Loans Receivable (Tables)

v3.26.3

Loans Receivable (Tables)	9 Months Ended
	Sep. 30, 2026
Receivables [Abstract]
Schedule of Accounts, Notes, Loans and Financing Receivable	Loans consist of the following as of September 30, 2026, and December 31, 2025: (Dollars in thousands) September 30, 2026 December 31, 2025 Loans secured by real estate: Residential real estate $ 454,668  $ 442,443  Home equity 53,180  53,497  Commercial real estate 595,850  555,594  Construction and land development 86,646  77,208  Multifamily 173,382  183,902  Total loans secured by real estate 1,363,726  1,312,644  Commercial business 105,513  99,304  Consumer 278  870  Manufactured homes 21,318  23,708  Government 7,640  12,298  Loans receivable 1,498,475  1,448,824  Add: Net deferred loan origination costs 745  1,606  Loan clearing funds 2  (43) Loans receivable, net of deferred fees and costs $ 1,499,222  $ 1,450,387
Schedule of Financing Receivable, Past Due	The Company's age analysis of past due loans is summarized below: (Dollars in thousands) 30-59 Days Past Due 60-89 Days Past Due Greater Than 90 Days Past Due Total Past Due and Accruing Current Accruing Loans Nonaccrual Loans Total Loans Receivable September 30, 2026 Residential real estate $ 5,054  $ 1,139  $ -  $ 6,193  $ 439,742  $ 445,935  $ 8,733  $ 454,668  Home equity 1,010  158  -  1,168  51,253  52,421  759  53,180  Commercial real estate 4,045  4,771  -  8,816  583,028  591,844  4,006  595,850  Construction and land development 540  -  -  540  85,513  86,053  593  86,646  Multifamily 1,427  704  -  2,131  169,887  172,018  1,364  173,382  Commercial business 993  54  -  1,047  103,182  104,229  1,284  105,513  Consumer -  4  -  4  274  278  -  278  Manufactured homes -  164  -  164  21,105  21,269  49  21,318  Government -  -  -  -  7,640  7,640  -  7,640  Total $ 13,069  $ 6,994  $ -  $ 20,063  $ 1,461,624  $ 1,481,687  $ 16,788  $ 1,498,475  December 31, 2025 Residential real estate $ 4,991  $ 1,552  $ -  $ 6,543  $ 429,968  $ 436,511  $ 5,932  $ 442,443  Home equity 324  -  -  324  52,363  52,687  810  53,497  Commercial real estate 4,106  3,905  -  8,011  546,022  554,033  1,561  555,594  Construction and land development 2,343  129  -  2,472  74,083  76,555  653  77,208  Multifamily 450  1,303  -  1,753  181,453  183,206  696  183,902  Commercial business 1,214  47  -  1,261  96,604  97,865  1,439  99,304  Consumer -  -  -  -  870  870  -  870  Manufactured homes 241  28  -  269  23,368  23,637  71  23,708  Government -  -  -  -  12,298  12,298  -  12,298  Total $ 13,669  $ 6,964  $ -  $ 20,633  $ 1,417,029  $ 1,437,662  $ 11,162  $ 1,448,824
Schedule of Financing Receivable Credit Quality Indicators	The following table shows the amortized cost of loans, segregated by portfolio segment, credit quality rating and year of origination as of September 30, 2026, and December 31, 2025, and gross charge-offs for the nine months ended September 30, 2026, and for the year ended December 31, 2025. September 30, 2026 2026 2025 2024 2023 2022 Prior Revolving Revolving Converted to Term Total Total Loans Receivable $ 275,146  $ 177,485  $ 116,121  $ 128,905  $ 251,986  $ 548,832  $ -  $ -  $ 1,498,475  Total current period gross charge-off $ (1) $ (5) $ (43) $ (90) $ (95) $ (116) $ -  $ -  $ (350) Residential real estate Pass (1-6) $ 47,308  $ 19,805  $ 18,341  $ 24,709  $ 73,666  $ 256,404  $ -  $ -  $ 440,233  