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Loans and Asset Quality (Tables)
 9 Months Ended
Sep. 30, 2020
Receivables [Abstract]  
Schedule of loans information
Loans HFI by category and loans HFS are summarized below:
(in thousands)September 30, 2020December 31, 2019
Real estate:
Commercial real estate$567,037 $531,990 
One-to-four family residential426,758 420,020 
Construction and development129,879 132,461 
Commercial and industrial249,313 267,940 
SBA PPP, net of deferred income193,532 — 
Tax-exempt59,418 56,494 
Consumer23,335 30,019 
Total loans HFI$1,649,272 $1,438,924 
Total loans HFS$23,358 $5,089 
Schedule of allowance for credit losses
The following table summarizes the activity in the allowance for loan losses by category for the nine months ended September 30, 2020:
(in thousands)Beginning
Balance December 31, 2019		Provision
for Loan
Losses		Loans
Charged-off		RecoveriesEnding
Balance
September 30, 2020
Real estate:
Commercial real estate$3,454 $1,135 $— $— $4,589 
One-to-four family residential3,323 705 — 8 4,036 
Construction and development1,211 188 (14)1 1,386 
Commercial and industrial5,175 896 (1,316)83 4,838 
SBA PPP, net of deferred income— 480 — — 480 
Tax-exempt334 114 — — 448 
Consumer440 100 (254)129 415 
Total allowance for loan losses$13,937 $3,618 $(1,584)$221 $16,192 
The following table summarizes the activity in the allowance for loan losses by category for the twelve months ended December 31, 2019:
(in thousands)Beginning
Balance December 31, 2018		Provision
for Loan
Losses		 Loans
Charged-off		 RecoveriesEnding
Balance December 31, 2019
Real estate:
Commercial real estate$3,081 $373 $— $— $3,454 
One-to-four family residential3,146 216 (44)5 3,323 
Construction and development951 172 — 88 1,211 
Commercial and industrial4,604 850 (864)585 5,175 
SBA PPP, net of deferred income— — — — — 
Tax-exempt372 (38)— — 334 
Consumer370 237 (311)144 440 
Total allowance for loan losses$12,524 $1,810 $(1,219)$822 $13,937 
The balance in the allowance for loan losses and the related recorded investment in loans by category as of September 30, 2020, are as follows:
(in thousands)Individually
Evaluated
for
Impairment		Collectively
Evaluated
for
Impairment		Acquired with
Deteriorated
Credit
Quality		Total
Allowance for loan losses:
Real estate:
Commercial real estate$279 $4,310 $— $4,589 
One-to-four family residential41 3,995 — 4,036 
Construction and development— 1,386 — 1,386 
Commercial and industrial2,432 2,406 — 4,838 
SBA PPP, net of deferred income— 480 — 480 
Tax-exempt— 448 — 448 
Consumer112 303 — 415 
Total allowance for loan losses$2,864 $13,328 $— $16,192 
Loans:
Real estate:
Commercial real estate$3,639 $563,398 $— $567,037 
One-to-four family residential1,333 425,425 — 426,758 
Construction and development— 129,879 — 129,879 
Commercial and industrial10,034 239,279 — 249,313 
SBA PPP, net of deferred income— 193,532 — 193,532 
Tax-exempt— 59,418 — 59,418 
Consumer114 23,221 — 23,335 
Total loans HFI$15,120 $1,634,152 $— $1,649,272 
The balance in the allowance for loan losses and the related recorded investment in loans by category as of December 31, 2019, are as follows:
(in thousands)Individually
Evaluated
for
Impairment		Collectively
Evaluated
for
Impairment		Acquired with
Deteriorated
Credit
Quality		Total
Allowance for loan losses:
Real estate:
