LOANS RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES - LOANS (Tables)

6 Months Ended

Jun. 30, 2022

LOANS RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES - LOANS

Schedule of Accounts, Notes, Loans and Financing Receivable

	June 30,		December 31,
REAL ESTATE LOANS	2022		2021
Commercial	$	299,181	$	264,429
Construction and development		304,387		240,553
Home equity		49,292		41,017
One-to-four-family (excludes loans held for sale)		390,791		366,146
Multi-family		204,862		178,158
Total real estate loans		1,248,513		1,090,303
CONSUMER LOANS
Indirect home improvement		396,459		336,285
Marine		85,806		82,778
Other consumer		3,062		2,980
Total consumer loans		485,327		422,043
COMMERCIAL BUSINESS LOANS
Commercial and industrial (includes Paycheck Protection Program ("PPP") loans)		203,331		208,552
Warehouse lending		33,868		33,277
Total commercial business loans		237,199		241,829
Total loans receivable, gross		1,971,039		1,754,175
Allowance for credit losses on loans (1)		(24,967)		(25,635)
Total loans receivable, net	$	1,946,072	$	1,728,540

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(1) Allowance for credit losses on loans in 2022 is reported using the CECL method and the allowance for loan losses in 2021 is reported using the incurred loss method.

Allowance for Credit Losses on Financing Receivables

	At or For the Three Months Ended June 30, 2022
	Real				Commercial
ALLOWANCE FOR CREDIT LOSSES ON LOANS	Estate		Consumer		Business		Unallocated		Total
Beginning balance	$	10,560	$	9,792	$	3,013	$	—	$	23,365
Provision (recapture) for credit losses on loans		952		830		(163)		—		1,619
Loans charged-off		—		(297)		—		—		(297)
Recoveries		—		280		—		—		280
Total ending allowance balance	$	11,512	$	10,605	$	2,850	$	—	$	24,967

	At or For the Three Months Ended June 30, 2021
	Real				Commercial
ALLOWANCE FOR LOAN LOSSES	Estate		Consumer		Business		Unallocated		Total
Beginning balance	$	13,615	$	6,815	$	5,669	$	1,276	$	27,375
Provision (recapture) for loan losses		693		349		5		(1,047)		—
Loans charged-off		—		(349)		—		—		(349)
Recoveries		—		208		—		—		208
Total ending allowance balance	$	14,308	$	7,023	$	5,674	$	229	$	27,234
Period end amount allocated to:
Loans individually evaluated for impairment	$	—	$	269	$	988	$	—	$	1,257
Loans collectively evaluated for impairment		14,308		6,754		4,686		229		25,977
Ending balance	$	14,308	$	7,023	$	5,674	$	229	$	27,234
LOANS RECEIVABLE
Loans individually evaluated for impairment	$	1,049	$	768	$	4,487	$	—	$	6,304
Loans collectively evaluated for impairment		980,414		395,686		290,494		—		1,666,594
Ending balance	$	981,463	$	396,454	$	294,981	$	—	$	1,672,898

	At or For the Six Months Ended June 30, 2022
	Real				Commercial
ALLOWANCE FOR CREDIT LOSSES ON LOANS	Estate		Consumer		Business		Unallocated		Total
Beginning balance, prior to adoption of ASC 326	$	14,798	$	4,280	$	6,536	$	21	$	25,635
Impact of adopting ASC 326		(5,234)		6,078		(3,682)		(21)		(2,859)
Provision (recapture) for credit losses on loans		1,948		527		(4)		—		2,471
Loans charged-off		—		(820)		—		—		(820)
Recoveries		—		540		—		—		540
Total ending allowance balance	$	11,512	$	10,605	$	2,850	$	—	$	24,967

