----

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| Maryland                                                            | 75-6493585                                |
|---------------------------------------------------------------------|-------------------------------------------|
| (State      or other jurisdiction of incorporation or organization) | (I.R.S.      Employer Identification No.) |

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|                             |                                                                                                                     |            Page |
|----------------------------------|--------------------------------------------------------------------------------------------------------------------------|------------------------------------------|
| ITEM      1.                     | Financial      Statements                                                                                                |                                     |
|                             |                                                                                                                     |                                     |
|                             | Consolidated      Balance Sheets as of March 31, 2009 (unaudited) and December 31,      2008                             | 3                                        |
|                             | Consolidated      Statements of Income for the three months ended March 31, 2009 and March      31, 2008 (unaudited)     | 4                                        |
|                             | Consolidated      Statements of Cash Flows for the three months ended March 31, 2009 and      March 31, 2008 (unaudited) | 5                                        |
|                             | Notes      to Consolidated Financial Statements (unaudited)                                                              | 6                                        |
|                             |                                                                                                                     |                                     |
| ITEM      2.                     | Management’s      Discussion and Analysis of Financial Condition and Results of      Operations                    | 13                                       |
| ITEM      3.                     | Quantitative      and Qualitative Disclosures about Market Risk                                                          | 24                                       |
| ITEM      4.                     | Controls      and Procedures                                                                                             | 24                                       |
|                             |
| PART      II - OTHER INFORMATION |
|                             |                                                                                                                     |                                     |
| ITEM      1.                     | Legal      Proceedings                                                                                                   | 25                                       |
| ITEM      2.                     | Unregistered      Sales of Equity Securities and Use of Proceeds                                                         | 25                                       |
| ITEM      3.                     | Defaults      Upon Senior Securities                                                                                     | 25                                       |
| ITEM      4.                     | Submission      of Matters to a Vote of Security Holders                                                                 | 25                                       |
| ITEM      5.                     | Other      Information                                                                                                   | 25                                       |
| ITEM      6.                     | Exhibits                                                                                                                 | 25                                       |

