Montana Board of Housing, Department of Commerce Financial Audit for the Fiscal Year Ended June 30, ... 2003
Montana Board of Housing, Department of Commerce Financial Audit for the Fiscal Year Ended June 30, ... 2003
Montana. Legislature. Legislative Audit Division
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ALLOWANCE FOR LOAN LOSSES AND REAL ESTATE OWNED The following summarizes activity in the allowance for loan losses and real estate owned: Balance, June 30, 2001 $250,000 Provision 93,923 Less: Net loans charged off (43.923) Balance, June 30, 2002 300,000 Provision 61,294 Less: Net loans charged off (61.294) Balance, June 30. 2003 S 300.000 Page A-14 MONTANA BOARD OF HOUSING NOTES TO THE FINANCIAL STATEMENTS (continued) June 30, 2003 and 2002 NOTE 6. ALLOWANCE FOR LOAN LOSSES AND REAL ESTATE OWN...ED - continued The allowance for loan losses includes $200,000 at June 30, 2003 and 2002 for future estimated losses on real estate owned. Real estate owned property is property that is acquired througli foreclosure or in satisfaction of loans and is initially recorded at the lower of the related loan balance, less any specific allowance for loss, or fair market value minus estimated costs to sell. The Board held twelve real estate owned properties as of June 30, 2003 and five as of June 30, 2002.
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