Company: HBCP
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001628280-25-048166
Chunk: 6

Company: HOME BANCORP, INC.
Filing Date: 2025-11-03
Form: 10-Q
Item: Item 2
Chunk 6
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 When a determination is made that a loan has deteriorated to the point of becoming a problem loan, updated valuations may be ordered to determine if a short-fall exists, which may lead to a recommendation for partial charge off or appropriate allowance allocation. Property valuations are ordered through, and are reviewed by, an appraisal officer at the Bank. The Company typically orders an “as is” valuation for collateral property if a loan is in a criticized loan classification. Loans individually evaluated for credit losses are reported to the Board of Directors monthly. 

At September 30, 2025 and December 31, 2024, loans identified as credit deteriorated loans and individually evaluated for expected losses were $6.1 million and $5.0 million, respectively. The following tables provide a summary of loans individually evaluated for credit losses as of the dates indicated.

September 30, 2025(dollars in thousands)Recorded InvestmentAllowance for Loan LossesAllowance to Total LoansLoans Individually EvaluatedOne- to four-family first mortgage$2,173 $213 9.80 %Home equity loans and lines— — — Commercial real estate2,226 430 19.32 Construction and land519 — — Multi-family residential603 136 22.55 Commercial and industrial619 357 57.67 Consumer— — — Total$6,140 $1,136 18.50 %

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December 31, 2024(dollars in thousands)Recorded InvestmentAllowance for Loan LossesAllowance to Total LoansLoans Individually EvaluatedOne- to four-family first mortgage$— $— — %Home equity loans and lines— — — Commercial real estate4,718 200 4.24 Construction and land— — — Multi-family residential— — — Commercial and industrial254 248 97.64 Consumer— — — Total$4,972 $448 9.01 %

Federal regulations and our policies require that we utilize an internal asset classification system as a means of reporting problem and potential problem assets. We have incorporated an internal asset classification system, substantially consistent with Federal banking regulations, as a part of our credit monitoring system. Federal banking regulations set forth a classification scheme for problem and potential problem assets as “substandard,” “doubtful” or