Fair Value (Tables)

12 Months Ended

Dec. 31, 2023

Fair Value Disclosures [Abstract]

Summary of Financial Assets Measured at Fair Value on Recurring Basis

The following tables present the balances of financial assets measured at fair value on a recurring basis as of the dates stated.

	December 31, 2023
(Dollars in thousands)	Total		Level 1		Level 2		Level 3
Securities available for sale
Mortgage backed securities	$	176,970	$	—	$	176,970	$	—
U.S. Treasury and agencies		68,871		—		68,871		—
State and municipals		43,325		—		43,325		—
Corporate bonds		31,915		—		31,165		750
Total securities available for sale	$	321,081	$	—	$	320,331	$	750
Other assets
MSR assets	$	27,114	$	—	$	—	$	27,114
Rabbi trust assets		531		531		—		—
Mortgage derivative asset		335		—		335		—
Interest rate swap asset		71		—		71		—
Other liabilities
Mortgage derivative liability	$	140	$	—	$	140	$	—
Interest rate swap liability		71		—		71		—

	December 31, 2022
(Dollars in thousands)	Total		Level 1		Level 2		Level 3
Securities available for sale
Mortgage backed securities	$	196,336	$	—	$	188,719	$	7,617
U.S. Treasury and agencies		67,162		—		67,162		—
State and municipals		50,993		—		50,993		—
Corporate bonds		39,850		—		35,561		4,289
Total securities available for sale	$	354,341	$	—	$	342,435	$	11,906
Other assets
MSR assets	$	28,991	$	—	$	—	$	28,991
Rabbi trust assets		584		584		—		—
Mortgage derivative asset		112		—		112		—
Interest rate swap asset		95		—		95		—
Other liabilities
Mortgage derivative liability	$	24	$	—	$	24	$	—
Interest rate swap liability		95		—		95		—

Summary of Changes Incorporate Bonds and Mortgage Backed Securities Using Level 3 Inputs

The following table presents the change in corporate bonds and mortgage backed securities using Level 3 inputs for the periods stated.

(Dollars in thousands)	Corporate Bonds			Mortgage backed securities
Balance as of December 31, 2021	$	11,064		$	7,916
Transfers from Level 3 to Level 2		(6,751	)		—
Sales or paydowns		—			(300	)
Fair value adjustments		(24	)		1
Balance as of December 31, 2022	$	4,289		$	7,617
Transfers from Level 3 to Level 2		(3,539	)		(7,617	)
Balance as of December 31, 2023	$	750		$	—

Summary of Change in MSR Assets

The following table presents the change in MSR assets as of the dates and for the periods stated.

(Dollars in thousands)	MSR Assets
Balance as of December 31, 2021 - Amortized cost	$	16,469
Change in accounting method		4,484
Additions		5,791
Fair value adjustments		2,247
Balance as of December 31, 2022 - Fair value	$	28,991
Additions		1,010
Fair value adjustments		(2,887	)
Balance as of December 31, 2023 - Fair value	$	27,114

Summary of Assets Measured at Fair Value

The following tables summarize assets that were measured at fair value on a nonrecurring basis as of the dates stated.

	December 31, 2023
(Dollars in thousands)	Total		Level 1		Level 2		Level 3
Other equity investments	$	12,905	$	—	$	12,905	$	—
Collateral-dependent loans		56,068		—		—		56,068
Loans held for sale		46,337		—		46,337		—

	December 31, 2022
(Dollars in thousands)	Total		Level 1		Level 2		Level 3
Other equity investments	$	23,776	$	—	$	23,776	$	—
Impaired loans, net		54,906		—		—		54,906
Loans held for sale		69,534		—		69,534		—
OREO		195		—		—		195

Summary of Quantitative Information about Level 3 Fair Value Measurements

The following tables present quantitative information about Level 3 fair value measurements as of the dates stated.

(Dollars in thousands)	Balance as of December 31, 2023		Unobservable Input	Range
Collateral-dependent loans
Discounted appraised value technique	$	56,068	Selling Costs	7% - 15%

(Dollars in thousands)	Balance as of December 31, 2022		Unobservable Input	Range
Impaired loans, net
Discounted appraised value technique	$	54,761	Selling Costs	7% - 10%
Discounted cash flows technique		145	Discount Rate	4% - 11%
OREO
Discounted appraised value technique		195	Selling Costs		7	%

Summary of Estimated Fair Values and Related Carrying Amounts of Financial Instruments

The following tables present estimated fair values and related carrying amounts of the Company’s financial instruments as of the dates stated.

	December 31, 2023
					Fair Value Measurements
(Dollars in thousands)	Carrying Value		Fair Value		Level 1		Level 2		Level 3
Financial Assets
Cash and due from banks	$	110,491	$	110,491	$	110,491	$	—	$	—
Restricted cash		10,660		10,660		10,660		—		—
Federal funds sold		4,451		4,451		4,451		—		—
Securities available for sale		321,081		321,081		—		320,331		750
Restricted equity investments		18,621		18,621		—		18,621		—
Other equity investments		12,905		12,905		—		12,905		—
Other investments		29,467		29,467		—		—		29,467
PPP loans receivable, net		2,386		2,386		—		—		2,386
Loans held for investment, net		2,392,668		2,313,727		—		—		2,313,727
Accrued interest receivable		14,967		14,967		—		14,967		—
Bank owned life insurance		48,453		48,453		—		48,453		—
MSR assets		27,114		27,114		—		—		27,114
Financial Liabilities
Noninterest-bearing deposits	$	506,248	$	506,248	$	506,248	$	—	$	—
Interest-bearing demand and money market deposits		1,049,536		1,049,536		—		1,049,536		—
Savings deposits		117,923		117,923		—		117,923		—
Time deposits		892,325		892,439		—		—		892,439
FHLB borrowings		210,000		211,799		—		211,799		—
FRB borrowings		65,000		65,000		—		65,000		—
Subordinated notes, net		39,855		37,803		—		—		37,803

	December 31, 2022
					Fair Value Measurements
(Dollars in thousands)	Carrying Value		Fair Value		Level 1		Level 2		Level 3
Financial Assets
Cash and due from banks	$	77,274	$	77,274	$	77,274	$	—	$	—
Federal funds sold		1,426		1,426		1,426		—		—
Securities available for sale		354,341		354,341		—		342,435		11,906
Restricted equity investments		21,257		21,257		—		21,257		—
Other equity investments		23,776		23,776		—		23,776		—
Other investments		24,672		24,672		—		—		24,672
PPP loans receivable, net		11,967		11,967		—		—		11,967
Loans held for investment, net		2,368,352		2,321,042		—		—		2,321,042
Accrued interest receivable		11,569		11,569		—		11,569		—
Bank owned life insurance		47,245		47,245		—		47,245		—
MSR assets		28,991		28,991		—		—		28,991
Financial Liabilities
Noninterest-bearing deposits	$	640,101	$	640,101	$	640,101	$	—	$	—
Interest-bearing demand and money market deposits		1,318,799		1,318,799		—		1,318,799		—
Savings deposits		151,646		151,646		—		151,646		—
Time deposits		391,961		352,294		—		—		352,294
FHLB borrowings		311,700		311,700		—		311,700		—
FRB borrowings		51		51		—		51		—
Subordinated notes, net		39,920		37,689		—		—		37,689