----

|                                                                                                                                                                                                                                            | March      31,   2009 |        |    | December      31, 2008 |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------|-------------|---------|------------------------|--------|
|                                                                                                                                                                                                                                            |                                 | (unaudited) |    |                   |   |        (audited) |   |
| Assets                                                                                                                                                                                                                                          |                                 |        |    |                   |   |
| Cash      and cash equivalents                                                                                                                                                                                                                  | $                                    | 341,949     |    |                   | $      | 1,944,271 |   |
|                                                                                                                                                                                                                                            |                                 |        |    |                   |   |   |   |
|   Mortgage      investments:                                                                                                                                                                                                          |                                 |        |    |                   |   |   |   |
|   Investment      in trust receivable                                                                                                                                                                                                 |                                 | 5,302,075   |    |                   |   | 5,336,550 |   |
|   Interim      mortgages, affiliates                                                                                                                                                                                                  |                                 | 41,364,021  |    |                   |   | 41,574,804 |   |
|   Interim      mortgages                                                                                                                                                                                                              |                                 | 348,600     |    |                   |   | 348,600 |   |
|   Allowance      for loan losses – interim mortgages                                                                                                                                                                            |                                 | (1,019,319  | )       |                   |   | (696,718 | ) |
| Total      mortgage investments                                                                                                                                                                                                                 |                                 | 45,995,377  |    |                   |   | 46,563,236 |   |
|                                                                                                                                                                                                                                            |                                 |        |    |                   |   |   |   |
| Line      of credit receivable, affiliate                                                                                                                                                                                                       |                                 | 52,975,069  |    |                   |   | 47,889,473 |   |
| Line      of credit receivable, non-affiliate                                                                                                                                                                                                   |                                 | 7,452,224   |    |                   |   | 4,677,860 |   |
| Accrued      interest receivable                                                                                                                                                                                                                |                                 | 576,688     |    |                   |   | 471,290 |   |
| Accrued      interest receivable, affiliate                                                                                                                                                                                                     |                                 | 8,760,904   |    |                   |   | 8,309,503 |   |
| Recourse      obligations, affiliates                                                                                                                                                                                                           |                                 | 16,467,400  |    |                   |   | 16,578,484 |   |
| Residential      mortgages and contracts for deed, net                                                                                                                                                                                          |                                 | 623,369     |    |                   |   | 781,153 |   |
| Interim      mortgages foreclosed, net                                                                                                                                                                                                          |                                 | 5,529,374   |    |                   |   | 5,877,554 |   |
| Deficiency      notes                                                                                                                                                                                                                           |                                 | 7,079,067   |    |                   |   | 6,980,510 |   |
| Deficiency      note, affiliate                                                                                                                                                                                                                 |                                 | 6,084,413   |    |                   |   | 5,332,105 |   |
| Allowance      for loan losses – deficiency notes                                                                                                                                                                                         |                                 | (3,131,155  | )       |                   |   | (3,131,155 | ) |
| Other      assets                                                                                                                                                                                                                               |                                 | 281,312     |    |                   |   | 342,202 |   |
| Total      assets                                                                                                                                                                                                                               | $                                    | 149,035,991 |    |                   | $      | 142,616,486 |   |
|                                                                                                                                                                                                                                            |                                 |        |    |                   |   |   |   |
| Liabilities      and Shareholders’ Equity                                                                                                                                                                                                 |                                 |        |    |                   |   |   |   |
| Liabilities:                                                                                                                                                                                                                                    |                                 |        |    |                   |   |   |   |
| Dividend      payable                                                                                                                                                                                                                           | $                                    | 644,701     |    |                   | $      | 646,853 |   |
| Accounts      payable and accrued liabilities                                                                                                                                                                                                   |                                 | 1,746,375   |    |                   |   | 887,428 |   |
| Participation      payable, affiliate                                                                                                                                                                                                           |                                 | 44,957,146  |    |                   |   | 38,321,843 |   |
| Total      liabilities                                                                                                                                                                                                                          |                                 | 47,348,222  |    |                   |   | 39,856,124 |   |
|                                                                                                                                                                                                                                            |                                 |        |    |                   |   |   |   |
| Commitments      and contingencies                                                                                                                                                                                                              |                                 |        |    |                   |   |   |   |
|                                                                                                                                                                                                                                            |                                 |        |    |                   |   |   |   |
| Shareholders'      equity:                                                                                                                                                                                                                      |                                 |        |    |                   |   |   |   |
| Shares      of beneficial interest; $0.01 par value; 100,000,000 shares authorized;      8,236,398 and 8,218,591 shares issued in 2009 and 2008, respectively; and      6,418,070 and 6,436,569 outstanding in 2009 and 2008,      respectively | 82,364                               |        |    | 82,186                 |   |
| Additional      paid-in capital                                                                                                                                                                                                                 |                                 | 145,800,401 |    |                   |   | 145,444,733 |   |
| Advisor's      reimbursement                                                                                                                                                                                                                    |                                 | 397,588     |    |                   |   | 397,588 |   |
| Cumulative      distributions in excess of earnings                                                                                                                                                                                             |                                 | (9,296,190  | )       |                   |   | (8,551,085 | ) |
|                                                                                                                                                                                                                                            |                                 | 136,984,163 |    |                   |   | 137,373,422 |   |
| Less      treasury stock of 1,818,328 and 1,782,022 shares in 2009 and 2008,      respectively, at cost                                                                                                                                         |                                 | (35,296,394 | )  |                   |   | (34,613,060 | )  |
| Total      shareholders' equity                                                                                                                                                                                                                 |                                 | 101,687,769 |    |                   |   | 102,760,362 |   |
| Total      liabilities and shareholders' equity                                                                                                                                                                                                 | $                                    | 149,035,991 |    |                   | $      | 142,616,486 |   |

