XML 34 R25.htm IDEA: XBRL DOCUMENT v3.22.2.2
Mortgage Banking Activities (Tables)
 9 Months Ended
Sep. 30, 2022
Mortgage Banking [Abstract]  
Components of Residential Mortgage Loans Held For Sale [Table Text Block]
 September 30, 2022December 31, 2021
 Unpaid Principal Balance/
Notional		Fair ValueUnpaid Principal Balance/
Notional		Fair Value
Residential mortgage loans held for sale$145,360 $139,061 $182,710 $186,175 
Residential mortgage loan commitments75,779 693 171,412 6,167 
Forward sales contracts210,000 8,367 328,433 (47)
  $148,121  $192,295 
Mortgage Banking Revenue [Table Text Block]
Mortgage banking revenue was as follows (in thousands):
 Three Months Ended
September 30,		Nine Months Ended September 30,
 2022202120222021
Production revenue:  
Net realized gains (losses) on sale of mortgage loans$(1,072)$16,177 $8,969 $62,960 
Net change in unrealized gain (loss) on mortgage loans held for sale(6,244)(1,365)(9,764)(6,537)
Net change in the fair value of mortgage loan commitments(3,174)(1,953)(5,474)(12,186)
Net change in the fair value of forward sales contracts8,084 2,544 8,414 6,457 
Total production revenue(2,406)15,403 2,145 50,694 
Servicing revenue13,688 10,883 37,155 33,924 
Total mortgage banking revenue$11,282 $26,286 $39,300 $84,618 
Summary of Mortgage Servicing Rights [Table Text Block]
The following represents a summary of mortgage servicing rights (dollars in thousands):
 September 30, 2022December 31, 2021
Number of residential mortgage loans serviced for others111,441 102,008 
Outstanding principal balance of residential mortgage loans serviced for others$19,023,295 $16,442,446 
Weighted average interest rate3.55 %3.58 %
Remaining term (in months)284281
The following represents activity in capitalized mortgage servicing rights (in thousands):
Activity in Capitalized Mortgage Servicing Rights [Table Text Block]
Three Months Ended September 30,Nine Months Ended September 30,
2022202120222021
Beginning Balance$270,312 $117,629 $163,198 $101,172 
Additions4,841 11,540 15,810 29,307 
Acquisitions1,043 — 45,910 — 
Change in fair value due to principal payments(8,960)(8,806)(24,277)(30,949)
Change in fair value due to market assumption changes16,570 12,945 83,165 33,778 
Ending Balance$283,806 $133,308 $283,806 $133,308 
Assumptions to Value Mortgage Servicing Rights [Table Text Block]
Mortgage servicing rights are not traded in active markets. Fair value is determined by discounting the projected net cash flows. Significant market assumptions used to determine fair value based on significant unobservable inputs were as follows:
 September 30, 2022December 31, 2021
Discount rate – risk-free rate plus a market premium9.52%8.39%
Prepayment rate - based upon loan interest rate, original term and loan type7.49%12.11%
Loan servicing costs – annually per loan based upon loan type:
Performing loans
$69 - $94
$69 - $94
Delinquent loans
$150 - $500
$150 - $500
Loans in foreclosure
$875 - $8,000
$1,000 - $4,000
Escrow earnings rate – indexed to rates paid on deposit accounts with comparable average life
4.09%1.32%
Primary/secondary mortgage rate spread
105 bps105 bps
Delinquency rate
1.92%2.05%