Loans (Tables)

9 Months Ended

Sep. 30, 2016

Loans and Leases Receivable Disclosure [Abstract]

Loans are summarized as follows:



Dollars in thousands	September 30, 2016		December 31, 2015		September 30, 2015
Commercial	$	110,466	$	97,201	$	89,250
Commercial real estate
Owner-occupied	192,254		203,555		199,068
Non-owner occupied	367,196		337,294		336,550
Construction and development
Land and land development	65,430		65,500		66,164
Construction	11,276		9,970		8,419
Residential real estate
Non-jumbo	228,777		221,750		222,739
Jumbo	57,276		50,313		46,092
Home equity	75,161		74,300		73,652
Mortgage warehouse lines	108,983		—		—
Consumer	19,756		19,251		19,124
Other	9,649		11,669		12,518
Total loans, net of unearned fees	1,246,224		1,090,803		1,073,576
Less allowance for loan losses	11,619		11,472		11,228
Loans, net	$	1,234,605	$	1,079,331	$	1,062,348

Schedule of Contractual Aging of Recorded Investment In Past Due Loans By Class

The following table presents the contractual aging of the recorded investment in past due loans by class as of September 30, 2016 and 2015 and December 31, 2015.



	At September 30, 2016
	Past Due										> 90 days and Accruing
Dollars in thousands	30-59 days		60-89 days		> 90 days		Total		Current		> 90 days and Accruing
Commercial	$	301	$	138	$	602	$	1,041	$	109,425	$	—
Commercial real estate
Owner-occupied	251		—		505		756		191,498		—
Non-owner occupied	311		78		—		389		366,807		—
Construction and development
Land and land development	238		—		3,731		3,969		61,461		—
Construction	—		—		—		—		11,276		—
Residential mortgage
Non-jumbo	1,932		1,488		2,762		6,182		222,595		—
Jumbo	—		—		—		—		57,276		—
Home equity	—		136		318		454		74,707		—
Mortgage warehouse lines	—		—		—		—		108,983		—
Consumer	135		44		148		327		19,429		21
Other	—		—		—		—		9,649		—
Total	$	3,168	$	1,884	$	8,066	$	13,118	$	1,233,106	$	21



	At December 31, 2015
	Past Due										> 90 days and Accruing
Dollars in thousands	30-59 days		60-89 days		> 90 days		Total		Current		> 90 days and Accruing
Commercial	$	345	$	26	$	632	$	1,003	$	96,198	$	—
Commercial real estate
Owner-occupied	158		386		437		981		202,574		—
Non-owner occupied	1		—		856		857		336,437		—
Construction and development
Land and land development	1,182		194		4,547		5,923		59,577		—
Construction	—		—		—		—		9,970		—
Residential mortgage
Non-jumbo	2,276		2,647		1,591		6,514		215,236		—
Jumbo	—		—		—		—		50,313		—
Home equity	374		172		100		646		73,654		—
Consumer	155		41		92		288		18,963		9
Other	—		—		—		—		11,669		—
Total	$	4,491	$	3,466	$	8,255	$	16,212	$	1,074,591	$	9



	At September 30, 2015
	Past Due										> 90 days and Accruing
Dollars in thousands	30-59 days		60-89 days		> 90 days		Total		Current		> 90 days and Accruing
Commercial	$	42	$	41	$	623	$	706	$	88,544	$	—
Commercial real estate
Owner-occupied	961		—		436		1,397		197,671		—
Non-owner occupied	309		657		188		1,154		335,396		—
Construction and development
Land and land development	39		—		4,538		4,577		61,587		—
Construction	—		—		—		—		8,419		—
Residential mortgage
Non-jumbo	3,239		1,108		2,065		6,412		216,327		—
Jumbo	—		—		—		—		46,092		—
Home equity	165		209		27		401		73,251		—
Consumer	169		77		42		288		18,836		8
Other	—		—		—		—		12,518		—
Total	$	4,924	$	2,092	$	7,919	$	14,935	$	1,058,641	$	8

Schedule of Financing Receivables, Non Accrual Status

The following table presents the nonaccrual loans included in the net balance of loans at September 30, 2016, December 31, 2015 and September 30, 2015.



