SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549



                                    FORM 10-Q

             ------------------------------------------------------

                QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934


                      For Quarter Ended September 30, 1997
                         Commission File Number 33-42666


                 COLLATERALIZED MORTGAGE SECURITIES CORPORATION
             ------------------------------------------------------
             (Exact name of registrant as specified in its charter)



                Maryland                                         13-3251782
----------------------------------------------               -------------------
(State or other jurisdiction of incorporation)                (I.R.S. Employer
                                                             Identification No.)


11 Madison Avenue, New York, New York                               10010
----------------------------------------------               -------------------
  (Address of principal executive offices)                       (Zip Code)


Registrant's telephone number, including area code              212-325-1811
                                                             -------------------


Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15 (d) of the Securities Exchange Act of 1934
during the preceding 12 months (or for such shorter period that the registrant
was required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes _X_ No ___


Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date:


                          10,000 shares of common stock
                       outstanding as of November 12, 1997

<PAGE>


          COLLATERALZED MORTGAGE SECURITIES CORPORATION AND SUBSIDIARY
          ------------------------------------------------------------
                                      INDEX
                                      -----


                                                                           Page
                                                                          Number
                                                                          ------
PART I            FINANCIAL INFORMATION

         Item     1.  Financial Statements

                      Consolidated Statements of Financial Condition as of
                               September 30, 1997 and December 31, 1996        3

                      Consolidated Statements of Operations for the Nine 
                               Months Ended September 30, 1997 and 1996        4

                      Consolidated Statements of Cash Flows for the Nine 
                               Months Ended September 30, 1997 and 1996        5

                      Notes to Consolidated Financial Statements               6

         Item     2.  Management's Discussion and Analysis of Financial
                                   Condition and Results of Operations         7

PART II           OTHER INFORMATION

         Item     1.  Legal Proceedings                                        8

         Item     2.  Changes in Securities                                    8

         Item     3.  Defaults Upon Senior Securities                          8

         Item     4.  Submission of Matters to a Vote of Security Holders      8

         Item     5.  Other Information                                        8

         Item     6.  Exhibits and Reports on Form 8-K                      8, 9

SIGNATURE                                                                     10

INDEX TO EXHIBITS                                                             11


                                     Page 2
<PAGE>


          COLLATERALIZED MORTGAGE SECURITIES CORPORATION AND SUBSIDIARY
          -------------------------------------------------------------
                 CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
                 ----------------------------------------------




                                                   September 30,    December 31,
                                                       1997            1996
                                                   -------------    ------------
                                                    (unaudited)
                                                       (in thousands, except
                                                     par value and share data)

Assets:

Cash                                                       $  12           $  12
Receivable from Credit Suisse First Boston                                
  Management Corporation                                       1               1
                                                           -----           -----
                                                                          
                                                                          
             Total Assets                                  $  13           $  13
                                                           =====           =====
                                                                          
                                                                          
Liabilities and stockholder's Equity:                                     
                                                                          
Accrued expenses                                           $  --           $  --
                                                           -----           -----
                                                                          
             Total Liabilities                                --              --
                                                           -----           -----
                                                                          
Stockholder's Equity:                                                     
                                                                          
Common stock and paid in capital, $0.1 par value                          
(authorized 15,000,000 shares; issued 10,000                              
shares at September 30, 1997 and December 31,1996)            13              13
                                                           -----           -----
                                                                          
             Total Liabilities and Stockholder's Equity    $  13           $  13
                                                           =====           =====

                 See Notes to Consolidated Financial Statements.


                                     Page 3
<PAGE>


          COLLATERALIZED MORTGAGE SECURITIES CORPORATION AND SUBSIDIARY
          -------------------------------------------------------------
                      CONSOLIDATED STATEMENTS OF OPERATIONS
                      -------------------------------------
                                   (unaudited)

                                                Nine Months         Nine Months
                                                   Ended              Ended
                                               September 30,       September 30,
                                                    1997               1996
                                               -------------       -------------
                                                       (in thousands)


Revenues:
     Commitment fee and miscellaneous income           $  --               $  --
                                                       -----               -----
                                                          --                  --
                                                       -----               -----
Expenses:                                                                 
     General and administrative expenses                  --                  --
                                                       -----               -----
                                                          --                  --
                                                       -----               -----
                                                                          
Loss from operations before income tax                                    
     benefit                                              --                  --
                                                       -----               -----
Income tax benefit                                        --                  --
                                                       -----               -----
                                                                          
Net loss                                               $  --               $  --
                                                       =====               =====


                 See Notes to Consolidated Financial Statements.



