OTHER REAL ESTATE OWNED ("OREO")

3 Months Ended

Mar. 31, 2022

Real Estate [Abstract]

Other Real Estate Owned ("OREO")

OTHER REAL ESTATE OWNED (“OREO”)

OREO assets are presented net of the valuation allowance. The Company considers OREO as classified assets for regulatory and financial reporting. OREO carrying amounts reflect management’s estimate of the realizable value of these properties incorporating current appraised values, local real estate market conditions and related costs. An analysis of activity follows.

	Three Months Ended March 31,				Years Ended December 31,
(dollars in thousands)	2022		2021		2021
Balance at beginning of year	$	—	$	3,109	$	3,109
Additions of underlying property	—		—		—
Disposals of underlying property	—		(600)		(1,722)
Valuation allowance	—		(180)		(1,387)
Balance at end of period	$	—	$	2,329	$	—

Expenses applicable to OREO assets included the following.

	Three Months Ended March 31,
(dollars in thousands)	2022		2021
Valuation allowance	$	—	$	180
Losses (gains) on dispositions	—		(22)
Operating expenses	6		23
	$	6	$	181

The Company had $0.4 million impaired loans secured by residential real estate for which formal foreclosure proceedings were in process as of March 31, 2022 and December 31, 2021.