(5) Intangible Assets

Mortgage Servicing Rights

At September 30, 2019, the Company was servicing approximately $270.8 million of loans sold to the secondary market compared to $279.9 million at December 31, 2018, and $282.9 million at September 30, 2018. Mortgage loan servicing fees, reported in real estate servicing fees, net, earned on loans sold were $205,000 and $581,000 for the three and nine months ended September 30, 2019, respectively, compared to $201,000 and $614,000 for the three and nine months ended September 30, 2018, respectively.

The table below presents changes in mortgage servicing rights (MSRs) for the periods indicated.


	Three Months Ended September 30,				Nine Months Ended September 30,
(in thousands)	2019		2018		2019		2018
Balance at beginning of period	$	2,657	$	2,813	$	2,931	$	2,713
Originated mortgage servicing rights		88		66		187		198
Changes in fair value:
Due to changes in model inputs and assumptions (1)		(77)		70		(318)		203
Other changes in fair value (2)		(93)		(78)		(225)		(243)
Total changes in fair value		(170)		(8)		(543)		(40)
Balance at end of period	$	2,575	$	2,871	$	2,575	$	2,871

(1)The change in fair value resulting from changes in valuation inputs or assumptions, reported in real estate servicing fees, net, used in the valuation model reflects the change in discount rates and prepayment speed assumptions primarily due to changes in interest rates.

(2)Other changes in fair value, reported in real estate servicing fees, net, reflect changes due to customer payments and passage of time.

The following key data and assumptions were used in estimating the fair value of the Company’s MSRs as of September 30, 2019 and 2018, respectively:


	Nine Months Ended September 30,
		2019		2018
Weighted average constant prepayment rate		13.27	%	9.36	%
Weighted average note rate		3.95	%	3.92	%
Weighted average discount rate		8.75	%	10.36	%
Weighted average expected life (in years)		4.8		6.1