Fair Value Measurements (Tables)

9 Months Ended

Jun. 30, 2018

Fair Value, Assets Measured on Recurring Basis

The Company's assets measured at estimated fair value on a recurring basis at June 30, 2018 and September 30, 2017 were as follows (dollars in thousands):



June 30, 2018	Estimated Fair Value
	Level 1		Level 2		Level 3		Total
Available for sale investment securities
MBS: U.S. government agencies	$	—	$	252	$	—	$	252
Mutual funds	924		—		—		924
Total	$	924	$	252	$	—	$	1,176



September 30, 2017	Estimated Fair Value
	Level 1		Level 2		Level 3		Total
Available for sale investment securities
MBS: U.S. government agencies	$	—	$	289	$	—	$	289
Mutual funds	952		—		—		952
Total	$	952	$	289	$	—	$	1,241

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 September 30, 2017 (dollars in thousands):



	Estimated Fair Value
	Level 1		Level 2		Level 3
Impaired loans:
Mortgage loans:
Commercial	$	—	$	—	$	1,880
Land	—		—		697
Consumer loans:
Home equity and second mortgage	—		—		109
Total impaired loans	—		—		2,686
Investment securities – held to maturity:
MBS - private label residential	—		125		—
OREO and other repossessed assets	—		—		3,301
Total	$	—	$	125	$	5,987

The following table summarizes the balances of assets measured at estimated fair value on a non-recurring basis at June 30, 2018 (dollars in thousands):



	Estimated Fair Value
	Level 1		Level 2		Level 3
Impaired loans:
Consumer loans:
Home equity and second mortgage	$	—	$	—	$	78
Commercial business loans	—		—		113
Total impaired loans	—		—		191
Investment securities – held to maturity:
MBS - private label residential	—		1		—

OREO and other repossessed assets	—		—		2,112
Total	$	—	$	1	$	2,303

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 September 30, 2017 (dollars in thousands):



	Estimated Fair Value		Valuation Technique(s)	Unobservable Input(s)	Range
Impaired loans	$	2,686	Market approach	Appraised value less selling costs	NA

OREO and other repossessed assets	$	3,301	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 June 30, 2018 (dollars in thousands):



	Estimated Fair Value		Valuation Technique(s)	Unobservable Input(s)	Range
Impaired loans	$	191	Market approach	Appraised value less selling costs	NA

OREO and other repossessed assets	$	2,112	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 June 30, 2018 and September 30, 2017 (dollars in thousands):



	June 30, 2018
			Fair Value Measurements Using:
	Recorded Amount		Estimated Fair Value		Level 1		Level 2		Level 3
Financial assets
Cash and cash equivalents	$	156,826	$	156,826	$	156,826	$	—	$	—
CDs held for investment	63,132		63,132		63,132		—		—
Investment securities	9,127		9,616		3,862		5,754		—
FHLB stock	1,190		1,190		1,190		—		—
Other investments	3,000		3,000		3,000		—		—
Loans held for sale	2,321		2,366		2,366		—		—
Loans receivable, net	717,324		713,173		—		—		713,173
Accrued interest receivable	2,797		2,797		2,797		—		—

Financial liabilities
Deposits:
Non-interest-bearing demand	229,201		229,201		229,201		—		—
Interest-bearing	651,526		650,884		510,536		—		140,348
Total deposits	880,727		880,085		739,737		—		140,348
Accrued interest payable	218		218		218		—		—



	September 30, 2017
			Fair Value Measurements Using:
	Recorded Amount		Estimated Fair Value		Level 1		Level 2		Level 3
Financial assets
Cash and cash equivalents	$	148,188	$	148,188	$	148,188	$	—	$	—
CDs held for investment	43,034		43,034		43,034		—		—
Investment securities	8,380		8,985		3,954		5,031		—
FHLB stock	1,107		1,107		1,107		—		—
Other investments	3,000		3,000		3,000		—		—
Loans held for sale	3,599		3,619		3,619		—		—
Loans receivable, net	690,364		688,332		—		—		688,332
Accrued interest receivable	2,520		2,520		2,520		—		—

Financial liabilities
Deposits:
Non-interest-bearing demand	205,952		205,952		205,952		—		—
Interest-bearing	631,946		632,629		492,305		—		140,324
Total deposits	837,898		838,581		698,257		—		140,324
Accrued interest payable	161		161		161		—		—