v3.26.3
Mortgage Loan Servicing, Origination, and Mortgage Loans Held for Sale (Tables)
9 Months Ended
Sep. 30, 2026
Mortgage Loan Servicing, Origination, and Mortgage Loans Held for Sale  
Summary of changes in the fair value of MSRs and its offsetting hedge

 

Three Months Ended

 

 

Nine Months Ended

 

 

(Dollars in thousands)

 

September 30, 2026

 

 

September 30, 2025

 

 

September 30, 2026

 

 

September 30, 2025

 

 

Increase/(decrease) in fair value of MSRs

 

$

11,250

 

 

$

(412

)

 

$

20,568

 

 

$

(5,182

)

 

Decay of MSRs

 

 

(2,900

)

 

 

(2,721

)

 

 

(8,327

)

 

 

(6,034

)

 

(Loss) gain related to derivatives

 

 

(9,675

)

 

 

289

 

 

 

(13,604

)

 

 

3,877

 

 

Net effect on Consolidated Statements of Income

 

$

(1,325

)

 

$

(2,844

)

 

$

(1,363

)

 

$

(7,339

)

Schedule of characteristics and sensitivity analysis of the MSR

 

September 30,

 

 

 

December 31,

 

 

(Dollars in thousands)

 

2026

 

 

 

2025

 

 

Composition of residential loans serviced for others

 

 

 

 

 

 

 

 

Fixed-rate mortgage loans

 

 

100.0

 

%

 

 

100.0

 

%

Adjustable-rate mortgage loans

 

 

—

 

%

 

 

—

 

%

Total

 

 

100.0

 

%

 

 

100.0

 

%

Weighted average life

 

 

8.2

 

years

 

 

7.5

 

years

Constant Prepayment rate (CPR)

 

 

6.6

 

%

 

 

7.9

 

%

Estimated impact on fair value of a 10% increase

 

$

(676

)

 

 

$

(1,082

)

 

Estimated impact on fair value of a 20% increase

 

 

(1,533

)

 

 

 

(2,101

)

 

Estimated impact on fair value of a 10% decrease

 

 

608

 

 

 

 

1,142

 

 

Estimated impact on fair value of a 20% decrease

 

 

1,127

 

 

 

 

2,333

 

 

Weighted average discount rate

 

 

9.5

 

%

 

 

10.7

 

%

Estimated impact on fair value of a 10% increase

 

$

(4,441

)

 

 

$

(3,140

)

 

Estimated impact on fair value of a 20% increase

 

 

(8,517

)

 

 

 

(6,208

)

 

Estimated impact on fair value of a 10% decrease

 

 

4,852

 

 

 

 

3,105

 

 

Estimated impact on fair value of a 20% decrease

 

 

10,169

 

 

 

 

5,982

 

 

Effect on fair value due to change in interest rates

 

 

 

 

 

 

 

 

25 basis point increase

 

$

2,491

 

 

 

$

2,505

 

 

50 basis point increase

 

 

4,734

 

 

 

 

4,822

 

 

25 basis point decrease

 

 

(2,756

)

 

 

 

(2,599

)

 

50 basis point decrease

 

 

(5,755

)

 

 

 

(5,128

)