Loans Held for Investment (Tables)

3 Months Ended

Mar. 31, 2025

Loans and Leases Receivable Disclosure [Abstract]

Schedule of Components of Loans

The components of loans were as follows at March 31, 2025 and December 31, 2024:

	March 31, 2025			December 31, 2024
	(dollars in thousands)
Residential mortgage loans (1-4 family):
Fixed	$	99,022		$	98,694
Variable		153,078			155,948
Construction		38,928			34,139
Total residential mortgage loans		291,028			288,781
Commercial loans:
Real estate		253,054			241,063
Other		97,652			94,981
Total commerical loans		350,706			336,044
Consumer loans:
Home equity		106,089			106,550
Other consumer		23,885			26,690
Total consumer loans		129,974			133,240
Total loans held for investment		771,708			758,065
Less:
Undisbursed portion of mortgage loans		(153	)		(161	)
Net deferred loan costs (fees)		(970	)		(1,007	)
Allowance for credit losses		(6,195	)		(6,244	)
Total loans held for investment, net	$	764,390		$	750,653

Summary of Investment in Loans by Credit Quality Indicators by Year of Origin

Loans with a risk rating of 1 through 6 are classified as “Pass” rated credits in the following tables. Nonrated loans are also classified as “Pass.” The following table presents the Company's recorded investment in loans by credit quality indicators by year of origin as of March 31, 2025 and gross charge-offs for the three months ended March 31, 2025.

	Term Loans
1-4 Family Residential	2025		2024		2023		2022		2021		Prior		Revolving Lines		Total
Pass	$	3,599	$	14,832	$	59,528	$	64,873	$	29,400	$	66,882	$	—	$	239,114
Special Mention		—		—		—		256		—		30		—		286
Substandard		—		432		4,207		3,205		1,936		2,920		—		12,700
Doubtful		—		—		—		—		—		—		—		—
Total	$	3,599	$	15,264	$	63,735	$	68,334	$	31,336	$	69,832	$	—	$	252,100
Residential Construction	2025		2024		2023		2022		2021		Prior		Revolving		Total
Pass	$	1,436	$	30,067	$	7,425	$	—	$	—	$	—	$	—	$	38,928
Special Mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—
Total	$	1,436	$	30,067	$	7,425	$	—	$	—	$	—	$	—	$	38,928
Commercial Real Estate	2025		2024		2023		2022		2021		Prior		Revolving		Total
Pass	$	7,917	$	55,699	$	46,559	$	37,107	$	11,080	$	77,891	$	16,351	$	252,604
Special Mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		450		—		450
Doubtful		—		—		—		—		—		—		—		—
Total	$	7,917	$	55,699	$	46,559	$	37,107	$	11,080	$	78,341	$	16,351	$	253,054
Other Commercial	2025		2024		2023		2022		2021		Prior		Revolving		Total
Pass	$	21,956	$	27,357	$	3,931	$	5,004	$	7,675	$	11,765	$	14,945	$	92,633
Special Mention		—		—		—		—		42		269		224		535
Substandard		—		82		256		1,651		120		1,686		558		4,353
Doubtful		—		85		—		—		—		—		46		131
Total	$	21,956	$	27,524	$	4,187	$	6,655	$	7,837	$	13,720	$	15,773	$	97,652
Home Equity	2025		2024		2023		2022		2021		Prior		Revolving		Total
Pass	$	207	$	4,482	$	7,427	$	1,569	$	56	$	922	$	88,618	$	103,281
Special Mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		24		—		2		2,603		2,629
Doubtful		87		—		—		—		—		—		92		179
Total	$	294	$	4,482	$	7,427	$	1,593	$	56	$	924	$	91,313	$	106,089
Other Consumer	2025		2024		2023		2022		2021		Prior		Revolving		Total
Pass	$	10,494	$	7,066	$	942	$	2,671	$	979	$	497	$	945	$	23,594
Special Mention		—		186		—		—		—		—		—		186
Substandard		—		49		18		18		—		—		—		85
Doubtful		—		8		3		—		9		—		—		20
Total	$	10,494	$	7,309	$	963	$	2,689	$	988	$	497	$	945	$	23,885
All Loans	2025		2024		2023		2022		2021		Prior		Revolving		Total
Pass	$	45,609	$	139,503	$	125,812	$	111,224	$	49,190	$	157,957	$	120,859	$	750,154
Special Mention		-		186		-		256		42		299		224		1,007
Substandard		—		563		4,481		4,898		2,056		5,058		3,161		20,217
Doubtful		87		93		3		—		9		—		138		330
Total Loans	$	45,696	$	140,345	$	130,296	$	116,378	$	51,297	$	163,314	$	124,382	$	771,708
Gross charge-offs	$	—	$	-	$	87	$	-	$	-	$	37	$	334	$	458

Loans with a risk rating of 1 through 6 are classified as “Pass” rated credits in the following tables. Nonrated loans are also classified as “Pass.” The following table presents the Company's recorded investment in loans by credit quality indicators by year of origin as of December 31, 2024 and gross charge-offs for the year ended December 31, 2024.

