Company: SFBC
Filing Date: 2025-03-18
Form Type: 10-K
Source: 0001541119-25-000009
Chunk: 157

Company: Sound Financial Bancorp, Inc.
Filing Date: 2025-03-18
Form: 10-K
Item: Item 8
Chunk 157
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 31, 2023 Less Than 12 Months12 Months or LongerTotal FairValueUnrealizedLossFairValueUnrealizedLossFairValueUnrealizedLossAFS securitiesMunicipal bonds$— $— $3,862 $(878)$3,862 $(878)Agency mortgage-backed securities48 (1)2,290 (392)2,338 (393)Total AFS securities$48 $(1)$6,152 $(1,270)$6,200 $(1,271)HTM securitiesMunicipal bonds$— $— $540 $(164)$540 $(164)Agency mortgage-backed securities— — 1,247 (215)1,247 (215)Total HTM securities$— $— $1,787 $(379)$1,787 $(379)There were no credit losses recognized in earnings during the years ended December 31, 2024 and 2023 relating to the Company's securities.

At December 31, 2024, the securities portfolio consisted of 11 municipal bonds and 11 agency mortgage-backed securities with a fair value of $9.5 million. At December 31, 2023, the securities portfolio consisted of 11 municipal bonds and 12 agency mortgage-backed securities with a fair value of $10.1 million. At December 31, 2024, there was one security in an unrealized loss position for less than 12 months and fifteen securities in an unrealized loss position for more than 12 months. At December 31, 2023, there was one security in an unrealized loss position for less than 12 months and 16 securities in an unrealized loss position for more than 12 months. For both 2024 and 2023, the unrealized losses were caused by changes in market interest rates or the widening of market spreads subsequent to the initial purchase of these securities and not related to the underlying credit of the issuers or the underlying collateral. It is expected that these securities will not be settled at a price less than the amortized cost of each investment. The unrealized losses on these investments are not considered credit losses during the years ended December 31, 2024 and 2023, because the decline in fair value is not attributable to credit quality and because we do not intend, and it is not likely that we will be required, to sell these securities before