Loans (Tables)

12 Months Ended

Dec. 31, 2022

Receivables [Abstract]

Schedule of Accounts, Notes, Loans and Financing Receivable

Loans consisted of the following at December 31:

	December 31,
	2022			2021
	(Dollars in thousands)
Commercial real estate (CRE)	$	80,506		$	72,057
Multifamily (MF)		8,185			8,998
Commercial and industrial (C+I)		24,059			26,851
Acquisition, development, and land (ADL)		18,490			21,365
1-4 family residential (RES)		251,466			234,199
Home equity loans and lines of credit (HELOC)		10,161			6,947
Consumer (CON)		7,189			4,574
Total loans		400,056			374,991
Net deferred loan costs		2,449			1,650
Allowance for loan losses		(3,581	)		(3,590	)
Net loans	$	398,924		$	373,051

Schedule of Allowance For Loans And Leases Receivable Classification

Transactions in the Allowance for loan losses (“ALL”) for the years ended December 31, 2022 and 2021 by portfolio segment, are summarized as follows:

(Dollars in thousands)	CRE		MF			C+I			ADL			RES			HELOC			CON			Unallocated			Total
Balance, December 31, 2020	$	753	$	60		$	267		$	174		$	1,656		$	78		$	52		$	302		$	3,342
Provision for loan losses		80		20			(112	)		4			482			(15	)		20			(274	)		205
Charge-offs		—		—			—			—			—			—			—			—			—
Recoveries		—		—			39			—			1			—			3			—			43
Balance at December 31, 2021		833		80			194			178			2,139			63			75			28			3,590
Balance, December 31, 2021		833		80			194			178			2,139			63			75			28			3,590
Provision for loan losses		109		(26	)		(14	)		(40	)		(91	)		18			38			6			—
Charge-offs		—		—			—			—			—			—			(14	)		—			(14	)
Recoveries		—		—			4			—			—			—			1			—			5
Balance at December 31, 2022	$	942	$	54		$	184		$	138		$	2,048		$	81		$	100		$	34		$	3,581

As of December 31, 2022 and 2021, information about loans and the ALL by portfolio segment, are summarized below:

(Dollars in thousands)	CRE		MF		C+I		ADL		RES		HELOC		CON		Unallocated		Total
December 31, 2022 Loan Balances
Individually evaluated for impairment	$	—	$	—	$	—	$	—	$	273	$	—	$	5	$	—	$	278
Collectively evaluated for impairment		80,506		8,185		24,059		18,490		251,193		10,161		7,184		—		399,778
Total	$	80,506	$	8,185	$	24,059	$	18,490	$	251,466	$	10,161	$	7,189	$	—	$	400,056
ALL related to the loans
Individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Collectively evaluated for impairment		942		54		184		138		2,048		81		100		34		3,581
Total	$	942	$	54	$	184	$	138	$	2,048	$	81	$	100	$	34	$	3,581
December 31, 2021 Loan Balances
Individually evaluated for impairment	$	104	$	—	$	28	$	—	$	722	$	115	$	—	$	—	$	969
Collectively evaluated for impairment		71,953		8,998		26,823		21,365		233,477		6,832		4,574		—		374,022
Total	$	72,057	$	8,998	$	26,851	$	21,365	$	234,199	$	6,947	$	4,574	$	—	$	374,991
ALL related to the loans
Individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Collectively evaluated for impairment		833		80		194		178		2,139		63		75		28		3,590
Total	$	833	$	80	$	194	$	178	$	2,139	$	63	$	75	$	28	$	3,590

Past Due Financing Receivables

The following is an aged analysis of past due loans by portfolio segment as of December 31, 2022:

	30-59 Days		60-89 Days		90 + Days		Total Past Due		Current		Total Loans		Non- Accrual Loans
	(Dollars in thousands)
CRE	$	—	$	—	$	—	$	—	$	80,506	$	80,506	$	—
MF		—		—		—		—		8,185		8,185		—
C+I		—		—		—		—		24,059		24,059		—
ADL		—		—		—		—		18,490		18,490		—
RES		—		84		—		84		251,382		251,466		84
HELOC		5		—		—		5		10,156		10,161		—
CON		7		—		—		7		7,181		7,189		5
	$	12	$	84	$	—	$	96	$	399,960	$	400,056	$	89

The following is an aged analysis of past due loans by portfolio segment as of December 31, 2021:

	30-59 Days		60-89 Days		90 + Days		Total Past Due		Current		Total Loans		Non- Accrual Loans
	(Dollars in thousands)
CRE	$	—	$	—	$	—	$	—	$	72,057	$	72,057	$	—
MF		—		—		—		—		8,998		8,998		—
C+I		—		—		—		—		26,851		26,851		—
ADL		—		—		—		—		21,365		21,365		—
RES		—		487		235		722		233,477		234,199		722
HELOC		117		129		—		246		6,701		6,947		115
CON		6		—		—		6		4,568		4,574		—
	$	123	$	616	$	235	$	974	$	374,017	$	374,991	$	837

Impaired Financing Receivables

The following table provides information on impaired loans as of and for the years ended December 31, 2022 and 2021:

	As of December 31, 2022						At December 31, 2022
(Dollars in thousands)	Recorded Carrying Value		Unpaid Principal Balance		Related Allowance		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded:
CRE	$	—	$	—	$	—	$	—	$	—
MF		—		—		—		—		—
C+I		—		—		—		—		—
ADL		—		—		—		—		—
RES		273		273		—		446		32
HELOC		—		—		—		57		3
CON		5		5		—		2		—
Total impaired loans	$	278	$	278	$	—	$	505	$	35
	As of December 31, 2021						At December 31, 2021
With no related allowance recorded:
CRE	$	—	$	—	$	—	$	—	$	—
MF		—		—		—		—		—
C+I		—		—		—		203		12
ADL		—		—		—		—		—
RES		722		722		—		77		2
HELOC		115		115		—		10		—
CON		—		—		—		—		—
Total impaired loans	$	837	$	837	$	—	$	290	$	14

Financing Receivable Credit Quality Indicators

The following presents the internal risk rating of loans by portfolio segment as of December 31, 2022:

(Dollars in thousands)	Pass		Special Mention		Substandard		Total
CRE	$	77,820	$	2,686	$	—	$	80,506
MF		8,185		—		—		8,185
C+I		24,059		—		—		24,059
ADL		18,490		—		—		18,490
RES		251,382		—		84		251,466
HELOC		10,161		—		—		10,161
CON		7,184		—		5		7,189
Total	$	397,281	$	2,686	$	89	$	400,056

The following presents the internal risk rating of loans by portfolio segment as of December 31, 2021:

(Dollars in thousands)	Pass		Special Mention		Substandard		Total
CRE	$	69,252	$	2,701	$	104	$	72,057
MF		8,998		—		—		8,998
C+I		26,823		—		28		26,851
ADL		21,365		—		—		21,365
RES		233,477		—		722		234,199
HELOC		6,832		—		115		6,947
CON		4,574		—		—		4,574
Total	$	371,321	$	2,701	$	969	$	374,991

Activity of Loans

For the years ended December 31, 2022 and 2021, activity in these loans was as follows:

	December 31,
(Dollars in thousands)	2022			2021
Loans outstanding – beginning of year	$	4,849		$	5,279
Principal payments		(576	)		(430	)
Advances		170			—
Loans outstanding – end of year	$	4,443		$	4,849