	Term Loans
1-4 Family Residential	2024		2023		2022		2021		2020		Prior		Revolving Lines		Total
Pass	$	15,139	$	61,966	$	66,541	$	30,758	$	22,112	$	47,915	$	—	$	244,431
Special Mention		—		—		257		—		—		32		—		289
Substandard		—		3,179		3,254		1,128		140		2,221		—		9,922
Doubtful		—		—		—		—		—		—		—		—
Total	$	15,139	$	65,145	$	70,052	$	31,886	$	22,252	$	50,168	$	—	$	254,642
Residential Construction	2024		2023		2022		2020		2019		Prior		Revolving		Total
Pass	$	23,044	$	11,095	$	—	$	—	$	—	$	—	$	—	$	34,139
Special Mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—
Total	$	23,044	$	11,095	$	—	$	—	$	—	$	—	$	—	$	34,139
Commercial Real Estate	2024		2023		2022		2020		2019		Prior		Revolving		Total
Pass	$	50,394	$	47,231	$	40,122	$	11,240	$	17,629	$	73,990	$	—	$	240,606
Special Mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		457		—		—		457
Doubtful		—		—		—		—		—		—		—		—
Total	$	50,394	$	47,231	$	40,122	$	11,240	$	18,086	$	73,990	$	—	$	241,063
Other Commercial	2024		2023		2022		2020		2019		Prior		Revolving		Total
Pass	$	39,529	$	4,011	$	6,107	$	8,062	$	5,041	$	4,138	$	23,556	$	90,444
Special Mention		—		—		1,424		—		—		188		—		1,612
Substandard		42		250		226		—		459		1,239		566		2,782
Doubtful		—		45		—		—		—		—		98		143
Total	$	39,571	$	4,306	$	7,757	$	8,062	$	5,500	$	5,565	$	24,220	$	94,981
Home Equity	2024		2023		2022		2020		2019		Prior		Revolving		Total
Pass	$	4,592	$	7,597	$	1,643	$	73	$	62	$	1,020	$	89,267	$	104,254
Special Mention		—		—		—		—		—		—		—		—
Substandard		—		—		46		—		—		2		2,225		2,273
Doubtful		—		—		—		—		—		—		23		23
Total	$	4,592	$	7,597	$	1,689	$	73	$	62	$	1,022	$	91,515	$	106,550
Other Consumer	2024		2023		2022		2020		2019		Prior		Revolving		Total
Pass	$	10,209	$	9,673	$	3,628	$	1,045	$	507	$	7	$	1,235	$	26,304
Special Mention		189		—		—		—		—		—		—		189
Substandard		—		15		—		1		—		—		47		63
Doubtful		74		36		10		14		—		—		—		134
Total	$	10,472	$	9,724	$	3,638	$	1,060	$	507	$	7	$	1,282	$	26,690
All Loans	2024		2023		2022		2020		2019		Prior		Revolving		Total
Pass	$	142,907	$	141,573	$	118,041	$	51,178	$	45,351	$	127,070	$	114,058	$	740,178
Special Mention		189		-		1,681		-		-		220		-		2,090
Substandard		42		3,444		3,526		1,129		1,056		3,462		2,838		15,497
Doubtful		74		81		10		14		—		—		121		300
Total Loans	$	143,212	$	145,098	$	123,258	$	52,321	$	46,407	$	130,752	$	117,017	$	758,065
Gross charge-offs	$	-	$	123	$	374	$	45	$	178	$	21	$	920	$	1,661

Summary of Changes in the Allowance for Credit Losses

The following table outlines the changes in the allowance for credit losses by category, the allowance for loans individually and collectively evaluated, and the balances of loans individually and collectively evaluated, for the three months ended March 31, 2025:

	1-4 Family						Commercial			Other			Home			Other
	Residential			Construction			Real Estate			Commercial			Equity			Consumer			Total
							(dollars in thousands)
Allowance
Beginning balance, January 1, 2025	$	2,246		$	539		$	257		$	1,209		$	1,224		$	769		$	6,244
Charge-offs		(25	)		(3	)		—			(244	)		(23	)		(163	)		(458	)
Recoveries		—			—			—			2			—			22			24
Provision for Credit Loss		23			—			—			216			19			127			385
Reallocations		(196	)		(341	)		(155	)		1,004			(314	)		2			—
Balance at end of period	$	2,048		$	195		$	102		$	2,187		$	906		$	757		$	6,195
Ending allowance balance for loans individually evaluated	$	728		$	—		$	—		$	477		$	261		$	92		$	1,558
Ending allowance balance for loans collectively evaluated	$	1,320		$	195		$	102		$	1,710		$	645		$	665		$	4,637
Loans Receivable
Total period-end balance	$	252,100		$	38,928		$	253,054		$	97,652		$	106,089		$	23,885		$	771,708
Balance of loans individually evaluated	$	12,648		$	—		$	1,701		$	3,530		$	2,695		$	263		$	20,837
Balance of loans collectively evaluated	$	239,452		$	38,928		$	251,353		$	94,122		$	103,394		$	23,622		$	750,871

