Other Real Estate Owned

12 Months Ended

Dec. 31, 2013

Banking And Thrift [Abstract]

Other Real Estate Owned

NOTE 7. OTHER REAL ESTATE OWNED

The following table presents the changes in OREO, net of valuation allowance, for the years ended December 31, 2013, 2012, and 2011:

(Dollars in thousands)	Years Ended December 31,
	2013			2012			2011
Balance at beginning of year	$	3,061		$	3,731		$	2,288
Additions to other real estate owned		1,585			6,238			5,033
Dispositions of other real estate owned		(3,733	)		(6,483	)		(3,033	)
Valuation adjustments in the period		0			(425	)		(557	)
Total	$	913		$	3,061		$	3,731

For the year ended December 31, 2013, the recorded investment in OREO was $913 thousand. For the year ended December 31, 2013, the Company transferred foreclosed property from ten loans in the amount of $1.6 million to OREO and adjusted the balances through charges to the ALLL in the amount of $4 thousand relating to the transferred foreclosed property. During this period, the Company sold twenty-three properties with balances of $3.7 million for a net loss of $130 thousand, and did not record any write downs of existing OREO in noninterest expense. The December 31, 2013 OREO balance consists of three properties, of which two are secured with 1-4 family residential real estate in the amount of $163 thousand. The remaining property consists of improved commercial land in the amount of $750 thousand.