Loans Held for Investment (Tables)

9 Months Ended

Mar. 31, 2021


	March 31,		June 30,
(In Thousands)	2021		2020
Mortgage loans:
Single-family	$	254,393	$	298,810
Multi-family		483,283		491,903
Commercial real estate		99,722		105,235
Construction (1)		3,508		7,801
Other		140		143
Commercial business loans (2)		851		480
Consumer loans (3)		96		94
Total loans held for investment, gross		841,993		904,466

Advance payments of escrows		339		68
Deferred loan costs, net		6,288		6,527
Allowance for loan losses		(8,346)		(8,265)
Total loans held for investment, net	$	840,274	$	902,796

⁽¹⁾

Net of $1.7 million and $4.0 million of undisbursed loan funds as of March 31, 2021 and June 30, 2020, respectively.

⁽²⁾

Net of $520 thousand and $935 thousand of undisbursed lines of credit as of March 31, 2021 and June 30, 2020, respectively.

⁽³⁾

Net of $426 thousand and $448 thousand of undisbursed lines of credit as of March 31, 2021 and June 30, 2020, respectively.

Schedule of loans held for investment, contractual repricing


	Adjustable Rate
			After		After		After
			One Year		3 Years		5 Years
	Within One		Through 3		Through 5		Through 10
(In Thousands)	Year		Years		Years		Years		Fixed Rate		Total
Mortgage loans:
Single-family	$	66,406	$	45,305	$	45,213	$	77,966	$	19,503	$	254,393
Multi-family		167,295		142,775		152,658		20,325		230		483,283
Commercial real estate		46,486		32,464		20,591		—		181		99,722
Construction		2,645		—		—		—		863		3,508
Other		—		—		—		—		140		140
Commercial business loans		500		—		—		—		351		851
Consumer loans		96		—		—		—		—		96
Total loans held for investment, gross	$	283,428	$	220,544	$	218,462	$	98,291	$	21,268	$	841,993

Schedule of gross loans held for investment by loan types and risk category


	March 31, 2021
	Single-		Multi-		Commercial				Other		Commercial
(In Thousands)	family		family		Real Estate		Construction		Mortgage		Business		Consumer		Total
Pass	$	243,046	$	481,420	$	99,722	$	3,508	$	140	$	851	$	96	$	828,783
Special Mention		1,752		737		—		—		—		—		—		2,489
Substandard		9,595		1,126		—		—		—		—		—		10,721
Total loans held for investment, gross	$	254,393	$	483,283	$	99,722	$	3,508	$	140	$	851	$	96	$	841,993


	June 30, 2020
	Single-		Multi-		Commercial				Other		Commercial
(In Thousands)	family		family		Real Estate		Construction		Mortgage		Business		Consumer		Total
Pass	$	289,942	$	488,126	$	105,235	$	6,098	$	143	$	445	$	94	$	890,083
Special Mention		3,120		3,777		—		1,703		—		—		—		8,600
Substandard		5,748		—		—		—		—		35		—		5,783
Total loans held for investment, gross	$	298,810	$	491,903	$	105,235	$	7,801	$	143	$	480	$	94	$	904,466

Schedule of allowance for loan losses

The following table is provided to disclose additional details for the periods indicated on the Corporation’s allowance for loan losses:


	For the Quarter Ended						For the Nine Months Ended
	March 31,						March 31,
(Dollars in Thousands)	2021			2020			2021			2020
Allowance at beginning of period	$	8,538		$	6,921		$	8,265		$	7,076

(Recovery) provision for loan losses		(200	)		874			59			671

Recoveries:
Mortgage loans:
Single-family		9			14			23			63
Consumer loans		—			1			1			2
Total recoveries		9			15			24			65

Charge-offs:
Mortgage loans:
Single-family		—			—			—			(1)
Consumer loans		(1)			—			(2	)		(1)
Total charge-offs		(1)			—			(2)			(2)

Net recoveries (charge-offs)		8			15			22			63
Balance at end of period	$	8,346		$	7,810		$	8,346		$	7,810

Allowance for loan losses as a percentage of gross loans held for investment at the end of the period		0.98	%		0.85	%		0.98	%		0.85	%
Net (recoveries) charge-offs as a percentage of average loans receivable, net, during the period (annualized)		(0.00)	%		(0.01)	%		(0.00)	%		(0.01)	%

Schedule of past due status of gross loans held for investment, net of fair value adjustments


	March 31, 2021
			30‑89 Days				Total Loans Held for
(In Thousands)	Current		Past Due		Non-Accrual (1)		Investment, Gross
Mortgage loans:
Single-family	$	244,798	$	—	$	9,595	$	254,393
Multi-family		482,157		—		1,126		483,283
Commercial real estate		99,722		—		—		99,722
Construction		3,508		—		—		3,508
Other		140		—		—		140
Commercial business loans		851		—		—		851
Consumer loans		96		—		—		96
Total loans held for investment, gross	$	831,272	$	—	$	10,721	$	841,993

⁽¹⁾

All loans 90 days or greater past due are placed on non-accrual status.


