Mortgage Servicing Rights

9 Months Ended

Sep. 30, 2024

Transfers and Servicing [Abstract]

Mortgage Servicing Rights

Note 5. Mortgage Servicing Rights

The Company sells residential mortgage loans in the secondary market and typically retains the rights to service the loans. Mortgage loans serviced for others are not reported as assets. The principal balances of these loans as of September 30, 2024 and December 31, 2023 are as follows:

	In Thousands
	September 30, 2024		December 31, 2023
Mortgage loan portfolios serviced for:
FHLMC	$	107,491	$	99,441

For the nine months ended September 30, 2024 and 2023, the change in carrying value of the Company's mortgage servicing rights accounted for under the amortization method was as follows:

	In Thousands
	September 30, 2024			September 30, 2023
Balance at beginning of period	$	1,083		$	1,065
Servicing rights retained from loans sold		219			236
Amortization		(230	)		(167	)
Valuation Allowance Provision		—			—
Balance at end of period	$	1,072			1,134
Fair value, end of period	$	1,362		$	1,527

The key data and assumptions used in estimating the fair value of the Company's mortgage servicing rights as of September 30, 2024 and December 31, 2023 were as follows:

	September 30, 2024			December 31, 2023
Prepayment speed		10.48	%		7.92	%
Weighted-average life (in years)		7.43			8.55
Weighted-average note rate		5.02	%		4.73	%
Weighted-average discount rate		9.00	%		9.00	%