Company: SFBC
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001541119-25-000041
Chunk: 5

Company: Sound Financial Bancorp, Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Item 2
Chunk 5
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5, as compared to December 31, 2024 (dollars in thousands):

 September 30,2025December 31,2024AmountChangePercentChangeOne-to-four family$257,797 $269,684 $(11,887)(4.4)%Home equity29,903 26,686 3,217 12.1 Commercial and multifamily408,802 371,516 37,286 10.0 Construction and land52,797 73,077 (20,280)(27.8)Manufactured homes42,735 41,128 1,607 3.9 Floating homes88,674 86,411 2,263 2.6 Other consumer17,031 17,720 (689)(3.9)Commercial business14,214 15,605 (1,391)(8.9)Premiums for purchased loans644 718 (74)(10.3)Deferred loan fees(2,882)(2,374)(508)21.4 Total loans held-for-portfolio, gross909,715 900,171 9,544 1.1 Allowance for credit losses — loans(8,564)(8,499)(65)0.8 Total loans held-for-portfolio, net$901,151 $891,672 $9,479 1.1 %

The increases in the loan held-for-portfolio were driven primarily by a $37.3 million, or 10.0%, increase in commercial and multifamily loans, driven by new originations and the conversion of construction projects to permanent financing, partially offset by pay-downs and normal payment amortization. Home equity loans increased by $3.2 million, or 12.1%, as demand for this product remains high with homeowners utilizing their home equity lines to access liquidity as opposed to paying off their lower rate mortgages. Manufactured home loans and floating home loans increased by $1.6 million and $2.3 million, respectively, or 3.9% and 2.6%, primarily the result of seasonality as it relates to floating homes and affordability of manufactured homes in the current market as well as internal efficiencies in how we process these loans. The growth in these 

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portfolios were partially offset by a $20.3 million, or 27.8%, decline in construction and land loans largely due to project completions and a slowdown