Credit Quality of Loans and the Allowance for Loan Losses (Tables)

9 Months Ended

Sep. 30, 2017

Receivables [Abstract]

Schedule of Allowance for Loan Losses

The following presents by portfolio segment the activity in the allowance for loan losses for the three and nine months ended September 30, 2017 and 2016:

Three months ended September 30, 2017	One-to-four family residential			All other mortgage loans		Commercial business loans		Consumer loans		Total
	(In thousands)
Beginning balance	$	1,362		$	1,095	$	695	$	5	$	3,157
Provision (Credit)           charged to expense		(111	)		203		—		7		99
Losses charged off		(7	)		—		—		—		(7	)
Recoveries		1			—		—		—		1
Ending balance	$	1,245		$	1,298	$	695	$	12	$	3,250

Three months ended September 30, 2016	One-to-four family residential			All other mortgage loans			Commercial business loans		Consumer loans		Total
	(In thousands)
Beginning balance	$	1,582		$	957		$	234	$	3	$	2,776
Provision (Credit)           charged to expense		(105	)		238			75		—		208
Losses charged off		—			(78	)		—		—		(78	)
Recoveries		—			—			1		—		1
Ending balance	$	1,477		$	1,117		$	310	$	3	$	2,907

Nine months ended September 30, 2017	One-to-four family residential			All other mortgage loans		Commercial business loans		Consumer loans		Total
	(In thousands)
Beginning balance	$	1,479		$	1,108	$	447	$	6	$	3,040
Provision (Credit)           charged to expense		(234	)		190		247		6		209
Losses charged off		(30	)		—		—		—		(30	)
Recoveries		30			—		1		—		31
Ending balance	$	1,245		$	1,298	$	695	$	12	$	3,250

Nine months ended September 30, 2016	One-to-four family residential		All other mortgage loans			Commercial business loans		Consumer loans			Total
	(In thousands)
Beginning balance	$	1,346	$	1,210		$	279	$	2		$	2,837
Provision (Credit)           charged to expense		130		(10	)		30		2			152
Losses charged off		—		(83	)		—		(1	)		(84	)
Recoveries		1		—			1		—			2
Ending balance	$	1,477	$	1,117		$	310	$	3		$	2,907

The following tables present the balance in the allowance for loan losses and the recorded investment in loans based on the portfolio segment and impairment method as of September 30, 2017 and December 31, 2016:

September 30, 2017	One-to-four family residential		All other mortgage loans		Commercial business loans		Consumer loans		Total
Allowance Balances:	(In thousands)
Ending balance:
Individually evaluated           for impairment	$	143	$	159	$	434	$	5	$	741
Collectively evaluated           for impairment		1,102		1,139		261		7		2,509
Total allowance for      loan losses	$	1,245	$	1,298	$	695	$	12	$	3,250
Loan Balances:
Ending balance:
Individually evaluated           for impairment	$	1,330	$	1,123	$	525	$	5	$	2,983
Collectively evaluated           for impairment		190,763		135,090		25,461		2,143		353,457
Total balance	$	192,093	$	136,213	$	25,986	$	2,148	$	356,440

December 31, 2016	One-to-four family residential		All other mortgage loans		Commercial business loans		Consumer loans		Total
Allowance Balances:	(In thousands)
Ending balance:
Individually evaluated           for impairment	$	323	$	151	$	184	$	—	$	658
Collectively evaluated           for impairment		1,156		957		263		6		2,382
Total allowance for loan      losses	$	1,479	$	1,108	$	447	$	6	$	3,040
Loan Balances:
Ending balance:
Individually evaluated           for impairment	$	1,527	$	1,067	$	547	$	—	$	3,141
Collectively evaluated           for impairment		191,897		120,890		22,668		2,193		337,648
Total balance	$	193,424	$	121,957	$	23,215	$	2,193	$	340,789

Schedule of Loans Receivable by Credit Risk Profile

The following tables present the credit risk profile of the Bank’s loan portfolio based on rating category and payment activity as of September 30, 2017 and December 31, 2016:

September 30, 2017	One-to-four family residential		All other mortgage loans		Commercial business loans		Consumer loans
	(In thousands)
Rating *
Pass (Risk 1-4)	$	188,779	$	131,592	$	25,311	$	2,142
Special Mention (Risk 5)		—		2,232		32		—
Substandard (Risk 6)		3,314		2,389		643		6
Total	$	192,093	$	136,213	$	25,986	$	2,148

December 31, 2016	One-to-four family residential		All other mortgage loans		Commercial business loans		Consumer loans
	(In thousands)
Rating *
Pass (Risk 1-4)	$	189,975	$	119,503	$	22,427	$	2,193
Special Mention (Risk 5)		—		—		—		—
Substandard (Risk 6)		3,449		2,454		788		—
Total	$	193,424	$	121,957	$	23,215	$	2,193

Schedule of Aging Analysis of Loans Receivable

The following tables present the Bank’s loan portfolio aging analysis for September 30, 2017 and December 31, 2016:

