XML 50 R36.htm IDEA: XBRL DOCUMENT v3.22.0.1
Mortgage Banking and Servicing Rights (Tables)
 12 Months Ended
Dec. 31, 2021
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
  
2021
    
2020
    
2019
  
Net gain on sale of mortgage loans held for sale
  
$
6,820
    
$
7,226
    
$
1,746
  
Net loan servicing income (expense):
                        
Servicing fees
    
2,058
      
1,515
      
1,297
  
Late fees
    
67
      
52
      
72
  
Ancillary fees
    
848
      
1,310
      
190
  
Fair value adjustments
    
428
   
(1,064
)
    
(975
)
Net loan servicing income
    
3,401
      
1,813
      
584
  
Mortgage banking income
  
$
10,221
    
$
9,039
    
$
2,330
  
Activity for Capitalized Mortgage Servicing Rights Using Fair Value Method

Activity for capitalized mortgage servicing rights using the fair value method is as follows:

(in thousands)
  
2021
    
2020
    
2019
  
Fair value of MSRs, beginning of year
  
$
4,068
    
$
3,263
    
$
3,607
  
New servicing assets created
    
2,278
      
1,869
      
631
  
Change in fair value during the year due to:
                        
Time decay (1)
    
(259
)
    
(135
)
    
(167
)
Payoffs (2)
    
(587
)
    
(766
)
    
(293
)
Changes in valuation inputs or assumptions (3)
    
1,274
      
(163
)
    
(515
)
Fair value of MSRs, end of year
  
$
6,774
    
$
4,068
    
$
3,263
  

(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.