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Note 4 - Available-for-sale Securities
 12 Months Ended
Dec. 31, 2019
Notes to Financial Statements  
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]
NOTE
4
– AVAILABLE-FOR-SALE SECURITIES
 
Available-for-sale securities have been classified in the consolidated balance sheets according to management’s intent at
December 31, 2019
and
2018.
The amortized cost of such securities and their approximate fair values were as follows:
 
   
Gross
    
Gross
    
Gross
          
   
Amortized
    
Unrealized
    
Unrealized
          
   
Cost
    
Gains
    
Losses
    
Fair Value
  
December 31, 2019
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
Available-for-sale securities
                                
Mortgage-backed securities
  
$
30,722,958
   
$
415,564
   
$
(119,774
)
  
$
31,018,748
 
U.S. Government agencies
  
 
1,102,532
   
 
1,739
   
 
(24,824
)
  
 
1,079,447
 
Municipal obligations
  
 
12,279,341
   
 
254,521
   
 
(114,879
)
  
 
12,418,983
 
                                 
Total
  
$
44,104,831
   
$
671,824
   
$
(259,477
)
  
$
44,517,178
 
                                 
December 31, 2018
                                
Available-for-sale securities
                                
Mortgage-backed securities
   $
28,799,904
     $
115,824
     $
(605,370
 )   $
28,310,358
  
U.S. Government agencies
    
1,487,917
      
-
      
(42,885
 )    
1,445,032
  
Municipal obligations
    
3,672,023
      
2,363
      
(1,118
 )    
3,673,268
  
                                 
Total
   $
33,959,844
     $
118,187
     $
(649,373
 )   $
33,428,658
  
 
There were
no
sales of available-for-sale securities in
2019
or
2018.
 
Amortized cost and fair value of securities by contractual maturity as of
December 31, 2019
and
2018
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, 2019
and
2018
were as follows:
 
   
December 31, 2019
    
December 31, 2018
  
   
Amortized
   
Fair
   
Amortized
    
Fair
  
   
Cost
    
Value
    
Cost
    
Value
  
                                 
Due in one year or less
  
$
-
    
$
-
     $
403,612
     $
402,924
  
Due after one to five years
  
 
27,151,751
   
 
27,510,536
     
23,040,618
      
22,482,300
  
Due after five to ten years
  
 
14,048,273
   
 
14,163,270
     
10,515,614
      
10,543,434
  
Due after ten years
  
 
2,904,807
   
 
2,843,372
   
 
-
   
 
-
 
                                 
Totals
  
$
44,104,831
   
$
44,517,178
    $
33,959,844
     $
33,428,658
  
 
At
December 31, 2019
and
2018,
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, 2019
and
2018,
mortgage-backed securities included collateralized mortgage obligations of
$13.4
million and
$13.8
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, 2019
  
   
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
  
$
10,201,840
   
$
(64,195
)
  
$
6,459,069
   
$
(55,579
)
  
$
16,660,909
   
$
(119,774
)
U.S. Government agencies
  
 
-
   
 
-
   
 
843,719
   
 
(24,824
)
  
 
843,719
   
 
(24,824
)
Municipal obligations
  
 
4,676,851
   
 
(114,879
)
  
 
-
   
 
-
   
 
4,676,851
   
 
(114,879
)
                                                 
Total temporarily impaired
securities
  
$
14,878,691
   
$
(179,074
)
  
$
7,302,788
   
$
(80,403
)
  
$
22,181,479
   
$
(259,477
)
 
   
December 31, 2018
  
   
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
   $
8,605,742
     $
(200,190
 )   $
10,740,671
     $
(405,180
 )   $
19,346,413
     $
(605,370
 )
U.S. Government agencies
    
302,219
      
(885
 )    
1,142,814
      
(42,000
 )    
1,445,033
      
(42,885
 )
Municipal obligations
    
1,747,571
      
(430
 )    
402,924
      
(688
 )    
2,150,495
      
(1,118
 )
                                                 
Total temporarily impaired securities
   $
10,655,532
     $
(201,505
 )   $
12,286,409
     $
(447,868
 )   $
22,941,941
     $
(649,373
 )
 
At
December 31, 2019
and
2018,
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, 2019.
 
Loans and securities carried at approximately
$147.2
million at
December 31, 2019
were pledged to secure FHLB advances. In addition, securities carried at approximately
$4.2
million at
December 31, 2019
were pledged to secure public deposits.