Loans Held for Investment (Tables)

12 Months Ended

Jun. 30, 2023

Loans Held for Investment

Schedule of loans held for investment

Loans held for investment consisted of the following at June 30, 2023 and 2022:

(In Thousands)	June 30, 2023		June 30, 2022
Mortgage loans:
Single-family	$	518,821	$	378,234
Multi-family		461,113		464,676
Commercial real estate		90,558		90,429
Construction		1,936		3,216
Other		106		123
Commercial business loans		1,565		1,206
Consumer loans		65		86
Total loans held for investment, gross		1,074,164		937,970
Advance payments of escrows		148		47
Deferred loan costs, net		9,263		7,539
Allowance for loan losses		(5,946)		(5,564)
Total loans held for investment, net	$	1,077,629	$	939,992

Schedule of loans held for investment, contractual repricing

	Adjustable Rate
			After		After		After
		Within	One Year		3 Years		5 Years
(In Thousands)	One Year		Through 3 Years		Through 5 Years		Through 10 Years		Fixed Rate		Total
Mortgage loans:
Single-family	$	56,859	$	22,936	$	68,980	$	258,085	$	111,961	$	518,821
Multi-family		152,929		147,344		118,761		41,950		129		461,113
Commercial real estate		39,071		15,069		35,135		—		1,283		90,558
Construction		1,440		—		—		—		496		1,936
Other		—		—		—		—		106		106
Commercial business loans		1,565		—		—		—		—		1,565
Consumer loans		65		—		—		—		—		65
Total loans held for investment, gross	$	251,929	$	185,349	$	222,876	$	300,035	$	113,975	$	1,074,164

Schedule of gross loans held for investment by loan types and risk category

The following tables summarize gross loans held for investment by loan types and risk category at the dates indicated:

	June 30, 2023
					Commercial				Other		Commercial
(In Thousands)	Single-family		Multi-family		Real Estate		Construction		Mortgage		Business		Consumer		Total
Pass	$	517,399	$	460,603	$	90,011	$	1,936	$	106	$	1,565	$	65	$	1,071,685
Special Mention		—		510		—		—		—		—		—		510
Substandard		1,422		—		547		—		—		—		—		1,969
Total loans held for investment, gross	$	518,821	$	461,113	$	90,558	$	1,936	$	106	$	1,565	$	65	$	1,074,164

	June 30, 2022
					Commercial					Other	Commercial
(In Thousands)	Single-family		Multi-family		Real Estate		Construction			Mortgage	Business		Consumer		Total
Pass	$	376,502	$	464,676	$	90,429	$	3,216	$	123	$	1,206	$	86	$	936,238
Special Mention		224		—		—		—		—		—		—		224
Substandard		1,508		—		—		—		—		—		—		1,508
Total loans held for investment, gross	$	378,234	$	464,676	$	90,429	$	3,216	$	123	$	1,206	$	86	$	937,970

Schedule of allowance for loan losses

The following summarizes the components of the net change in the allowance for loan losses for the years indicated:

	Year Ended June 30,
(In Thousands)	2023		2022
Balance, beginning of year	$	5,564	$	7,587
Provision (recovery) for loan losses		374		(2,462)
Recoveries		8		439
Charge-offs		—		—
Balance, end of year	$	5,946	$	5,564

Schedule of past due status of gross loans held for investment, net of fair value adjustments

The following tables provide information on the past due status of the Corporation’s loans held for investment, gross, at the dates indicated.

	June 30, 2023
			30-89 Days Past				Total Loans Held for
(In Thousands)	Current		Due		Non-Accrual(1)		Investment, Gross
Mortgage loans:
Single-family	$	517,399	$	—	$	1,422	$	518,821
Multi-family		461,113		—		—		461,113
Commercial real estate		90,558		—		—		90,558
Construction		1,936		—		—		1,936
Other		106		—		—		106
Commercial business loans		1,565		—		—		1,565
Consumer loans		64		1		—		65
Total loans held for investment, gross	$	1,072,741	$	1	$	1,422	$	1,074,164

(1) All loans 90 days or greater past due are placed on non-accrual status.