----

|                                              |   | Three      Months Ended March 31, |      |   |
|---------------------------------------------------|--------|-----------------------------------|-----------|--------|
|                                              |   | 2009                              |      |   | 2008 |   |
| Revenues:                                         |   |                              |      |   |   |   |
| Interest      income derived from affiliates      |   | $                                 | 1,894,970 |   |   | $ | 2,506,694 |   |
| Interest      income                              |   |                              | 243,019   |   |   |   | 677,167 |   |
|                                              |   |                              | 2,137,989 |   |   |   | 3,183,861 |   |
| Expenses:                                         |   |                              |      |   |   |   |   |   |
| Trust      administration fee                     |   |                              | 257,246   |   |   |   | 272,979 |   |
| Loan      servicing fees                          |   |                              | 2,159     |   |   |   | 1,213 |   |
| General      and administrative                   |   |                              | 299,435   |   |   |   | 234,316 |   |
| Provision      for loan losses                    |   |                              | 402,500   |   |   |   | 255,000 |   |
| Interest      expense                             |   |                              | 428       |   |   |   | - |   |
|                                              |   |                              | 961,768   |   |   |   | 763,508 |   |
|                                              |   |                              |      |   |   |   |   |   |
| Net      income                                   |   | $                                 | 1,176,221 |   |   | $ | 2,420,353 |   |
|                                              |   |                              |      |   |   |   |   |   |
| Net      income per share of beneficial interest  |   | $                                 | 0.18      |   |   | $ | 0.37 |   |
|                                              |   |                              |      |   |   |   |   |   |
| Weighted      average shares outstanding          |   |                              | 6,417,020 |   |   |   | 6,597,822 |   |
|                                              |   |                              |      |   |   |   |   |   |
| Distributions      per weighted share outstanding |   | $                                 | 0.30      |   |   | $ | 0.37 |   |

----

|                                                                                                      |   | Three      Months Ended March 31, |
|-----------------------------------------------------------------------------------------------------------|--------|-----------------------------------|
|                                                                                                      |   | 2009                              |   | 2008 |
| Operating      Activities                                                                                 |   |                              |   |   |   |   |
| Net      income                                                                                           |   | $                                 | 1,176,221 |   |   | $ | 2,420,353 |   |
| Adjustments      to reconcile net income to net cash provided                                             |   |                              |   |   |   |   |   |   |
| by      operating activities:                                                                             |   |                              |   |   |   |   |   |   |
| Provision for loan      losses                                                                            |   |                              | 402,500 |   |   |   | 255,000 |   |
| Depreciation and      amortization                                                                        |   |                              | 345 |   |   |   | 345 |   |
| Changes      in assets and liabilities:                                                                   |   |                              |   |   |   |   |   |   |
| Accrued interest      receivable                                                                          |   |                              | (657,068 | ) |   |   | (1,258,742 | ) |
| Other    assets                                                                                           |   |                              | 60,544 |   |   |   | 27,222 |   |
| Accounts payable and accrued      liabilities                                                             |   |                              | (167,571 | ) |   |   | (27,011 | ) |
| Net      cash provided by operating activities                                                            |   |                              | 814,971 |   |   |   | 1,417,167 |   |
|                                                                                                      |   |                              |   |   |   |   |   |   |
| Investing      Activities                                                                                 |   |                              |   |   |   |   |   |   |
| Investment      in trust receivable                                                                       |   |                              | (3,251 | ) |   |   | (116 | ) |
| Principal      receipts on trust receivable                                                               |   |                              | 92,359 |   |   |   | 3,331 |   |
| Investment      in interim mortgages                                                                      |   |                              | (7,492,670 | ) |   |   | (291,148 | ) |
| Principal      receipts on interim mortgages                                                              |   |                              | 682,496 |   |   |   | 824,300 |   |
| Investments      in interim mortgages, affiliates                                                         |   |                              | (107,761 | ) |   |   | (3,355,417 | ) |
| Principal      receipts on interim mortgages, affiliates                                                  |   |                              | 944,644 |   |   |   | 114,566 |   |
| Principal      receipts on residential mortgages and contracts for    deed                                |   |                              | 76,935 |   |   |   | 98,984 |   |
| Principal      receipts on credit receivable, affiliate, net                                              |   |                              | 8,247,782 |   |   |   | 3,178,268 |   |
| Investments      in credit receivable, non-affiliate, net                                                 |   |                              | (2,722,305 | ) |   |   |   | - |
| Principal      receipts on recourse obligations                                                           |   |                              | 113,293 |   |   |   | 51,880 |   |
| Net      cash (used in) provided by investing activities                                                  |   |                              | (168,478 | )  |   |   | 624,648 |   |
|                                                                                                      |   |                              |   |   |   |   |   |   |
| Financing      Activities                                                                                 |   |                              |   |   |   |   |   |   |
| Proceeds      from issuance of shares of beneficial interest                                              |   |                              | 355,846 |   |   |   | 620,136 |   |
| Purchase      of treasury stock                                                                           |   |                              | (683,335 | ) |   |   | (1,688,527 | ) |
| Dividends                                                                                                 |   |                              | (1,921,326 | ) |   |   | (2,469,169 | ) |
| Net      cash used in financing activities                                                                |   |                              | (2,248,815 | ) |   |   | (3,537,560 | )  |
| Net decrease      in cash and cash equivalents                                                       |   |                              | (1,602,322 | ) |   |   | (1,495,745 | ) |
| Cash      and cash equivalents at beginning of period                                                     |   |                              | 1,944,271 |   |   |   | 1,597,883 |   |
| Cash      and cash equivalents at end of period                                                           |   | $                                 | 341,949 |   |   | $ | 102,138 |   |
| Supplemental      Disclosure of Cash Flow Information                                                     |   |                              |   |   |   |   |   |   |
| Cash      paid during the period for interest                                                             |   | $                                 | 428 |   |   | $ | - |   |
| Non-Cash      Financing and Investing Activity                                                            |   |                              |   |   |   |   |   |   |
| Transfers      of affiliate and non-affiliate loans to foreclosed properties or recourse      obligations |   | $                                 | - |   |   | $ | 2,380,159 |   |
| Participation      receivable, affiliate                                                                  |   | $                                 | (6,635,303 | ) |   | $ | - |   |
| Participation      payable, affiliate                                                                     |   | $                                 | 6,635,303 |   |   | $ | - |   |
| Participation      accrued interest receivable, affiliate                                                 |   | $                                 | (1,010,442 | ) |   | $ | - |   |
| Participation      accrued interest payable, affiliate                                                    |   | $                                 | 1,010,442 |   |   | $ | - |   |