Special Mention (7) 304  406  -  479  1,131  3,382  -  -  5,702  Substandard (8) -  283  72  801  4,167  3,410  -  -  8,733  Total $ 47,612  $ 20,494  $ 18,413  $ 25,989  $ 78,964  $ 263,196  $ -  $ -  $ 454,668  Current period gross charge-off -  (5) -  (90) (26) -  -  -  (121) Home equity Pass (1-6) $ 11,205  $ 10,094  $ 5,914  $ 6,035  $ 8,849  $ 9,722  $ -  $ -  $ 51,819  Special Mention (7) -  -  100  71  92  339  -  -  602  Substandard (8) -  -  16  263  40  440  -  -  759  Total $ 11,205  $ 10,094  $ 6,030  $ 6,369  $ 8,981  $ 10,501  $ -  $ -  $ 53,180  Current period gross charge-off -  -  -  -  -  -  -  -  -  Commercial real estate Pass (1-6) $ 101,685  $ 70,157  $ 65,803  $ 68,414  $ 104,180  $ 164,970  $ -  $ -  $ 575,209  Special Mention (7) 178  655  998  3,302  1,981  5,327  -  -  12,441  Substandard (8) 178  -  1,016  523  2,024  4,459  -  -  8,200  Total $ 102,041  $ 70,812  $ 67,817  $ 72,239  $ 108,185  $ 174,756  $ -  $ -  $ 595,850  Current period gross charge-off -  -  -  -  (69) -  -  -  (69) Construction and land development Pass (1-6) $ 48,106  $ 28,616  $ 6,796  $ 1,761  $ 275  $ 114  $ -  $ -  $ 85,668  Special Mention (7) 385  -  -  -  -  -  -  -  385  Substandard (8) -  -  -  593  -  -  -  -  593  Total $ 48,491  $ 28,616  $ 6,796  $ 2,354  $ 275  $ 114  $ -  $ -  $ 86,646  Current period gross charge-off -  -  -  -  -  -  -  -  -  Multifamily Pass (1-6) $ 19,602  $ 14,864  $ 5,706  $ 12,142  $ 43,261  $ 73,406  $ -  $ -  $ 168,981  Special Mention (7) 1,982  -  -  -  -  710  -  -  2,692  Substandard (8) 415  -  -  191  1,103  -  -  -  1,709  Total $ 21,999  $ 14,864  $ 5,706  $ 12,333  $ 44,364  $ 74,116  $ -  $ -  $ 173,382  Current period gross charge-off -  -  -  -  -  -  -  -  -  Commercial business Pass (1-6) $ 41,885  $ 27,784  $ 10,809  $ 7,718  $ 8,357  $ 4,113  $ -  $ -  $ 100,666  Special Mention (7) -  838  311  881  702  184  -  -  2,916  Substandard (8) 697  -  130  968  68  68  -  -  1,931  Total $ 42,582  $ 28,622  $ 11,250  $ 9,567  $ 9,127  $ 4,365  $ -  $ -  $ 105,513  Current period gross charge-off -  -  (43) -  -  (59) -  -  (102) Consumer Pass (1-6) $ 139  $ 48  $ 36  $ 33  $ 10  $ 8  $ -  $ -  $ 274  Substandard (8) -  -  -  4  -  -  -  -  4  Total $ 139  $ 48  $ 36  $ 37  $ 10  $ 8  $ -  $ -  $ 278  Current period gross charge-off (1) -  -  -  -  (57) -  -  (58) Manufactured homes Pass (1-6) $ -  $ 95  $ 73  $ 17  $ 1,445  $ 19,475  $ -  $ -  $ 21,105  Special Mention (7) -  -  -  -  -  164  -  -  $ 164  Substandard (8) -  -  -  -  -  49  -  -  49  Total $ -  $ 95  $ 73  $ 17  $ 1,445  $ 19,688  $ -  $ -  $ 21,318  Current period gross charge-off -  -  -  -  -  -  -  -  -  Government Pass (1-6) $ 1,077  $ 3,840  $ -  $ -  $ 634  $ 2,089  $ -  $ -  $ 7,640  Total $ 1,077  $ 3,840  $ -  $ -  $ 634  $ 2,089  $ -  $ -  $ 7,640  Current period gross charge-off -  -  -  -  -  -  -  -  -  December 31, 2025 2025 2024 2023 2022 2021 Prior Revolving Revolving Converted to Term Total Total Loans Receivable $ 132,738  $ 125,371  $ 125,504  $ 257,065  $ 260,859  $ 438,852  $ 106,883  $ 1,552  $ 1,448,824  Total current period gross charge-off $ (202) $ -  $ (44) $ -  $ (13) $ (496) $ -  $ -  (755) Residential real estate Pass (1-6) $ 12,570  $ 19,139  $ 26,559  $ 80,834  $ 93,636  $ 196,415  $ 2,477  $ -  $ 431,630  Special Mention (7) -  -  619  1,464  1,063  1,651  -  -  4,797  Substandard (8) 296  74  887  