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Note 3 - Available-for-sale Securities
 12 Months Ended
Dec. 31, 2017
Notes to Financial Statements  
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]
NOTE
3
– AVAILABLE-FOR-SALE SECURITIES
 
Available-for-sale securities have been classified in the consolidated balance sheets accordin
g to management’s intent at
December 31, 2017
and
2016.
The carrying amount of such securities and their approximate fair values were as follows:
 
   
Gross
    
Gross
    
Gross
          
   
Amortized
    
Unrealized
    
Unrealized
          
   
Cost
    
Gains
    
Losses
    
Fair Value
  
December 31, 2017
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
Available-for-sale securities:
                                
Mortgage-backed securities
  
$
21,028,794
   
$
12,757
   
$
(272,959
)
  
$
20,768,592
 
U.S. Government agencies
  
 
2,006,786
   
 
44
   
 
(49,047
)
  
 
1,957,783
 
Municipal obligations
  
 
1,672,277
   
 
2,584
   
 
(1,355
)
  
 
1,673,506
 
                                 
   
$
24,707,857
   
$
15,385
   
$
(323,361
)
  
$
24,399,881
 
                                 
December 31, 2016
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
Available-for-sale securities:
                                
Mortgage-backed securities
   $
27,524,834
     $
45,866
     $
(442,303
 )   $
27,128,397
  
U.S. Government agencies
    
2,588,843
      
-
      
(63,107
 )    
2,525,736
  
Municipal obligations
    
1,837,337
      
7,823
      
(161
 )    
1,844,999
  
                                 
    $
31,951,014
     $
53,689
     $
(505,571
 )   $
31,499,132
  
 
 
 
Gross p
roceeds from the sale of available-for-sale securities and resulting gains and losses were as follows:
 
   
Year Ended December 31,
  
   
2017
    
2016
  
                 
Proceeds from sale
  
$
6,933,361
     $
-
  
Sales gains
  
$
3,618
     $
-
  
Sales losses
  
$
(179,707
)
   $
-
  
 
 
Amortized cost and fair value of securities by contractual maturity as of
December 31, 2017
and
2016
are shown below. For purposes of the maturity table, mortgage-backed securities, which are
not
due at a single maturity date, have been allocated over maturity groupings based on the actual contractual maturities of underlying collateral. Expected maturities
may
differ from contractual maturities because borrowers
may
call or prepay obligations.
 
The scheduled maturities of available-for-sale securities at
December 31, 2017
and
2016
were as follows:
 
   
December 31, 2017
    
December 31, 2016
  
   
Amortized
    
Fair
    
Amortized
    
Fair
  
   
Cost
    
Value
    
Cost
    
Value
  
                                 
Due in one year or less
  
$
1,254,321
   
$
1,256,906
    $
121,744
     $
121,884
  
Due after one to five years
  
 
21,574,631
   
 
21,306,086
     
29,365,434
      
28,889,086
  
Due after five to ten years
  
 
1,878,905
   
 
1,836,889
     
2,463,836
      
2,488,162
  
                                 
Totals
  
$
24,707,857
   
$
24,399,881
    $
31,951,014
     $
31,499,132
  
 
At
December 31, 2017
and
2016,
there were
no
holdings of securities of any
one
issuer, other than the U.S. Government and its agencies, in an amount greater than
10%
of stockholders’ equity.
 
At
December 31, 2017
and
2016,
mortgage-backed securities included collateralized mortgage obligations of
$10.0
 million and
$10.1
 million, respectively, which are backed by single-family mortgage loans. The Company does
not
hold any securities backed by commercial real estate loans.
 
Gross Unrealized Losses and Fair Value
– The following tables show the gross unrealized losses and fair values of securities by length of time that individual securities in each category have been in a continuous loss position.
 
   
December 31, 2017
  
   
Less Than 12 Months
    
12 Months or More
    
Total
  
           
Gross
            
Gross
            
Gross
  
Description of
    
 
    
Unrealized
      
 
    
Unrealized
      
 
    
Unrealized
  
Securities
  
Fair Value
    
Losses
    
Fair Value
    
Losses
    
Fair Value
    
Losses
  
                                                 
Available-for-sale securities:
                                                
Mortgage-backed securities
  
$
3,468,607
   
$
(39,099
)
  
$
9,763,879
   
$
(233,860
)
  
$
13,232,486
   
$
(272,959
)
U.S. Government agencies
  
 
-
   
 
-
   
 
1,548,481
   
 
(49,047
)
  
 
1,548,481
   
 
(49,047
)
Municipal obligations
  
 
416,600
   
 
(1,355
)
  
 
-
   
 
 
 
  
 
416,600
   
 
(1,355
)
                                                 
Total temporarily impaired securities
  
$
3,885,207
   
$
(40,454
)
  
$
11,312,360
   
$
(282,907
)
  
$
15,197,567
   
$
(323,361
)
 
   
December 31, 2016
  
   
Less Than 12 Months
    
12 Months or More
    
Total
  
           
Gross
            
Gross
            
Gross
  
Description of
    
 
    
Unrealized
      
 
    
Unrealized
      
 
    
Unrealized
  
Securities
  
Fair Value
    
Losses
    
Fair Value
    
Losses
    
Fair Value
    
Losses
  
                                                 
Available-for-sale securities:
                                                
Mortgage-backed securities
  
$
17,377,335
   
$
(337,092
)
  
$
5,351,384
   
$
(105,211
)
  
$
22,728,719
   
$
(442,303
)
U.S. Government agencies
  
 
2,525,737
   
 
(63,107
)
  
 
-
   
 
-
   
 
2,525,737
   
 
(63,107
)
Municipal obligations
  
 
20,054
   
 
(161
)
  
 
-
   
 
-
   
 
20,054
   
 
(161
)
                                                 
Total temporarily impaired securities
  
$
19,923,126
   
$
(400,360
)
  
$
5,351,384
   
$
(105,211
)
  
$
25,274,510
   
$
(505,571
)
 
At
December 31, 2017
and
2016,
all of the government agencies and mortgage-backed securities held by the Company were issued by U.S. Government-sponsored entities and agencies, primarily Fannie Mae and Freddie Mac, institutions which the government has affirmed its commitment to support. Because the decline in fair value is attributable to changes in interest rates and illiquidity, and
not
credit quality, and because the Company does
not
have the intent to sell these securities and it is likely that it will
not
be required to sell the securities before their anticipated recovery, the Company does
not
consider these securities to be other-than-temporarily impaired at
December 31, 2017.
 
Loans and securities carried
at approximately
$137.9
million at
December 31, 2017
were pledged to secure FHLB advances. In addition, securities carried at approximately
$4.4
million at
December 31, 2017
were pledged to secure public deposits.