NOTE

Loans Receivable, Net

A summary of loans receivable at

December 31, 2020

and

2019,

is as follows:

(Dollars in thousands)	2020			2019
Residential real estate loans:
Single family conventional	$	134,390			119,805
Single family government guaranteed		633			259
		135,023			120,064
Commercial real estate:
Construction:
Single family		19,832			23,256
Multi-family		2,316			1,858
Commercial real estate		9,345			6,008
Child care services		3,933			1,455
Churches/community service		8,427			10,156
Fitness/recreation		1,596			1,636
Land developments		13,237			13,167
Lodging		61,823			58,643
Manufacturing		20,833			20,027
Movie theaters		9,619			9,761
Multi-family		41,456			48,663
Nursing home/healthcare		14,488			7,767
Restaurant/bar/cafe		6,383			6,752
Retail/office		93,472			71,730
Warehouse		32,568			32,064
Other		41,376			37,252
		380,704			350,195
Consumer:
Autos		1,937			2,608
Home equity line		21,308			28,004
Home equity		11,549			16,422
Land/lots		3,357			3,358
Recreational vehicles		15,645			17,266
Other - secured		855			1,195
Other - unsecured		740			1,096
		55,391			69,949
Commercial business		82,673			64,227
Total loans		653,791			604,435
Less:
Unamortized discounts		12			15
Net deferred loan fees (costs)		450			(536	)
Allowance for loan losses		10,699			8,564
Total loans receivable, net	$	642,630			596,392
Commitments to originate or purchase loans	$	23,596			38,157
Commitments to deliver loans to secondary market	$	24,746			10,098
Weighted average contractual rate of loans in portfolio		4.21	%		4.75	%

Included in total commitments to originate or purchase loans are fixed rate loans aggregating

$19.5

million and

$19.0

million as of

December 31, 2020

and

2019,

respectively. The interest rates on these loan commitments ranged from

2.25%

4.75%

December 31, 2020

and from

3.00%

5.65%

December 31, 2019.

The aggregate amount of loans to executive officers and directors of the Company was

$0.2

million,

$0.1

million and

$0.1

million at

December 31, 2020,

2019

and

2018,

respectively. During

2020,

new loans to executive officers totaled

$0.1

million. There were

principal payments made on this new loan in

2020.

The remaining balance of

$0.1

million for all

three

years represents a Home Equity Line of Credit for

one

executive officer and there have been

advances or principal payments on the line of credit during

2020,

2019

2018.

All loans to executive officers and directors are made in the ordinary course of business on normal credit terms, including interest rates and collateral, as those prevailing at the time for comparable transactions with unrelated parties.

December 31, 2020,

2019

and

2018,

the Company was servicing loans for others with aggregate unpaid principal balances of

$580.0

million,

$505.7

million and

$480.6

million, respectively.

The Company originates residential, commercial real estate and other loans primarily in Minnesota, Wisconsin and Iowa. At

December 31, 2020

and

2019,

the Company had in its portfolio single family residential loans located in the following states:

	2020					2019
(Dollars in thousands)	Amount		Percent of Total			Amount		Percent of Total
Minnesota	$	114,575		84.9	%	$	107,607		89.6	%
Wisconsin		15,910		11.8			8,483		7.1
Other states (1)		4,538		3.3			3,974		3.3
Total	$	135,023		100.0	%	$	120,064		100.0	%

(

)

Amounts under

four

million dollars in both years are included in “Other states”.

December 31, 2020

and

2019,

the Company had in its portfolio commercial real estate loans located in the following states:

	2020					2019
(Dollars in thousands)	Amount		Percent of Total			Amount		Percent of Total
Florida	$	4,350		1.1	%	$	6,520		1.9	%
Iowa		6,281		1.7			6,794		1.9
Minnesota		261,598		68.7			244,572		69.8
North Carolina		4,571		1.2			4,624		1.3
Wisconsin		90,112		23.7			73,122		20.9
Other states (1)		13,792		3.6			14,563		4.2
Total	$	380,704		100.0	%	$	350,195		100.0	%

(

)

Amounts under

four

million dollars in both years are included in “Other states”.