SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q


(Mark One)


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


                  FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2005


                                       OR


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


                         Commission File Number 0-23972

                      AMERICAN MORTGAGE ACCEPTANCE COMPANY
             ------------------------------------------------------
             (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)

         Massachusetts                                          13-6972380
---------------------------------                          ---------------------
(State or other jurisdiction of                             (I.R.S. Employer
  incorporation or organization)                             Identification No.)

 625 Madison Avenue, New York, New York                            10022
----------------------------------------                   ---------------------
(Address of principal executive offices)                         (Zip Code)


Registrant's telephone number, including area code (212) 317-5700


     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 by check mark whether the Registrant is an  accelerated  filer (as
defined in Exchange Act Rule 12b-2). Yes  X  No
                                        -----  -----

As of July 31, 2005,  8,311,226 shares of the Registrant's  shares of beneficial
interest, $0.10 par value, were outstanding.



<PAGE>



                                TABLE OF CONTENTS

                      AMERICAN MORTGAGE ACCEPTANCE COMPANY

                                    FORM 10-Q


<TABLE>
<CAPTION>

                                                                                                                PAGE
<S>                  <C>               <C>                                                                       <C>
PART I
                     Item 1.           Condensed Consolidated Financial Statements                                3
                     Item 2.           Management's Discussion and Analysis of Financial Condition and
                                           Results of Operations                                                 14
                     Item 3.           Quantitative and Qualitative Disclosures about Market Risk                20
                     Item 4.           Controls and Procedures                                                   21

PART II
                     Item 1.           Legal Proceedings                                                         22
                     Item 2.           Unregistered Sales of Equity Securities and Use of Proceeds               22
                     Item 3.           Defaults Upon Senior Securities                                           22
                     Item 4.           Submission of Matters to a Vote of Security Holders                       22
                     Item 5.           Other Information                                                         23
                     Item 6.           Exhibits                                                                  23

SIGNATURES                                                                                                       25

</TABLE>

     See accompanying notes to condensed consolidated financial statements.



                                       2
<PAGE>



                          PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

              AMERICAN MORTGAGE ACCEPTANCE COMPANY AND SUBSIDIARIES
                      Condensed Consolidated Balance Sheets
                    (In thousands, except per share amounts)

<TABLE>
<CAPTION>

                                     ASSETS
                                                                                June 30,   December 31,
                                                                                  2005        2004
                                                                              -----------  -----------
                                                                              (Unaudited)
<S>                                                                            <C>          <C>
Investments in debt securities                                                 $ 230,308    $ 194,587
Investments in mortgage loans, net                                                42,458       21,376
Notes receivable, net                                                             15,424       23,111
Investments in revenue bonds                                                       6,656        6,672
Investment in ARCap                                                               20,240       20,240
Real estate owned - held and used, net                                            51,317       60,211
Real estate owned - held for sale                                                 19,175       17,924
Cash and cash equivalents                                                          8,849        2,674
Other assets                                                                       3,720        2,238
                                                                               ---------    ---------

Total assets                                                                   $ 398,147    $ 349,033
                                                                               =========    =========

                                        LIABILITIES AND SHAREHOLDERS' EQUITY

Liabilities:
  Repurchase facilities payable                                                $ 201,140    $ 157,633
  Warehouse facility payable                                                       4,070        3,827
  Line of credit - due to related party                                               --        4,600
  Mortgages payable on real estate owned                                          40,748       56,993
  Preferred shares of subsidiary (subject to mandatory repurchase)                25,000           --
  Accounts payable and accrued expenses                                            1,158        1,344
  Due to Advisor and affiliates                                                    1,231          770
  Distributions payable                                                            3,335        3,334
                                                                               ---------    ---------

Total liabilities                                                                276,682      228,501
                                                                               ---------    ---------

Commitments and contingencies

Shareholders' equity:
  Shares of beneficial interest; $.10 par value; 25,000 shares authorized;
   8,717 issued and 8,311 outstanding in 2005 and 8,716 issued and 8,337
   outstanding in 2004                                                               872          871
  Treasury shares of beneficial interest at par; 406 shares in 2005 and 379
   shares in 2004                                                                    (41)         (38)
  Additional paid-in capital                                                     126,433      126,800
  Share - based compensation                                                          --          (16)
  Distributions in excess of net income                                          (17,977)     (17,202)
  Accumulated other comprehensive income                                          12,178       10,117
                                                                               ---------    ---------

Total shareholders' equity                                                       121,465      120,532
                                                                               ---------    ---------

Total liabilities and shareholders' equity                                     $ 398,147    $ 349,033
                                                                               =========    =========

</TABLE>

     See accompanying notes to condensed consolidated financial statements.



                                       3
<PAGE>



              AMERICAN MORTGAGE ACCEPTANCE COMPANY AND SUBSIDIARIES
                   Condensed Consolidated Statements of Income
                     (In thousands except per share amounts)
                                   (Unaudited)

<TABLE>
<CAPTION>

                                                              Three Months Ended       Six Months Ended
                                                                    June 30,                June 30,
                                                             --------------------    --------------------

                                                               2005        2004        2005        2004
                                                             --------    --------    --------    --------
<S>                                                           <C>         <C>         <C>         <C>
Revenues:
   Interest income:
     Debt securities                                          $ 3,339     $ 2,406     $ 6,371     $ 4,743
     Mortgage loans                                             1,148         377       1,763         795
     Notes receivable                                             378         599         857       1,266
     Revenue bonds                                                146         168         293         336
     Temporary investments                                         67           8          84          20
   Rental income of real estate owned - held and used           1,699       1,804       3,505       3,710
   Other revenues                                                 499          34         657          48
                                                              -------     -------     -------     -------

     Total revenues                                             7,276       5,396      13,530      10,918
                                                              -------     -------     -------     -------

Expenses:
   Interest                                                     1,735         836       2,917       1,728
   Interest - distributions to preferred shareholders of
    subsidiary (subject to mandatory repurchase)                  432          --         500          --
   General and administrative                                     468         387         905         643
   Fees to Advisor                                                680         682       1,374       1,164
   Property operations of real estate
    owned-held and used                                           837         617       1,625       1,396
   Mortgage interest for real estate owned - held and used        603          --       1,208          --
   Depreciation                                                   336          59         702         308
   Amortization and other                                          91          64         224         203
                                                              -------     -------     -------     -------

     Total expenses                                             5,182       2,645       9,455       5,442
                                                              -------     -------     -------     -------

Other income:
   Equity in earnings of ARCap                                    600         600       1,200       1,200
   Income from real estate owned - held
     for sale                                                     375          --         621          --
                                                              -------     -------     -------     -------

     Total other income                                           975         600       1,821       1,200
                                                              -------     -------     -------     -------

   Net income                                                 $ 3,069     $ 3,351     $ 5,896     $ 6,676
                                                              =======     =======     =======     =======

   Net income per share (basic and diluted)                   $  0.37     $  0.40     $  0.71     $  0.80
                                                              =======     =======     =======     =======

   Dividends per share                                        $  0.40     $  0.40     $  0.80     $  0.80
                                                              =======     =======     =======     =======

   Weighted average shares outstanding:
     Basic                                                      8,311       8,336       8,324       8,337
                                                              =======     =======     =======     =======
     Diluted                                                    8,311       8,336       8,327       8,345
                                                              =======     =======     =======     =======

</TABLE>

     See accompanying notes to condensed consolidated financial statements.



