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Fair Value Measurements and Disclosure (Tables)
 9 Months Ended
Sep. 30, 2020
Fair Value Disclosures [Abstract]  
Fair value of financial instruments
The table below is a summary of fair value estimates for financial instruments and the level of the fair value hierarchy within which the fair value measurements are categorized at the periods indicated:
September 30, 2020
(in 000's)Carrying AmountEstimated Fair ValueQuoted Prices In Active Markets for Identical Assets Level 1Significant Other Observable Inputs Level 2Significant Unobservable Inputs Level 3
Financial Assets:     
Investment securities91,782 91,782 3,865 87,917 — 
Loans651,736 645,098 — — 645,098 
Accrued interest receivable10,099 10,099 — 10,099 — 
Financial Liabilities:     
Deposits:     
Noninterest-bearing430,028 430,210 430,210 — — 
NOW and money market406,706 406,707 406,707 — — 
Savings94,467 94,467 94,467 — — 
Time deposits63,582 63,931 — — 63,931 
Total deposits994,783 995,315 931,384 — 63,931 
Junior subordinated debt10,081 10,081 — — 10,081 
Accrued interest payable36 36 — 36 — 
December 31, 2019
(in 000's)Carrying AmountEstimated Fair ValueQuoted Prices In Active Markets for Identical Assets Level 1Significant Other Observable Inputs Level 2Significant Unobservable Inputs Level 3
Financial Assets:     
Investment securities80,088 80,088 3,776 76,312 — 
Loans588,646 581,695 — — 581,695 
Accrued interest receivable8,208 8,208 — 8,208 — 
Financial Liabilities:     
Deposits:     
Noninterest-bearing311,950 311,950 311,950 — — 
NOW and money market360,934 360,934 360,934 — — 
Savings80,078 80,078 80,078 — — 
Time deposits65,400 65,236 — — 65,236 
Total deposits818,362 818,198 752,962 — 65,236 
Junior subordinated debt10,808 10,808 — — 10,808 
Accrued interest payable59 59 — 59 — 
Schedule of quantitative information about Level 3 fair value measurements
The following table provides a description of the valuation technique, unobservable input, and qualitative information about the unobservable inputs for the Company’s assets and liabilities classified as Level 3 and measured at fair value on a recurring basis at September 30, 2020 and December 31, 2019:
September 30, 2020December 31, 2019
Financial InstrumentValuation TechniqueUnobservable InputWeighted AverageFinancial InstrumentValuation TechniqueUnobservable InputWeighted Average
Junior Subordinated DebtDiscounted cash flowMarket credit risk adjusted spreads3.83%Junior Subordinated DebtDiscounted cash flowMarket credit risk adjusted spreads4.46%
The following table presents quantitative information about Level 3 fair value measurements for the Company's assets measured at fair value on a non-recurring basis at December 31, 2019 (in 000's).
December 31, 2019
Financial InstrumentFair ValueValuation TechniqueUnobservable InputAdjustment Percentage
Impaired Loans:
Real estate mortgage$144Fair Value of Collateral Method for Collateral Dependent LoansAdjustment for difference between appraised value and net realizable value6.00%
Assets and liabilities measured at fair value on recurring and non-recurring basis
The following tables summarize the Company’s assets and liabilities that were measured at fair value on a recurring and non-recurring basis as of September 30, 2020 (in 000’s):
Description of AssetsSeptember 30, 2020Quoted Prices in
Active Markets
for Identical
Assets
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
AFS Securities (2):    
U.S. Government agencies$34,942 $— $34,942 $— 
U.S. Government collateralized mortgage obligations42,897 — 42,897 — 
Asset-backed securities3,828 — 3,828 — 
Municipal bonds1,058 — 1,058 — 
Corporate bond5,192 — 5,192 — 
Total AFS securities87,917 — 87,917 — 
Marketable equity securities (2)3,865 3,865 — — 
Impaired loans (1):    
RE construction & development3,332 — — 3,332 
Total impaired loans3,332 — — 3,332 
Other real estate owned (1)5,018 — — 5,018 
Total $95,114 $3,865 $87,917 $3,332 
Description of LiabilitiesSeptember 30, 2020Quoted Prices
in Active
Markets for
Identical
Assets
(Level 1)		Significant
Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
Junior subordinated debt (2)$10,081 — — $10,081 
Total$10,081 — — $10,081 
(1)Nonrecurring
(2)Recurring

The following table presents quantitative information about Level 3 fair value measurements for the Company's assets measured at fair value on a non-recurring basis at September 30, 2020 (in 000's).
September 30, 2020
Financial InstrumentFair ValueValuation TechniqueUnobservable InputAdjustment Percentage
Impaired Loans:
RE construction & development$3,332Fair Value of Collateral Method for Collateral Dependent LoansAdjustment for difference between appraised value and net realizable value7.02%
Other Real Estate Owned:$5,018Fair Value of Collateral Method for Collateral Dependent LoansAdjustment for difference between appraised value and net realizable value13.69%

The following tables summarize the Company’s assets and liabilities that were measured at fair value on a recurring and non-recurring basis as of December 31, 2019 (in 000’s):
Description of Assets December 31, 2019Quoted Prices
in Active
Markets for
Identical
Assets
(Level 1)		Significant
Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
AFS Securities (2):    
U.S. Government agencies$28,699 $— $28,699 $— 
U.S. Government collateralized mortgage obligations47,613 — 47,613 — 
Total AFS securities76,312 — 76,312 $— 
Marketable equity securities (2)3,776 3,776 — — 
Impaired Loans (1):    
Real estate mortgage144 — — 144 
Total impaired loans144 — — 144 
Total$80,232 $3,776 $76,312 $144 
Description of LiabilitiesDecember 31, 2019Quoted Prices
in Active
Markets for
Identical
Assets
(Level 1)		Significant
Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
Junior subordinated debt (2)$10,808 $— $— $10,808 
Total$10,808 $— $— $10,808 
 
(1)Nonrecurring
(2)Recurring
Significant unobservable inputs (level 3) on a recurring basis The following tables provide a reconciliation of assets and liabilities at fair value using significant unobservable inputs (Level 3) on a recurring basis during the quarters ended September 30, 2020 and 2019 (in 000’s):
 Three Months Ended September 30, 2020Three Months Ended September 30, 2019Nine Months Ended September 30, 2020Nine Months Ended September 30, 2019
Reconciliation of Liabilities:Junior
Subordinated
Debt		Junior
Subordinated
Debt		Junior
Subordinated
Debt		Junior
Subordinated
Debt
Beginning balance$9,771 $10,496 $10,808 $10,155 
Gross loss (gain) included in earnings 18 (660)(1,451)(1,571)
Gross loss related to changes in instrument specific credit risk326 502 779 1,748 
Change in accrued interest(34)(8)(55)(2)
Ending balance$10,081 $10,330 $10,081 $10,330 
The amount of total loss (gain) for the period included in earnings attributable to the change in unrealized gains or losses relating to liabilities still held at the reporting date$18 $(660)$(1,451)$(1,571)