	At or For the Six Months Ended June 30, 2021
	Real				Commercial
ALLOWANCE FOR LOAN LOSSES	Estate		Consumer		Business		Unallocated		Total
Beginning balance	$	13,846	$	6,696	$	4,939	$	691	$	26,172
Provision (recapture) for loan losses		462		727		773		(462)		1,500
Loans charged-off		—		(852)		(38)		—		(890)
Recoveries		—		452		—		—		452
Total ending allowance balance	$	14,308	$	7,023	$	5,674	$	229	$	27,234
Period end amount allocated to:
Loans individually evaluated for impairment	$	—	$	269	$	988	$	—	$	1,257
Loans collectively evaluated for impairment		14,308		6,754		4,686		229		25,977
Ending balance	$	14,308	$	7,023	$	5,674	$	229	$	27,234
LOANS RECEIVABLE
Loans individually evaluated for impairment	$	1,049	$	768	$	4,487	$	—	$	6,304
Loans collectively evaluated for impairment		980,414		395,686		290,494		—		1,666,594
Ending balance	$	981,463	$	396,454	$	294,981	$	—	$	1,672,898

Past Due Financing Receivables

	June 30, 2022
	30-59		60-89
	Days		Days		90 Days		Total				Total
	Past		Past		or More		Past				Loans		Non-
REAL ESTATE LOANS	Due		Due		Past Due		Due		Current		Receivable		Accrual
Commercial	$	—	$	—	$	—	$	—	$	299,181	$	299,181	$	—
Construction and development		—		—		—		—		304,387		304,387		—
Home equity		6		32		151		189		49,103		49,292		151
One-to-four-family		—		—		331		331		390,460		390,791		799
Multi-family		—		—		—		—		204,862		204,862		—
Total real estate loans		6		32		482		520		1,247,993		1,248,513		950
CONSUMER LOANS
Indirect home improvement		787		439		218		1,444		395,015		396,459		558
Marine		48		—		34		82		85,724		85,806		91
Other consumer		19		13		—		32		3,030		3,062		—
Total consumer loans		854		452		252		1,558		483,769		485,327		649
COMMERCIAL BUSINESS LOANS
Commercial and industrial		—		—		1,087		1,087		202,244		203,331		5,059
Warehouse lending		—		—		—		—		33,868		33,868		—
Total commercial business loans		—		—		1,087		1,087		236,112		237,199		5,059
Total loans	$	860	$	484	$	1,821	$	3,165	$	1,967,874	$	1,971,039	$	6,658

	December 31, 2021
	30-59		60-89
	Days		Days		90 Days		Total				Total
	Past		Past		or More		Past				Loans		Non-
REAL ESTATE LOANS	Due		Due		Past Due		Due		Current		Receivable		Accrual
Commercial	$	—	$	—	$	—	$	—	$	264,429	$	264,429	$	—
Construction and development		—		—		—		—		240,553		240,553		—
Home equity		—		—		179		179		40,838		41,017		301
One-to-four-family		593		264		480		1,337		364,809		366,146		480
Multi-family		—		—		—		—		178,158		178,158		—
Total real estate loans		593		264		659		1,516		1,088,787		1,090,303		781
CONSUMER LOANS
Indirect home improvement		1,047		280		295		1,622		334,663		336,285		554
Marine		119		—		—		119		82,659		82,778		57
Other consumer		11		2		18		31		2,949		2,980		18
Total consumer loans		1,177		282		313		1,772		420,271		422,043		629
COMMERCIAL BUSINESS LOANS
Commercial and industrial		791		—		—		791		207,761		208,552		4,419
Warehouse lending		—		—		—		—		33,277		33,277		—
Total commercial business loans		791		—		—		791		241,038		241,829		4,419
Total loans	$	2,561	$	546	$	972	$	4,079	$	1,750,096	$	1,754,175	$	5,829

Impaired Financing Receivables

	December 31, 2021
	Unpaid
WITH NO RELATED ALLOWANCE RECORDED	Principal		Recorded		Related
Real estate loans:	Balance		Investment		Allowance
Home equity	$	259	$	227	$	—
One-to-four-family		497		480		—
		756		707		—
WITH RELATED ALLOWANCE RECORDED
Real estate loans:
Home equity		92		74		23
Consumer loans:
Indirect		551		554		193
Marine		56		57		20
Other consumer		18		18		6
Commercial business loans:
Commercial and industrial		4,417		4,419		921
		5,134		5,122		1,163
Total	$	5,890	$	5,829	$	1,163