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|   | 1.      Nature of Business |
|--------|----------------------------|

| 2. | Basis      of Presentation |
|----|----------------------------|

| 3. | Impact      of Recently Issued AccountingStandards |
|----|----------------------------------------------------|

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| Name                           | Initial      principal amount | Balance      at March 31, 2009 | Promissory      Note principle amount (2) |   | Units      pledged as security                                                                  | C      Units distributed  in 2009 | Units      remaining                                      | Nominal      Collateral Value (3) |
|--------------------------------|-------------------------------|--------------------------------|-------------------------------------------|--------|-------------------------------------------------------------------------------------------------|---------------------------------------------|-----------------------------------------------------------|-----------------------------------|
| CRG                            | $2,725,442                    |   $4,498,362         | $4,300,000                                |   |  4,984      Class C and 2,710 Class D                                                      | 69                                          | 3,683      Class C and 2,710 Class D                      | $3,683,000                        |
| RAFC                           | $3,243,369                    |   $6,523,014         | $7,100,000                                |   |  11,165Class C      and  6,659 Class D & 1,066 Class      EIA | 101                                         | 9,429      Class C, 6,659 Class D &and      1,066 EIA | $9,429,000 1,066,000         |
| SCMI                           | $3,295,422                    |   $3,485,326         | $3,488,643                                |   |  4,545      Class C and 3,000 Class D                                                      | 53                                          | 3,024      Class C and 3,000 Class D                      | $3,024,000                        |
| RAF      / Wonder(1)           | $1,348,464                    |   $1,960,698         | $1,400,000                                |   |  1,657      Class C                                                                        | -                                           | 1,657      Class C                                        | $1,657,000                        |
| WonderIndemnification      (1) | n/a                           | n/a                            | n/a                                       |   |  $1,134,000                                                                                | -                                           | n/a                                                       | $942,000                          |
| Totals                         | $10,612,697                   | $16,467,400                    | $16,288,643                               |   |                                                                                            |                                        |                                                      | $19,801,000                       |

