
(dollars in thousands)	Impaired Loans		Recognized
Residential Real Estate	$	2,081	$	112
Construction Real Estate		1,297		246
Commercial Real Estate		14,547		1,570
Consumer Loans		—		—
Commercial Loans		4,212		926
Total Loans	$	22,137	$	2,854

	Fiscal 2018
	Average
	Investment in		Interest Income
(dollars in thousands)	Impaired Loans		Recognized
Residential Real Estate	$	3,358	$	219
Construction Real Estate		1,317		165
Commercial Real Estate		9,446		1,163
Consumer Loans		—		—
Commercial Loans		3,152		199
Total Loans	$	17,273	$	1,746

Schedule of Company's nonaccrual loans

	June 30,
(dollars in thousands)	2020		2019
Residential real estate	$	4,010	$	6,404
Construction real estate		—		—
Commercial real estate		3,106		10,876
Consumer loans		196		309
Commercial loans		1,345		3,424
Total loans	$	8,657	$	21,013

Schedule of Performing loans classified as troubled debt restructuring loans

	June 30, 2020			June 30, 2019
	Number of	Recorded		Number of	Recorded
(dollars in thousands)	modifications	Investment		modifications	Investment
Residential real estate	3	$	791	10	$	1,130
Construction real estate	—		—	—		—
Commercial real estate	10		4,544	20		6,529
Consumer loans	—		—	—		—
Commercial loans	7		3,245	10		5,630
Total	20	$	8,580	40	$	13,289

Schedule of loans to executive officers, directors, significant shareholders and their affiliates held by the Company

	June 30,
(dollars in thousands)	2020		2019
Beginning Balance	$	9,132	$	8,995
Additions		5,179		7,238
Repayments		(5,708)		(7,134)
Change in related party		—		33
Ending Balance	$	8,603	$	9,132