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Mortgage Servicing Rights
 9 Months Ended
Sep. 30, 2025
Transfers and Servicing of Financial Assets [Abstract]  
Mortgage Servicing Rights Mortgage Servicing Rights
The Company recognizes the rights to service residential mortgage loans for others as separate assets, whether the servicing rights are acquired through a separate purchase or through the sale of originated loans with servicing rights retained. The Company allocates a portion of the total proceeds of a mortgage loan to servicing rights based on the relative fair value. The unpaid principal balance of residential mortgage loans serviced for third parties was $754.16 million and $777.81 million at September 30, 2025, and December 31, 2024, respectively.
Mortgage servicing rights (MSRs) are evaluated for impairment at each reporting date. For purposes of impairment measurement, MSRs are stratified based on the predominant risk characteristics of the underlying servicing, principally by loan type. If temporary impairment exists within a tranche, a valuation allowance is established through a charge to income equal to the amount by which the carrying value exceeds the fair value. If it is later determined all or a portion of the temporary impairment no longer exists for a particular tranche, the valuation allowance is reduced through a recovery of income.
The following table shows changes in the carrying value of MSRs and the associated valuation allowance.
Three Months Ended
September 30,		Nine Months Ended
September 30,
(Dollars in thousands)2025202420252024
Mortgage servicing rights:    
Balance at beginning of period$3,313 $3,567 $3,436 $3,670 
Additions155 130 382 396 
Amortization(205)(207)(555)(576)
Carrying value before valuation allowance at end of period3,263 3,490 3,263 3,490 
Valuation allowance:    
Balance at beginning of period— — — — 
Impairment recoveries— — — — 
Balance at end of period$— $— $— $— 
Net carrying value of mortgage servicing rights at end of period$3,263 $3,490 $3,263 $3,490 
Fair value of mortgage servicing rights at end of period$7,486 $7,842 $7,486 $7,842 
The balance of MSRs is located in Accrued Income and Other Assets on the Consolidated Statements of Financial Condition. At September 30, 2025, and 2024, the fair value of MSRs exceeded the carrying value reported in the Consolidated Statements of Financial Condition by $4.22 million and $4.35 million, respectively. This difference represents increases in the fair value of certain MSRs that could not be recorded above cost basis.
Mortgage loan contractual servicing fees, including late fees and ancillary income, were $0.60 million and $0.63 million for the three months ended September 30, 2025, and 2024, respectively. Mortgage loan contractual servicing fees, including late fees and ancillary income, were $1.78 million and $1.80 million for the nine months ended September 30, 2025, and 2024, respectively. Mortgage loan contractual servicing fees are included in Mortgage Banking on the Consolidated Statements of Income.