Disclosures About Fair Values of Assets and Liabilities (Tables)

12 Months Ended

Dec. 31, 2019

Disclosure About Fair Values of Assets and Liabilities

Schedule of Fair Value, Assets Measured on Recurring Basis

The following tables present the fair value measurements of assets measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall at December 31, 2019 and 2018:

	Fair Value Measurements Using
			Quoted Prices in		Significant
			Active Markets		Other		Significant
			for Identical		Observable		Unobservable
			Assets		Inputs		Inputs
	Fair Value		(Level 1)		(Level 2)		(Level 3)
December 31, 2019
Mortgage-backed securities of government sponsored entities	$	6,733,213	$	—	$	6,733,213	$	—
Mortgage servicing rights		1,213,815		—		—		1,213,815
December 31, 2018
Mortgage-backed securities of government sponsored entities	$	630,361	$	—	$	630,361	$	—
Mortgage servicing rights		1,252,740		—		—		1,252,740

Schedule of Fair Value, Assets Measured on Recurring Schedule of Basis, Unobservable Input Reconciliation

The following is a reconciliation of the beginning and ending balances of recurring fair value measurements related to mortgage servicing rights recognized in the accompanying balance sheets using significant unobservable (Level 3) inputs:

	2019		2018
Fair value as of the beginning of the period	$	1,252,740	$	909,821
Recognition of mortgage servicing rights on the sale of loans		245,790		309,712
Changes in fair value due to changes in valuation inputs or assumptions used in the valuation model		(284,715)		33,207
Fair value at the end of the period	$	1,213,815	$	1,252,740

Schedule of Fair Value Measurements, Nonrecurring

The following table presents the fair value of assets measured at fair value on a nonrecurring basis and the level of hierarchy in which the fair value measurements fall at December 31, 2019 and 2018:

	Fair Value Measurements Using
			Quoted
			Prices in
			Active		Significant
			Markets for		Other		Significant
			Identical		Observable		Unobservable
	Carrying		Assets		Inputs		Inputs
	Amount		(Level 1)		(Level 2)		(Level 3)
December 31, 2019
Collateral-dependent impaired loans	$	51,568	$	—	$	—	$	51,568
December 31, 2018
Collateral-dependent impaired loans	$	744,381	$	—	$	—	$	744,381

Schedule of Fair Value Measurement Inputs and Valuation Techniques

The following tables present quantitative information about unobservable inputs used in recurring and nonrecurring Level 3 fair value measurements at December 31, 2019 and 2018:

					Range
	Fair Value		Valuation	Unobservable	(Weighted
	December 31, 2019		Technique	Inputs	Average)
Mortgage servicing rights	$	1,213,815	Discounted  cash flow	Discount rate PSA prepayment speeds	10% 89%-173%
Impaired loans (collateral dependent)	$	51,568	Market comparable properties	Marketability discount	10%-15%  (12%)

					Range
	Fair Value		Valuation	Unobservable	(Weighted
	December 31, 2018		Technique	Inputs	Average)
Mortgage servicing rights	$	1,252,740	Discounted  cash flow	Discount rate PSA prepayment speeds	10% 113%‑218%
Impaired loans (collateral dependent)	$	744,381	Market comparable properties	Marketability discount	10%‑15%  (12%)

Schedule of Assets and Associated Liabilities Accounted for as Secured Borrowings

The following table presents estimated fair values of the Company’s financial instruments carried at cost at December 31, 2019 and 2018:

	Fair Value Measurements Using
			Quoted
			Prices in
			Active		Significant
			Markets for		Other		Significant
			Identical		Observable		Unobservable
	Carrying		Assets		Inputs		Inputs
	Amount		(Level 1)		(Level 2)		(Level 3)
December 31, 2019
Financial Assets:
Cash and cash equivalents	$	37,735,266	$	37,735,266	$	—	$	—
Loans held for sale		3,114,081		—		3,178,068		—
Loans, net of allowance for loan losses		179,332,026		—		—		175,117,724
Federal Home Loan Bank stock		2,657,400		—		2,657,400		—
Interest receivable		624,333		—		624,333		—
Federal Home Loan Bank lender risk account receivable		1,713,240		—		—		1,820,707
Financial Liabilities:
Deposits		143,410,707		66,172,775		78,065,313		—
Federal Home Loan Bank advances		47,172,066		—		47,707,920		—
Stock subscription proceeds in escrow		23,407,011		23,407,011		—		—
Advances from borrowers for taxes and insurance		1,806,638		—		1,806,638		—
Interest payable		91,636		—		91,636		—
December 31, 2018
Financial Assets:
Cash and cash equivalents	$	11,089,189	$	11,089,189	$	—	$	—
Loans held for sale		1,282,000		—		1,307,890		—
Loans, net of allowance for loan losses		170,365,031		—		—		174,545,610
Federal Home Loan Bank stock		2,583,100		—		2,583,100		—
Interest receivable		569,659		—		569,659		—
Federal Home Loan Bank lender risk account receivable		1,703,276		—		—		1,677,187
Financial Liabilities:
Deposits		142,391,756		61,842,846		80,152,017		—
Federal Home Loan Bank advances		28,580,438		—		28,460,471		—
Advances from borrowers for taxes and insurance		1,799,419		—		1,799,419		—
Interest payable		53,945		—		53,945		—