	At or For the Three Months Ended
	June 30, 2021
WITH NO RELATED ALLOWANCE RECORDED	Average Recorded		Interest Income
Real estate loans:	Investment		Recognized
Construction and development	$	1,233	$	—
Home equity		506		7
One-to-four-family		645		4
		2,384		11
WITH AN ALLOWANCE RECORDED
Real estate loans:
One-to-four-family		20		—
Consumer loans:
Indirect		671		8
Marine		102		2
Other consumer		19		1
Commercial business loans:
Commercial and industrial		4,487		105
		5,299		116
Total	$	7,683	$	127

	At or For the Six Months Ended
	June 30, 2021
WITH NO RELATED ALLOWANCE RECORDED	Average Recorded		Interest Income
Real estate loans:	Investment		Recognized
Commercial	$	1,541	$	—
Home equity		579		9
One-to-four-family		594		6
		2,714		15
WITH RELATED ALLOWANCE RECORDED
Real estate loans:
One-to-four-family		40		—
Consumer loans:
Indirect		728		22
Marine		69		3
Other consumer		11		1
Commercial business loans:
Commercial and industrial		5,082		105
		5,930		131
Total	$	8,644	$	146

Summarize risk rated loan balances

	June 30, 2022
REAL ESTATE LOANS	Term Loans by Year of Origination
Commercial	2022		2021		2020		2019		2018		Prior		Revolving Loans		Total Loans
Pass	$	44,338	$	77,669	$	49,204	$	40,786	$	14,987	$	63,451	$	229	$	290,664
Watch		—		—		220		409		—		132		—		761
Special mention		—		—		1,704		304		590		5,158		—		7,756
Total commercial	$	44,338	$	77,669	$	51,128	$	41,499	$	15,577	$	68,741	$	229	$	299,181
Construction and development
Pass		87,315		146,937		50,098		19,325		—		712		—		304,387
Total construction and development	$	87,315	$	146,937	$	50,098	$	19,325	$	—	$	712	$	—	$	304,387
Home equity
Pass		4,308		2,088		7,138		4		1,411		1,939		32,253		49,141
Substandard		—		—		—		—		12		139		—		151
Total home equity	$	4,308	$	2,088	$	7,138	$	4	$	1,423	$	2,078	$	32,253	$	49,292
One-to-four-family
Pass		71,358		140,226		84,623		32,577		16,443		42,805		—		388,032
Special mention		—		—		—		—		1,960		—		—		1,960
Substandard		—		—		—		—		—		799		—		799
Total one-to-four-family	$	71,358	$	140,226	$	84,623	$	32,577	$	18,403	$	43,604	$	—	$	390,791
Multi-family
Pass		29,298		63,418		33,971		48,319		4,236		25,620		—		204,862
Total multi-family	$	29,298	$	63,418	$	33,971	$	48,319	$	4,236	$	25,620	$	—	$	204,862
Total real estate loans	$	236,617	$	430,338	$	226,958	$	141,724	$	39,639	$	140,755	$	—	$	1,248,513

	June 30, 2022
CONSUMER LOANS	Term Loans by Year of Origination
Indirect home improvement	2022		2021		2020		2019		2018		Prior		Revolving Loans		Total Loans
Pass	$	115,241	$	142,356	$	55,040	$	35,897	$	21,115	$	26,242	$	10	$	395,901
Substandard		—		134		92		97		83		152		—		558
Total indirect home improvement	$	115,241	$	142,490	$	55,132	$	35,994	$	21,198	$	26,394	$	10	$	396,459
Marine
Pass		15,020		16,430		23,266		9,376		11,373		10,250		—		85,715
Substandard		—		—		—		—		—		91		—		91
Total marine	$	15,020	$	16,430	$	23,266	$	9,376	$	11,373	$	10,341	$	—	$	85,806
Other consumer
Pass		532		800		203		45		43		208		1,231		3,062
Total other consumer	$	532	$	800	$	203	$	45	$	43	$	208	$	1,231	$	3,062
Total consumer loans	$	130,793	$	159,720	$	78,601	$	45,415	$	32,614	$	36,943	$	1,241	$	485,327

