Mortgage Servicing Rights

6 Months Ended

Jun. 30, 2020

Mortgage Servicing Rights [Abstract]

Mortgage Servicing Rights

Note 5— Mortgage Servicing Rights

The following table presents the activity in the Company’s mortgage servicing rights:

	Six months ended June 30,
	2020			2019
	(In Thousands)
Mortgage servicing rights at beginning of the period	$	282		$	109
Additions		4,931			175
Amortization		(226	)		(29	)
Sales		-			-
Mortgage servicing rights at end of the period		4,987			255
Valuation allowance during the period		(21	)		(80	)
Mortgage servicing rights at end of the period, net	$	4,966		$	175

During the six months ended June 30, 2020, $1.80 billion in residential loans were originated for sale on a consolidated basis. During the same period, sales of loans held for sale totaled $1.73 billion, generating mortgage banking income of $94.2 million. The unpaid principal balance of loans serviced for others was $706.5 million and $64.9 million at June 30, 2020 and December 31, 2019, respectively. These loans are not reflected in the consolidated statements of financial condition.

The fair value of mortgage servicing rights were $6.4 million at June 30, 2020 and $186,000 at June 30, 2019. During the six months ended June 30, 2020 and June 30, 2019, the Company did not sell any mortgage servicing rights.

The following table shows the estimated future amortization expense for mortgage servicing rights for the periods indicated:

Estimate for the period ending December 31:	(In Thousands)
2020	$	559
2021		979
2022		775
2023		699
2024		593
Thereafter		1,361
Total	$	4,966