|   | (1)      Wonder is collateralized by an indemnification agreement from RMC in the      amount of $1,134,000, which includes the pledge of 3,870 C Units. 2,213 of      the pledged C Units also cross-collateralize the RAFC      obligation. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2)      The CRG and Wonder balances at March 31, 2009 exceeded the stated      principal amount per their variable Secured Notes by approximately      $198,000, and $561,000, respectively. Per the terms of the Secured Notes,      the unpaid principal balance may be greater or less than the initial      principal amount of the note and is not considered an event of default.      The rapid rate of liquidation of the remaining portfolio of properties      caused a more rapid increase in the Unpaid Principal Balance (“UPB”) that      we originally anticipated and outpaced the minimum principal reductions      scheduled for the loans. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (3)      Nominal collateral value does not reflect pledge of D units of limited      partnership interest of UMTH held by WLL, Ltd., RAFC and KLA, Ltd. UMTH D      units represent equity interests in UMT Holdings, LP. Pledge of the UMTH D      units entitles the beneficiary to a pro-rata share of UMTH partnership D      unit cash distributions. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| -   | UMT      Holdings. This guaranty is limited to a maximum of $10,582,336 due under      all of the Secured Notes and isunsecured. |
|---------------|----------------------------------------------------------------------------------------------------------------------------------|

| -   | WLL,      Ltd., an affiliate of CRG. This guaranty is of all amounts due under      Secured Note from CRG is non-recourse and is secured by an assignment of      2,492 Class C Units and 1,355 Class D units of limited partnership      interest of UMT Holdings held by WLL,Ltd. |
|---------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| -   | RMC.      This guaranty is non-recourse, is limited to 50% of all amounts due under      the Secured Note from RAFC and is secured by an assignment of 3,870 Class      C units of limited partnership interest of UMT  Holdings |
|---------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| -   | Wonder.      Wonder Funding obligations are evidenced by a note from RAFC (“RAFC Wonder      Note”) and are secured by a pledge of a certain Indemnification Agreement      given by UMTH to RAFC and assigned to UMT in the amount of $1,134,000,      which amount is included in the UMTH limited guarantee referenced      above. |
|---------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Affiliated      Company | 2009       | 2008     |
|-------------------------|------------|----------|
| CRG                     | --         | --       |
| RAFC                    | $629,000   | $776,000 |
| UMTHLC                  | $7,535,000 | $412,000 |
| UDF                     | --         | --       |

----

----

|   | ITEM      2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS      OF OPERATIONS |
|--------|---------------------------------------------------------------------------------------------------------------|

|   | Cautionary Statement      Regarding Forward-LookingStatements |
|--------|---------------------------------------------------------------|

|   | (iii) | lines      of credit and secured loans for the acquisition and development of      single-family home lots, referred to as “Land Development      Loans”; |
|--------|-------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iv) | lines      of credit and loans secured by entitled and developed single-family lots,      referred to as “Finished Lot Loans”;and, |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (v) | lines      of credit and loans secured by completed model homes, referred to as      “Model Home Loans”; and, |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------|

|   | (vi) | loans      provided to entities that have recently filed for bankruptcy protection      under Chapter 11 of the U.S. bankruptcy code, secured by a priority lien      over pre-bankruptcy secured creditors, referred to as “Debtor in      Possession Loans” and, |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (vii) | lines      of credit and loans, with terms of 18 months or less, secured by single      family lots and homes constructed thereon, referred to as “Construction      Loans", |
|--------|-------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (viii) | first      lien secured mortgage loans with terms of 12 to 360 months for the      acquisition of single-family homes, referred to as “Residential      Mortgages”, and, |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ix) | discounted      cash flows secured by assessments levied on real  property. |
|--------|------|-----------------------------------------------------------------------------|