	June 30, 2020
			30‑89 Days				Total Loans Held for
(In Thousands)	Current		Past Due		Non-Accrual (1)		Investment, Gross
Mortgage loans:
Single-family	$	293,326	$	219	$	5,265	$	298,810
Multi-family		491,903		—		—		491,903
Commercial real estate		105,235		—		—		105,235
Construction		7,801		—		—		7,801
Other		143		—		—		143
Commercial business loans		445		—		35		480
Consumer loans		94		—		—		94
Total loans held for investment, gross	$	898,947	$	219	$	5,300	$	904,466

⁽¹⁾

All loans 90 days or greater past due are placed on non-accrual status.

Schedule of allowance for loan losses and recorded investment


	Quarter Ended March 31, 2021
	Single-					Commercial									Commercial
(In Thousands)	family			Multi-family		Real Estate			Construction			Other			Business			Consumer			Total
Allowance for loan losses:
Allowance at beginning of period	$	2,706		$	4,540	$	1,132		$	110		$	3		$	41		$	6		$	8,538
(Recovery) provision for loan losses		(311)			202		(30)			(57)			—			(5)			1			(200)
Recoveries		9			—		—			—			—			—			—			9
Charge-offs		—			—		—			—			—			—			(1)			(1)
Allowance for loan losses, end of period	$	2,404		$	4,742	$	1,102		$	53		$	3		$	36		$	6		$	8,346

Allowance for loan losses:
Individually evaluated for impairment	$	572		$	—	$	—		$	—		$	—		$	—		$	—		$	572
Collectively evaluated for impairment		1,832			4,742		1,102			53			3			36			6			7,774
Allowance for loan losses, end of period	$	2,404		$	4,742	$	1,102		$	53		$	3		$	36		$	6		$	8,346

Loans held for investment:
Individually evaluated for impairment	$	9,343		$	—	$	—		$	—		$	—		$	—		$	—		$	9,343
Collectively evaluated for impairment		245,050			483,283		99,722			3,508			140			851			96			832,650
Total loans held for investment, gross	$	254,393		$	483,283	$	99,722		$	3,508		$	140		$	851		$	96		$	841,993
Allowance for loan losses as a percentage of gross loans held for investment		0.94	%		0.98	%	1.11	%		1.51	%		2.14	%		4.23	%		6.25	%		0.98	%


	Quarter Ended March 31, 2020
	Single-			Multi-			Commercial						Commercial
(In Thousands)	family			family			Real Estate			Construction			Business			Consumer			Total
Allowance for loan losses:
Allowance at beginning of period	$	2,157		$	3,502		$	1,058		$	168		$	28		$	8		$	6,921
Provision (recovery) for loan losses		431			456			3			(12)			(2)			(2)			874
Recoveries		14			—			—			—			—			1			15
Charge-offs		—			—			—			—			—			—			—
Allowance for loan losses, end of period	$	2,602		$	3,958		$	1,061		$	156		$	26		$	7		$	7,810

Allowance for loan losses:
Individually evaluated for impairment	$	45		$	—		$	—		$	—		$	6		$	—		$	51
Collectively evaluated for impairment		2,557			3,958			1,061			156			20			7			7,759
Allowance for loan losses, end of period	$	2,602		$	3,958		$	1,061		$	156		$	26		$	7		$	7,810

Loans held for investment:
Individually evaluated for impairment	$	2,698		$	—		$	—		$	—		$	40		$	—		$	2,738
Collectively evaluated for impairment		323,988			475,941			105,691			6,346			462			122			912,550
Total loans held for investment, gross	$	326,686		$	475,941		$	105,691		$	6,346		$	502		$	122		$	915,288
Allowance for loan losses as a percentage of gross loans held for investment		0.80	%		0.83	%		1.00	%		2.46	%		5.18	%		5.74	%		0.85	%


	Nine Months Ended March 31, 2021
	Single-						Commercial									Commercial
(In Thousands)	family			Multi-family			Real Estate			Construction			Other			Business			Consumer			Total
Allowance for loan losses:
Allowance at beginning of period	$	2,622		$	4,329		$	1,110		$	171		$	3		$	24		$	6		$	8,265
(Recovery) provision for loan losses		(241	)		413			(8	)		(118	)		—			12			1			59
Recoveries		23			—			—			—			—			—			1			24
Charge-offs		—			—			—			—			—			—			(2)			(2)
Allowance for loan losses, end of period	$	2,404		$	4,742		$	1,102		$	53		$	3		$	36		$	6		$	8,346

