Fair Value (Tables)

9 Months Ended

Jun. 30, 2025

Fair Value Of Assets And Liabilities Measured On Recurring Basis

Assets and liabilities carried at fair value on a recurring basis in the CONSOLIDATED STATEMENTS OF CONDITION at June 30, 2025 and September 30, 2024, are summarized below.


			Recurring Fair Value Measurements at Reporting Date Using
	June 30, 2025		Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
			(Level 1)		(Level 2)		(Level 3)
Assets
Investment securities available for sale:
REMICs	$	459,937	$	—	$	459,937	$	—
Fannie Mae certificates	2,739		—		2,739		—
Freddie Mac securities	8,533		—		8,533		—
U.S. government and agency obligations	54,003		—		54,003		—
Mortgage loans held for sale	29,303		—		29,303		—
Derivatives:
Interest rate lock commitments	597		—		—		597

Total	$	555,112	$	—	$	554,515	$	597
Liabilities
Derivatives:

Forward commitments for the sale of mortgage loans	$	160	$	—	$	160	$	—

Total	$	160	$	—	$	160	$	—


			Recurring Fair Value Measurements at Reporting Date Using
	September 30, 2024		Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
			(Level 1)		(Level 2)		(Level 3)
Assets
Investment securities available for sale:
REMICs	$	449,401	$	—	$	449,401	$	—
Fannie Mae certificates	2,945		—		2,945		—
Freddie Mac certificates	1,129		—		1,129		—
U.S. government and agency obligations	72,776		—		72,776		—
Mortgage loans held for sale	10,713		—		10,713		—
Derivatives:
Interest rate lock commitments	395		—		—		395


Total	$	537,359	$	—	$	536,964	$	395

Liabilities
Derivatives:

Forward commitments for the sale of mortgage loans	$	72	$	—	$	72	$	—

Total	$	72	$	—	$	72	$	—

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation

The table below presents a reconciliation of the beginning and ending balances and the location within the CONSOLIDATED STATEMENTS OF INCOME where gains (losses) due to changes in fair value are recognized on interest rate lock commitments which are measured at fair value on a recurring basis using significant unobservable inputs (Level 3).


	Three Months Ended June 30,				Nine Months Ended June 30,
	2025		2024		2025		2024
Beginning balance	$	318	$	358	$	395	$	(1)
Gain during the period due to changes in fair value:
Included in other non-interest income	279		154		202		513
Ending balance	$	597	$	512	$	597	$	512
Change in unrealized gains for the period included in earnings for assets held at end of the reporting date	$	597	$	512	$	597	$	512

Assets Measured At Fair Value On A Nonrecurring Basis

Summarized in the tables below are those assets measured at fair value on a nonrecurring basis.


			Nonrecurring Fair Value Measurements at Reporting Date Using
	June 30, 2025		Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
			(Level 1)		(Level 2)		(Level 3)
Collateral-dependent loans, net of allowance	$	43,411	$	—	$	—	$	43,411

Real estate owned(1)	1,570		—		—		1,570
Total	$	44,981	$	—	$	—	$	44,981


			Nonrecurring Fair Value Measurements at Reporting Date Using
	September 30, 2024		Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
			(Level 1)		(Level 2)		(Level 3)
Collateral-dependent loans, net of allowance	$	39,577	$	—	$	—	$	39,577

Real estate owned(1)	220		—		—		220
Total	$	39,797	$	—	$	—	$	39,797

(1)Amounts represent fair value measurements of properties before deducting estimated costs to dispose.

Fair Value Inputs, Assets, Quantitative Information

The following provides quantitative information about significant unobservable inputs categorized within Level 3 of the Fair Value Hierarchy.


	Fair Value
	June 30, 2025	Valuation Technique(s)	Unobservable Input	Range			Weighted Average
Collateral-dependent loans, net of allowance	$43,411	Market comparables of collateral discounted to estimated net proceeds	Discount appraised value to estimated net proceeds based on historical experience:
			• Residential Properties	0	-	28%	3.7%

Interest rate lock commitments	$597	Quoted Secondary Market pricing	Closure rate	0	-	100%	90.0%


	Fair Value
	September 30, 2024	Valuation Technique(s)	Unobservable Input	Range			Weighted Average
Collateral-dependent loans, net of allowance	$39,577	Market comparables of collateral discounted to estimated net proceeds	Discount appraised value to estimated net proceeds based on historical experience:
			• Residential Properties	0	-	28%	4.0%

Interest rate lock commitments	$395	Quoted Secondary Market pricing	Closure rate	0	-	100%	90.1%

Estimated Fair Value Of Financial Instruments

The following tables present the estimated fair value of the Company’s financial instruments and their carrying amounts as reported in the CONSOLIDATED STATEMENTS OF CONDITION.


	June 30, 2025
	Carrying		Fair		Level 1		Level 2		Level 3
	Amount		Value
Assets:
Cash and due from banks	$	28,788	$	28,788	$	28,788	$	—	$	—
Interest-earning cash equivalents	423,793		423,793		423,793		—		—
Investment securities available for sale	525,212		525,212		—		525,212		—
Mortgage loans held for sale	30,977		31,010		—		31,010		—
Loans, net:
Mortgage loans held for investment	15,588,252		14,350,575		—		—		14,350,575
Other loans	7,745		7,745		—		—		7,745
Federal Home Loan Bank stock	232,538		232,538		N/A		—		—
Accrued interest receivable	60,434		60,434		—		60,434		—

Cash collateral received from or held by counterparty	5,977		5,977		5,977		—		—
Derivatives	597		597		—		—		597
Liabilities:
Checking and savings accounts	$	2,055,056	$	2,055,056	$	—	$	2,055,056	$	—
Certificates of deposit	8,286,443		8,289,923		—		8,289,923		—
Borrowed funds	4,882,993		4,903,129		—		4,903,129		—
Borrowers’ advances for insurance and taxes	117,899		117,899		—		117,899		—
Principal, interest and escrow owed on loans serviced	30,237		30,237		—		30,237		—
Derivatives	160		160		—		160		—


	September 30, 2024
	Carrying		Fair		Level 1		Level 2		Level 3
	Amount		Value
Assets:
Cash and due from banks	$	26,287	$	26,287	$	26,287	$	—	$	—
Interest-earning cash equivalents	437,431		437,431		437,431		—		—
Investment securities available for sale	526,251		526,251		—		526,251		—
Mortgage loans held for sale	17,775		17,986		—		17,986		—
Loans, net:
Mortgage loans held for investment	15,316,354		13,922,944		—		—		13,922,944
Other loans	5,705		5,705		—		—		5,705
Federal Home Loan Bank stock	228,494		228,494		N/A		—		—
Accrued interest receivable	59,398		59,398		—		59,398		—


Cash collateral received from or held by counterparty	7,844		7,844		7,844		—		—
Derivatives	395		395		—		—		395
Liabilities:
Checking and savings accounts	$	2,150,770	$	2,150,770	$	—	$	2,150,770	$	—
Certificates of deposit	8,044,309		7,989,992		—		7,989,992		—
Borrowed funds	4,792,847		4,819,873		—		4,819,873		—
Borrowers’ advances for insurance and taxes	113,637		113,637		—		113,637		—
Principal, interest and escrow owed on loans serviced	28,753		28,753		—		28,753		—
Derivatives	72		72		—		72		—

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

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