                                       4
<PAGE>



              AMERICAN MORTGAGE ACCEPTANCE COMPANY AND SUBSIDIARIES
                 Condensed Consolidated Statements of Cash Flows
                                 (In thousands)
                                   (Unaudited)

<TABLE>
<CAPTION>

                                                                              Six Months Ended
                                                                                  June 30,
                                                                           ----------------------

                                                                             2005          2004
                                                                           --------      --------
<S>                                                                        <C>           <C>
Cash flows from operating activities:
Net income                                                                 $  5,896      $  6,676
Adjustments to reconcile net income to net cash
   provided by operating activities:
     Depreciation expense                                                       702           308
     Amortization and accretion                                                 176            52
     Other non-cash expense                                                      20            20
   Changes in operating assets and liabilities:
     Accrued interest receivable                                               (461)          774
     Other assets                                                              (250)         (548)
     Due to Advisor and affiliates                                              462           347
     Accounts payable and accrued expenses                                     (122)         (458)
     Accrued interest payable                                                    81          (587)
                                                                           --------      --------

   Net cash provided by operating activities                                  6,504         6,584
                                                                           --------      --------

Cash flows from investing activities:
   Investment in debt securities                                            (40,443)       (6,600)
   Principal repayments of debt securities                                    6,384        15,018
   Purchase of mortgage on real estate owned                                (17,150)           --
   Proceeds from sale of real estate owned                                    7,474            --
   Funding of notes receivable                                                 (472)       (3,722)
   Repayment of notes receivable                                              8,177         2,852
   Paydown on property classified as real estate owned - held and used          480            --
   Additions to real estate owned                                               (14)           --
   Principal repayments on revenue bonds                                        104           793
   Funding of mortgage loans                                                (21,178)         (189)
   Repayments of mortgage loans                                                  --           531
                                                                           --------      --------

Net cash (used in) provided by investing activities                         (56,638)        8,683
                                                                           --------      --------

</TABLE>

                                    continued



                                       5
<PAGE>



              AMERICAN MORTGAGE ACCEPTANCE COMPANY AND SUBSIDIARIES
                 Condensed Consolidated Statements of Cash Flows
                                 (In thousands)
                                   (Unaudited)


<TABLE>
<CAPTION>

                                                              Six Months Ended
                                                                  June 30,
                                                           ----------------------

                                                             2005          2004
                                                           --------      --------
<S>                                                        <C>           <C>
Cash flows from financing activities:
   Proceeds from repurchase facilities                       63,548         9,653
   Repayments of repurchase facilities                      (20,041)      (16,814)
   Proceeds from warehouse facility                             243           484
   Repayments of warehouse facility                              --        (4,561)
   Proceeds from line of credit - due to related party       14,761         3,122
   Repayment of line of credit - due to related party       (19,361)           --
   Distribution paid to shareholders                         (6,671)       (6,671)
   Deferred financing costs                                    (802)           --
   Treasury stock purchases                                    (368)          (52)
   Issuance of preferred shares of subsidiary                25,000            --
                                                           --------      --------

Net cash provided by (used in) financing activities          56,309       (14,839)
                                                           --------      --------

Net increase in cash and cash equivalents                     6,175           428

Cash and cash equivalents at the beginning of the year        2,674         2,028
                                                           --------      --------

Cash and cash equivalents at the end of the period         $  8,849      $  2,456
                                                           ========      ========

</TABLE>

     See accompanying notes to condensed consolidated financial statements.



                                       6
<PAGE>



              AMERICAN MORTGAGE ACCEPTANCE COMPANY AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
                                  June 30, 2005
                                   (Unaudited)



NOTE 1 - BASIS OF PRESENTATION

The condensed consolidated financial statements include the accounts of American
Mortgage Acceptance Company and its wholly owned subsidiaries.  All intercompany
accounts  and  transactions  have  been  eliminated  in  consolidation.   Unless
otherwise indicated, we herein refer to American Mortgage Acceptance Company and
its  subsidiaries  as "AMAC",  "we",  "us",  "our",  and "our  Company".  We are
externally  managed by Related AMI Associates,  Inc., which acts as our Advisor.
We operate in one business segment.

In March 2005,  we formed AMAC  Capital  Financing  I ("ACFI"),  a wholly  owned
trust, for the purpose of issuing trust preferred securities,  which are subject
to mandatory  repurchase  in March 2035 and are callable in March 2010 (see Note
7).

The condensed  consolidated  financial  statements  have been  prepared  without
audit.  In the  opinion of  management,  the  financial  statements  contain all
adjustments  (consisting  of only normal  recurring  adjustments)  necessary  to
present  fairly our financial  position as of June 30, 2005,  and the results of
our operations and our cash flows.  However,  the operating  results for interim
periods may not be indicative of the results for the full year.

Certain  information  and  footnote  disclosures  normally  included  in  annual
consolidated   financial  statements  prepared  in  accordance  with  accounting
principles generally accepted in the United States of America ("GAAP") have been
condensed or omitted. It is suggested that these financial  statements should be
read in conjunction with the consolidated financial statements and notes thereto
included in our Form 10-K for the year ended December 31, 2004.

Our annual report on Form 10-K for the year ended December 31, 2004,  contains a
summary of our  significant  accounting  policies.  There have been no  material
changes to these items since December 31, 2004;  however, we have entered into a
transaction during 2005 which involves a new significant  accounting policy (see
Note 7).

The preparation of the consolidated financial statements in conformity with GAAP
requires us to make estimates and assumptions  that affect the reported  amounts
of  assets  and  liabilities  and  the  disclosure  of  contingent   assets  and
liabilities  as of the date of the financial  statements as well as the reported
amounts of revenues and expenses  during the reporting  period.  Actual  results
could differ from those estimates.

Certain prior year amounts have been reclassified to conform to the current year
presentation,  in particular,  the  reclassification of results of operations of
our real estate owned - held and used portfolio.

NOTE 2 - INVESTMENTS IN DEBT SECURITIES - AVAILABLE FOR SALE

During  the  first  quarter  of 2005,  we  purchased  six  Fannie  Mae  ("FNMA")
certificates with principal amounts totaling  approximately  $34.3 million.  The
certificates  were purchased at premiums totaling  approximately  $96,000 with a
weighted  average  maturity  date of  January  2033 and bear  interest  at rates
ranging from 4.90% per year to 6.65% per year.

During the second quarter of 2005, we purchased an additional  FNMA  certificate
with a principal  amount of $3.9  million.  The  certificate,  which matures May
2023, was purchased at a premium of approximately  $23,000 and bears interest at
a rate of 5.60% per year.

During January 2005, one Ginnie Mae ("GNMA")  certificate  was repaid at par. We
received approximately $2.4 million in proceeds.

During February 2005, one FNMA certificate was repaid. We received approximately
$3.2 million in proceeds, resulting in a write off of an unamortized discount of
approximately  $47,000,  which is  included in other  revenues in the  condensed
consolidated statements of income.



                                       7
<PAGE>



              AMERICAN MORTGAGE ACCEPTANCE COMPANY AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
                                  June 30, 2005
                                   (Unaudited)



Information regarding our investments in debt securities is as follows:

<TABLE>
<CAPTION>

                                                        (In thousands)
                                                  June 30,          December 31,
                                                    2005                2004
                                                 ----------         ------------
<S>                                              <C>                  <C>
Amortized cost                                   $ 218,560            $ 184,576
Unrealized gains                                    12,125               11,370
Unrealized losses                                     (377)              (1,359)
                                                 ---------            ---------
Net unrealized gain                                 11,748               10,011
                                                 ---------            ---------
Fair value                                       $ 230,308            $ 194,587
                                                 =========            =========

</TABLE>

The fair value and gross unrealized losses of our debt securities  aggregated by
length of time that these  individual  debt securities have been in a continuous
unrealized loss position, at June 30, 2005, and December 31, 2004, is summarized
in the table below:
                             (Dollars in thousands)

<TABLE>
<CAPTION>

                                   June 30, 2005                     December 31, 2004
                         --------------------------------    --------------------------------
                         Fewer than  12 Months               Fewer than  12 Months
                         12 Months    or More      Total     12 Months    or More      Total
                         ----------  ---------    -------    ----------  ---------    -------
<S>                       <C>         <C>         <C>         <C>         <C>         <C>
Number of securities            1           5           6          11           7          18
Fair value                $13,775     $12,333     $26,108     $46,055     $16,832     $62,887
Gross unrealized loss     $   141     $   236     $   377     $   515     $   844     $ 1,359

</TABLE>

These  unrealized  losses  are  as a  result  of  increases  in  interest  rates
subsequent to the acquisition of the securities.  All of the debt securities are
performing according to their terms. Furthermore, we have the intent and ability
to hold these  securities to maturity,  or at least until  interest rates change
such that the fair value is no longer less than book value. Accordingly, we have
concluded that these impairments are temporary.

