Derivative Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2026

The gains (losses) recognized by the Company on all derivative activity, including IRLCs, LPCs, Pipeline hedges and MSR hedges were as follows:


	Statements of Income (Loss) Line	Three Months Ended June 30,				Six Months Ended June 30,
Derivative activity		2026		2025		2026		2025
IRLCs, LPCs and Pipeline hedges	Gain on sale of loans, net	$	(18)	$	7	$	291	$	57
MSR hedges	Change in fair value of MSRs, net	$	(48)	$	45	$	(207)	$	47

The notional and fair values of derivative financial instruments were as follows:


	Notional Value		Derivative Asset		Derivative Liability
Balance at June 30, 2026:
Assets:
IRLCs, net of loan funding probability (1)	$	11,761	$	345	$	—
LPCs, net of loan funding probability	1,082		5		—
Forward commitments	13,877		100		—
Treasury futures	6,641		40		—
Total Derivative assets	$	33,361	$	490	$	—
Liabilities:
LPCs, net of loan funding probability	$	967	$	—	$	3
Forward commitments	17,416		—		81
Treasury futures	671		—		1
Total Derivative liabilities	$	19,054	$	—	$	85

Balance at December 31, 2025:
Assets:
IRLCs, net of loan funding probability (1)	$	9,611	$	294	$	—
LPCs, net of loan funding probability	690		4		—
Forward commitments	16,073		62		—
Treasury futures	12		—		—
Total Derivative assets	$	26,386	$	360	$	—
Liabilities:
LPCs, net of loan funding probability	$	287	$	—	$	1
Forward commitments	19,446		—		98
Treasury futures	5,252		—		46
Total Derivative liabilities	$	24,985	$	—	$	145

(1) See Note 11, Commitments and Contingencies for further discussion of IRLC.