1,475  430  2,854  -  -  6,016  Total $ 12,866  $ 19,213  $ 28,065  $ 83,773  $ 95,129  $ 200,920  $ 2,477  $ -  $ 442,443  Current period gross charge-off -  -  -  -  (13) -  -  -  (13) Home equity Pass (1-6) $ 766  $ 92  $ 41  $ 232  $ 49  $ 2,086  $ 47,926  $ 1,187  $ 52,379  Special Mention (7) -  -  7  -  -  59  45  194  305  Substandard (8) -  24  -  -  20  181  417  171  813  Total $ 766  $ 116  $ 48  $ 232  $ 69  $ 2,326  $ 48,388  $ 1,552  $ 53,497  Current period gross charge-off -  -  -  -  -  -  -  -  -  Commercial real estate Pass (1-6) $ 58,029  $ 65,768  $ 62,929  $ 111,515  $ 78,531  $ 160,344  $ 3,717  $ -  $ 540,833  Special Mention (7) 25  410  2,214  2,865  3,403  4,283  -  -  13,200  Substandard (8) -  -  208  221  -  1,132  -  -  1,561  Total $ 58,054  $ 66,178  $ 65,351  $ 114,601  $ 81,934  $ 165,759  $ 3,717  $ -  $ 555,594  Current period gross charge-off -  -  -  -  -  -  -  -  -  Construction and land development Pass (1-6) $ 36,388  $ 19,226  $ 12,795  $ 2,288  $ 1,074  $ 753  $ 1,893  $ -  $ 74,417  Special Mention (7) -  -  -  129  428  -  -  -  557  Substandard (8) -  -  939  60  1,235  -  -  -  2,234  Total $ 36,388  $ 19,226  $ 13,734  $ 2,477  $ 2,737  $ 753  $ 1,893  $ -  $ 77,208  Current period gross charge-off -  -  -  -  -  -  -  -  -  Multifamily Pass (1-6) $ 12,249  $ 6,289  $ 11,215  $ 44,804  $ 64,357  $ 40,791  $ 644  $ -  $ 180,349  Special Mention (7) -  -  -  756  374  1,727  -  -  2,857  Substandard (8) -  -  200  409  -  87  -  -  696  Total $ 12,249  $ 6,289  $ 11,415  $ 45,969  $ 64,731  $ 42,605  $ 644  $ -  $ 183,902  Current period gross charge-off -  -  -  -  -  (201) -  -  (201) Commercial business Pass (1-6) $ 6,601  $ 11,813  $ 5,661  $ 7,121  $ 4,595  $ 10,980  $ 48,326  $ -  $ 95,097  Special Mention (7) 299  61  260  62  18  737  1,331  -  2,768  Substandard (8) -  87  898  34  124  189  107  -  1,439  Total $ 6,900  $ 11,961  $ 6,819  $ 7,217  $ 4,737  $ 11,906  $ 49,764  $ -  $ 99,304  Current period gross charge-off (158) -  (44) -  -  (293) -  -  (495) Consumer Pass (1-6) $ 705  $ 58  $ 72  $ 19  $ 16  $ -  $ -  $ -  $ 870  Substandard (8) -  -  -  -  -  -  -  -  -  Total $ 705  $ 58  $ 72  $ 19  $ 16  $ -  $ -  $ -  $ 870  Current period gross charge-off (44) -  -  -  -  (2) -  -  (46) Manufactured homes Pass (1-6) $ -  $ -  $ -  $ 1,733  $ 10,383  $ 11,493  $ -  $ -  $ 23,609  Special Mention (7) -  -  -  -  -  28  -  -  28  Substandard (8) -  -  -  -  46  25  -  -  71  Total $ -  $ -  $ -  $ 1,733  $ 10,429  $ 11,546  $ -  $ -  $ 23,708  Current period gross charge-off -  -  -  -  -  -  -  -  -  Government Pass (1-6) $ 4,810  $ 2,330  $ -  $ 1,044  $ 1,077  $ 3,037  $ -  $ -  $ 12,298  Total $ 4,810  $ 2,330  $ -  $ 1,044  $ 1,077  $ 3,037  $ -  $ -  $ 12,298  Current period gross charge-off -  -  -  -  -  -  -  -  -
Schedule of Financing Receivable, Modified	The following table shows the amortized cost basis of loans at September 30, 2026 and September 30, 2025, that were both experiencing financial difficulty and modified during the three and nine months ended September 30, 2026 and September 30, 2025, segregated by portfolio segment and type of modification. The percentage of the amortized cost of loans that were modified to borrowers in financial distress as compared to the amortized cost of each segment of financing receivable is also presented below. Three Months Ended September 