The following table outlines the changes in the allowance for credit losses by category, the allowance for loans individually and collectively evaluated, and the balances of loans individually and collectively evaluated, for the year ended December 31, 2024:

	1-4 Family					Commercial			Other			Home		Other
	Residential			Construction		Real Estate			Commercial			Equity		Consumer			Total
						(dollars in thousands)
Allowance
Beginning balance, January 1, 2024	$	1,210		$	1	$	2,218		$	1,586		$	536	$	652		$	6,203
Charge-offs		(306	)		—		—			(1,114	)		—		(241	)		(1,661	)
Recoveries		6			2		—			118			—		46			172
Provision for Credit Loss		550			132		63			296			300		189			1,530
Reallocations		786			404		(2,024	)		323			388		123			—
Balance at end of year	$	2,246		$	539	$	257		$	1,209		$	1,224	$	769		$	6,244
Ending allowance balance for loans individually evaluated	$	477		$	—	$	—		$	283		$	146	$	122		$	1,028
Ending allowance balance for loans collectively evaluated	$	1,769		$	539	$	257		$	926		$	1,078	$	647		$	5,216
Loans Receivable
Total period-end balance	$	254,642		$	34,139	$	241,063		$	94,981		$	106,550	$	26,690		$	758,065
Balance of loans individually evaluated	$	10,350		$	—	$	1,709		$	1,928		$	2,529	$	143		$	16,659
Balance of loans collectively evaluated	$	244,292		$	34,139	$	239,354		$	93,053		$	104,021	$	26,547		$	741,406

Summary of Loan Class of Past Due and Non-accrual Loans

The following tables present a summary by loan class of past due and non-accrual loans as of March 31, 2025 and December 31, 2024 (dollars in thousands):

					Greater Than								Past Due>
	30-59 Days		60-89 Days		90 Days		Total				Total		90 Days and
	Past Due		Past Due		Past Due		Past Due		Current		Loans		Accruing
March 31, 2025
1-4 family residential	$	18,725	$	2,708	$	5,231	$	26,664	$	225,436	$	252,100	$	—
Construction		2,399		—		—		2,399		36,529		38,928		—
Commercial real estate		63		—		—		63		252,991		253,054		—
Other commercial		2,038		51		805		2,894		94,758		97,652		—
Home equity		1,282		676		1,334		3,292		102,797		106,089		—
Other consumer		202		—		390		592		23,293		23,885		—
Total	$	24,709	$	3,435	$	7,760	$	35,904	$	735,804	$	771,708	$	—

	March 31, 2025
	Nonaccrual Loans with		Nonaccrual Loans		Total Nonaccrual
	No Allowance		with an Allowance		Loans
1-4 family residential	$	6,866	$	5,389	$	12,255
Construction		—		—		—
Commercial real estate		—		—		—
Other commercial		444		373		817
Home equity		1,410		523		1,933
Other consumer		405		38		443
Total	$	9,125	$	6,323	$	15,448

					Greater Than								Past Due>
	30-59 Days		60-89 Days		90 Days		Total				Total		90 Days and
	Past Due		Past Due		Past Due		Past Due		Current		Loans		Accruing
December 31, 2024
1-4 family residential	$	16,549	$	6,043	$	6,026	$	28,618	$	226,024	$	254,642	$	—
Construction		—		—		—		—		34,139		34,139		—
Commercial real estate		101		—		—		101		240,962		241,063		—
Other commercial		401		194		622		1,217		93,764		94,981		—
Home equity		2,073		787		1,217		4,077		102,473		106,550		—
Other consumer		409		80		118		607		26,083		26,690		—
Total	$	19,533	$	7,104	$	7,983	$	34,620	$	723,445	$	758,065	$	—

	December 31, 2024
	Nonaccrual Loans with		Nonaccrual Loans		Total Nonaccrual
	No Allowance		with an Allowance		Loans
1-4 family residential	$	6,128	$	4,102	$	10,230
Construction		—		—		—
Commercial real estate		—		—		—
Other commercial		484		281		765
Home equity		1,670		164		1,834
Other consumer		35		125		160
Total	$	8,317	$	4,672	$	12,989