v3.26.1
MORTGAGE BANKING ACTIVITIES (Tables)
 6 Months Ended
Jun. 30, 2026
Mortgage Banking Activities [Abstract]  
Mortgage Banking Revenue
Three Months Ended June 30,
Six Months Ended June 30,
(Dollars in Thousands)
2026
2025
2026
2025
Net realized gains on sales of mortgage loans
$
3,529
$
3,605
$
6,479
$
6,485
Net change in unrealized gain (loss) on mortgage loans held for
sale
370
(62)
329
171
Net change in the fair value of IRLCs
(111)
(91)
162
405
Net change in the fair value of forward sales contracts
(179)
(109)
30
(285)
Pair-Offs on net settlement of forward
sales contracts
116
16
192
(169)
Mortgage servicing rights additions
70
24
96
44
Net origination fees
865
807
1,624
1,359
Total mortgage banking
revenues
$
4,660
$
4,190
$
8,912
$
8,010
Summary of Mortgage Servicing Rights
(Dollars in Thousands)
June 30, 2026
December 31, 2025
Number of residential mortgage loans serviced for others
464
456
Outstanding principal balance of residential mortgage loans serviced
for others
$
124,200
$
118,429
Weighted average
interest rate
5.71%
5.69%
Remaining contractual term (in months)
354
354
Capitalized Mortgage Servicing Rights
Three Months Ended
June 30,
Six Months Ended
June 30,
(Dollars in Thousands)
2026
2025
2026
2025
Beginning balance
$
903
$
908
$
924
$
933
Additions due to loans sold with servicing retained
70
24
96
44
Deletions and amortization
(46)
(43)
(93)
(88)
Ending balance
$
927
$
889
$
927
$
889
Key Unobservable Inputs Used in Determining the Fair Value of Mortgage Servicing Rights
June 30, 2026
December 31, 2025
Minimum
Maximum
Minimum
Maximum
Discount rates
9.50%
12.00%
9.50%
12.00%
Annual prepayment speeds
8.85%
19.13%
8.50%
18.73%
Cost of servicing (per loan)
$
85
$
95
$
85
$
95
Warehouse Line Borrowings
Amounts
(Dollars in Thousands)
Outstanding
$
30
million master repurchase agreement without defined expiration.
Interest is at the secured overnight
financing rate (SOFR) rate plus
2.25%
to
3.25%
, with a floor rate of
3.25%
to
4.25%
.
A cash pledge deposit of
$
0.1
million is required by the lender.
$
21,950
$
25
million warehouse line of credit agreement expiring in
September 2026
.
Interest is at the SOFR rate plus
2.50%
to
3.00%
, with a floor rate of
3.00%
to
3.50%
.
17,537
Total Warehouse
Borrowings
$
39,487