30, 2026 (Dollars in thousands) Payment Delay Term Extension Interest Rate Reduction Combination Term Extension and Interest Rate Reduction % of Total Segment Financing Receivables Residential real estate $ -  $ 811  $ -  $ -  0.18 % Home equity -  96  -  -  0.18 % Total $ -  $ 907  $ -  $ -  0.06 % Three Months Ended September 30, 2025 (Dollars in thousands) Payment Delay Term Extension Interest Rate Reduction Combination Term Extension and Interest Rate Reduction % of Total Segment Financing Receivables Residential real estate $ -  $ 307  $ -  $ -  0.07 % Commercial real estate -  390  -  -  0.07 % Total $ -  $ 697  $ -  $ -  0.05 % Nine Months Ended September 30, 2026 (Dollars in thousands) Payment Delay Term Extension Interest Rate Reduction Combination Term Extension and Interest Rate Reduction % of Total Segment Financing Receivables Residential real estate $ 1,259  $ 2,458  $ -  $ -  0.82 % Home equity -  96  -  -  0.18 % Total $ 1,259  $ 2,554  $ -  $ -  0.25 % Nine Months Ended September 30, 2025 (Dollars in thousands) Payment Delay Term Extension Interest Rate Reduction Combination Term Extension and Interest Rate Reduction % of Total Segment Financing Receivables Residential real estate $ -  $ 472  $ -  $ -  0.10 % Commercial real estate 135  390  -  -  0.09 % Construction and land development 654  -  -  -  0.82 % Commercial business 1,053  -  -  -  1.09 % Total $ 1,842  $ 862  $ -  $ -  0.18 % There were no commitments to lend additional amounts to the borrowers included in the previous tables. The borrowers with term extensions either had payments deferred to the end of the loan term, providing payment relief, or had contractual maturity dates extended, resulting in a reduction in monthly payments. Three Months Ended September 30, 2026 (Dollars in thousands) Principal Forgiveness Weighted average interest rate reduction Weighted average term extension (months) Average Payment delay (months) Residential real estate $ -  —  % 6 0 Home equity $ -  —  % 6 0 Three Months Ended September 30, 2025 (Dollars in thousands) Principal Forgiveness Weighted average interest rate reduction Weighted average term extension (months) Average Payment delay (months) Residential real estate $ -  —  % 7 0 Commercial real estate $ -  —  % 180 0 For the nine months ended September 30, 2026 (Dollars in thousands) Principal Forgiveness Weighted average interest rate reduction Weighted average term extension (months) Average Payment delay (months) Residential real estate $ -  —  % 4 7 Home equity $ -  —  % 6 0 For the nine months ended September 30, 2025 (Dollars in thousands) Principal Forgiveness Weighted average interest rate reduction Weighted average term extension (months) Average Payment delay (months) Residential real estate $ -  —  % 7 0 Commercial real estate $ -  —  % 180 5 The Company closely monitors the performance of loans that have been modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following tables present the performance of such loans in the twelve months following modification. September 30, 2026 (Dollars in thousands) Current 30-59 Days Past Due 60-89 Days  Past Due Greater Than 90 Days Past Due Residential real estate $ 1,839  $ 405  $ 119  $ 1,793  Home equity 96  -  -  -  Commercial real estate 385  -  -  -  Total $ 2,320  $ 405  $ 119  $ 1,793  September 30, 2025 (Dollars in thousands) Current 30-59 Days Past Due 60-89 Days Past Due Greater Than 90 Days Past Due Residential real estate $ 500  $ -  $ 378  $ 315  Home equity 30  -  -  -  Commercial real estate 390  -  -  135  Construction and land development -  -  -  654  Commercial business 2  -  -  1,051  Total $ 922  $ -  $ 378  $ 2,155
