XML 48 R35.htm IDEA: XBRL DOCUMENT v3.22.4
Mortgage Banking and Servicing Rights (Tables)
 12 Months Ended
Dec. 31, 2022
Mortgage Banking and Servicing Rights [Abstract]  
Components of Mortgage Banking Income

The following table presents the components of mortgage banking income:

(in thousands)
Year Ended December 31
  
2022
    
2021
    
2020
  
Net gain on sale of mortgage loans held for sale
  
$
1,525
    
$
6,820
    
$
7,226
  
Net loan servicing income:
                        
Servicing fees
    
2,226
      
2,058
      
1,515
  
Late fees
    
78
      
67
      
52
  
Ancillary fees
    
94
      
848
      
1,310
  
Fair value adjustments
    
1,069
      
428
      
(1,064
)
Net loan servicing income
    
3,467
      
3,401
      
1,813
  
Mortgage banking income
  
$
4,992
    
$
10,221
    
$
9,039
  
Activity for Capitalized MSRs Using Fair Value Method

Activity for capitalized MSRs using the fair value method is as follows:

(in thousands)
  
2022
    
2021
    
2020
  
Fair value of MSRs, beginning of year
  
$
6,774
    
$
4,068
    
$
3,263
  
New servicing assets created
    
625
      
2,278
      
1,869
  
Change in fair value during the year due to:
                        
Time decay (1)
    
(450
)
    
(259
)
    
(135
)
Payoffs (2)
    
(429
)
    
(587
)
    
(766
)
Changes in valuation inputs or assumptions (3)
    
1,948
      
1,274
   
(163
)
Fair value of MSRs, end of year
  
$
8,468
    
$
6,774
    
$
4,068
  

(1)
Represents decrease in value due to regularly scheduled loan principal payments and partial loan paydowns.
(2)
Represents decrease in value due to loans that paid off during the period.
(3)
Represents change in value resulting from market-driven changes in interest rates.