NOTE 3: LOANS

Loans by loan class as of the dates shown below were as follows:



(Dollars in thousands)	September 30, 2018				December 31, 2017
Commercial and industrial	$	569,334	23.1	%	$	559,363	24.1	%
Real estate:
Commercial real estate		776,439	31.4	%		738,293	31.9	%
Construction and development		487,289	19.7	%		449,211	19.4	%
1-4 family residential		288,737	11.7	%		258,584	11.2	%
Multi-family residential		236,907	9.6	%		220,305	9.5	%
Consumer		39,807	1.6	%		40,433	1.7	%
Agriculture		11,609	0.5	%		11,256	0.5	%
Other		59,484	2.4	%		40,344	1.7	%
Total gross loans		2,469,606	100.0	%		2,317,789	100.0	%
Less deferred loan fees and unearned discounts		(6,025)				(4,785)
Less allowance for loan loss		(24,486)				(24,778)
Less loans held for sale		(384)				(1,460)
Loans, net	$	2,438,711			$	2,286,766

Accrued interest receivable for loans is $7.4 million and $6.1 million at September 30, 2018 and December 31, 2017, respectively and is included in other assets in the condensed consolidated balance sheets.

Loan Participations Purchased and Sold

From time to time, the Company will acquire and dispose of interests in loans under participation agreements with other financial institutions. Loan participations purchased and sold during the nine months ending September 30, 2018 and 2017, by loan class, were as follows:


	Participations		Participations
	Purchased		Sold
	During the		During the
(Dollars in thousands)	Period		Period
September 30, 2018
Commercial and industrial	$	7,000	$	—
Commercial real estate		24,453		35,000
Construction and development		—		5,871
	$	31,453	$	40,871
September 30, 2017
Commercial and industrial	$	—	$	12,317
Commercial real estate		—		16,016
Construction and development		4,091		2,493
	$	4,091	$	30,826

Loans Guaranteed by the Small Business Administration

The Company participates in the Small Business Administration, or SBA, loan program. When advantageous, the Company will sell the guaranteed portions of these loans with servicing retained. SBA loans that were sold with servicing retained during the nine months ended September 30, 2018 and 2017 totaled $2.0 million and $2.2 million, respectively.