	September 30,				December 31,
Dollars in thousands	2016		2015		2015
Commercial	$	846	$	884	$	853
Commercial real estate
Owner-occupied	505		437		437
Non-owner occupied	4,362		4,858		5,518
Construction and development
Land & land development	4,360		5,346		5,623
Construction	—		—		—
Residential mortgage
Non-jumbo	3,680		3,689		2,987
Jumbo	—		—		—
Home equity	494		191		258
Mortgage warehouse lines	—		—		—
Consumer	148		44		83
Total	$	14,395	$	15,449	$	15,759

Schedule of Method Used to Measure Impairment of Impaired Loans

The table below sets forth information about our impaired loans.



Method Used to Measure Impairment of Impaired Loans
Dollars in thousands
	September 30,				December 31,		Method used to measure impairment
Loan Category	2016		2015		2015		Method used to measure impairment
Commercial	$	650	$	41	$	41	Fair value of collateral
	159		269		201		Discounted cash flow
Commercial real estate
Owner-occupied	318		795		783		Fair value of collateral
	7,095		7,646		7,616		Discounted cash flow
Non-owner occupied	4,596		5,924		5,728		Fair value of collateral
	7,121		7,775		7,722		Discounted cash flow
Construction and development
Land & land development	5,191		10,047		6,597		Fair value of collateral
	2,131		2,257		2,177		Discounted cash flow
Residential mortgage
Non-jumbo	1,732		1,730		1,753		Fair value of collateral
	4,748		4,375		4,378		Discounted cash flow
Jumbo	3,682		3,792		3,869		Fair value of collateral
	859		876		871		Discounted cash flow
Home equity	190		186		186		Fair value of collateral
	523		523		523		Discounted cash flow
Consumer	—		2		—		Fair value of collateral
	48		68		68		Discounted cash flow
Total	$	39,043	$	46,306	$	42,513

Impaired Financing Receivables

The following tables present loans individually evaluated for impairment at September 30, 2016, December 31, 2015 and September 30, 2015.



	September 30, 2016
Dollars in thousands	Recorded Investment		Unpaid Principal Balance		Related Allowance		Average Impaired Balance		Interest Income Recognized while impaired

Without a related allowance
Commercial	$	791	$	790	$	—	$	400	$	9
Commercial real estate
Owner-occupied	4,914		4,914		—		4,932		188
Non-owner occupied	10,394		10,396		—		10,831		456
Construction and development
Land & land development	6,181		6,181		—		6,207		104
Construction	—		—		—		—		—
Residential real estate
Non-jumbo	3,852		3,861		—		3,732		170
Jumbo	3,683		3,682		—		3,711		176
Home equity	713		713		—		710		21
Mortgage warehouse lines	—		—		—		—		—
Consumer	48		48		—		52		5
Total without a related allowance	$	30,576	$	30,585	$	—	$	30,575	$	1,129

With a related allowance
Commercial	$	19	$	19	$	19	$	6	$	—
Commercial real estate
Owner-occupied	2,499		2,499		12		2,491		112
Non-owner occupied	1,321		1,321		132		1,332		43
Construction and development
Land & land development	1,140		1,141		492		1,155		58
Construction	—		—		—		—		—
Residential real estate
Non-jumbo	2,617		2,619		216		2,329		103
Jumbo	859		859		25		864		43
Home equity	—		—		—		—		—
Mortgage warehouse lines	—		—		—		—		—
Consumer	—		—		—		—		—
Total with a related allowance	$	8,455	$	8,458	$	896	$	8,177	$	359

