Loans Held for Sale

12 Months Ended

Dec. 31, 2023

Notes to Financial Statements

Loans held for sale

4. Loans held for sale

At December 31, 2023 and 2022, the Company did not have any loans held for sale.

The Company has implemented a strategy of selling certain delinquent and non-performing loans. Once the Company has decided to sell a loan, the sale usually closes in a short period of time, generally within the same quarter. Loans designated held for sale are reclassified from loans held for investment to loans held for sale. Terms of sale include cash due upon the closing of the sale, no contingencies or recourse to the Company and servicing is released to the buyer. Additionally, at times the Company may sell participating interests in performing loans.

The following tables show loans sold during the period indicated:

	For the year ended December 31, 2023
(Dollars in thousands)	Loans sold	Proceeds		Net charge-offs		Net gain
Performing loans
Commercial	2	$	2,000	$	—	$	—
Total	2	$	2,000	$	—	$	—
Delinquent and non-performing loans
Multi-family residential	7	$	3,622	$	—	$	69
Commercial	3	$	1,867	$	(8)	$	—
One-to-four family - mixed-use property	3		1,553		—		39
Total	13	$	7,042	$	(8)	$	108

	For the year ended December 31, 2022
(Dollars in thousands)	Loans sold	Proceeds		Net charge-offs		Net gain
Performing loans
Multi-family residential	5	$	20,818	$	—	$	—
Commercial	1		4,312		—		—
Total	6	$	25,130	$	—	$	—
Delinquent and non-performing loans
Multi-family residential	2	$	646	$	—	$	14
Commercial	3	$	5,690	$	—	$	100
One-to-four family - mixed-use property	2		527		—		5
Total	7	$	6,863	$	—	$	119

	For the year ended December 31, 2021
(Dollars in thousands)	Loans sold	Proceeds		Net charge-offs		Net gain
Delinquent and non-performing loans
Multi-family residential	13	$	14,269	$	(43)	$	112
Commercial	4		7,380		(64)		104
One-to-four family - mixed-use property	16		6,983		(14)		119
Total	33	$	28,632	$	(121)	$	335