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Mortgage Servicing Rights (Tables)
 9 Months Ended
Sep. 30, 2018
Mortgage Servicing Rights [Abstract]  
Mortgage servicing rights
The activity of the servicing asset for the three and nine months ended September 30, 2018 and 2017 is presented in the following table:
 
Three months ended September 30
 
Nine months ended September 30
(Dollars in thousands)
2018
 
2017
 
2018
 
2017
Beginning balance
$
21,657

 
$
20,524

 
$
21,945

 
$
20,415

Servicing rights originated
1,396

 
2,896

 
4,026

 
5,721

Amortization
(1,420
)
 
(1,417
)
 
(4,338
)
 
(4,137
)
Valuation allowance reversal
—

 
—

 
—

 
4

Ending balance
$
21,633

 
$
22,003

 
$
21,633

 
$
22,003
Mortgage servicing rights economic assumptions
Valuation of mortgage servicing rights is performed using a pooling methodology. Similar loans are pooled together and evaluated on a discounted earnings basis to determine the present value of future earnings. Key economic assumptions used to value mortgage servicing rights as of September 30, 2018 and December 31, 2017 were as follows:
 
September 30, 2018
 
December 31, 2017
Discount rate - conventional fixed loans
10.06
%
 
9.41
%
Discount rate - all loans excluding conventional fixed loans
11.06
%
 
10.41
%
Weighted average constant prepayment rate
8.38
%
 
10.93
%
Weighted average cost to service a loan
$
72.67

 
$
64.03