Note 4 - Loans Receivable

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Loans, Notes, Trade and Other Receivables Disclosure [Text Block]

4. Loans Receivable

The following table sets forth the Company’s gross loans by major categories as of

December 31, 2019

and

2018:

(dollars in thousands)	December 31, 2019			December 31, 2018
Commercial real estate	$	613,631		$	515,738
Construction and land development		121,395			121,042
Commercial and industrial		223,906			200,423
Owner occupied real estate		424,400			367,895
Consumer and other		101,320			91,152
Residential mortgage		263,444			140,364
Total loans receivable		1,748,096			1,436,614
Deferred costs (fees)		99			(16	)
Allowance for loan losses		(9,266	)		(8,615	)
Net loans receivable	$	1,738,929		$	1,427,983

The Company disaggregates its loan portfolio into groups of loans with similar risk characteristics for purposes of estimating the allowance for loan losses. The Company’s loan groups include commercial real estate, construction and land development, commercial and industrial, owner occupied real estate, consumer, and residential mortgages. The loan groups are also considered classes for purposes of monitoring and assessing credit quality based on certain risk characteristics.

Included in loans are loans due from directors and other related parties of

$13.6

million at

December 31, 2019,

$13.0

million at

December 31, 2018,

and

$8.9

million at

December 31, 2017.  

The Board of Directors approves loans to individual directors to conform to our underwriting policies. The following presents the activity in amount due from directors and other related parties for the years ended

December 31, 2019,

2018,

and

2017.

(dollars in thousands)	December 31, 201 9			December 31, 201 8			December 31, 201 7
Balance at beginning of year	$	13,029		$	8,920		$	7,862
Additions		2,064			4,812			1,896
Repayments		(1,500	)		(703	)		(838	)
Balance at end of year	$	13,593		$	13,029		$	8,920