Schedule of Accretable Yield from Financing Receivables	Accretable yield, or income recorded for the nine months ended September 30, is as follows: (Dollars in thousands) Total 2025 $ 610  2026 456  Accretable yield, or income expected to be recorded in the future is as follows: (Dollars in thousands) Total Remainder of 2026 $ 84  2027 284  2028 271  2029 239  2030 232  2031 and thereafter 1,944  Total $ 3,054
Schedule of Financing Receivable, Allowance for Credit Loss	The following tables show the changes in the allowance for credit losses, segregated by portfolio segment, for the three and nine months ended September 30, 2026, and 2025. The Company's activity in the allowance for credit losses, by loan segment, is summarized below for the three months ended September 30, 2026: (Dollars in thousands) Beginning Balance Charge-offs Recoveries Provisions Ending Balance Allowance for credit losses: Residential real estate $ 3,216  $ (116) $ 32  $ 61  $ 3,193  Home equity 736  -  -  (19) 717  Commercial real estate 8,860  (69) -  (41) 8,750  Construction and land development 1,623  -  -  95  1,718  Multifamily 1,973  -  -  (104) 1,869  Commercial business 1,164  (59) 3  72  1,180  Consumer 2  (33) 2  30  1  Manufactured homes 116  -  -  (5) 111  Government 4  -  -  (1) 3  Total $ 17,694  $ (277) $ 37  $ 88  $ 17,542  The Company's activity in the allowance for credit losses, by loan segment, is summarized below for the three months ended September 30, 2025: (Dollars in thousands) Beginning Balance Charge-offs Recoveries Provisions Ending Balance Allowance for credit losses: Residential real estate $ 2,755  $ -  $ 15  $ (22) $ 2,748  Home equity 738  -  -  (56) 682  Commercial real estate 9,150  -  -  86  9,236  Construction and land development 1,495  -  -  (345) 1,150  Multifamily 2,301  -  1  226  2,528  Commercial business 1,603  (276) -  141  1,468  Consumer 2  (14) 6  9  3  Manufactured homes 125  -  -  (9) 116  Government 15  -  -  31  46  Total $ 18,184  $ (290) $ 22  $ 61  $ 17,977  The Company's activity in the allowance for credit losses, by loan segment, is summarized below for the nine months ended September 30, 2026: (Dollars in thousands) Beginning Balance Charge-offs Recoveries Provisions Ending Balance Allowance for credit losses: Residential real estate $ 2,757  $ (121) $ 102  $ 455  $ 3,193  Home equity 688  -  -  29  717  Commercial real estate 9,152  (69) -  (333) 8,750  Construction and land development 1,114  -  -  604  1,718  Multifamily 2,078  -  -  (209) 1,869  Commercial business 1,583  (102) 38  (339) 1,180  Consumer 2  (58) 4  53  1  Manufactured homes 116  -  -  (5) 111  Government 16  -  -  (13) 3  Total $ 17,506  $ (350) $ 144  $ 242  $ 17,542  The Company's activity in the allowance for credit losses, by loan segment, is summarized below for the nine months ended September 30, 2025: (Dollars in thousands) Beginning Balance Charge-offs Recoveries Provisions Ending Balance Allowance for credit losses: Residential real estate $ 4,481  $ -  $ 50  $ (1,783) $ 2,748  Home equity 835  -  -  (153) 682  Commercial real estate 6,444  -  4  2,788  9,236  Construction and land development 2,651  -  -  (1,501) 1,150  Multifamily 1,003  (46) 11  1,560  2,528  Commercial business 1,185  (337) 460  160  1,468  Consumer 5  (35) 7  26  3  Manufactured homes 252  -  -  (136) 116  Government 55  -  -  (9) 46  Total $ 16,911  $ (418) $ 532  $ 952  $ 17,977
