Quarterly report pursuant to Section 13 or 15(d)

MORTGAGE BANKING ACTIVITIES (Tables)

v3.24.2
MORTGAGE BANKING ACTIVITIES (Tables)
 3 Months Ended
Mar. 31, 2024
Mortgage Banking Activities [Abstract]  
Residential Mortgage Loan Production
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
March 31, 2024
December 31, 2023
Unpaid Principal
Unpaid Principal
(Dollars in Thousands)
Balance/Notional
Fair Value
Balance/Notional
Fair Value
Residential Mortgage Loans Held for Sale
$
23,848
$
24,705
$
27,944
$
28,211
Residential Mortgage Loan Commitments ("IRLCs")
(1)
41,675
727
23,545
523
Forward Sales Contracts
(2)
39,500
78
24,500
209
$
25,510
$
28,943
(1)
Recorded in other assets at fair value
(2)
Recorded in other liabilities at fair value
Mortgage banking revenue
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months Ended March 31,
(Dollars in Thousands)
2024
2023
Net realized gains on sales of mortgage loans
$
1,676
$
1,194
Net change in unrealized gain on mortgage loans held for sale
93
457
Net change in the fair value of mortgage loan commitments
204
527
Net change in the fair value of forward sales contracts
132
(402)
Pair-Offs on net settlement of forward sales contracts
58
(1)
Mortgage servicing rights additions
150
191
Net origination fees
565
905
Total mortgage banking
 
revenues
$
2,878
$
2,871
Summary of mortgage servicing rights
 
 
 
 
 
 
 
 
 
 
 
 
(Dollars in Thousands)
March 31, 2024
December 31, 2023
Number of residential mortgage loans serviced for others
463
450
Outstanding principal balance of residential mortgage loans serviced
 
for others
$
120,713
$
108,897
Weighted average
 
interest rate
5.48%
5.37%
Remaining contractual term (in months)
349
309
Capitalized mortgage servicing rights
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months Ended
 
March 31,
(Dollars in Thousands)
2024
2023
Beginning balance
$
831
$
2,599
Additions due to loans sold with servicing retained
150
191
Deletions and amortization
(62)
(99)
Sale of servicing rights
-
101
Ending balance
$
919
$
2,792
Key unobservable inputs used in determining the fair value of mortgage servicing rights
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
March 31, 2024
December 31, 2023
Minimum
Maximum
Minimum
Maximum
Discount rates
9.50%
12.00%
9.50%
12.00%
Annual prepayment speeds
11.27%
19.66%
11.23%
17.79%
Cost of servicing (per loan)
$
85
$
95
$
85
$
95
Warehouse Line Borrowings
 
 
 
 
 
 
 
 
 
 
Amounts
(Dollars in Thousands)
Outstanding
$
25
 
million master repurchase agreement without defined expiration.
 
Interest is at the SOFR rate plus
2.00%
 
to
3.00%
, with a floor rate of
3.25%
 
to
4.25%
.
 
A cash pledge deposit of $
0.1
 
million is required by the lender.
$
8,409
$
25
 
million warehouse line of credit agreement expiring in
December 2024
.
 
Interest is at the SOFR plus
2.75%
,
to
3.25%
.
-
Total Warehouse
 
Borrowings
$
8,409