At June 30, 2005,  debt  securities  with a fair value of  approximately  $229.0
million were  partially or wholly  pledged as  collateral  under our  repurchase
facilities.  At June 30, 2005, we had approximately $16.4 million,  available to
borrow off of partially or unpledged debt securities.

NOTE 3 - INVESTMENTS IN MORTGAGE LOANS

During May 2005,  we were called upon to fund a $7.5 million  first  mortgage in
connection with a loan stabilization guarantee (see Note 11). The loan, which we
expect to be repaid when  permanent  financing is arranged,  bears interest at a
rate of 6.82% per year.

During  May  2005,  we  funded  approximately  $3.1  million  of a $7.3  million
mezzanine  loan secured by a land  parcel,  which  matures  April 2007 and bears
interest at a rate of 20% per year. We also received a loan  origination  fee of
$146,000, which is deferred and will be recorded as income ratably over the life
of the loan.

During May 2005, we funded  approximately  $6.9 million of an  approximate  $8.4
million  mezzanine loan secured by multifamily  housing,  which matures December
2007 and bears interest at a rate of LIBOR + 12.75% per year.

During June 2005,  we funded  approximately  $3.3  million for a mezzanine  loan
secured by a shopping  center,  which matures June 2015 and bears  interest at a
rate of 10.25% per year.



                                       8
<PAGE>



              AMERICAN MORTGAGE ACCEPTANCE COMPANY AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
                                  June 30, 2005
                                   (Unaudited)



NOTE 4 - NOTES RECEIVABLE

During the six  months  ended  June 30,  2005,  several  notes  receivable  have
partially  or fully  repaid.  We have  received  a total of  approximately  $8.2
million in proceeds relating to repayments of these notes.

NOTE 5 - REAL ESTATE OWNED

Our real estate owned at June 30, 2005, and December 31, 2004,  consisted of the
following:

(dollars in thousands)

<TABLE>
<CAPTION>
                                                                                                  Carrying Value
                                                                                 Carrying Value       as of
                                                  Number of                           as of        December 31,
                                                    Units          Location       June 30, 2005        2004
                                                  ---------     ---------------   -------------    ------------
<S>                                                     <C>     <C>                 <C>             <C>
Real Estate Owned - Held and Used
---------------------------------

Plaza at San Jacinto (1)                                 --        La Porte, TX     $      --       $  7,929
   Less: accumulated depreciation                        --                                --           (425)
                                                  ---------                         ---------       --------
Total Plaza at San Jacinto, net                          --                                --          7,504
                                                                                    ---------       --------

Concord Portfolio                                       852         Houston, TX        53,707         54,425
   Less: accumulated depreciation                        --                            (2,390)        (1,718)
                                                  ---------                         ---------       --------
Total Concord Portfolio, net                            852                            51,317         52,707
                                                                                    ---------       --------

Total Real Estate  Owned - Held and Used, net           852                         $  51,317       $ 60,211
                                                  =========                         =========       ========

Real Estate Owned - Held for Sale
---------------------------------

Reserve at Autumn Creek (2)                             212     Friendswood, TX     $  19,175       $  17,924
                                                  =========                         =========       ========

Mortgages Payable on Real Estate Owned
--------------------------------------

Concord Portfolio                                                                   $  40,748       $ 41,000
Reserve at Autumn Creek (2)                                                                --         15,993
                                                                                    ---------       --------

Total  Mortgages  Payable on Real  Estate
Owned                                                                               $  40,748       $ 56,993
                                                                                    =========       ========

</TABLE>

(1)  During  February  2005,  the Plaza at San Jacinto  property  was sold to an
     unaffiliated  third  party.  We  received  approximately  $7.4  million  in
     proceeds from the sale, which  approximated the property's  carrying value.
     Accordingly, no gain or loss was recorded.
(2)  During  February  2005, we purchased  the first  mortgage on the Reserve at
     Autumn Creek  property at a  foreclosure  auction for  approximately  $17.2
     million.



                                       9
<PAGE>



              AMERICAN MORTGAGE ACCEPTANCE COMPANY AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
                                  June 30, 2005
                                   (Unaudited)



NOTE 6 - REPURCHASE FACILITIES

During June 2005,  we executed a new  repurchase  agreement  with UBS  Financial
Services,  which  offers us an advance  rate of 97% and a borrowing  rate set at
30-day  LIBOR.  The  borrowings  are  subject  to 30-day  settlement  terms.  We
transferred ten FNMA and GNMA certificates  previously held as collateral on our
RBC repurchase facility to this facility,  and the amount outstanding under this
facility at June 30,  2005,  was  approximately  $51.1  million  with a weighted
average interest rate of 3.26%.

NOTE 7 - SUBSIDIARY EQUITY

During March 2005, ACFI issued 25,000 Floating Rate Preferred Securities, having
a stated  liquidation amount of $1,000 per security.  We received  approximately
$24.2 million in proceeds,  net of closing costs, which are deferred and will be
amortized  ratably over a 30-year period to the redemption  date. The securities
are callable in March 2010 and bear interest, re-set quarterly,  equal to 30-day
LIBOR plus 3.75%. At June 30, 2005, the rate was 7.09%.

SFAS No. 150, ACCOUNTING FOR CERTAIN FINANCIAL  INSTRUMENTS WITH CHARACTERISTICS
OF BOTH LIABILITIES AND EQUITY,  requires that mandatorily  redeemable financial
instruments  be  classified  as  liabilities  in  the   consolidated   financial
statements  and the  payments or accruals of dividends  and other  amounts to be
paid to the holders of these  securities be reported as interest  costs.  Due to
the  mandatory  redemption  feature,  we have  classified  these  securities  as
liabilities and recorded and carry them at fair value.

NOTE 8 - RELATED PARTY TRANSACTIONS

The costs paid or payable to our Advisor for the three and six months ended June
30, 2005 and 2004, were as follows:

<TABLE>
<CAPTION>

                                      Three Months Ended       Six Months Ended
                                           June 30,                June 30,
                                      ------------------      ------------------

                                       2005        2004        2005        2004
                                      ------      ------      ------      ------
<S>                                   <C>         <C>         <C>         <C>
Shared services expenses              $  210      $  187      $  456      $  356
Asset management fees                    382         305         710         618
Incentive management fee*                 88         190         208         190
                                      ------      ------      ------      ------

                                      $  680      $  682      $1,374      $1,164
                                      ======      ======      ======      ======

</TABLE>

* Accrual based on our estimates of 2005 full-year results.

In June 2004,  we entered  into a  revolving  credit  facility  (the  "Revolving
Facility") with CharterMac, an affiliated company and parent of our Advisor. The
Revolving  Facility,  which  is  unsecured,  provides  up to  $20.0  million  in
borrowings  to  purchase  new  investments.  As of  June  30,  2005,  we  had no
outstanding  borrowings  on this  facility.  At December 31,  2004,  we had $4.6
million in borrowings outstanding on this facility at an interest rate of 5.42%.
This facility expires in June 2006, pursuant to a one year extension.