	June 30, 2022
			30-89 Days Past				Total Loans Held for
(In Thousands)	Current		Due		Non-Accrual(1)		Investment, Gross
Mortgage loans:
Single-family	$	376,726	$	—	$	1,508	$	378,234
Multi-family		464,676		—		—		464,676
Commercial real estate		90,429		—		—		90,429
Construction		3,216		—		—		3,216
Other		123		—		—		123
Commercial business loans		1,206		—		—		1,206
Consumer loans		83		3		—		86
Total loans held for investment, gross	$	936,459	$	3	$	1,508	$	937,970

(1) All loans 90 days or greater past due are placed on non-accrual status.

Schedule of allowance for loan losses and recorded investment

The following tables summarize the Corporation’s allowance for loan losses and recorded investment in gross loans, by portfolio type, at the dates and for the years indicated.

	Year Ended June 30, 2023
							Commercial									Commercial
(In Thousands)	Single-family			Multi-family			Real Estate			Construction			Other Mortgage			Business			Consumer			Total
Allowance at beginning of period	$	1,383		$	3,282		$	816		$	23		$	3		$	52		$	5		$	5,564
Provision (recovery) for loan losses		329			(12)			52			(8)			(1)			15			(1)			374
Recoveries		8			—			—			—			—			—			—			8
Charge-offs		—			—			—			—			—			—			—			—
Allowance for loan losses, end of period	$	1,720		$	3,270		$	868		$	15		$	2		$	67		$	4		$	5,946
Allowance:
Individually evaluated for allowances	$	37		$	—		$	—		$	—		$	—		$	—		$	—		$	37
Collectively evaluated for allowances		1,683			3,270			868			15			2			67			4			5,909
Allowance for loan losses, end of period	$	1,720		$	3,270		$	868		$	15		$	2		$	67		$	4		$	5,946
Gross Loans:
Individually evaluated for allowances	$	996		$	—		$	—		$	—		$	—		$	—		$	—		$	996
Collectively evaluated for allowances		517,825			461,113			90,558			1,936			106			1,565			65			1,073,168
Total loans held for investment, gross	$	518,821		$	461,113		$	90,558		$	1,936		$	106		$	1,565		$	65		$	1,074,164
Allowance for loan losses as a percentage of gross loans held for investment		0.33	%		0.71	%		0.96	%		0.77	%		1.89	%		4.28	%		6.15	%		0.55	%
Net (recoveries) charge-offs to average loans receivable, net during the period		—	%		—	%		—	%		—	%		—	%		—	%		—	%		—	%

	Year Ended June 30, 2022
							Commercial									Commercial
(In Thousands)	Single-family			Multi-family			Real Estate			Construction			Other Mortgage			Business			Consumer			Total
Allowance at beginning of period	$	2,000		$	4,485		$	1,006		$	51		$	3		$	36		$	6		$	7,587
(Recovery) provision for loan losses		(1,056)			(1,203)			(190)			(28)			—			16			(1)			(2,462)
Recoveries		439			—			—			—			—			—			—			439
Charge-offs		—			—			—			—			—			—			—			—
Allowance for loan losses, end of period	$	1,383		$	3,282		$	816		$	23		$	3		$	52		$	5		$	5,564
Allowance:
Individually evaluated for allowances	$	38		$	—		$	—		$	—		$	—		$	—		$	—		$	38
Collectively evaluated for allowances		1,345			3,282			816			23			3			52			5			5,526
Allowance for loan losses, end of period	$	1,383		$	3,282		$	816		$	23		$	3		$	52		$	5		$	5,564
Gross Loans:
Individually evaluated for allowances	$	1,275		$	—		$	—		$	—		$	—		$	—		$	—		$	1,275
Collectively evaluated for allowances		376,959			464,676			90,429			3,216			123			1,206			86			936,695
Total loans held for investment, gross	$	378,234		$	464,676		$	90,429		$	3,216		$	123		$	1,206		$	86		$	937,970
Allowance for loan losses as a percentage of gross loans held for investment		0.37	%		0.71	%		0.90	%		0.72	%		2.44	%		4.31	%		5.81	%		0.59	%
Net (recoveries) charge-offs to average loans receivable, net during the period		(0.15)	%		—	%		—	%		—	%		—	%		—	%		—	%		(0.05)	%