Commercial real estate$260 $3,194 $— $3,454 
One-to-four family residential31 3,292 — 3,323 
Construction and development10 1,201 — 1,211 
Commercial and industrial2,916 2,259 — 5,175 
SBA PPP, net of deferred income— — — — 
Tax-exempt— 334 — 334 
Consumer71 369 — 440 
Total allowance for loan losses$3,288 $10,649 $— $13,937 
Loans:
Real estate:
Commercial real estate$2,639 $529,351 $— $531,990 
One-to-four family residential1,193 418,827 — 420,020 
Construction and development38 132,423 — 132,461 
Commercial and industrial8,797 259,143 — 267,940 
SBA PPP, net of deferred income— — — — 
Tax-exempt— 56,494 — 56,494 
Consumer75 29,944 — 30,019 
Total loans HFI$12,742 $1,426,182 $— $1,438,924 
Schedule of financing receivable past due
A summary of current, past due, and nonaccrual loans as of September 30, 2020, is as follows:
Accruing
(in thousands)Current30-89 Days
Past Due		90 Days
or More
Past Due		NonaccrualTotal
Loans
Real estate:
Commercial real estate$564,989 $191 $— $1,857 $567,037 
One-to-four family residential425,959 70 — 729 426,758 
Construction and development129,879 — — — 129,879 
Commercial and industrial247,463 56 80 1,714 249,313 
SBA PPP, net of deferred income193,532 — — — 193,532 
Tax-exempt59,418 — — — 59,418 
Consumer23,324 4 2 5 23,335 
Total loans HFI$1,644,564 $321 $82 $4,305 $1,649,272 
A summary of current, past due, and nonaccrual loans as of December 31, 2019, is as follows:
Accruing
(in thousands)Current30-89 Days
Past Due		90 Days
or More
Past Due		NonaccrualTotal
Loans
Real estate:
Commercial real estate$530,712 $— $— $1,278 $531,990 
One-to-four family residential419,229 184 — 607 420,020 
Construction and development132,423 — — 38 132,461 
Commercial and industrial264,427 143 — 3,370 267,940 
SBA PPP, net of deferred income— — — — — 
Tax-exempt56,494 — — — 56,494 
Consumer29,973 20 — 26 30,019 
Total loans HFI$1,433,258 $347 $— $5,319 $1,438,924 
Schedule of impaired financing receivable Information pertaining to impaired loans as of September 30, 2020, is as follows:
(in thousands)Unpaid
Principal
Balance		Recorded
Investment		Related
Allowance		Average
Recorded
Investment
With no related allowance recorded:
Real estate:
Commercial real estate$1,469 $1,438 $— $1,414 
One-to-four family residential1,120 1,060 — 1,027 
Construction and development— — — — 
Commercial and industrial1,831 1,463 — 1,444 
SBA PPP, net of deferred income— — — — 
Tax-exempt— — — — 
Consumer2 2 — 2 
Total with no related allowance4,422 3,963 — 3,887 
With allowance recorded:
Real estate:
Commercial real estate2,399 2,201 279 1,368 
One-to-four family residential280 273 41 218 
Construction and development— — — 10 
Commercial and industrial8,594 8,571 2,432 7,179 
SBA PPP, net of deferred income— — — — 
Tax-exempt— — — — 
Consumer114 112 112 102 
Total with related allowance11,387 11,157 2,864 8,877 
Total impaired loans$15,809 $15,120 $2,864 $12,764 
Information pertaining to impaired loans as of December 31, 2019, is as follows:
(in thousands)Unpaid
Principal
Balance		Recorded
Investment		Related
Allowance		Average
Recorded
Investment
With no related allowance recorded:
Real estate:
Commercial real estate$1,560 $1,537 $— $2,647 
One-to-four family residential1,040 984 — 1,194 
Construction and development— — — 76 
Commercial and industrial1,805 1,474 — 3,685 
SBA PPP, net of deferred income— — — — 
