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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