Fair Value Measurements (Tables)

3 Months Ended

Dec. 31, 2019

Fair Value, Assets Measured on Recurring Basis

The Company's assets measured at estimated fair value on a recurring basis at December 31, 2019 and September 30, 2019 were as follows (dollars in thousands):



December 31, 2019	Estimated Fair Value
	Level 1		Level 2		Level 3		Total
Available for sale investment securities
MBS: U.S. government agencies	$	—	$	37,873	$	—	$	37,873
Investments in equity securities
Mutual funds	953		—		—		953
Total	$	953	$	37,873	$	—	$	38,826




September 30, 2019	Estimated Fair Value
	Level 1		Level 2		Level 3		Total
Available for sale investment securities
MBS: U.S. government agencies	$	—	$	22,532	$	—	$	22,532
Investments in equity securities
Mutual funds	958		—		—		958
Total	$	958	$	22,532	$	—	$	23,490

Balances of Assets Measured at Estimated Fair Value, Nonrecurring Basis

The following table summarizes the balances of assets measured at estimated fair value on a non-recurring basis at September 30, 2019 (dollars in thousands):



	Estimated Fair Value
	Level 1		Level 2		Level 3
Impaired loans:
Mortgage loans:
Land	$	—	$	—	$	114
Consumer loans:
Home equity and second mortgage	—		—		—
Other	—		—		6
Commercial business loans	—		—		408
Total impaired loans	—		—		528
Investment securities – held to maturity:
MBS - private label residential	—		2		—
OREO and other repossessed assets	—		—		1,683
Total	$	—	$	2	$	2,211

The following table summarizes the balances of assets measured at estimated fair value on a non-recurring basis at December 31, 2019 (dollars in thousands):



	Estimated Fair Value
	Level 1		Level 2		Level 3
Impaired loans:
Mortgage loans:
Land	$	—	$	—	$	111
Consumer loans:
Other	—		—		6
Commercial business loans	—		—		347
Total impaired loans	—		—		464

OREO and other repossessed assets	—		—		1,659
Total	$	—	$	—	$	2,123

Level 3 Fair Value Measurements, Nonrecurring Basis

The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis as of December 31, 2019 (dollars in thousands):



	Estimated Fair Value		Valuation Technique(s)	Unobservable Input(s)	Range
Impaired loans	$	464	Market approach	Appraised value less estimated selling costs	NA

OREO and other repossessed assets	$	1,659	Market approach	Lower of appraised value or listing price less estimated selling costs	NA

The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis as of September 30, 2019 (dollars in thousands):



	Estimated Fair Value		Valuation Technique(s)	Unobservable Input(s)	Range
Impaired loans	$	528	Market approach	Appraised value less estimated selling costs	NA

OREO and other repossessed assets	$	1,683	Market approach	Lower of appraised value or listing price less estimated selling costs	NA

Balances of Assets and Liabilities Measured at Estimated Fair Value, Recurring Basis

The recorded amounts and estimated fair values of financial instruments were as follows as of December 31, 2019 and September 30, 2019 (dollars in thousands):



	December 31, 2019
					Fair Value Measurements Using:
	Recorded Amount		Estimated Fair Value		Level 1		Level 2		Level 3
Financial assets
Cash and cash equivalents	$	118,851	$	118,851	$	118,851	$	—	$	—
CDs held for investment	76,249		76,249		76,249		—		—
Investment securities	76,953		79,114		2,997		76,117		—
Investments in equity securities	953		953		953		—		—
FHLB stock	1,437		1,437		1,437		—		—
Other investments	3,000		3,000		3,000		—		—
Loans held for sale	5,420		5,501		5,501		—		—
Loans receivable, net	913,150		917,475		—		—		917,475
Accrued interest receivable	3,665		3,665		3,665		—		—

Financial liabilities
Certificates of deposits	165,408		166,432		—		—		166,432
Accrued interest payable	351		351		351		—		—



	September 30, 2019
					Fair Value Measurements Using:
	Recorded Amount		Estimated Fair Value		Level 1		Level 2		Level 3
Financial assets
Cash and cash equivalents	$	143,015	$	143,015	$	143,015	$	—	$	—
CDs held for investment	78,346		78,346		78,346		—		—
Investment securities	53,634		55,112		3,949		51,163		—
Investments in equity securities	958		958		958		—		—
FHLB stock	1,437		1,437		1,437		—		—
Other investments	3,000		3,000		3,000		—		—
Loans held for sale	6,071		6,260		6,260		—		—
Loans receivable, net	886,662		892,495		—		—		892,495
Accrued interest receivable	3,598		3,598		3,598		—		—

Financial liabilities
Certificates of deposits	165,655		166,852		—		—		166,852
Accrued interest payable	333		333		333		—		—