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LOANS (Tables)
 3 Months Ended
Mar. 31, 2022
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]  
Schedule of Composition of Loans
The composition of loans, excluding loans held for sale, is summarized as follows:
March 31, 2022December 31, 2021
Amount% of
Total		Amount% of
Total
(in thousands, except percentages)
Real estate mortgages:
Construction and development$165,40012.6%$174,48013.9%
Residential154,14311.7%147,49011.8%
Commercial765,68558.3%716,54157.1%
Commercial and industrial219,76116.7%206,89716.5%
Consumer and other9,0770.7%8,7090.7%
Gross Loans1,314,066100.0%1,254,117100.0%
Deferred loan fees(3,996)(3,817)
Allowance for loan losses(15,492)(14,844)
Loans, net$1,294,578$1,235,456
Schedule of Financing Receivable Credit Quality Indicators
The following tables summarize the risk category of the Company’s loan portfolio based upon the most recent analysis performed as of March 31, 2022 and December 31, 2021:
PassSpecial
Mention		SubstandardDoubtfulTotal
(dollars in thousands)
As of March 31, 2022
Real estate mortgages:
Construction and development$160,243 $388 $4,769 $— $165,400 
Residential149,011 3,841 1,291 — 154,143 
Commercial739,916 15,830 9,939 — 765,685 
Commercial and industrial216,375 3,103 59 224 219,761 
Consumer and other9,054 20 3 — 9,077 
Total$1,274,599 $23,182 $16,061 $224 $1,314,066 
As of December 31, 2021
Real estate mortgages:
Construction and development$168,751 $388 $5,341 $— $174,480 
Residential142,782 3,554 1,154 — 147,490 
Commercial691,863 16,371 8,307 — 716,541 
Commercial and industrial203,630 2,960 73 234 206,897 
Consumer and other8,682 21 6 — 8,709 
Total$1,215,708 $23,294 $14,881 $234 $1,254,117 
Schedule of Aging Analysis The following tables present the aging of the recorded investment in loans and leases as of March 31, 2022 and December 31, 2021:
Past Due Status (Accruing Loans)
Current
30-59
Days
60-89
Days
90+
Days
Total Past DueNonaccrualTotal
As of March 31, 2022
Real estate mortgages:
Construction and development
$164,583 $647 $94 $— $741 $76 $165,400 
Residential
153,432 201 — — 201 510 154,143 
Commercial
762,558 739 — — 739 2,388 765,685 
Commercial and industrial219,476 16 — — 16 269 219,761 
Consumer and other9,074 — — — — 3 9,077 
Total$1,309,123 $1,603 $94 $— $1,697 $3,246 $1,314,066 
As of December 31, 2021
Real estate mortgages:
Construction and development
$173,027 $62 $746 $299 $1,107 $346 $174,480 
Residential
146,871129128195452167147,490 
Commercial
714,0921,775——1,775674716,541 
Commercial and industrial206,02799486—585285206,897 
Consumer and other8,67330——3068,709 
Total$1,248,690 $2,095 $1,360 $494 $3,949 $1,478 $1,254,117 
Schedule of Allowance for Credit Loss
The following tables detail activity in the allowance for loan losses by portfolio segment as of March 31, 2022 and March 31, 2021. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.