Schedule of recorded investment in non-performing loans

	At or For the Year Ended June 30, 2023
	Unpaid								Net		Average		Interest
	Principal		Related		Recorded				Recorded		Recorded		Income
(In Thousands)	Balance		Charge-offs		Investment		Allowance(1)		Investment		Investment		Recognized
Mortgage loans:
Single-family:
With a related allowance	$	1,171	$	—	$	1,171	$	(122)	$	1,049	$	996	$	42
Without a related allowance(2)		276		(25)		251		—		251		112		—
Total single-family loans		1,447		(25)		1,422		(122)		1,300		1,108		42
Total non-performing loans	$	1,447	$	(25)	$	1,422	$	(122)	$	1,300	$	1,108	$	42

(1) Consists of collectively and individually evaluated allowances, specifically assigned to the individual loan.

(2) There was no related allowance for loan losses because these loans have been charged-off to their fair value or the fair value of the collateral is higher than the loan balance.

	At or For the Year Ended June 30, 2022
	Unpaid		Related						Net		Average		Interest
	Principal		Charge-offs		Recorded				Recorded		Recorded		Income
(In Thousands)	Balance		Related		Investment		Allowance(1)		Investment		Investment		Recognized
Mortgage loans:
Single-family:
With a related allowance	$	993	$	—	$	993	$	(85)	$	908	$	2,594	$	98
Without a related allowance(2)		548		(33)		515		—		515		635		232
Total single-family loans		1,541		(33)		1,508		(85)		1,423		3,229		330
Multi-family:
With a related allowance		—		—		—		—		—		957		46
Total multi-family loans		—		—		—		—		—		957		46
Total non-performing loans	$	1,541	$	(33)	$	1,508	$	(85)	$	1,423	$	4,186	$	376

(1) Consists of collectively and individually evaluated allowances, specifically assigned to the individual loan.

(2) There was no related allowance for loan losses because these loans have been charged-off to their fair value or the fair value of the collateral is higher than the loan balance.

Schedule of troubled debt restructurings by nonaccrual versus accrual status

The following table summarizes at the dates indicated the restructured loan balances, net of allowance for loan losses or charge-offs, by loan type and non-accrual versus accrual status at June 30, 2023 and 2022 :

	At June 30,
(In Thousands)	2023		2022
Restructured loans on non-accrual status:
Mortgage loans:
Single-family	$	708	$	722
Total		708		722
Restructured loans on accrual status:
Mortgage loans:
Single-family		—		3,748
Total		—		3,748
Total restructured loans	$	708	$	4,470

Schedule of recorded investment in restructured loans

The following tables show the restructured loans by type, net of allowance for loan losses or charge-offs, at June 30, 2023 and 2022:

	At June 30, 2023
	Unpaid								Net
	Principal		Related		Recorded				Recorded
(In Thousands)	Balance		Charge-offs		Investment		Allowance(1)		Investment
Mortgage loans:
Single-family:
With a related allowance	$	745	$	—	$	745	$	(37)	$	708
Total single-family		745		—		745		(37)		708
Total restructured loans	$	745	$	—	$	745	$	(37)	$	708

(1) Consists of collectively and individually evaluated allowances, specifically assigned to the individual loan.

	At June 30, 2022
	Unpaid								Net
	Principal		Related		Recorded				Recorded
(In Thousands)	Balance		Charge-offs		Investment		Allowance(1)		Investment
Mortgage loans:
Single-family:
With a related allowance	$	760	$	—	$	760	$	(38)	$	722
Without a related allowance(2)		3,748		—		3,748		—		3,748
Total single-family		4,508		—		4,508		(38)		4,470
Total restructured loans	$	4,508	$	—	$	4,508	$	(38)	$	4,470

(1) Consists of collectively and individually evaluated allowances, specifically assigned to the individual loan.

(2) There was no related allowance for loan losses because these loans have been charged-off to their fair value or the fair value of the collateral is higher than the loan balance.