Company: HBCP
Filing Date: 2025-03-12
Form Type: 10-K
Source: 0001436425-25-000012
Chunk: 70

Company: HOME BANCORP, INC.
Filing Date: 2025-03-12
Form: 10-K
Item: Item 8
Chunk 70
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 value on a nonrecurring basis. A loan is considered impaired if it is probable the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Fair value is measured at the fair value of the collateral for collateral-dependent loans. For non-collateral-dependent loans, fair value is measured by present valuing expected future cash flows. Impaired loans are classified as Level 3 assets when measured using appraisals from third parties of the collateral less any prior liens and when there is no observable market price.Foreclosed assets and ORE are also recorded at fair value on a nonrecurring basis. Foreclosed assets are initially recorded at fair value less estimated costs to sell. ORE is recorded at the lower of its net book value or fair value at the date of transfer to ORE. The fair value of foreclosed assets and ORE is based on property appraisals and an analysis of similar properties available. As such, the Company classifies foreclosed and ORE assets as Level 3 assets.

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The Company has segregated all financial assets and liabilities that are measured at fair value on a nonrecurring basis into the most appropriate level within the fair value hierarchy based on the inputs used to determine the fair value at the measurement date in the tables below.  Fair Value Measurements Using(dollars in thousands)December 31, 2024Level 1Level 2Level 3AssetsIndividually evaluated loans$4,524 $— $— $4,524 Foreclosed assets and ORE2,010 — — 2,010 Total$6,534 $— $— $6,534   Fair Value Measurements Using(dollars in thousands)December 31, 2023Level 1Level 2Level 3AssetsIndividually evaluated loans$3,797 $— $— $3,797 Foreclosed assets and ORE1,575 — — 1,575 Total$5,372 $— $— $5,372 The following tables show significant unobservable inputs used in the fair value measurement of Level 3 assets.(dollars in thousands)Fair ValueValuation TechniqueUnobservable InputsRange of DiscountsWeighted Average DiscountAs of December 31, 2024Loans individually evaluated for impairment$4,524