                                       10
<PAGE>



              AMERICAN MORTGAGE ACCEPTANCE COMPANY AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
                                  June 30, 2005
                                   (Unaudited)



NOTE 9 - COMPREHENSIVE INCOME

Comprehensive  income for the six months  ended June 30,  2005 and 2004,  was as
follows:

<TABLE>
<CAPTION>

                        (In thousands)                             Six Months Ended
                                                                       June 30,
                                                                 --------------------
                                                                   2005        2004
                                                                 --------    --------
<S>                                                              <C>         <C>
Net income                                                       $ 5,896     $ 6,676
Net unrealized gain (loss) on interest rate derivatives
  arising during the period                                          237         (54)
Unrealized holding gain (loss) on investments arising during
  the period                                                       1,824      (2,679)
                                                                 -------     -------

Total comprehensive income                                       $ 7,957     $ 3,943
                                                                 =======     =======

</TABLE>

NOTE 10 - EARNINGS PER SHARE

Diluted net income per share is calculated  using the weighted average number of
shares  outstanding  during the period plus the  additional  dilutive  effect of
common share  equivalents.  The dilutive effect of outstanding  share options is
calculated using the treasury stock method.

(In thousands, except per share amounts)

<TABLE>
<CAPTION>

Three Months Ended June 30, 2005:                Income       Shares     Per Share
                                                 ------       ------     ---------
<S>                                              <C>           <C>         <C>
   Basic EPS                                     $3,069        8,311       $0.37
   Effect of dilutive securities                     --           --          --
                                                 ------       ------       -----
   Diluted EPS                                   $3,069        8,311       $0.37
                                                 ======       ======       =====

Three Months Ended June 30, 2004:

   Basic EPS                                     $3,351        8,336       $0.40
   Effect of dilutive securities                     --           --          --
                                                 ------       ------       -----
   Diluted EPS                                   $3,351        8,336       $0.40
                                                 ======       ======       =====

Six Months Ended June 30, 2005:

   Basic EPS                                     $5,896        8,324       $0.71
   Effect of dilutive securities                     --            3          --
                                                 ------       ------       -----
   Diluted EPS                                   $5,896        8,327       $0.71
                                                 ======       ======       =====

Six Months Ended June 30, 2004:

   Basic EPS                                     $6,676        8,337       $0.80
   Effect of dilutive securities                     --            8          --
                                                 ------       ------       -----
   Diluted EPS                                   $6,676        8,345       $0.80
                                                 ======       ======       =====

</TABLE>



                                       11
<PAGE>



              AMERICAN MORTGAGE ACCEPTANCE COMPANY AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
                                  June 30, 2005
                                   (Unaudited)



NOTE 11 - COMMITMENTS AND CONTINGENCIES

a) Legal

On October 27, 2003,  prior to taking  possession of the real estate  collateral
supporting a loan investment, we were named in a lawsuit, Concord Gulfgate, Ltd.
vs. Robert  Parker,  Sunrise  Housing  Ltd.,  and American  Mortgage  Acceptance
Company,  Cause No.  2003-59290 in the 133rd  Judicial  District Court of Harris
County,  Texas.  The suit  alleges  that the loan  transaction  was not properly
authorized by the partnership and was not for a legitimate  partnership purpose.
The suit claims, among other causes of action against the respective defendants,
wrongful foreclosure of the real estate collateral,  tortious  interference with
contract  and civil  conspiracy.  The suit seeks,  among other  relief,  actual,
consequential,  and exemplary damages, and a declaration that the loan documents
are  unenforceable  and constitute a cloud on title. The discovery phase of this
suit has been completed.  A summary  judgment was filed by us, but was denied on
July 25, 2005. It is not known when the case will be called to trial.

We filed a countersuit on November 25, 2003, against Concord Gulfgate,  Ltd., as
guarantor,  seeking a deficiency  on the loan,  and recovery of unpaid taxes and
certain  property  receipts.  We are currently  unable to determine the possible
outcome of the litigation.

b)   Guarantees

In June and October of 2000, we originated two loans totaling $3.3 million under
an agreement  with Fannie Mae that  provided for our  guaranteeing  a first-loss
position on the loans. In September 2003, we transferred and assigned all of our
obligations  with respect to the two loans we  originated  under this program to
CharterMac Mortgage Capital Corp.  ("CMC"), a subsidiary of CharterMac,  both of
which  are  affiliates  of our  Advisor.  Pursuant  to the  agreement  with CMC,
CharterMac  guaranteed  CMC's  obligations  under  the  loans,  and we agreed to
indemnify  both CMC and  CharterMac  for any losses  incurred  in  exchange  for
retaining  all fees  which we were  otherwise  entitled  to  receive  under  the
program. While provisions of this agreement could potentially result in exposure
of up to $7.5 million,  the maximum  exposure at June 30, 2005 was $3.2 million,
and we expect that we will not be called upon to fund these guarantees.

In the first quarter of 2003, we  discontinued  our loan program with Fannie Mae
and will issue no further guarantees pursuant to such program.

For these  guarantees,  we monitor the status of the  underlying  properties and
evaluate our exposure under the  guarantees.  To date, we have concluded that no
accrual  for  probable  losses is  required  under  SFAS No. 5,  ACCOUNTING  FOR
CONTINGENCIES.



                                       12
<PAGE>



              AMERICAN MORTGAGE ACCEPTANCE COMPANY AND SUBSIDIARIES
              Notes to Condensed Consolidated Financial Statements
                                  June 30, 2005
                                   (Unaudited)



Standby and Forward Loan Commitments
------------------------------------

We  issued  the  following   standby  and  forward  bridge  and  permanent  loan
commitments  for the purpose of funding  construction/rehabilitation  of certain
multifamily apartment complexes in various locations.

STANDBY AND FORWARD BRIDGE LOAN COMMITMENTS
-------------------------------------------
<TABLE>
<CAPTION>

                                                                                    (In thousands)
                                                                             MAXIMUM AMOUNT OF COMMITMENT
                                                                             ----------------------------
                                                                 NO. OF APT.   LESS THAN
ISSUE DATE     PROJECT                     LOCATION                 UNITS       1 YEAR       1-3 YEARS
---------------------------------------------------------------------------------------------------------
<S>            <C>                         <C>                       <C>        <C>           <C>
May-04         Oak Village                 Oakland, CA               117        $  967        $   --
Jun-04         Woods of Mandarin           Jacksonville, FL          401           428            --
Dec-03         Reserve at Thornton         Thornton, CO              216           183            --
                                                               ------------------------------------------

   TOTAL STANDBY AND FORWARD BRIDGE LOAN COMMITMENTS                 734        $1,578        $   --
                                                               ==========================================

</TABLE>

STANDBY AND FORWARD MEZZANINE LOAN COMMITMENTS
----------------------------------------------
<TABLE>
<CAPTION>
                                                                             MAXIMUM AMOUNT OF COMMITMENT
                                                                             ----------------------------
                                                                 NO. OF APT.   LESS THAN
ISSUE DATE     PROJECT                     LOCATION                 UNITS       1 YEAR       1-3 YEARS
---------------------------------------------------------------------------------------------------------
<S>            <C>                         <C>                       <C>        <C>           <C>
May-05         Pasadena                    Pasadena, FL               --        $2,290        $1,154
Apr-05         Atlantic Hearthstone        Hillsborough, NJ          198         1,500            --
                                                               ------------------------------------------

TOTAL STANDBY AND FORWARD MEZZANINE LOAN COMMITMENTS                 198        $3,790        $1,154
                                                               ==========================================

TOTAL STANDBY AND FORWARD LOAN COMMITMENTS                                      $5,368        $1,154
                                                                             ============================

</TABLE>

Mezzanine Loan/Preferred Stock Commitment
-----------------------------------------

In  November  2004,  we  provided a  commitment  to fund up to $74.5  million in
connection  with the  borrower's  financing of an  acquisition.  The  commitment
expired   unused  in  April  2005,   and  we  recognized  a  commitment  fee  of
approximately $412,000, net of related legal expenses, upon the expiration.