Tax-exempt— — — — 
Consumer2 2 — 9 
Total with no related allowance4,407 3,997 — 7,611 
With allowance recorded:
Real estate:
Commercial real estate1,263 1,102 260 1,076 
One-to-four family residential216 209 31 339 
Construction and development51 38 10 89 
Commercial and industrial8,544 7,323 2,916 7,746 
SBA PPP, net of deferred income— — — — 
Tax-exempt— — — — 
Consumer76 73 71 76 
Total with related allowance10,150 8,745 3,288 9,326 
Total impaired loans$14,557 $12,742 $3,288 $16,937 
Schedule of TDRs
A summary of current, past due, and nonaccrual TDR loans as of September 30, 2020, is as follows:
(dollars in thousands)Current30-89
Days
Past Due		90 Days
or More
Past Due		NonaccrualTotal
TDRs
Real estate:
Commercial real estate$1,162 $— $— $1,230 $2,392 
One-to-four family residential215 — — — 215 
Construction and development— — — — — 
Commercial and industrial— — — 9 9 
SBA PPP, net of deferred income— — — — — 
Tax-exempt— — — — — 
Consumer— — — — — 
Total$1,377 $— $— $1,239 $2,616 
Number of TDR loans7 — — 4 11 
A summary of current, past due, and nonaccrual TDR loans as of December 31, 2019, is as follows:
(dollars in thousands)Current30-89
Days
Past Due		90 Days
or More
Past Due		NonaccrualTotal
TDRs
Real estate:
Commercial real estate$1,361 $— $— $1,278 $2,639 
One-to-four family residential252 — — — 252 
Construction and development— — — 38 38 
Commercial and industrial36 — — 1,869 1,905 
SBA PPP, net of deferred income— — — — — 
Tax-exempt— — — — — 
Consumer46 — — — 46 
Total$1,695 $— $— $3,185 $4,880 
Number of TDR loans12 — — 6 18 
A summary of loans modified as TDRs that occurred during the nine months ended September 30, 2020 and September 30, 2019, is as follows:
September 30, 2020September 30, 2019
Recorded InvestmentRecorded Investment
(dollars in thousands)Loan
Count		Pre
Modification		Post
Modification		Loan
Count		Pre
Modification		Post
Modification
Real estate:
Commercial real estate— $— $— 1 $166 $166 
One-to-four family residential— — — — — — 
Construction and development— — — — — — 
Commercial and industrial— — — 1 4 4 
SBA PPP, net of deferred income— — — — — — 
Tax-exempt— — — — — — 
Consumer— — — — — — 
Total— $— $— 2 $170 $170 
Schedule of financing receivable by credit risk
The following table summarizes loans by risk rating as of September 30, 2020:
(in thousands)PassSpecial
Mention		SubstandardDoubtfulLossTotal
Real estate:
Commercial real estate$562,169 $582 $4,286 $— $— $567,037 
One-to-four family residential424,921 492 1,345 — — 426,758 
Construction and development129,100 — 779 — — 129,879 
Commercial and industrial238,616 212 10,485 — — 249,313 
SBA PPP, net of deferred income193,532 — — — — 193,532 
Tax-exempt59,418 — — — — 59,418 
Consumer23,221 — 114 — — 23,335 
Total loans HFI$1,630,977 $1,286 $17,009 $— $— $1,649,272 
The following table summarizes loans by risk rating as of December 31, 2019:
(in thousands)PassSpecial
Mention		SubstandardDoubtfulLossTotal
Real estate:
Commercial real estate$515,926 $14,118 $1,946 $— $— $531,990 
One-to-four family residential416,884 2,021 1,115 — — 420,020 
Construction and development131,185 565 711 — — 132,461 
Commercial and industrial247,382 11,473 9,085 — — 267,940 
SBA PPP, net of deferred income— — — — — — 
Tax-exempt56,494 — — — — 56,494 
Consumer29,876 5 138 — — 30,019 
Total loans HFI$1,397,747 $28,182 $12,995 $— $— $1,438,924