                                     Page 4
<PAGE>


          COLLATERALIZED MORTGAGE SECURITIES CORPORATION AND SUBSIDIARY
          -------------------------------------------------------------
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                      -------------------------------------
                                   (unaudited)


                                                Nine Months         Nine Months
                                                   Ended              Ended
                                               September 30,       September 30,
                                                    1997               1996
                                               -------------       -------------
                                                       (in thousands)

Cash Flows From Operating Activities:

Net loss                                               $    --          $    --
Adjustments to reconcile net loss                                     
    to net cash provided by (used for)                                
    operating activities:                                             
Decrease in receivable from Credit Suisse                             
    First Boston Management Corporation                     --            1,200
                                                       -------          -------
Net Cash Provided by Operating Activities                   --            1,200
                                                       -------          -------
                                                                      
                                                                      
Cash Flows From Financing Activities:                                 
                                                                      
Net proceeds from (payments for):                                     
    Dividends paid                                          --           (1,200)
                                                       -------          -------
Net Cash Used for Financing Activities                      --           (1,200)
                                                       -------          -------
Net increase (decrease) in cash                             --               --
Cash at beginning of period                                 12               12
                                                       -------          -------
Cash at end of period                                  $    12          $    12
                                                       =======          =======


                 See Notes to Consolidated Financial Statements.


                                     Page 5
<PAGE>


          COLLATERALIZED MORTGAGE SECURITIES CORPORATION AND SUBSIDIARY
          -------------------------------------------------------------
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                   ------------------------------------------
                                   (unaudited)



1.   Description of Business

     Collateralized Mortgage Securities Corporation (the "Company") and its
     wholly owned subsidiary Asset Backed Securities Corporation ("ABSC") are
     wholly owned subsidiaries of Credit Suisse First Boston Management
     Corporation ("FBSC"), which is a wholly owned subsidiary of Credit Suisse
     First Boston, Inc., a privately owned holding company.

     The foregoing financial statements are unaudited; however, in the opinion
     of management, all adjustments (comprising only normal recurring accruals)
     necessary for a fair presentation of the financial statements have been
     included. A summary of the significant accounting policies is set forth in
     Note 3 to the Company's December 31, 1996 Financial Statements contained in
     the Company's 1996 Form 10-K.




                                     Page 6
<PAGE>


Item 2.    Management's Discussion and Analysis of Financial Condition and
           ---------------------------------------------------------------
           Results of Operations
           ---------------------

           The principal activities of the Company and ABSC include (i) issuing
           and selling collateralized mortgage obligations and asset backed
           obligations (the "Bonds") and acquiring, owning, holding and pledging
           mortgage-backed securities and receivables, (ii) conveying or
           transferring all or any portion of the Companies' rights, title or
           interest in the Bonds to various entities including trusts and (iii)
           creating, acquiring, owning and selling residual interests in such
           entities.

           Results of Operations
           ---------------------

           The Company and ABSC recorded no gains or (losses) on the sale of
           Bonds or beneficial interests in trusts for the nine months ended
           September 30, 1997 and September 30, 1996.

           For the nine months ended September 30, 1997 and 1996, the Company
           had no substantive transactions.

           General and administrative expenses include management fees,
           professional fees and other expenses.

           Liquidity and Capital Resources
           -------------------------------

           The Company and ABSC utilize FBSC to facilitate the settlement of all
           transactions and maintain all excess cash with FBSC. Such cash is
           available from FBSC on demand and does not earn interest. All gains
           and losses are recognized by FBSC on each transaction.




                                     Page 7
<PAGE>


                           PART II - OTHER INFORMATION
                           ---------------------------

Item 1.           Legal Proceedings
                  -----------------

                  None.

Item 2.           Changes in Securities
                  ---------------------

                  Not applicable

Item 3.           Defaults Upon Senior Securities
                  -------------------------------

                  Not applicable.

