Bank Analysis School - September 2023

Internal Use Only

Construction Loans have the Highest Historical Loss Rate

Average Net Loss as Percent of Loan Balances (2007-2022)

1.5%

1.36%

1.0%

0.68% 0.63%

0.5%

0.30% 0.28% 0.23%

0.13%

Construction Commercial

1-4 Family Non-Farm Non Res.

Multifamily Ag Production Farmland

Internal Use Only

Sunny State Bank Loan Mix

• Chart is from Depository Deep Dive • Source data UBPR page 7A