Company: SFBC
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001541119-25-000041
Chunk: 113

Company: Sound Financial Bancorp, Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Item 8
Chunk 113
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 by lower net unrealized losses resulting from an increase in the market value of our portfolio in 2025.

Loans.  Loans held-for-portfolio, net increased $9.5 million, or 1.1%, to $901.2 million at September 30, 2025, from $891.7 million at December 31, 2024. 

The following table reflects the changes in the mix of our loans held-for-portfolio at September 30, 2025, 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