Item 4.           Submission of Matters to a Vote of Security Holders
                  ---------------------------------------------------

                  None.

Item 5.           Other Information
                  -----------------

                  None

Item 6.           Exhibits and Reports on Form 8-K
                  --------------------------------

                  (a) Exhibits:

                      Indentures (incorporated by reference to Exhibit 1 of
                      Company's Form 8-K dated February 14, 1992 for Series
                      1992-1) dated as of January 1, 1987 as amended by
                      Amendment No. 1 dated as of April 30, 1987 and Amendment
                      No. 2 dated as of October 15, 1987, as amended and
                      restated as of August 1, 1988, between the Company and
                      State Street Bank and Trust Company, as Trustee.

                      Articles of Incorporation of the Company as amended as of
                      January 7, 1986 (incorporated by reference to Exhibit 3.1
                      of the Company's Form S-3 Registration Statement dated
                      January 31, 1985).

                      By-laws of the Company as amended and restated as of
                      January 7, 1986 (incorporated by reference to Exhibit 3.2
                      of the Company's Form S-3 Registration Statement dated
                      January 31, 1985).

                      Restated Certificate of Incorporation of Asset Backed
                      Securities Corporation (incorporated by reference to
                      Exhibit 3.1 of the Company's Form S-3 Registration
                      Statement (No. 0-14811).




                                     Page 8
<PAGE>


Item 6.           Exhibits and Reports on Form 8-K (continued)
                  --------------------------------------------


                  By-laws of Asset Backed Securities  Corporation  (incorporated
                  by  reference  to  Exhibit  3.2  of  the  Company's  Form  S-3
                  Registration Statement (No. 33-7382)).

                  Indenture, dated as of October 30, 1986, between Asset Backed
                  Securities Corporation and State Street Bank and Trust
                  Company, the Trustee (incorporated by reference to Exhibit 1
                  of the Current Report on Form 8-K dated October 30, 1986).

              (b) Reports on Form 8-K
                  -------------------

                     None.



                                     Page 9
<PAGE>


                                    SIGNATURE
                                    ---------


Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.



                                               Collateralized Mortgage
                                               Securities Corporation



                                               By: THOMAS M. ZINGALLI      
                                                   ------------------      
                                                   Thomas M. Zingalli      
                                                Controller and Principal   
                                                   Accounting Officer      
                                              (Duly Authorized Officer and 
                                              Principal Accounting Officer)



Dated:  November 12, 1997


                                    Page 10
<PAGE>


                                INDEX TO EXHIBITS
                                -----------------

Exhibit
Number            Description of Exhibit                                    Page
------            ----------------------                                    ----

1                 Indenture dated as of January 1, 1987 as amended
                  by Amendment No. 1 dated as of April 30, 1987 and
                  Amendment No. 2 dated as of October 15, 1987, as
                  amended and restated as of August 1, 1988, between
                  the Company and State Street Bank and Trust
                  Company, as Trustee.                                      ****

1                 Indenture, dated as of October 30, 1986, between
                  Asset Backed Securities Corporation and State
                  Street Bank and Trust Company, as Trustee.                  **

3.1               Articles of incorporation of the Company as amended
                  as of January 7, 1986.                                       *

3.1               Restated Certificate of Incorporation of Asset
                  Backed Securities Corporation.                             ***

3.2               By-Laws of the Company as amended and restated as
                  of January 7, 1986.                                          *

3.2               By-Laws of Asset Backed Securities Corporation.           ****


*                 Incorporated by reference to the same Exhibits in Registration
                  Statement No. 0-13156 on Form 10 filed with the Securities and
                  Exchange Commission on January 31, 1985.

**                Incorporated by reference to the same Exhibit in the Current
                  Report on Form 8-K filed with the Securities and Exchange
                  Commission on November 14, 1986.

***               Incorporated by reference to the same Exhibit in the
                  Registration Statement No. 0-014811 of the Company's Form S-3
                  filed with the Securities and Exchange Commission on July 21,
                  1986.

****              Incorporated by reference to the same Exhibit in the
                  Registration Statement No. 33-7382 of the Company's Form S-3
                  filed with the Securities and Exchange Commission on November
                  12, 1986.



                                    Page 11