Total
Commercial	$	27,259	$	27,261	$	655	$	27,354	$	970
Residential real estate	11,724		11,734		241		11,346		513
Consumer	48		48		—		52		5
Total	$	39,031	$	39,043	$	896	$	38,752	$	1,488



	December 31, 2015
Dollars in thousands	Recorded Investment		Unpaid Principal Balance		Related Allowance		Average Impaired Balance		Interest Income Recognized while impaired

Without a related allowance
Commercial	$	242	$	242	$	—	$	319	$	17
Commercial real estate
Owner-occupied	5,401		5,402		—		5,438		191
Non-owner occupied	10,740		10,741		—		9,982		310
Construction and development
Land & land development	7,635		7,635		—		9,497		263
Construction	—		—		—		—		—
Residential real estate
Non-jumbo	3,590		3,600		—		3,316		160
Jumbo	3,871		3,869		—		4,412		181
Home equity	709		709		—		709		32
Consumer	68		68		—		72		6
Total without a related allowance	$	32,256	$	32,266	$	—	$	33,745	$	1,160

With a related allowance
Commercial	$	—	$	—	$	—	$	—	$	—
Commercial real estate
Owner-occupied	2,997		2,997		45		3,003		135
Non-owner occupied	2,709		2,709		386		2,728		72
Construction and development
Land & land development	1,139		1,139		85		1,154		—
Construction	—		—		—		—		—
Residential real estate
Non-jumbo	2,530		2,531		226		2,552		114
Jumbo	871		871		34		878		43
Home equity	—		—		—		—		—
Consumer	—		—		—		—		—
Total with a related allowance	$	10,246	$	10,247	$	776	$	10,315	$	364

Total
Commercial	$	30,863	$	30,865	$	516	$	32,121	$	988
Residential real estate	11,571		11,580		260		11,867		530
Consumer	68		68		—		72		6
Total	$	42,502	$	42,513	$	776	$	44,060	$	1,524



	September 30, 2015
Dollars in thousands	Recorded Investment		Unpaid Principal Balance		Related Allowance		Average Impaired Balance		Interest Income Recognized while impaired

Without a related allowance
Commercial	$	310	$	310	$	—	$	345	$	63
Commercial real estate
Owner-occupied	5,420		5,421		—		5,450		586
Non-owner occupied	11,635		11,636		—		10,362		988
Construction and development
Land & land development	12,136		12,304		—		11,282		908
Construction	—		—		—		—		—
Residential real estate
Non-jumbo	3,399		3,408		—		3,930		462
Jumbo	3,794		3,792		—		3,820		554
Home equity	710		709		—		709		93
Consumer	70		70		—		75		21
Total without a related allowance	$	37,474	$	37,650	$	—	$	35,973	$	3,675

With a related allowance
Commercial	$	—	$	—	$	—	$	—	$	—
Commercial real estate
Owner-occupied	3,019		3,020		46		3,005		409
Non-owner occupied	2,063		2,063		190		2,074		244
Construction and development
Land & land development	—		—		—		—		—
Construction	—		—		—		—		—
Residential real estate
Non-jumbo	2,695		2,697		251		2,714		348
Jumbo	876		876		37		880		134
Home equity	—		—		—		—		—
Consumer	—		—		—		—		—
Total with a related allowance	$	8,653	$	8,656	$	524	$	8,673	$	1,135

Total
Commercial	$	34,583	$	34,754	$	236	$	32,518	$	3,198
Residential real estate	11,474		11,482		288		12,053		1,591
Consumer	70		70		—		75		21
Total	$	46,127	$	46,306	$	524	$	44,646	$	4,810

Troubled Debt Restructurings on Financing Receivables [Table Text Block]