----

| Description                                                              | No.      of Loans | Interest      Rate           | Final      Maturity Date     | Periodic      Payment Terms |   Prior       Liens | Face      amount of Mortgage (1) | Carrying      amount of Mortgage (2) | Past      Due Amounts (3) |
|--------------------------------------------------------------------------|-------------------|------------------------------|------------------------------|-----------------------------|------------------------------------|----------------------------------|--------------------------------------|---------------------------|
| Single      family residential 1st      mortgages and interim loans (5): |              |                         |                         |                        |                               |                             |                                 |                      |
| Original      balance > $100,000                                      | 3                 | 10.0%      - 11.0%           | 4/29/04      – 5/1/38  | n/a                         | n/a                                | 331,994                          | 325,690                              | 2,362                     |
| Original      balance $50,000 -  $99,999                       | 112               | 8.5%      -  14.0% | 11/19/04      – 3/1/38 | n/a                         | n/a                                | 2,351,820                        | 2,307,168                            | 16,070                    |
| Original      balance $20,000 -  $49,999                       | 226               | 9.0%      - 14.5%            | 2/23/03      – 5/19/36 | n/a                         | n/a                                | 2,809,543                        | 2,756,200                            | 19,596                    |
| Original      balance under $20,000                                      | 14                | 10.0%      - 14.5%           | 11/15/06      – 9/1/31 | n/a                         | n/a                                | 157,318                          | 154,331                              | 1,119                     |
|                                                                     |              |                         |                         |                        |                               |                             |                                 |                      |
| First      Lien secured interim mortgages                                |              |                         |                         |                        |                               |                             |                                 |                      |
| Ready      America Funding (4)                                           | 18                | 14.0%                        | 2/23/03      – 2/6/37  | n/a                         | n/a                                | 17,786,163                       | 17,448,468                           | 621,803                   |
| Howe      Note Consolidation (5)                                         | 1                 | 6.0%                         | n/a                          | n/a                         | n/a                                | 5,284,045                        | 5,183,721                            | 61,906                    |
|                                                                     |              |                         |                         |                        |                               |                             |                                 |                      |
| Secured,      subordinate LOC to UMTH Lending Co., L.P. (4), (5)         | 175               | 12.5%      - 13.5%           | n/a                          | n/a                         | n/a                                | 24,966,006                       | 24,491,992                           | 618,963                   |
|                                                                     |              |                         |                         |                        |                               |                             |                                 |                      |
| Land      Development Loans                                              |              |                         |                         |                        |                               |                             |                                 |                      |
| UDF      III Economic Interest Participation                             | 1                 | 14.0%                        | 12/31/09                     | n/a                         | n/a                                | 44,957,146                       | 44,957,146                           | 930,474                   |
| UDF      III Bear Creek Participation                                    | 1                 | 12.0%                        | 12/31/09                     | n/a                         | n/a                                | 821,239                          | 821,239                              | 152,383                   |
|                                                                     |              |                         |                         |                        |                               |                             |                                 |                      |
| Finished      Lot Loans                                                  | 2                 | 12.0      – 12.5%      | 8/31/09      – 3/3/10  | n/a                         | n/a                                | 2,233,608                        | 2,233,608                            | 24,696                    |
|                                                                     |              |                         |                         |                        |                               |                             |                                 |                      |
| Construction      Loans                                                  | 2                 | 13.0%                        | 10/28/09                     | n/a                         | n/a                                | 5,743,107                        | 5,743,107                            | -                         |
| Totals                                                                   | 555               |                         |                         |                        |                               | 107,441,989                      | 106,422,670                          | 2,449,372                 |

| (1)   | Current      book value of loans. |
|-----------------|-----------------------------------|

| (2)   | Net      of mortgage allowance for loan losses on mortgage loans of $1,019,319 at      March 31, 2009. |
|-----------------|--------------------------------------------------------------------------------------------------------|

| (3)   | Amounts      greater than thirty (30) days pastdue. |
|-----------------|-----------------------------------------------------|

| (4)   | Lines      of credit with Ready America Funding and UMTH Lending Co., L.P. are      collateralized by 18 and 175 loans,  respectively. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------|

| (5)   | No      specific maturity date as UMT has first lien collateral position in these      loans funded by the originator. |
|-----------------|------------------------------------------------------------------------------------------------------------------------|

| Balance      at beginning of period  | 95,999,414  |
|--------------------------------------|-------------|
| Additions      during period         |        |
| New      mortgage loans              | 12,517,401  |
| Other                                | 6,635,303   |
|                                 |        |
| Deductions      during period        |        |
| Collections      of principal        | (8,406,847) |
| Foreclosures                         |        |
| Other      (net change of Allowance) | (322,601)   |
| Balance      at close of period      | 106,422,670 |

