Fair Value Measurements (Tables)

6 Months Ended

Mar. 31, 2017

Fair Value, Assets Measured on Recurring Basis

The Company's assets measured at estimated fair value on a recurring basis at March 31, 2017 and September 30, 2016 are as follows (dollars in thousands):



March 31, 2017	Estimated Fair Value
	Level 1		Level 2		Level 3		Total
Available for sale investment securities
MBS: U.S. government agencies	$	—	$	328	$	—	$	328
Mutual funds	944		—		—		944
Total	$	944	$	328	$	—	$	1,272



September 30, 2016	Estimated Fair Value
	Level 1		Level 2		Level 3		Total
Available for sale investment securities
MBS: U.S. government agencies	$	—	$	366	$	—	$	366
Mutual funds	976		—		—		976
Total	$	976	$	366	$	—	$	1,342

Balances of Assets Measured at Estimated Fair Value, Nonrecurring Basis

The following table summarizes the balances of assets measured at estimated fair value on a non-recurring basis at March 31, 2017 (dollars in thousands):



	Estimated Fair Value
	Level 1		Level 2		Level 3
Impaired loans:
Mortgage loans:
One- to four-family	$	—	$	—	$	911
Commercial	—		—		3,904
Land	—		—		550
Consumer loans:
Home equity and second mortgage	—		—		284
Other	—		—		11
Total impaired loans	—		—		5,660

OREO and other repossessed assets	—		—		3,005
Total	$	—	$	—	$	8,665

The following table summarizes the balances of assets measured at estimated fair value on a non-recurring basis at September 30, 2016 (dollars in thousands):



	Estimated Fair Value
	Level 1		Level 2		Level 3
Impaired loans:
Mortgage loans:
One- to four-family	$	—	$	—	$	1,280
Commercial	—		—		3,330
Land	—		—		522
Consumer loans:
Home equity and second mortgage	—		—		370
Other	—		—		17
Total impaired loans	—		—		5,519
Investment securities – held to maturity:
MBS - private label residential	—		20		—
OREO and other repossessed assets	—		—		4,117
Total	$	—	$	20	$	9,636

Level 3 Fair Value Measurements, Nonrecurring Basis

The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis as of March 31, 2017 (dollars in thousands):



	Estimated Fair Value		Valuation Technique(s)	Unobservable Input(s)	Range
Impaired loans	$	5,660	Market approach	Appraised value less selling costs	NA

OREO and other repossessed assets	$	3,005	Market approach	Lower of appraised value or listing price less selling costs	NA

The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis as of September 30, 2016 (dollars in thousands):



	Estimated Fair Value		Valuation Technique(s)	Unobservable Input(s)	Range
Impaired loans	$	5,519	Market approach	Appraised value less selling costs	NA

OREO and other repossessed assets	$	4,117	Market approach	Lower of appraised value or listing price less selling costs	NA

Balances of Assets and Liabilities Measured at Estimated Fair Value, Recurring Basis

The recorded amounts and estimated fair values of financial instruments were as follows as of March 31, 2017 and September 30, 2016 (dollars in thousands):



	March 31, 2017
			Fair Value Measurements Using:
	Recorded Amount		Estimated Fair Value		Level 1		Level 2		Level 3
Financial assets
Cash and cash equivalents	$	148,040	$	148,040	$	148,040	$	—	$	—
CDs held for investment	52,934		52,934		52,934		—		—
Investment securities	8,598		9,317		3,935		5,382		—
FHLB stock	2,307		2,307		2,307		—		—
Loans receivable, net	676,079		675,019		—		—		675,019
Loans held for sale	5,798		5,878		5,878		—		—
Accrued interest receivable	2,443		2,443		2,443		—		—

Financial liabilities
Deposits:
Non-interest-bearing demand	186,239		186,239		186,239		—		—
Interest-bearing	622,613		622,696		480,461		—		142,235
Total deposits	808,852		808,935		666,700		—		142,235
FHLB borrowings	30,000		30,226		—		30,226		—
Accrued interest payable	253		253		253		—		—



	September 30, 2016
			Fair Value Measurements Using:
	Recorded Amount		Estimated Fair Value		Level 1		Level 2		Level 3
Financial assets
Cash and cash equivalents	$	108,941	$	108,941	$	108,941	$	—	$	—
CDs held for investment	53,000		53,000		53,000		—		—
Investment securities	8,853		9,737		4,029		5,708		—
FHLB stock	2,204		2,204		2,204		—		—
Loans receivable, net	663,146		671,017		—		—		671,017
Loans held for sale	3,604		3,714		3,714		—		—
Accrued interest receivable	2,348		2,348		2,348		—		—

Financial liabilities
Deposits:
Non-interest-bearing demand	172,283		172,283		172,283		—		—
Interest-bearing	589,251		589,762		441,277		—		148,485
Total deposits	761,534		762,045		613,560		—		148,485
FHLB borrowings	30,000		30,684		—		30,684		—
Accrued interest payable	247		247		247		—		—