Loan Stabilization Guarantees
-----------------------------

In  accordance  with  an  agreement  entered  into in 2002  with  Wachovia  Bank
("Wachovia")  to  provide  stabilization  guarantees  for  new  construction  of
multifamily  properties,  we were  called upon to fund the last  guarantee  made
under  the  program.  In May 2005,  we funded a $7.5  million  loan  secured  by
multifamily housing (see Note 3).

NOTE 12 - SUBSEQUENT EVENTS

In July  2005,  we funded  approximately  $6.2  million of an  approximate  $7.5
million mezzanine loan secured by multifamily  housing.  The loan, which matures
January 2008, bears interest at a rate of 30-day LIBOR + 11.50% per year.

In July 2005,  we received an executed  letter of intent to purchase a defaulted
GNMA certificate and mezzanine loan at par plus any accrued unpaid interest.  As
such, we have recognized approximately $201,000 in previously unrecorded, unpaid
interest  relating to the mezzanine  loan for the period April 2004 through June
2005.



                                       13
<PAGE>



ITEM 2. MANAGEMENT'S  DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

Forward-Looking Statements
--------------------------

Certain   statements  made  in  this  report  may  constitute   "forward-looking
statements"  within the meaning of Section 27A of the Securities Act of 1933, as
amended and Section 21E of the Securities Exchange Act of 1934, as amended. Such
forward-looking  statements include statements  regarding the intent,  belief or
current  expectations of us and our management  (which includes our Advisor) and
involve known and unknown risks, uncertainties and other factors which may cause
the actual results,  performance or achievements to be materially different from
any future  results,  performance or  achievements  expressed or implied by such
forward-looking  statements.  These factors, which are outlined in detail in our
annual  report on Form 10-K for the year ended  December 31,  2004,  include the
following:

o    Risks of investing in uninsured and  non-investment  grade mortgage  assets
     and subordinated CMBS;

o    Competition in acquiring desirable investments;

o    Interest rate fluctuations and changes in prepayment rates which may affect
     the value of our assets;

o    Risks  associated  with  investments  in  real  estate  generally  and  the
     properties which secure many of our investments;

o    General economic  conditions,  particularly as they affect the value of our
     assets and the credit status of our borrowers;

o    Dependence  on  our  external   Advisor  for  all  services  vital  to  our
     operations;

o    Conflicts  which may arise among us and other entities  affiliated with our
     Advisor which have similar investment policies to ours; and

o    Risks  associated with the repurchase  agreements we utilize to finance our
     investments and the availability of financing generally.

Readers  are  cautioned  not to place undue  reliance  on these  forward-looking
statements, which speak only as of the date of this quarterly report.

Factors Affecting Comparability
-------------------------------

During 2004, we owned several properties through foreclosure, classified as Real
Estate Owned - Held and Used,  -Subject to Sales  Contracts and - Held for Sale.
As a result of certain  circumstances during 2004, we reclassified some of these
assets from Held for Sale to Held and Used,  resulting  in greater  depreciation
expenses in the current year (see "Real Estate Owned" below).

During March 2005, we issued $25.0 million of Floating Rate Preferred Securities
through  a  subsidiary.  Due  to  the  mandatory  redemption  feature  of  these
securities,  the payments or accruals of dividends  and other amounts to be paid
to the holders of these  securities are reported as interest costs. As a result,
these  interest costs are  classified as Interest -  Distributions  to Preferred
Shareholders of Subsidiary (Subject to Mandatory Repurchase). There were no such
interest costs in prior, comparable periods.



                                       14
<PAGE>



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

The following is a summary of our  operations for the three and six months ended
June 30, 2005 and 2004:

(In thousands)

<TABLE>
<CAPTION>

                         Three Months Ended June 30,         Six Months Ended June 30,
                       -------------------------------    -------------------------------
                         2005        2004       Change      2005        2004       Change
                       -------     -------      ------    -------     -------      ------
<S>                    <C>         <C>           <C>      <C>         <C>          <C>
Total revenues         $ 7,276     $ 5,396       34.8 %   $13,530     $10,918       23.9 %
Total expenses           5,182       2,645       95.9       9,455       5,442       73.7
Total other income         975         600       62.5       1,821       1,200       51.8
                       -------     -------       ----     -------     -------       ----
Net income             $ 3,069     $ 3,351       (8.4)%   $ 5,896     $ 6,676      (11.7)%
                       =======     =======       ====     =======     =======       ====

</TABLE>

In both the three and six month  periods ended June 30, 2005, as compared to the
same periods in 2004, revenues increased mainly due to the purchases of new FNMA
certificates and the funding of several new mezzanine loans.  Expenses have also
increased for these periods due to mortgage interest costs for Real Estate Owned
- Held  and  Used  following  the  December  2004  refinancing  of  the  Concord
Portfolio, as well as an increase in advisory, administrative,  depreciation and
financing costs (particularly higher interest rates). Other income has increased
due to the  recognition  of income  relating to the purchase of the Autumn Creek
property in Real Estate Owned - Held For Sale.

REVENUES

<TABLE>
<CAPTION>

                                        Three Months               Six Months
                                           Ended                     Ended
                                       June 30, 2005             June 30, 2005
                                       % Change from             % Change from
                                        Prior Year                 Prior Year
----------------------------           -------------             -------------
<S>                                        <C>                       <C>
Interest income:
   Debt securities                            38.8 %                    34.3 %
   Mortgage loans                            204.5                     121.8
   Notes receivable                          (36.9)                    (32.3)
   Revenue bonds                             (13.1)                    (12.8)
   Temporary investments                     737.5                     320.0
Other revenues                             1,367.6                   1,268.8
                                        ----------                ----------
  Subtotal                                    55.3 %                    39.1 %

Rental income                                 (5.8)                     (5.5)
                                        ----------                ----------

Total revenues                                34.8 %                    23.9 %
                                        ==========                ==========

</TABLE>

At June 30, 2005, and December 31, 2004, we had the following investments:

<TABLE>
<CAPTION>

                                         As of                            As of
                                     June 30, 2005                  December 31, 2004
                              ----------------------------    ------------------------------
                                              Weighted                          Weighted
                              Carrying         Average          Carrying         Average
                               Amount       Interest Rate        Amount       Interest Rate
                             -----------    -------------      -----------    -------------
<S>                          <C>                <C>            <C>                <C>
Debt securities              $   230,308         6.32%         $   194,587         6.47%
Mortgage loans               $    42,458        12.90%         $    21,376        11.68%
Notes receivable             $    15,424         9.45%         $    23,111         9.43%
Revenue bonds                $     6,656         8.69%         $     6,672         8.69%

</TABLE>

Interest income from debt securities  increased,  primarily due to the continued
advances  on an existing  GNMA  certificate  and the  purchase of eight new FNMA
certificates  during the fourth quarter of 2004 and seven new FNMA  certificates
during 2005,  partially  offset by the repayment of two GNMA  certificates.  The



                                       15
<PAGE>



decrease in the weighted average interest rate on debt securities as of June 30,
2005 as compared to December 31, 2004 was primarily  due to the rising  interest
rates on mortgage loans,  which  fluctuate  inversely with interest rates on our
debt securities.

Interest income from mortgage loans increased for the three and six months ended
June 30,  2005,  as  compared  to 2004,  primarily  due to the  funding of three
mezzanine  loans  during  the  second  half of 2004  and the  funding  of  three
mezzanine  loans during the second  quarter of 2005.  We have also funded a loan
pursuant to a  guarantee  during the second  quarter of 2005 (see Note 11).  The
increase  can also be  attributed  to the  recognition  of unpaid  interest on a
previously  defaulted  loan (see Note 12). The increase in the weighted  average
interest rates on mortgage loans as of June 30, 2005 as compared to December 31,
2004 primarily due to the increase in interest rates in the market.

Interest  income from notes  receivable  decreased  for the three and six months
ended June 30, 2005, as compared to 2004, primarily due to the payoff of several
notes in 2004, partially offset by the funding of a new note receivable.

