(4) LOANS

The major classifications of loans outstanding, net of fair value marks and deferred loan origination fees and costs are summarized as follows.



	December 31
(Dollars in thousands)	2016		2015
Residential mortgage	$	87,581	$	28,651
Commercial mortgage		465,486		274,132
Commercial:
Commercial term		123,175		102,178
Commercial construction		72,755		20,364
Consumer:
Home equity		62,560		51,270
Other		5,972		5,163
Total loans	$	817,529	$	481,758
Less allowance for credit losses		(5,373)		(4,935)
Net loans	$	812,156	$	476,823

Some of DNB’s directors and executive officers, and their related interests had transactions with the Bank in the ordinary course of business. It is anticipated that similar transactions will occur in the future.



(Dollars in thousands)	2016		2015
Related party loans at beginning of period	$	67	$	70
Advances		14		8
Purchases of related party loans from acquisition		446		-
Repayments		(19)		(11)
Related party loans at end of period	$	508	$	67