COMMERCIAL	June 30, 2022
BUSINESS LOANS	Term Loans by Year of Origination
Commercial and industrial	2022		2021		2020		2019		2018		Prior		Revolving Loans		Total Loans
Pass	$	17,244	$	30,206	$	22,527	$	2,909	$	4,154	$	8,438	$	100,584	$	186,062
Watch		—		14		—		1,325		—		222		607		2,168
Special mention		—		1,602		1,652		585		21		59		2,154		6,073
Substandard		—		1,087		—		2,267		193		4,559		922		9,028
Total commercial and industrial	$	17,244	$	32,909	$	24,179	$	7,086	$	4,368	$	13,278	$	104,267	$	203,331
Warehouse lending
Pass		—		—		—		—		—		—		33,868		33,868
Total warehouse lending	$	—	$	—	$	—	$	—	$	—	$	—	$	33,868	$	33,868
Total commercial business loans	$	17,244	$	32,909	$	24,179	$	7,086	$	4,368	$	13,278	$	138,135	$	237,199
TOTAL LOANS RECEIVABLE, GROSS
Pass	$	384,654	$	620,130	$	326,070	$	189,238	$	73,762	$	179,665	$	168,175	$	1,941,694
Watch		—		14		220		1,734		—		354		607		2,929
Special mention		—		1,602		3,356		889		2,571		5,217		2,154		15,789
Substandard		—		1,221		92		2,364		288		5,740		922		10,627
Total loans receivable, gross	$	384,654	$	622,967	$	329,738	$	194,225	$	76,621	$	190,976	$	171,858	$	1,971,039

	December 31, 2021
					Special
	Pass		Watch		Mention		Substandard		Doubtful		Loss
REAL ESTATE LOANS	(1 - 5)		(6)		(7)		(8)		(9)		(10)		Total
Commercial	$	253,092	$	4,652	$	5,769	$	916	$	—	$	—	$	264,429
Construction and development		240,553		—		—		—		—		—		240,553
Home equity		40,716		—		—		301		—		—		41,017
One-to-four-family		363,682		—		—		2,464		—		—		366,146
Multi-family		178,158		—		—		—		—		—		178,158
Total real estate loans		1,076,201		4,652		5,769		3,681		—		—		1,090,303
CONSUMER LOANS
Indirect home improvement		335,731		—		—		554		—		—		336,285
Marine		82,721		—		—		57		—		—		82,778
Other consumer		2,962		—		—		18		—		—		2,980
Total consumer loans		421,414		—		—		629		—		—		422,043
COMMERCIAL BUSINESS LOANS
Commercial and industrial		188,767		4,182		1,829		13,774		—		—		208,552
Warehouse lending		33,277		—		—		—		—		—		33,277
Total commercial business loans		222,044		4,182		1,829		13,774		—		—		241,829
Total loans receivable, gross	$	1,719,659	$	8,834	$	7,598	$	18,084	$	—	$	—	$	1,754,175

Schedule of amortized cost basis of loans

	June 30, 2022
	Nonaccrual with No		Nonaccrual with				90-Days or More
	Allowance for Credit		Allowance for Credit		Total		Past Due and Still
REAL ESTATE LOANS	Losses		Losses		Nonaccrual		Accruing Interest
Home equity	$	16	$	135	$	151	$	—
One-to-four-family		799		—		799		—
		815		135		950		—
CONSUMER LOANS
Indirect home improvement		—		558		558		—
Marine		—		91		91		—
		—		649		649		—
COMMERCIAL BUSINESS LOANS
Commercial and industrial		1,087		3,972		5,059		—
Total	$	1,902	$	4,756	$	6,658	$	—

Schedule of amortized cost basis of collateral dependent impaired loans

	June 30, 2022
REAL ESTATE LOANS	Real Estate		Equipment		Total
Home equity	$	151	$	—	$	151
One-to-four-family		799		—		799
		950		—		950
CONSUMER LOANS
Indirect home improvement		—		558		558
Marine		—		91		91
		—		649		649
COMMERCIAL BUSINESS LOANS
Commercial and industrial		1,087		3,972		5,059
Total	$	2,037	$	4,621	$	6,658