Schedule of Collateral Dependent Loans	The table below presents the amortized cost basis of collateral dependent loans, including loans evaluated individually and collectively, and the related ACL allocation recognized on individually evaluated loans, where applicable, in accordance with ASC 326. (Dollars in thousands) September 30, 2026 Real Estate Equipment/Inventory Accounts Receivable Vehicles Total ACL-Individual Evaluation Residential real estate $ 8,733  $ -  $ -  $ -  $ 8,733  $ -  Home equity 759  -  -  -  759  -  Commercial real estate 4,006  -  -  -  4,006  59  Construction and land development 593  -  -  -  593  -  Multifamily 1,364  -  -  -  1,364  -  Commercial business -  1,197  69  18  1,284  96  Manufactured homes 49  -  -  -  49  -  Total $ 15,504  $ 1,197  $ 69  $ 18  $ 16,788  $ 155  (Dollars in thousands) December 31, 2025 Real Estate Equipment/Inventory Accounts Receivable Vehicles Total ACL-Individual Evaluation Residential real estate $ 2,185  $ -  $ -  $ -  $ 2,185  $ 39  Home equity 4  -  -  -  4  -  Commercial real estate 1,561  -  -  -  1,561  86  Construction and land development 2,234  -  -  -  2,234  -  Multifamily 696  -  -  -  696  -  Commercial business -  1,267  130  42  1,439  138  Total $ 6,680  $ 1,267  $ 130  $ 42  $ 8,119  $ 263
Schedule of Financing Receivable, Nonaccrual	The following table presents non–accrual loans and loans past due over 90 days still on accrual by class of loans: As of September 30, 2026 Nonaccrual with No Allowance for Credit Loss Nonaccrual with Allowance for Credit Loss Nonaccrual Loans in Total Loans Past Due over 90 Days Still Accruing Residential real estate $ 529  $ 8,204  $ 8,733  $ -  Home equity -  759  759  -  Commercial real estate 3,823  183  4,006  -  Construction and land development 593  -  593  -  Multifamily 1,364  -  1,364  -  Commercial business 1,188  96  1,284  -  Manufactured homes -  49  49  -  Total $ 7,497  $ 9,291  $ 16,788  $ -  As of December 31, 2025 Nonaccrual with No Allowance for Credit Loss Nonaccrual with Allowance for Credit Loss Nonaccrual Loans in Total Loans Past Due over 90 Days Still Accruing Residential real estate $ 1,873  $ 4,059  $ 5,932  $ -  Home equity -  810  810  -  Commercial real estate 1,158  403  1,561  -  Construction and land development 653  -  653  -  Multifamily 696  -  696  -  Commercial business 391  1,048  1,439  -  Manufactured homes -  71  71  -  Total $ 4,771  $ 6,391  $ 11,162  $ -
Schedule of Changes in Liability for Credit Loss on Unfunded Commitments	The following table shows the changes in the liability for credit losses on unfunded loan commitments. (Dollars in thousands) Three months ended, September 30, 2026 Three months ended, September 30, 2025 Balance, beginning of period $ 1,917  $ 2,027  Provision for (benefit from) unfunded loan commitments 36  (361) Balance, end of period $ 1,953  $ 1,666  (Dollars in thousands) Nine months ended, September 30, 2026 Nine months ended, September 30, 2025 Balance, beginning of period $ 1,752  $ 2,739  Provision for (benefit from) unfunded loan commitments 201  (1,073) Balance, end of period $ 1,953  $ 1,666