September 30, 2017	30-59 Days Past Due		60-89 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Loans Receivable
	(In thousands)
One-to-four family      residential loans	$	56	$	284	$	237	$	577	$	191,516	$	192,093
All other mortgage      loans		183		—		63		246		135,967		136,213
Commercial business      loans		14		50		517		581		25,405		25,986
Consumer loans		5		—		1		6		2,142		2,148
Total	$	258	$	334	$	818	$	1,410	$	355,030	$	356,440

December 31, 2016	30-59 Days Past Due		60-89 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Loans Receivable
	(In thousands)
One-to-four family      residential loans	$	442	$	419	$	959	$	1,820	$	191,604	$	193,424
All other mortgage      loans		—		—		63		63		121,894		121,957
Commercial business      loans		15		—		23		38		23,177		23,215
Consumer loans		8		—		—		8		2,185		2,193
Total	$	465	$	419	$	1,045	$	1,929	$	338,860	$	340,789

Schedule of Non-accrual Loans

Nonaccrual loans were comprised of the following at:

Non-accrual loans	September 30, 2017		December 31, 2016
	(In thousands)
One-to-four family residential loans	$	1,127	$	1,473
All other mortgage  loans		824		62
Commercial business loans		518		23
Consumer loans		1		—
Total	$	2,470	$	1,558

Schedule of Impaired Loans

	As of September 30, 2017						Three months ended September 30, 2017				Nine months ended September 30, 2017
	Recorded Balance		Unpaid Principal Balance		Specific Allowance		Average Investment in Impaired Loans		Interest Income Recognized		Average Investment in Impaired Loans		Interest Income Recognized
	(In thousands)
Loans without a      specific      valuation      allowance
One-to-four      family      residential      loans	$	1,122	$	1,136	$	—	$	1,130	$	10	$	1,146	$	29
All other      mortgage loans		213		213		—		216		4		220		13
Commercial      business loans		—		—		—		—		—		—		—
Consumer loans		—		—		—		—		—		—		—
Loans with a      specific      valuation      allowance
One-to-four      family      residential      loans		208		208		143		273		—		333		—
All other      mortgage loans		910		910		159		875		14		857		42
Commercial      business loans		525		525		434		542		7		551		21
Consumer loans		5		5		5		3		—		2		—
Total:
One-to-four      family      residential      loans	$	1,330	$	1,344	$	143	$	1,403	$	10		1,479	$	29
All other      mortgage loans		1,123		1,123		159		1,091		18		1,077		55
Commercial      business loans		525		525		434		542		7		551		21
Consumer loans		5		5		5		3		—		2		—
	$	2,983	$	2,997	$	741	$	3,039	$	35	$	3,109	$	105

	As of December 31, 2016						Three months ended September 30, 2016				Nine months ended September 30, 2016
	Recorded Balance		Unpaid Principal Balance		Specific Allowance		Average Investment in Impaired Loans		Interest Income Recognized		Average Investment in Impaired Loans		Interest Income Recognized
	(In thousands)
Loans without a      specific      valuation      allowance
One-to-four family      residential loans	$	1,121	$	1,189	$	—	$	1,024	$	10	$	1,044	$	30
All other mortgage      loans		226		226		—		1,045		17		782		52
Commercial      business loans		—		—		—		—		—		—		—
Loans with a      specific      valuation      allowance
One-to-four family      residential loans		406		406		323		652		—		911		—
All other mortgage      loans		841		841		151		159		—		390		—
Commercial      business loans		547		547		184		49		1		40		1
Total:
One-to-four family      residential loans	$	1,527	$	1,595	$	323	$	1,676	$	10	$	1,955	$	30
All other mortgage      loans		1,067		1,067		151		1,204		17		1,172		52
Commercial      business loans		547		547		184		49		1		40		1
	$	3,141	$	3,209	$	658	$	2,929	$	28	$	3,167	$	56

Schedule of Troubled Debt Restructurings

	Quarter-to-Date						Year-to-Date
Troubled Debt Restructurings	Number of loans		Pre- modification Recorded Principal Balance		Post- modification Recorded Principal Balance		Number of loans		Pre- modification Recorded Principal Balance		Post- modification Recorded Principal Balance
			(dollars in thousands)						(dollars in thousands)
September 30, 2017
One-to-four family      residential loans		—	$	—	$	—		2	$	134	$	134
September 30, 2016
One-to-four family      residential loans		—	$	—	$	—		8	$	412	$	412

Schedule of balance of mortgage loans collateralized by residential real estate properties held as foreclosed assets

The following table presents the balance of mortgage loans collateralized by residential real estate properties held as foreclosed assets at September 30, 2017 and December 31, 2016.

	September 30, 2017		December 31, 2016
	Recorded Investment
	(In thousands)
One-to-four family residential loans	$	75	$	2

Schedule of balance of mortgage loans collateralized by residential real estate properties that are in formal process of foreclosure

The following table presents the balance of those mortgage loans collateralized by residential real estate properties that are in the formal process of foreclosure at September 30, 2017 and December 31, 2016.

	September 30, 2017		December 31, 2016
	Recorded Investment
	(In thousands)
One-to-four family residential loans	$	143	$	97