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Allowance for Loan Losses and Reserve for Unfunded Lending Commitments
 12 Months Ended
Dec. 31, 2019
Provision for Loan and Lease Losses [Abstract]  
Allowance for Loan Losses and Reserve for Unfunded Lending Commitments
Allowance for Loan Losses and Reserve for Unfunded Lending Commitments
Changes in the allowance for loan losses and the reserve for unfunded lending commitments for each of the years in the three-year period ended December 31, 2019, are presented below (dollars in thousands):
 
Years Ended December 31,
 
2019
 
2018
 
2017
Allowance for Loan Losses
 
 
 
 
 
Balance, beginning of year
$
12,805

 
$
13,603

 
$
12,801

Provision for (recovery of) loan losses
456

 
(103
)
 
1,016

Charge-offs
(333
)
 
(1,020
)
 
(690
)
Recoveries
224

 
325

 
476

Balance, end of year
$
13,152

 
$
12,805

 
$
13,603

 
 
 
 
 
 
 
Years Ended December 31,
 
2019
 
2018
 
2017
Reserve for Unfunded Lending Commitments
 

 
 

 
 

Balance, beginning of year
$
217

 
$
206

 
$
203

Provision for unfunded commitments
112

 
11

 
3

Charge-offs
—

 
—

 
—

Balance, end of year
$
329

 
$
217

 
$
206


The reserve for unfunded loan commitments is included in other liabilities, and the provision for unfunded commitments is included in noninterest expense. The following table presents the Company's allowance for loan losses by portfolio segment and the related loan balance total by segment for the year ended December 31, 2019 (dollars in thousands):
  
Commercial
 
Commercial Real Estate
 
Residential Real Estate
 
Consumer
 
Total
Allowance for Loan Losses
 
 
 
 
 
 
 
 
 
Balance at December 31, 2018
$
2,537

 
$
7,246

 
$
2,977

 
$
45

 
$
12,805

Charge-offs
(12
)
 
(6
)
 
(70
)
 
(245
)
 
(333
)
Recoveries
13

 
9

 
58

 
144

 
224

Provision
119

 
167

 
58

 
112

 
456

Balance at December 31, 2019
$
2,657

 
$
7,416

 
$
3,023

 
$
56

 
$
13,152

 
 
 
 
 
 
 
 
 
 
Balance at December 31, 2019:
 

 
 

 
 

 
 

 
 

 
 
 
 
 
 
 
 
 
 
Allowance for Loan Losses
 

 
 

 
 

 
 

 
 

Individually evaluated for impairment
$
204

 
$
—

 
$
26

 
$
—

 
$
230

Collectively evaluated for impairment
2,448

 
7,386

 
2,794

 
56

 
12,684

Purchased credit impaired loans
5

 
30

 
203

 
—

 
238

Total
$
2,657

 
$
7,416

 
$
3,023

 
$
56

 
$
13,152

 
 
 
 
 
 
 
 
 
 
Loans
 

 
 

 
 

 
 

 
 

Individually evaluated for impairment
$
784

 
$
502

 
$
906

 
$
—

 
$
2,192

Collectively evaluated for impairment
337,312

 
1,004,296

 
433,121

 
10,866

 
1,785,595

Purchased credit impaired loans
981

 
32,321

 
9,711

 
15

 
43,028

Total
$
339,077

 
$
1,037,119

 
$
443,738

 
$
10,881

 
$
1,830,815


The following table presents the Company's allowance for loan losses by portfolio segment and the related loan balance total by segment for the year ended December 31, 2018 (dollars in thousands):
 
Commercial
 
Commercial Real Estate
 
Residential Real Estate
 
Consumer
 
Total
Allowance for Loan Losses
 
 
 
 
 
 
 
 
 
Balance at December 31, 2017
$
2,413

 
$
8,321

 
$
2,825

 
$
44

 
$
13,603

Charge-offs
(787
)
 
(11
)
 
(86
)
 
(136
)
 
(1,020
)
Recoveries
69

 
10

 
149

 
97

 
325

Provision
842

 
(1,074
)
 
89

 
40

 
(103
)
Balance at December 31, 2018
$
2,537

 
$
7,246

 
$
2,977

 
$
45

 
$
12,805

 
 
 
 
 
 
 
 
 
 
Balance at December 31, 2018:
 

 
 

 
 

 
 

 
 

 
 
 
 
 
 
 
 
 
 
Allowance for Loan Losses
 

 
 

 
 

 
 

 
 

Individually evaluated for impairment
$
55

 
$
—

 
$
9

 
$
—

 
$
64

Collectively evaluated for impairment
2,482

 
7,211

 
2,822

 
45

 
12,560

Purchased credit impaired loans
—

 
35

 
146

 
—

 
181

Total
$
2,537

 
$
7,246

 
$
2,977

 
$
45

 
$
12,805

 
 
 
 
 
 
 
 
 
 
Loans
 

 
 

 
 

 
 

 
 

Individually evaluated for impairment
$
90

 
$
376

 
$
868

 
$
—

 
$
1,334

Collectively evaluated for impairment
285,431

 
742,365

 
302,657

 
5,078

 
1,335,531

Purchased credit impaired loans
451

 
10,299

 
9,846

 
15

 
20,611

Total
$
285,972

 
$
753,040

 
$
313,371

 
$
5,093

 
$
1,357,476


The allowance for loan losses is allocated to loan segments based upon historical loss factors, risk grades on individual loans, portfolio analysis of smaller balance, homogenous loans, and qualitative factors.  Qualitative factors include trends in delinquencies, nonaccrual loans, and loss rates; trends in volume and terms of loans, effects of changes in risk selection, underwriting standards, and lending policies; experience of lending officers, other lending staff and loan review; national, regional, and local economic trends and conditions; legal, regulatory and collateral factors; and concentrations of credit.