Fair Value of Assets and Liabilities (Tables)

12 Months Ended

Dec. 31, 2023

Fair Value of Assets and Liabilities

Summary of balances of the assets and liabilities measured at estimated fair value on a recurring basis

	December 31, 2023
(dollars in thousands)	Level 1		Level 2		Level 3		Total
Available-for-sale
U.S. treasury and government agencies	$	—	$	1,120	$	—	$	1,120
Mortgage backed securities
Residential agency		—		435,594		—		435,594
Commercial		—		1,353		—		1,353
Asset backed securities		—		25		—		25
Corporate bonds		—		48,644		—		48,644
Total available-for-sale investment securities	$	—	$	486,736	$	—	$	486,736
Other assets
Derivatives	$	—	$	8,512	$	—	$	8,512
Other liabilities
Derivatives	$	—	$	9,180	$	—	$	9,180

	December 31, 2022
(dollars in thousands)	Level 1		Level 2		Level 3		Total
Available-for-sale
U.S. treasury and government agencies	$	—	$	3,520	$	—	$	3,520
Mortgage backed securities
Residential agency		—		587,679		—		587,679
Commercial		—		63,558		—		63,558
Asset backed securities		—		34		—		34
Corporate bonds		—		62,533		—		62,533
Total available-for-sale investment securities	$	—	$	717,324	$	—	$	717,324
Other assets
Derivatives	$	—	$	6,405	$	—	$	6,405
Other liabilities
Derivatives	$	—	$	6,303	$	—	$	6,303

Schedule of estimated fair value measurements of certain assets

	December 31, 2023
(dollars in thousands)	Level 1		Level 2		Level 3		Total
Collateral dependent loans	$	—	$	—	$	3,998	$	3,998
Foreclosed assets		—		—		32		32
Servicing rights		—		—		2,052		2,052

	December 31, 2022
(dollars in thousands)	Level 1		Level 2		Level 3		Total
Collateral dependent loans	$	—	$	—	$	2,813	$	2,813
Foreclosed assets		—		—		30		30
Servicing rights		—		—		2,643		2,643

Schedule of valuation techniques and significant unobservable inputs used to measure Level 3 estimated fair values

			December 31, 2023
(dollars in thousands)							Weighted
Asset Type	Valuation Technique	Unobservable Input	Fair Value		Range		Average
Individually evaluated	Appraisal value	Property specific adjustment	$	3,998	10.0	%	10.0	%
Foreclosed assets	Appraisal value	Property specific adjustment (1)		32	N/A		N/A
Servicing rights	Discounted cash flows	Prepayment speed assumptions		2,052	85-151		104
		Discount rate			11.1	%	11.1	%

(1) There were no discounts taken on the collateral that comprises the balance of foreclosed assets as of December 31, 2023.

			December 31, 2022
(dollars in thousands)							Weighted
Asset Type	Valuation Technique	Unobservable Input	Fair Value		Range		Average
Individually evaluated	Appraisal value	Property specific adjustment	$	2,813	10.0	%	10.0	%
Foreclosed assets	Appraisal value	Property specific adjustment (1)		30	N/A		N/A
Servicing rights	Discounted cash flows	Prepayment speed assumptions		2,643	103-137		115
		Discount rate			10.5	%	10.5	%

(1) There were no discounts taken on the collateral that comprises the balance of foreclosed assets as of December 31, 2022.

Summary of estimated fair values and related carrying or notional amounts, of the Company's financial instruments

	December 31, 2023
	Carrying		Estimated Fair Value
(dollars in thousands)	Amount		Level 1		Level 2		Level 3		Total
Financial Assets
Cash and cash equivalents	$	129,893	$	129,893	$	—	$	—	$	129,893
Investment securities held-to-maturity		299,515		—		258,617		—		258,617
Loans, net		2,723,740		—		—		2,590,535		2,590,535
Accrued interest receivable		15,700		15,700		—		—		15,700
Bank-owned life insurance		33,236		—		33,236		—		33,236
Financial Liabilities
Noninterest-bearing deposits	$	728,082	$	—	$	728,082	$	—	$	728,082
Interest-bearing deposits		1,955,967		—		1,955,967		—		1,955,967
Time deposits		411,562		—		408,910		—		408,910
Short-term borrowings		314,170		314,170		—		—		314,170
Long-term debt		58,956		—		57,437		—		57,437
Accrued interest payable		6,826		6,826		—		—		6,826

	December 31, 2022
	Carrying		Estimated Fair Value
(dollars in thousands)	Amount		Level 1		Level 2		Level 3		Total
Financial Assets
Cash and cash equivalents	$	58,242	$	58,242	$	—	$	—	$	58,242
Investment securities held-to-maturity		321,902		—		270,912		—		270,912
Loans, net		2,412,848		—		—		2,311,956		2,311,956
Accrued interest receivable		12,869		12,869		—		—		12,869
Bank-owned life insurance		33,991		—		33,991		—		33,991
Financial Liabilities
Noninterest-bearing deposits	$	860,987	$	—	$	860,987	$	—	$	860,987
Interest-bearing deposits		1,842,138		—		1,842,138		—		1,842,138
Time deposits		212,359		—		208,550		—		208,550
Short-term borrowings		378,080		378,080		—		—		378,080
Long-term debt		58,843		—		56,116		—		56,116
Accrued interest payable		2,426		2,426		—		—		2,426