Real EstateCommercialConsumerTotal
Allowance for loan losses:
Balance at December 31, 2021
$11,554 $3,166 $124 $14,844 
Provision (credit) for loan losses(1,299)2,009 (10)700 
Loans charged off(66)— (6)(72)
Recoveries of loans previously charged off17 — 3 20 
Ending balance at March 31, 2022
$10,206 $5,175 $111 $15,492 
Ending balance - individually evaluated for impairment$400 $269 $— $669 
Ending balance - collectively evaluated for impairment9,743 4,906 111 14,760 
Ending balance - loans acquired with deteriorated credit quality63 — — 63 
Total ending balance at March 31, 2022
$10,206 $5,175 $111 $15,492 
Loans:
Ending balance - individually evaluated for impairment$15,943 $283 $22 $16,248 
Ending balance - collectively evaluated for impairment1,068,050 219,478 9,055 1,296,583 
Ending balance - loans acquired with deteriorated credit quality1,235 — — 1,235 
Total ending balance at March 31, 2022
$1,085,228 $219,761 $9,077 $1,314,066 
Allowance for Loans Losses (Continued)

Real EstateCommercialConsumerTotal
Allowance for loan losses:
Balance at December 31, 2020
$8,057 $3,609 $193 $11,859 
Provision (credit) for loan losses1,231 (428)(53)750 
Loans charged off(16)— (2)(18)
Recoveries of loans previously charged off2 11 1 14 
Ending balance at March 31, 2021
$9,274 $3,192 $139 $12,605 
Ending balance - individually evaluated for impairment$357 $390 $12 $759 
Ending balance - collectively evaluated for impairment8,823 2,802 127 11,752 
Ending balance - loans acquired with deteriorated credit quality94 — — 94 
Total ending balance at March 31, 2021
$9,274 $3,192 $139 $12,605 
Loans:
Ending balance - individually evaluated for impairment$15,829 $583 $42 $16,454 
Ending balance - collectively evaluated for impairment830,912 229,574 9,158 1,069,644 
Ending balance - loans acquired with deteriorated credit quality1,363 — — 1,363 
Total ending balance at March 31, 2021
$848,104 $230,157 $9,200 $1,087,461 
Schedule of Impaired Loans
Recorded
Investment		Unpaid
Principal
Balance		Related
Allowance		Average
Recorded
Investment
March 31, 2022
With no related allowance recorded:
Real estate mortgages:
Construction and development
$4,810$4,810$—$4,813
Residential
1,4771,477—1,485
Commercial
7,8917,891—7,922
Commercial and industrial
1414—17
Consumer and other
2222—23
Total with no related allowance recorded
14,21414,214—14,260
With an allowance recorded:
Real estate mortgages:
Construction and development
23423462236
Residential
36243397364
Commercial
2,4042,4043042,406
Commercial and industrial
269269269276
Consumer and other
————
Total with an allowance recorded
3,2693,3407323,282
Total impaired loans$17,483$17,554$732$17,542
Impaired Loans (Continued)
Recorded
Investment		Unpaid
Principal
Balance		Related
Allowance		Average
Recorded
Investment
December 31, 2021
With no related allowance recorded:
Real estate mortgages:
Construction and development
$5,258$5,258$—$5,261
Residential
1,0811,081—1,090
Commercial
7,9927,992—7,993
Commercial and industrial
2222—25
Consumer and other
1515—16
Total with no related allowance recorded
14,36814,368—14,385
With an allowance recorded:
Real estate mortgages:
Construction and development
370370148370
Residential
633704125636
Commercial
680680136682
Commercial and industrial
285285292289
Consumer and other
1111311
Total with an allowance recorded
1,9792,0507041,988
Total impaired loans$16,347$16,418$704$16,373
Impaired Loans (Continued)
A loan held for investment is considered impaired when, based on current information and events, it is probable that we will be unable to collect all amounts due (both principal and interest) according to the terms of the loan agreement. The following tables detail our interest income recognized on impaired loans, by portfolio class in the three months ended March 31, 2022 and 2021.
Recorded
Investment		Average
Recorded
Investment		Interest
Income
Recognized
Three Months Ended March 31, 2022
With no related allowance recorded:
Real estate mortgages:
Construction and development$4,810$4,813$55
Residential1,4771,48521
Commercial7,8917,922115
Commercial and industrial1417—
Consumer and other2223—
Total with no related allowance recorded14,21414,260191
With an allowance recorded:
Real estate mortgages:
Construction and development2342363
Residential3623644
Commercial2,4042,4069
Commercial and industrial2692766
Consumer and other———
Total with an allowance recorded3,2693,28222
Total impaired loans$17,483$17,542$213
Impaired Loans (Continued)
Recorded
Investment		Average
Recorded
Investment		Interest
Income
Recognized
Three Months Ended March 31, 2021
With no related allowance recorded:
Real estate mortgages:
Construction and development$5,511$5,511$41
Residential2,3962,40523
Commercial6,4116,39598
Commercial and industrial2002083
Consumer and other2223—
Total with no related allowance recorded14,54014,542165
With an allowance recorded:
Real estate mortgages:
Construction and development5675739
Residential80080411
Commercial1,5071,51722
Commercial and industrial3833875
Consumer and other2021—
Total with an allowance recorded3,2773,30247
Total impaired loans$17,817$17,844$212