Residential Mortgage Servicing Rights

6 Months Ended

Jun. 30, 2019

The Company measures its mortgage servicing rights at fair value with changes in fair value reported in residential mortgage banking revenue in the Condensed Consolidated Statements of Income.

The following table presents the changes in the Company's residential mortgage servicing rights ("MSR") for the three and six months ended June 30, 2019 and 2018:



(in thousands)	Three Months Ended						Six Months Ended
	June 30, 2019			June 30, 2018			June 30, 2019			June 30, 2018
Balance, beginning of period	$	158,946		$	164,760		$	169,025		$	153,151
Additions for new MSR capitalized	5,492			6,860			9,379			13,390
Changes in fair value:
Changes due to collection/realization of expected cash flows over time	(6,905		)	(5,903		)	(13,336		)	(12,101		)
Changes due to valuation inputs or assumptions⁽¹⁾	(17,753		)	500			(25,288		)	11,777
Balance, end of period	$	139,780		$	166,217		$	139,780		$	166,217


⁽¹⁾	The changes in valuation inputs and assumptions principally reflect changes in discount rates and prepayment speeds, which are primarily affected by changes in interest rates.

Information related to our serviced loan portfolio as of June 30, 2019 and December 31, 2018 is as follows:



(dollars in thousands)	June 30, 2019			December 31, 2018
Balance of loans serviced for others	$	15,796,102		$	15,978,885
MSR as a percentage of serviced loans	0.88		%	1.06		%

The amount of contractually specified servicing fees, late fees and ancillary fees earned, recorded in residential mortgage banking revenue, was $11.1 million and $21.9 million for the three and six months ended June 30, 2019, respectively, as compared to $10.4 million and $20.9 million for the three and six months ended June 30, 2018, respectively.