Other  revenues  increased  for the three and six months ended June 30, 2005, as
compared to 2004,  primarily due to the  recognition  of a commitment fee in the
second quarter of 2005, the write off of an unamortized discount relating to the
paydown of a FNMA  certificate,  and the  recognition  of a  non-refundable  due
diligence fee in 2005. No such fees were recorded in 2004.

Rental  income  decreased  for the three and six months ended June 30, 2005,  as
compared to 2004, due to the Plaza at San Jacinto sale in February 2005.

EXPENSES

<TABLE>
<CAPTION>

                                                             Three Months     Six Months
                                                                 Ended          Ended
                                                             June 30, 2005   June 30, 2005
                                                             % Change from   % Change from
                                                              Prior Year      Prior Year
-------------------------------------------------------      -------------   -------------
<S>                                                             <C>             <C>
Interest                                                        107.5%           68.8%
Distributions to preferred shareholders                         100.0           100.0
General and administrative                                       20.9            40.7
Fees to Advisor                                                  (0.3)           18.0
Depreciation                                                    469.5           127.9
Amortization and other                                           42.2            10.3
                                                                -----           -----
  Subtotal                                                       84.5 %          63.7%

Property operations                                              35.7            16.4
Mortgage interest for real estate owned - held and used         100.0           100.0
                                                                -----           -----

Total expenses                                                   95.9%           73.7%
                                                                =====           =====

</TABLE>

At June 30, 2005, excluding mortgages on real estate owned, we had total debt of
approximately  $230.2 million with a weighted average interest rate of 3.73% per
year,  including  the effect of our swap  agreement.  At June 30, 2004, we had a
comparable  balance of  approximately  $176.3  million  with a weighted  average
interest rate of 2.00% per year. The increase in the weighted  average  interest
rate is due to steady increases in interest rates during 2004 and 2005.

Interest expense  increased for the three and six months ended June 30, 2005, as
compared to 2004,  primarily due to the increased  borrowings on the  repurchase
facilities  stemming  from an  increased  investment  base and the  increase  in
interest rates during 2004 and 2005.

Distributions to preferred  shareholders were recorded following the issuance of
the securities in March 2005. There were no such securities  outstanding  during
2004.

General and administrative expenses increased for the three and six months ended
June 30, 2005,  as compared to 2004,  primarily due to an increase in legal fees
related to  foreclosed  properties,  an increase in  accounting  fees related to



                                       16
<PAGE>



Sarbanes-Oxley  compliance, and an increase in tax expense due to an accrual for
excise taxes relating to the 2004 tax year.

Fees to Advisor  remained in line for the three months  ended June 30, 2005,  as
compared to 2004, due to an increase in overhead  allocations and an increase in
asset  management  fees paid to our Advisor  because of an increased asset base,
partially  offset by a decrease in incentive  management  fee accrual,  which is
based on income projections.  Fees to Advisor increased for the six months ended
June 30, 2005, as compared to 2004, primarily due to an increase in the overhead
allocations and the asset management fees paid to our Advisor.

Property  operations  represents  all costs at the property  level on all of our
Real Estate Owned - Held and Used properties.

Mortgage  interest for Real Estate Owned - Held and Used increased for the three
and six months  ended June 30,  2005,  as compared to 2004,  due to debt service
costs  associated  with a $41.0 million  mortgage on the Concord  Portfolio (see
"Real Estate Owned" below).

Depreciation expense increased for the three and six months ended June 30, 2005,
as compared to 2004,  due to a higher base of  depreciable  real estate owned in
2005 as  compared  to the 2004  period.  In 2004,  only the Plaza at San Jacinto
property  was  depreciated.  In 2005,  the Concord  Portfolio  is  depreciating,
partially offset by the removal of Plaza at San Jacinto upon its sale.

OTHER INCOME

Other income  increased  for the three and six months  ended June 30,  2005,  as
compared to 2004, due to purchase of the Autumn Creek mortgage, resulting in the
recording  of property  operations  from Real Estate  Owned - Held For Sale (see
"Real Estate Owned" below).

REAL ESTATE OWNED

During 2004, we reclassified some of our investments in foreclosed properties as
Real Estate  Owned - Held for Sale on our balance  sheet and  recognized  income
from the operations of these properties. As a result of these circumstances,  we
have reclassified  certain prior year amounts relating to the income recognition
of our real estate owned portfolio to conform to current year presentation.

During  the time we have  owned  the real  estate,  certain  circumstances  have
occurred  that  warranted  the  reclassification  of most of these  assets.  The
following  is the  June  30,  2005  classification  of  our  real  estate  owned
portfolio:

o    REAL ESTATE OWNED - HELD AND USED

     During  2004,  we had three  properties  classified  as Real Estate Owned -
     Subject  to  Sales  Contracts,  as the  sale of  these  properties  did not
     constitute  a sale in  accordance  with  GAAP.  After the  properties  were
     refinanced  during December 2004, we reclassified  these  properties on our
     balance   sheet  as  Real  Estate  Owned  -  Held  and  Used;  we  recorded
     depreciation  on the properties in 2004, as well as  retroactively  for the
     period  since  foreclosure.   We  recognized  income  associated  with  the
     properties  as income from real estate owned on the income  statement up to
     the date of refinancing.  Subsequently, we recognize income associated with
     a $12.9 million  mezzanine  loan (our  remaining  economic  interest in the
     properties) as rental income,  property operations and mortgage interest on
     Real Estate Owned - Held and Used on the income statement.

     During 2005, we sold the Plaza at San Jacinto  property to an  unaffiliated
     third party for approximately its carrying value.

o    REAL ESTATE OWNED - HELD FOR SALE

     One  remaining  property in our real  estate  owned  portfolio,  Reserve at
     Autumn Creek,  will continue to remain as Real Estate Owned - Held for Sale
     as we continue to market the real  estate.  We have  changed the  marketing
     strategy of this asset in order to reflect marketplace behavior.



                                       17
<PAGE>



Funds from Operations
---------------------

Funds  from  operations  ("FFO"),  represents  net income or loss  (computed  in
accordance  with  GAAP),  excluding  gains or  losses  from  sales of  property,
excluding  depreciation and amortization  related to real property and including
funds from operations for unconsolidated  joint ventures  calculated on the same
basis.  FFO is calculated in accordance  with the National  Association  of Real
Estate  Investment  Trusts  ("NAREIT")  definition.  FFO does not represent cash
generated  from  operating  activities  in  accordance  with  GAAP  and  is  not
necessarily  indicative of cash available to fund cash needs.  FFO should not be
considered  as an  alternative  to net income as an indicator  of the  Company's
operating  performance  or as an  alternative  to cash  flows  as a  measure  of
liquidity.  Our  management  considers FFO a  supplemental  measure of operating
performance,  and,  along with cash flows from operating  activities,  financing
activities,  and investing activities,  it provides investors with an indication
of our ability to incur and service debt, make capital expenditures, and to fund
other cash needs.

The following table reconciles net income to FFO:

<TABLE>
<CAPTION>

                                              Three months ended           Six months ended
                  (In thousands)                   June 30,                    June 30,
                                            ----------------------      ----------------------

                                              2005          2004          2005          2004
                                            --------      --------      --------      --------
<S>                                         <C>           <C>           <C>           <C>
Net income                                  $  3,069      $  3,351      $  5,896      $  6,676

Add back: depreciation of real property     $    336      $     59      $    702      $    308
                                            --------      --------      --------      --------

FFO                                         $  3,405      $  3,410      $  6,598      $  6,984
                                            ========      ========      ========      ========

Cash flows from:
Operating activities                        $  2,843      $  3,461      $  6,504      $  6,584
                                            ========      ========      ========      ========
Investing activities                        $(23,261)     $ (4,002)     $(56,638)     $  8,683
                                            ========      ========      ========      ========
Financing activities                        $ 19,139      $ (7,864)     $ 56,309      $(14,839)
                                            ========      ========      ========      ========

Weighted average shares outstanding:
Basic                                          8,311         8,336         8,324         8,337
                                            ========      ========      ========      ========
Diluted                                        8,311         8,336         8,327         8,345
                                            ========      ========      ========      ========

</TABLE>

Since not all companies  calculate  FFO in a similar  fashion,  our  calculation
presented above may not be comparable to similarly  titled measures  reported by
other companies.