Allowance for loan losses:
Individually evaluated for impairment	$	572		$	—		$	—		$	—		$	—		$	—		$	—		$	572
Collectively evaluated for impairment		1,832			4,742			1,102			53			3			36			6			7,774
Allowance for loan losses, end of period	$	2,404		$	4,742		$	1,102		$	53		$	3		$	36		$	6		$	8,346

Loans held for investment:
Individually evaluated for impairment	$	9,343		$	—		$	—		$	—		$	—		$	—		$	—		$	9,343
Collectively evaluated for impairment		245,050			483,283			99,722			3,508			140			851			96			832,650
Total loans held for investment, gross	$	254,393		$	483,283		$	99,722		$	3,508		$	140		$	851		$	96		$	841,993
Allowance for loan losses as a percentage of gross loans held for investment		0.94	%		0.98	%		1.11	%		1.51	%		2.14	%		4.23	%		6.25	%		0.98	%


	Nine Months Ended March 31, 2020
	Single-						Commercial									Commercial
(In Thousands)	family			Multi-family			Real Estate			Construction			Other			Business			Consumer			Total
Allowance for loan losses:
Allowance at beginning of period	$	2,709		$	3,219		$	1,050		$	61		$	3		$	26		$	8		$	7,076
(Recovery) provision for loan losses		(169)			739			11			95			(3)			—			(2)			671
Recoveries		63			—			—			—			—			—			2			65
Charge-offs		(1)			—			—			—			—			—			(1)			(2)
Allowance for loan losses, end of period	$	2,602		$	3,958		$	1,061		$	156		$	—		$	26		$	7		$	7,810

Allowance for loan losses:
Individually evaluated for impairment	$	45		$	—		$	—		$	—		$	—		$	6		$	—		$	51
Collectively evaluated for impairment		2,557			3,958			1,061			156			—			20			7			7,759
Allowance for loan losses, end of period	$	2,602		$	3,958		$	1,061		$	156		$	—		$	26		$	7		$	7,810

Loans held for investment:
Individually evaluated for impairment	$	2,698		$	—		$	—		$	—		$	—		$	40		$	—		$	2,738
Collectively evaluated for impairment		323,988			475,941			105,691			6,346			—			462			122			912,550
Total loans held for investment, gross	$	326,686		$	475,941		$	105,691		$	6,346		$	—		$	502		$	122		$	915,288
Allowance for loan losses as a percentage of gross loans held for investment		0.80	%		0.83	%		1.00	%		2.46	%		—	%		5.18	%		5.74	%		0.85	%

Schedule of recorded investment in non-performing loans


	At March 31, 2021
	Unpaid								Net
	Principal		Related		Recorded				Recorded
(In Thousands)	Balance		Charge-offs		Investment		Allowance (1)		Investment
Mortgage loans:
Single-family:
With a related allowance	$	8,305	$	—	$	8,305	$	(622)	$	7,683
Without a related allowance (2)		1,734		(444)		1,290		—		1,290
Total single-family		10,039		(444)		9,595		(622)		8,973

Multi-family:
With a related allowance		1,126		—		1,126		(340)		786
Total multi-family		1,126		—		1,126		(340)		786

Total non-performing loans	$	11,165	$	(444)	$	10,721	$	(962)	$	9,759

⁽¹⁾

Consists of collectively and individually evaluated allowances, specifically assigned to the individual loan, and fair value credit adjustments.

⁽²⁾

There was no related allowance for loan losses because the loans have been charged-off to their fair value or the fair value of the collateral is higher than the loan balance.


	At June 30, 2020
	Unpaid								Net
	Principal		Related		Recorded				Recorded
(In Thousands)	Balance		Charge-offs		Investment		Allowance (1)		Investment
Mortgage loans:
Single-family:
With a related allowance	$	3,289	$	—	$	3,289	$	(438)	$	2,851
Without a related allowance (2)		2,509		(467)		2,042		—		2,042
Total single-family		5,798		(467)		5,331		(438)		4,893

Commercial business loans:
With a related allowance		35		—		35		(4)		31
Total commercial business loans		35		—		35		(4)		31
Total non-performing loans	$	5,833	$	(467)	$	5,366	$	(442)	$	4,924

⁽¹⁾

Consists of collectively and individually evaluated allowances, specifically assigned to the individual loan, and fair value credit adjustments.

⁽²⁾

There was no related allowance for loan losses because the loans have been charged-off to their fair value or the fair value of the collateral is higher than the loan balance.

