6. LOANS RECEIVABLE

Loans receivable as of both December 31, 2019 and March 31, 2019 are reported net of deferred loan fees totaling $4.0 million. Loans receivable are also reported net of discounts and premiums totaling $1.1 million and $1.5 million, respectively, as of December 31, 2019, compared to $1.5 million and $1.8 million, respectively, as of March 31, 2019. Loans receivable, excluding loans held for sale, consisted of the following at the dates indicated (in thousands):


	December 31,		March 31,
	2019		2019
Commercial and construction
Commercial business	$	165,526	$	162,796
Commercial real estate		470,163		461,432
Land		15,163		17,027
Multi-family		57,792		51,570
Real estate construction		88,872		90,882
Total commercial and construction		797,516		783,707

Consumer
Real estate one-to-four family		83,978		84,053
Other installment (1)		5,039		8,356
Total consumer		89,017		92,409

Total loans		886,533		876,116
Less: Allowance for loan losses		11,433		11,457
Loans receivable, net	$	875,100	$	864,659

(1) Includes purchased automobile loans totaling $2.5 million and $5.8 million at December 31, 2019 and March 31, 2019, respectively.

The Company considers its loan portfolio to have very little exposure to sub-prime mortgage loans since the Company has not historically engaged in this type of lending. At December 31, 2019, loans carried at $471.6 million were pledged as collateral to the Federal Home Loan Bank of Des Moines (“FHLB”) and Federal Reserve Bank of San Francisco (“FRB”) pursuant to borrowing agreements.

Most of the Bank’s business activity is with customers located in the states of Washington and Oregon. Loans and extensions of credit outstanding at one time to one borrower are generally limited by federal regulation to 15% of the Bank’s shareholders’ equity, excluding accumulated other comprehensive income (loss). As of December 31, 2019 and March 31, 2019, the Bank had no loans to any one borrower in excess of the regulatory limit.