Mortgage Banking Activities (Tables)

3 Months Ended

Mar. 31, 2018

Components of Residential Mortgage Loans Held For Sale [Table Text Block]



	March 31, 2018					December 31, 2017					March 31, 2017
	Unpaid Principal Balance/ Notional		Fair Value			Unpaid Principal Balance/ Notional		Fair Value			Unpaid Principal Balance/ Notional		Fair Value
Residential mortgage loans held for sale	$	215,803	$	217,022		$	212,525	$	215,113		$	237,811	$	237,695
Residential mortgage loan commitments	298,318		8,597			222,919		6,523			381,732		14,267
Forward sales contracts	432,812		(429		)	380,159		(258		)	586,517		(3,255		)
			$	225,190				$	221,378				$	248,707

Mortgage Banking Revenue [Table Text Block]

Mortgage banking revenue was as follows (in thousands):



	Three Months Ended March 31,
	2018			2017
Production revenue:
Net realized gains on sale of mortgage loans	$	8,918		$	12,703
Net change in unrealized gain on mortgage loans held for sale	(1,369		)	(246		)
Net change in the fair value of mortgage loan commitments	2,074			4,534
Net change in the fair value of forward sales contracts	(171		)	(8,448		)
Total production revenue	9,452			8,543
Servicing revenue	16,573			16,648
Total mortgage banking revenue	$	26,025		$	25,191

Summary of Mortgage Servicing Rights [Table Text Block]

The following represents a summary of mortgage servicing rights (Dollars in thousands):



	March 31, 2018			December 31, 2017			March 31, 2017
Number of residential mortgage loans serviced for others	135,846			136,528			138,778
Outstanding principal balance of residential mortgage loans serviced for others	$	22,008,820		$	22,046,632		$	22,015,021
Weighted average interest rate	3.94		%	3.94		%	3.96		%
Remaining term (in months)	296			297			300

Activity in Capitalized Mortgage Servicing Rights [Table Text Block]

Activity in capitalized mortgage servicing rights during the three months ended March 31, 2018 was as follows (in thousands):



Balance, December 31, 2017	$	252,867
Additions, net	8,900
Change in fair value due to principal payments	(7,995		)
Change in fair value due to market assumption changes	21,206
Balance, March 31, 2018	$	274,978

Activity in capitalized mortgage servicing rights during the three months ended March 31, 2017 was as follows (in thousands):



Balance, December 31, 2016	$	247,073
Additions, net	8,436
Change in fair value due to principal payments	(7,962		)
Change in fair value due to market assumption changes	1,856
Balance, March 31, 2017	$	249,403

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:



	March 31, 2018	December 31, 2017	March 31, 2017
Discount rate – risk-free rate plus a market premium	9.84%	9.84%	10.08%
Prepayment rate - based upon loan interest rate, original term and loan type	8.10% - 15.73%	8.72% - 15.16%	8.66% - 18.17%
Loan servicing costs – annually per loan based upon loan type:
Performing loans	$65 - $88	$65 - $88	$63 - $120
Delinquent loans	$150 - $500	$150 - $500	$150 - $500
Loans in foreclosure	$1,000 - $4,000	$1,000 - $4,000	$650 - $4,250
Escrow earnings rate – indexed to rates paid on deposit accounts with comparable average life	2.71%	2.24%	2.06%
Primary/secondary mortgage rate spread	105 bps	105 bps	105 bps

Aging Status of Mortgage Loans Serviced For Others [Table Text Block]

The aging status of our mortgage loans serviced for others by investor at March 31, 2018 follows (in thousands):



			Past Due
	Current		30 to 59 Days		60 to 89 Days		90 Days or More		Total
FHLMC	$	7,976,244	$	66,368	$	11,988	$	26,817	$	8,081,417
FNMA	6,564,941		61,463		9,918		23,897		6,660,219
GNMA	6,600,444		162,994		40,317		11,888		6,815,643
Other	445,110		3,696		1,126		1,609		451,541
Total	$	21,586,739	$	294,521	$	63,349	$	64,211	$	22,008,820