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

SOURCES OF FUNDS

We expect that cash  generated  from our  investments,  as well as our borrowing
capacity, will meet our needs for short-term liquidity and will be sufficient to
pay all expenses and distributions to our shareholders in amounts  sufficient to
retain our Real  Estate  Investment  Trust  ("REIT")  status in the  foreseeable
future.  In order to  qualify  as a REIT under the  Internal  Revenue  Code (the
"Code"), as amended, we must, among other things, distribute at least 90% of our
taxable  income.  We believe  that we are in  compliance  with the  REIT-related
provisions of the Code.

We finance our  investing  activity  primarily  through  borrowing  from various
facilities at short-term  rates.  At June 30, 2005, we had  approximately  $36.4
million available to borrow,  contractually,  under our debt facilities  without
exceeding limits imposed by debt covenants and our by-laws.

In August  2005,  our  warehouse  facility  will  mature.  We are  currently  in
negotiations with a financial  institution to replace this facility with another
one with similar terms, which we expect to occur before 2005 year end.

From time to time,  we may also  issue  common  shares  or other  equity to fund
investing activity. During 2005, our subsidiary issued $25.0 million of Floating
Rate  Preferred  Securities.  The proceeds  received  were used to purchase FNMA
certificates.



                                       18
<PAGE>



We have capacity to raise  approximately  $170.0 million of additional  funds by
issuing  either  common or  preferred  shares  pursuant to a shelf  registration
statement filed with the SEC in 2002. If market conditions  warrant, we may seek
to raise additional funds for investment through further offerings, although the
timing and amount of such offerings cannot be determined at this time.

SUMMARY OF CASH FLOWS

During the six months ended June 30,  2005,  as compared to the six months ended
June  30,  2004,  the  net  change  in  cash  and  cash  equivalents   increased
approximately  $5.7 million.  Operating  cash flows  decreased by  approximately
$80,000  primarily  due to lower  earnings  and the  timing  of  collections  of
receivables. An increase in net cash used in investing activities (approximately
$65.3  million)  offset  by an  increase  in  net  cash  provided  by  financing
activities  (approximately $71.1 million) was due to a higher level of investing
activity in debt  securities  and mortgage  loans and the purchase of a mortgage
loan on real estate owned during the 2005 period.  This  investing  activity was
funded  through  borrowings  from our  repurchase  facilities  and  through  the
issuance of preferred shares.

OTHER

We are  currently  evaluating  the  possibility  of  selling  all or part of our
investment in ARCap Investors, LLC.

During  August 2005,  distributions  of  approximately  $3.3 million  ($0.40 per
share) will be paid to common  shareholders,  which were  declared in June 2005,
and we expect to  purchase  approximately  $18.8  million of revenue  bonds from
CharterMac.

We are not aware of any trends or events,  commitments or  uncertainties,  which
have not otherwise been disclosed that will or are likely to impact liquidity in
a material way.

Distributions
-------------

Of the total  distributions  made  (approximately  $6.7 million for both the six
months ended June 30, 2005 and 2004),  approximately $773,000 (0.09 per share or
11.6%)  represented  a return  of  capital  in the 2005  period,  determined  in
accordance  with  GAAP,  while none in the 2004  period  were  determined  to be
returns of capital.  As of June 30, 2005, the aggregate  amount of distributions
made  since the  initial  public  offering  representing  returns  of capital in
accordance  with  GAAP was  approximately  $18.0  million.  The  portion  of the
distributions  which constituted a return of capital was more significant in our
initial  years  in  order  to  permit  us to  maintain  level  distributions  to
shareholders  while we were in the process of investing  the  proceeds  from our
initial public offering.

Commitments, Contingencies and Off-Balance Sheet Arrangements
-------------------------------------------------------------

See Note 11 of our condensed  consolidated  financial  statements for a complete
summary of our guarantees and commitments and contingencies.

We  have no  unconsolidated  subsidiaries,  special  purpose  off-balance  sheet
financing entities, or other off-balance sheet arrangements.



                                       19
<PAGE>



CONTRACTUAL OBLIGATIONS

In conducting business, we enter into various contractual  obligations.  Details
of these  obligations,  including  expected  settlement  periods,  are contained
below.

<TABLE>
<CAPTION>

                                                                Payments Due by Period
                                                                    (In thousands)
                                        -----------------------------------------------------------------------
                                                       Less than                                    More than
                                           Total        1 Year      1 - 3 Years    3 - 5 Years       5 Years
                                        ----------    -----------   -----------    -----------     -----------
<S>                                     <C>           <C>            <C>           <C>             <C>
Debt:
Lines of credit:
  Repurchase facilities                 $  201,140    $   201,140    $       --    $        --     $        --
  Warehouse facility                         4,070          4,070            --             --              --
Mortgage loan on real estate owned (1)      40,748            483         1,148          1,291          37,826
Preferred shares of subsidiary
  (subject to mandatory repurchase)         25,000             --            --             --          25,000
Funding Commitments:
  Standby and forward bridge loan
   commitments                               1,578          1,578            --             --              --
  Standby and forward mezzanine loan
   commitments                               4,944          3,790         1,154             --              --
                                        ----------    -----------    ----------    -----------     -----------

Total                                   $  277,480    $   211,061    $    2,302    $     1,291     $    62,826
                                        ==========    ===========    ==========    ===========     ===========

</TABLE>

(1) Represents a first  mortgage on  properties we report as Real Estate Owned -
    Held and Used (Concord  Portfolio) as a sale of the  properties did not meet
    the  criteria  for sale  recognition  in  accordance  with  GAAP.  The first
    mortgage loan is non-recourse with respect to AMAC, the debt service is paid
    from the cash flows of the properties and we will not be required to satisfy
    the obligation. (See Note 5).

Inflation
---------

Inflation  did not  have a  material  effect  on our  results  for  the  periods
presented.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Market risk is the exposure to loss resulting from changes in interest rates and
equity  prices.  The  primary  market  risk to which the  Company  is exposed is
interest  rate  risk,  which is  highly  sensitive  to many  factors,  including
governmental monetary and tax policies,  domestic and international economic and
political considerations and other factors beyond the control of the Company.

INTEREST RATE RISK

Interest  rate  fluctuations  can  adversely  affect our income in many ways and
present a variety of risks,  including the risk of mismatch between asset yields
and borrowing rates.

Our operating  results  depend in large part on  differences  between the income
from our assets (net of credit  losses)  and our  borrowing  costs.  Most of our
assets  generate  fixed returns and have terms in excess of five years.  We fund
the origination  and  acquisition of a significant  portion of these assets with
borrowings  which have variable  interest rates that reset  relatively  rapidly,
such as monthly or quarterly. In most cases, the income from assets will respond
more slowly to interest rate fluctuations than the cost of borrowings,  creating
a mismatch  between asset yields and borrowing rates.  Consequently,  changes in
interest rates,  particularly  short-term  interest rates, may influence our net
income. Our borrowings under repurchase, warehouse and revolving facilities bear
interest at rates that fluctuate with LIBOR.

