As of March 31, 2017

As of December 31, 2016

Amortized cost:

Balance before valuation allowance at beginning of year

$18,872,362

$12,679,755

MSRs proceeds from loan sales

1,357,867

8,603,154

Amortization

(797,236)

(2,410,547)

Application of valuation allowance to write down MSRs with other than temporary impairment

-

Balance before valuation allowance at end of period

$19,432,993

$18,872,362

Valuation allowance for impairment of MSRs:

Balance at beginning of year

$-

Additions

-

Application of valuation allowance to write down MSRs with other than temporary impairment

-

Balance at end of period

$-

Mortgage servicing rights, net

$19,432,993

$18,872,362

Estimated fair value of MSRs at end of period

$26,632,996

$25,496,832