MORTGAGE BANKING ACTIVITIES (Tables) |
9 Months Ended |
|---|---|
Sep. 30, 2022 | |
| Mortgage Banking Activities [Abstract] | |
| Residential Mortgage Loan Production |
September 30, 2022
December 31, 2021
Unpaid Principal
Unpaid Principal
(Dollars in Thousands)
Balance/Notional
Fair Value
Balance/Notional
Fair Value
Residential Mortgage Loans Held for Sale
$
50,358
$
50,304
$
50,733
$
52,532
Residential Mortgage Loan Commitments ("IRLCs")
(1)
65,967
1,373
51,883
1,258
Forward Sales Contracts
(2)
19,000
609
48,000
(7)
$
52,286
$
53,783
(1)
Recorded in other assets at fair value
(2)
Recorded in other assets and other liabilities at fair value
|
| Mortgage banking revenue |
Three Months Ended
September 30,
Nine Months Ended
September 30,
(Dollars in Thousands)
2022
2021
2022
2021
Net realized gains on sales of mortgage loans
$
3,287
$
12,132
$
13,222
$
40,089
Net change in unrealized gain on mortgage loans held for sale
(958)
(165)
(1,853)
(1,663)
Net change in the fair value of mortgage loan commitments
439
(806)
116
(3,108)
Net change in the fair value of forward sales contracts
655
540
616
1,358
Pair-Offs on net settlement of forward sales contracts
637
(636)
4,846
2,199
Mortgage servicing rights additions
1,079
205
3,167
845
Net origination fees
1,977
1,013
5,013
2,905
Total mortgage banking
$
7,116
$
12,283
$
25,127
$
42,625
|
| Summary of mortgage servicing rights |
(Dollars in Thousands)
September 30, 2022
December 31, 2021
Number of residential mortgage loans serviced for others
2,818
2,106
Outstanding principal balance of residential mortgage loans serviced
$
801,046
$
532,967
Weighted average
3.92%
3.59%
Remaining contractual term (in months)
343
317
|
| Capitalized mortgage servicing rights |
Three Months Ended September 30,
Nine Months Ended September 30,
(Dollars in Thousands)
2022
2021
2022
2021
Beginning balance
$
5,086
$
3,710
$
3,774
$
3,452
Additions due to loans sold with servicing retained
1,079
205
3,167
845
Deletions and amortization
(470)
(351)
(1,246)
(983)
Valuation
-
-
-
250
Ending balance
$
5,695
$
3,564
$
5,695
$
3,564
|
| Key unobservable inputs used in determining the fair value of mortgage servicing rights |
September 30, 2022
December 31, 2021
Minimum
Maximum
Minimum
Maximum
Discount rates
9.50%
12.00%
11.00%
15.00%
Annual prepayment speeds
5.88%
10.71%
11.98%
23.79%
Cost of servicing (per loan)
$
85
$
95
$
60
$
73
|
| Warehouse Line Borrowings |
Amounts
(Dollars in Thousands)
Outstanding
$
75
1.00%
to plus
1.00%
, with a floor rate of
3.25%
.
0.5
3,346
$
75
November 2022
.
2.25%
, to
3.25%
.
41,378
Total Warehouse
$
44,724
|