	For the Three Months Ended September 30, 2016					For the Three Months Ended September 30, 2015
Dollars in thousands	Number of Modifications	Pre-modification Recorded Investment		Post-modification Recorded Investment		Number of Modifications	Pre-modification Recorded Investment		Post-modification Recorded Investment
Commercial	—	$	—	$	—	—	$	—	$	—
Commercial real estate
Owner-occupied	—	—		—		—	—		—
Non-owner occupied	—	—		—		—	—		—
Construction and development
Land & land development	—	—		—		1	1,182		1,182
Construction	—	—		—		—	—		—
Residential real estate
Non-jumbo	1	307		307		—	—		—
Jumbo	—	—		—		—	—		—
Home equity	—	—		—		—	—		—
Mortgage warehouse lines	—	—		—		—	—		—
Consumer	—	—		—		—	—		—
Total	1	$	307	$	307	1	$	1,182	$	1,182



	For the Nine Months Ended September 30, 2016					For the Nine Months Ended September 30, 2015
Dollars in thousands	Number of Modifications	Pre-modification Recorded Investment		Post-modification Recorded Investment		Number of Modifications	Pre-modification Recorded Investment		Post-modification Recorded Investment
Commercial	—	$	—	$	—	—	$	—	$	—
Commercial real estate
Owner-occupied	—	—		—		—	—		—
Non-owner occupied	—	—		—		—	—		—
Construction and development
Land & land development	—	—		—		1	1,182		1,182
Construction	—	—		—		—	—		—
Residential real estate
Non-jumbo	4	702		702		—	—		—
Jumbo	—	—		—		—	—		—
Home equity	—	—		—		—	—		—
Mortgage warehouse lines	—	—		—		—	—		—
Consumer	1	2		2		—	—		—
Total	5	$	704	$	704	1	$	1,182	$	1,182

Schedule of Defaults During Stated Period of Trouble Debt Restructurings

For purposes of these tables, a default is considered as either the loan was past due 30 days or more at any time during the period, or the loan was fully or partially charged off during the period.



	For the Three Months Ended September 30, 2016			For the Nine Months Ended September 30, 2016
Dollars in thousands	Number of Defaults	Recorded Investment at Default Date		Number of Defaults	Recorded Investment at Default Date
Commercial	—	$	—	—	$	—
Commercial real estate
Owner-occupied	—	—		—	—
Non-owner occupied	—	—		—	—
Construction and development
Land & land development	—	—		—	—
Construction	—	—		—	—
Residential real estate
Non-jumbo	3	452		3	452
Jumbo	—	—		—	—
Home equity	—	—		—	—
Mortgage warehouse lines	—	—		—	—
Consumer	1	2		1	2
Total	4	$	454	4	$	454

Schedule of the Activity Regarding TDRs by Loan Type

The following table details the activity regarding TDRs by loan type for the three months and nine months ended September 30, 2016, and the related allowance on TDRs.



For the Three Months Ended September 30, 2016
	Construction & Land Development								Commercial Real Estate						Residential Real Estate
Dollars in thousands	Land & Land Develop- ment			Construc- tion		Commer- cial			Owner Occupied			Non- Owner Occupied			Non- jumbo			Jumbo			Home Equity		Mortgage Warehouse Lines		Con- sumer			Other		Total
Troubled debt restructurings
Balance July 1, 2016	$	3,956		$	—	$	198		$	9,118		$	6,001		$	5,457		$	4,575		$	523	$	—	$	54		$	—	$	29,882
Additions	—			—		—			—			—			303			—			—		—		—			—		303
Charge-offs	—			—		—			(2		)	—			—			—			—		—		—			—		(2		)
Net (paydowns) advances	(57		)	—		(7		)	(381		)	(504		)	(44		)	(34		)	—		—		(6		)	—		(1,033		)
Transfer into foreclosed properties	—			—		—			—			—			—			—			—		—		—			—		—
Refinance out of TDR status	—			—		—			—			—			—			—			—		—		—			—		—
Balance, September 30, 2016	$	3,899		$	—	$	191		$	8,735		$	5,497		$	5,716		$	4,541		$	523	$	—	$	48		$	—	$	29,150