----

----

----

----

----

----

----

|   | · | reducing      our investment in interim loans dependent on sub-prime and Alt-A mortgage      products for repayment of our loan. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------|

|   | · | accepting      a secured note from UMTHLC for shortfalls from foreclosed properties to      enable UMTHLC to efficiently manage past due and foreclosed accounts      throughout the duration of the creditcrisis. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | increasing      loss reserves for non-recourse interim and construction loans where full      collection of the indebtedness is notassured. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | re-evaluating      collateral value on specific loans deemed to be affected by current      mortgage and housing environments and reserving for unsecured      deficiencies. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Asset      Category:                                   | March      31,2009 | December      31, 2008 |
|--------------------------------------------------------|--------------------|------------------------|
| First      lien secured                                | 26.73%             | 29.12%                 |
| Secured      lines of credit to UMTH Lending Co., L.P. | 23.24%             | 18.23%                 |
| Land      development loans                            | 42.60%             | 47.12%                 |
| Finished      lot loans                                | 2.08%              | 2.60%                  |
| Construction      loans                                | 5.35%              | 2.93%                  |

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|                                                   | 2009        |   | 2008        |   |
|--------------------------------------------------------|-------------|--------|-------------|--------|
| Shares      issued                                     | 17,807      |   | 31,007      |   |
| Dividend      reinvestment proceeds                    | $356,000    |   | $620,000    |   |
| Number      of shares returned to treasury             | 36,306      |   | 86,466      |   |
| Value      of shares repurchased                       | $(683,335   | )      | $(1,689,000 | )      |
| Principal      receipts (payments):                    |        |   |        |   |
| Residential mortgages and      contracts for deed      | $77,000     |   | $99,000     |   |
| Interim    loans                                       | $1,627,000  |   | $939,000    |   |
| Net borrowings –      bank line of credit   | $(2,722,000 | )      | -           |   |
| Payments received under line      of credit, affiliate | $8,248,000  |   | $3,178,000  |   |

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| Month    | Total      number of shares repurchased | Average      Purchase Price | Total      number of shares purchased as part of a publicly announced      plan | Total      number of shares purchased outside of plan |
|----------|-----------------------------------------|-----------------------------|---------------------------------------------------------------------------------|-------------------------------------------------------|
| January  | 26,069                                  | $19.18                      | 19,986                                                                          | 6,083                                                 |
| February | 6,069                                   | $16.48                      | -                                                                               | 6,069                                                 |
| March    | 4,168                                   | $20.00                      | 4,168                                                                           | -                                                     |
| Totals   | 36,306                                  | $18.55                      | 24,154                                                                          | 12,152                                                |

|   | Exhibit      31.1 Certification of Chief Executive Officer pursuant to Section 302 of      the Sarbanes-Oxley Act of 2002 |
|--------|---------------------------------------------------------------------------------------------------------------------------|

|   | Exhibit      31.2 Certification of Chief Executive Officer pursuant to Section 906 of      the Sarbanes-Oxley Act of 2002  Economic Interest Participation      Agreement and Purchase Option between United Mortgage Trust and UDF      IIIdated September 19, 2008 (filed as item      10.1 for the quarter ended September 30, 2008 and incorporated herein by      reference). Participation Agreement between United      Mortgage Trust and UDF III dated September 30 ,2008 (filed as item 10.2      for thequarter ended September 30, 2008 and      incorporated herein by reference). |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   |
|--------|--------|

|   |   |
|--------|--------|

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|                    |                                                                            |                               |
|-------------------------|---------------------------------------------------------------------------------|------------------------------------|
|                    | UNITED      MORTGAGE TRUST                                                      |
|               |                                                                       |                          |
| Date:      May 15, 2009 | By                                                                    | /s/ Christine      A. Griffin |
|                    | President,  Chief      Executive Officer and Chief Financial  Officer |

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