Schedule of Nonperforming Loans on Interest Income


	Quarter Ended March 31,
	2021				2020
	Average		Interest		Average		Interest
	Recorded		Income		Recorded		Income
(In Thousands)	Investment		Recognized		Investment		Recognized
Without related allowances:
Mortgage loans:
Single-family	$	1,461	$	—	$	2,282	$	8
		1,461		—		2,282		8

With related allowances:
Mortgage loans:
Single-family		8,975		27		1,569		20
Multi-family		375		4		—		—
Commercial business loans		—		—		40		1
		9,350		31		1,609		21

Total	$	10,811	$	31	$	3,891	$	29


	Nine Months Ended March 31,
	2021				2020
	Average		Interest		Average		Interest
	Recorded		Income		Recorded		Income
(In Thousands)	Investment		Recognized		Investment		Recognized
Without related allowances:
Mortgage loans:
Single-family	$	1,638	$	—	$	2,747	$	119
Construction		—		—		361		20
		1,638		—		3,108		139

With related allowances:
Mortgage loans:
Single-family		6,923		96		1,291		44
Multi-family		125		4		—		—
Commercial business loans		17		1		43		3
		7,065		101		1,334		47

Total	$	8,703	$	101	$	4,442	$	186

Schedule of troubled debt restructurings by nonaccrual versus accrual status


	At		At
(In Thousands)	March 31, 2021		June 30, 2020
Restructured loans on non-accrual status:
Mortgage loans:
Single-family	$	8,077	$	2,612
Commercial business loans		—		31
Total		8,077		2,643

Restructured loans on accrual status:
Mortgage loans:
Single-family		246		—
Total		246		—

Total restructured loans	$	8,323	$	2,643

Schedule of recorded investment in restructured loans


	At March 31, 2021
	Unpaid								Net
	Principal		Related		Recorded				Recorded
(In Thousands)	Balance		Charge-offs		Investment		Allowance (1)		Investment
Mortgage loans:
Single-family:
With a related allowance	$	8,053	$	—	$	8,053	$	(572)	$	7,481
Without a related allowance (2)		1,207		(365)		842		—		842
Total single-family		9,260		(365)		8,895		(572)		8,323

Total restructured loans	$	9,260	$	(365)	$	8,895	$	(572)	$	8,323

⁽¹⁾

Consists of collectively and individually evaluated allowances, specifically assigned to the individual loan.

⁽²⁾

There was no related allowance for loan losses because the loans have been charged-off to their fair value or the fair value of the collateral is higher than the loan balance.


	At June 30, 2020
	Unpaid								Net
	Principal		Related		Recorded				Recorded
(In Thousands)	Balance		Charge-offs		Investment		Allowance (1)		Investment
Mortgage loans:
Single-family:
With a related allowance	$	1,650	$	—	$	1,650	$	(108)	$	1,542
Without a related allowance (2)		1,435		(365)		1,070		—		1,070
Total single-family		3,085		(365)		2,720		(108)		2,612

Commercial business loans:
With a related allowance		35		—		35		(4)		31
Total commercial business loans		35		—		35		(4)		31
Total restructured loans	$	3,120	$	(365)	$	2,755	$	(112)	$	2,643

⁽¹⁾

Consists of collectively and individually evaluated allowances, specifically assigned to the individual loan.

⁽²⁾

There was no related allowance for loan losses because the loans have been charged-off to their fair value or the fair value of the collateral is higher than the loan balance.

Schedule of loan forbearance related to COVID-19 hardship requests


	Forbearance Granted			Forbearance Completed (1)			Forbearance Remaining
	Number of			Number of			Number of
(Dollars In Thousands)	Loans	Amount		Loans	Amount		Loans	Amount
Single-family loans	59	$	23,741	54	$	21,900	5	$	1,841
Multi-family loans	5		2,334	4		2,026	1		308
Commercial real estate loans	3		2,005	2		1,060	1		945
Total loan forbearance	67	$	28,080	60	$	24,986	7	$	3,094

(1) Includes 17 single-family loans totaling $6.7 million which were subsequently extended and classified as restructured non-performing loans, consistent with the Interagency Statement.

As of March 31, 2021, certain characteristics of loans in forbearance are described below:


									Weighted		Weighted Avg.
				% of				Weighted	Avg. Debt		Forbearance
	Number			Total		Weighted		Avg.	Coverage		Period
(Dollars In Thousands)	of Loans		Amount	Loans		Avg. LTV(1)		FICO(2)	Ratio(3)		Granted(4)
Single-family loans	5	$	1,841	0.22	%	69	%	715	N/A		7.9
Multi-family loan	1		308	0.04	%	50	%	747	1.16	x	5.0
Commercial real estate loan	1		945	0.11	%	48	%	704	1.71	x	4.0
Total loans in forbearance	7	$	3,094	0.37	%	61	%	715	1.57	x	6.4

(1)Current loan balance in comparison to the original appraised value.

(2)At time of loan origination, borrowers and/or guarantors.

(3)At time of loan origination.

(4)In months.