Allowance related to troubled debt restructurings	$	492		$	—	$	—		$	144		$	—		$	216		$	25		$	—	$	—	$	—		$	—	$	877



For the Nine Months Ended September 30, 2016
	Construction & Land Development								Commercial Real Estate						Residential Real Estate
Dollars in thousands	Land & Land Develop- ment			Construc- tion		Commer- cial			Owner Occupied			Non- Owner Occupied			Non- jumbo			Jumbo			Home Equity		Mortgage Warehouse Lines		Con- sumer			Other		Total
Troubled debt restructurings
Balance January 1, 2016	$	4,188		$	—	$	242		$	9,314		$	6,059		$	5,496		$	4,634		$	523	$	—	$	68		$	—	$	30,524
Additions	—			—		—			—			—			698			—			—		—		1			—		699
Charge-offs	—			—		—			(128		)	—			(52		)	—			—		—		—			—		(180		)
Net (paydowns) advances	(289		)	—		(51		)	(451		)	(562		)	(426		)	(93		)	—		—		(21		)	—		(1,893		)
Transfer into foreclosed properties	—			—		—			—			—			—			—			—		—		—			—		—
Refinance out of TDR status	—			—		—			—			—			—			—			—		—		—			—		—
Balance, September 30, 2016	$	3,899		$	—	$	191		$	8,735		$	5,497		$	5,716		$	4,541		$	523	$	—	$	48		$	—	$	29,150

Allowance related to troubled debt restructurings	$	492		$	—	$	—		$	144		$	—		$	216		$	25		$	—	$	—	$	—		$	—	$	877

Financing Receivable Credit Quality Indicators

The following table presents the recorded investment in construction and development, commercial, and commercial real estate loans which are generally evaluated based upon the internal risk ratings defined above.



Loan Risk Profile by Internal Risk Rating
	Construction and Development												Commercial Real Estate
	Land and Land Development				Construction				Commercial				Owner Occupied				Non-Owner Occupied				Mortgage Warehouse Lines
Dollars in thousands	9/30/2016		12/31/2015		9/30/2016		12/31/2015		9/30/2016		12/31/2015		9/30/2016		12/31/2015		9/30/2016		12/31/2015		9/30/2016		12/31/2015
Pass	$	58,169	$	57,155	$	11,276	$	9,970	$	108,563	$	95,174	$	190,854	$	202,226	$	361,531	$	329,861	$	108,983	$	—
OLEM (Special Mention)	1,737		1,598		—		—		1,142		1,295		576		546		958		1,602		—		—
Substandard	5,524		6,747		—		—		761		732		824		783		4,707		5,831		—		—
Doubtful	—		—		—		—		—		—		—		—		—		—		—		—
Loss	—		—		—		—		—		—		—		—		—		—		—		—
Total	$	65,430	$	65,500	$	11,276	$	9,970	$	110,466	$	97,201	$	192,254	$	203,555	$	367,196	$	337,294	$	108,983	$	—

Schedule of Recorded Investment Evaluated Based on Aging Status of Loans and Payment Activity

The following table presents the recorded investment in consumer, residential real estate, and home equity loans, which are generally evaluated based on the aging status of the loans, which was previously presented, and payment activity.



	Performing						Nonperforming
Dollars in thousands	9/30/2016		12/31/2015		9/30/2015		9/30/2016		12/31/2015		9/30/2015
Residential real estate
Non-jumbo	$	225,097	$	218,763	$	219,050	$	3,680	$	2,987	$	3,689
Jumbo	57,276		50,313		46,092		—		—		—
Home Equity	74,667		74,042		73,461		494		258		191
Consumer	19,574		19,149		19,071		182		102		53
Other	9,649		11,669		12,518		—		—		—
Total	$	386,263	$	373,936	$	370,192	$	4,356	$	3,347	$	3,933