Various  financial  vehicles  exist which would allow our management to mitigate
the impact of interest rate fluctuations on our cash flows and earnings.  During
March 2003, upon our management's  analysis of the interest rate environment and
the costs and risks of such strategies, we entered into an interest rate swap in
order to hedge against increases in the floating interest rate on our repurchase
facilities.  The swap is a  five-year  agreement  with Bank of  America  ("BOA")
whereby  we pay BOA a fixed  3.48% on a  notional  amount of $30.0  million.  In
return,  BOA pays us a floating rate  equivalent to the 30-day LIBOR rate on the
same notional  amount.  A possible risk of such swap  agreements is the possible
inability of BOA to meet the terms of the contracts with us;  however,  there is
no current indication of such an inability.



                                       20
<PAGE>



Based on the $200.2 million unhedged portion of the $230.2 million of borrowings
outstanding  at June 30,  2005, a 1% change in LIBOR would impact our annual net
income and cash flows by approximately  $2.0 million.  However,  as the interest
income  from some of our loans is also based on LIBOR,  a 1%  increase  in LIBOR
would  increase  our  annual  net  income  and cash  flows  from  such  loans by
approximately  $228,000. In addition, an increase in LIBOR could also impede the
collections  of interest on our  variable  rate loans.  Because the value of our
debt securities  fluctuates with changes in interest  rates,  rate  fluctuations
will also affect the market value of our net assets.

ITEM 4.  CONTROLS AND PROCEDURES

(a)  EVALUATION  OF  DISCLOSURE  CONTROLS AND  PROCEDURES.  Our Chief  Executive
     Officer and Chief Financial Officer have evaluated the effectiveness of our
     disclosure  controls and  procedures  (as defined in Rule 13a-15(e) or Rule
     15a-15(e) of the Securities Exchange Act of 1934, as amended (the "Exchange
     Act")) as of the end of the period covered by this quarterly report.  Based
     on such  evaluation,  such  officers  have  concluded  that our  disclosure
     controls  and  procedures  as of the  end of the  period  covered  by  this
     quarterly report were effective to ensure that  information  required to be
     disclosed by the Company in the reports  that the Company  files or submits
     under the Exchange Act is recorded,  processed,  summarized  and  reported,
     within the time periods specified in the SEC rules and forms, and to ensure
     that such  information is  accumulated  and  communicated  to the Company's
     management,  including  the Chief  Executive  Officer  and Chief  Financial
     Officer,  as  appropriate,  to allow timely  decisions  regarding  required
     disclosure.

(b)  INTERNAL  CONTROL  OVER  FINANCIAL  REPORTING.  There  have  not  been  any
     significant changes in our internal control over financial reporting during
     the fiscal  quarter  to which  this  report  relates  that have  materially
     affected,  or are  reasonably  likely to  materially  affect,  our internal
     control over financial reporting.



                                       21
<PAGE>



                           PART II. OTHER INFORMATION


ITEM 1.  LEGAL PROCEEDINGS

         On October  27,  2003,  prior to taking  possession  of the real estate
         collateral  supporting a loan  investment,  we were named in a lawsuit,
         Concord  Gulfgate,  Ltd. vs. Robert Parker,  Sunrise  Housing Ltd., and
         American Mortgage Acceptance Company, Cause No. 2003-59290 in the 133rd
         Judicial District Court of Harris County,  Texas. The suit alleges that
         the loan transaction was not properly authorized by the partnership and
         was not for a legitimate  partnership  purpose.  The suit claims, among
         other  causes of action  against the  respective  defendants,  wrongful
         foreclosure of the real estate collateral,  tortious  interference with
         contract  and civil  conspiracy.  The suit seeks,  among other  relief,
         actual,  consequential,  and exemplary damages,  and a declaration that
         the loan documents are  unenforceable  and constitute a cloud on title.
         The discovery phase of this suit has been completed. A summary judgment
         was filed by us, but was denied on July 25, 2005.  It is not known when
         the case will be called to trial.

         We filed a countersuit on November 25, 2003,  against Concord Gulfgate,
         Ltd., as guarantor,  seeking a deficiency on the loan,  and recovery of
         unpaid taxes and certain property receipts.  We are currently unable to
         determine the possible outcome of the litigation.

ITEM 2.  UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

         The following  table sets forth  information  with respect to purchases
         made by the Company of its common  shares during the three months ended
         June 30, 2005:

<TABLE>
<CAPTION>

                                                                         Total number of           Maximum number
                                                                       shares purchased as       of shares that may
                               Total number of     Average price        part of publicly          yet be purchased
        Period                shares purchased    paid per share     announced programs (1)      under the programs
        ------------------------------------------------------------------------------------------------------------
        <S>                        <C>                <C>                    <C>                      <C>
        April 1-30, 2005           24,800             $13.61                 24,800                   969,100

</TABLE>

         (1) In August 2003, our Board of Trustees  approved a share  repurchase
         plan.  The plan  enables  us to  repurchase,  from time to time,  up to
         1,000,000  common  shares.  The  repurchases  will be made in the  open
         market,  and the timing will be dependent on the availability of shares
         and other market conditions. This program has no expiration date.

         See also Note 7 of our condensed  consolidated financial statements for
         information  relating  to  the  issuance  of  Floating  Rate  Preferred
         Securities by ACFI.

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES - None

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

         The Company held its annual meeting of shareholders on June 8, 2005.

         The  shareholders  elected Stuart J. Boesky,  Alan P. Hirmes,  Scott M.
         Mannes,  Stanley R. Perla and Richard M. Rosan as trustees for one-year
         terms which will expire in 2006.  Common shares of beneficial  interest
         were voted as follows:

<TABLE>
<CAPTION>

Trustee Nominee                        For            Abstain/Withheld
--------------------------        -------------       ----------------
<S>                                 <C>                   <C>
Stuart J. Boesky                    7,772,093             239,750
Alan P. Hirmes                      7,768,868             242,975
Scott M. Mannes                     7,777,124             234,719
Stanley Perla                       7,768,159             243,684
Richard M. Rosan                    7,768,859             242,984

</TABLE>

         No votes were  withheld with respect to the vote on the election of the
         trustee nominees.



                                       22
<PAGE>



         The  shareholders  also  were  asked  to  authorize  an  amendment  and
         restatement  of the Company's  declaration  of trust by voting for four
         proposed  amendments to the  declaration of trust.  The four amendments
         were  identified as Proposals 2a, 2b, 2c and 2d in the proxy  statement
         for the annual meeting and are summarized below:

         o    Proposal  2a:  the  transfer  of  provisions  with  respect to our
              investment policy from our declaration of trust to our bylaws.

         Proposal 2a was approved by the  shareholders.  The affirmative vote of
         the holders of a majority of the issued and  outstanding  common shares
         entitled to vote at the annual meeting was required to approve Proposal
         2a. Common shares of beneficial interests were voted as follows:

         For                                                      4,510,431
         Against                                                    643,570
         Abstain                                                    222,708

         o    Proposal  2b: the transfer of provisions  with respect to our debt
              policy from our declaration of trust to our bylaws.

         Proposal 2b was approved by the  shareholders.  The affirmative vote of
         the holders of a majority of the issued and  outstanding  common shares
         entitled to vote at the annual meeting was required to approve Proposal
         2b. Common shares of beneficial interests were voted as follows:

         For                                                      4,459,416
         Against                                                    685,433
         Abstain                                                    231,860

         o    Proposal  2c:  the  transfer  of  provisions  with  respect to our
              operating procedures from our declaration of trust to our bylaws.

         Proposal 2c was approved by the  shareholders.  The affirmative vote of
         the holders of a majority of the issued and  outstanding  common shares
         entitled to vote at the annual meeting was required to approve Proposal
         2c. Common shares of beneficial interests were voted as follows:

         For                                                      4,485,382
         Against                                                    668,026
         Abstain                                                    223,301

         o    Proposal  2d:  the  reduction  in the vote  required  to approve a
              conversion transaction or a rollup from 80% to a majority vote.

         Proposal 2d was not approved by the shareholders.  The affirmative vote
         of the  holders  of 80% of the  issued and  outstanding  common  shares
         entitled to vote at the annual meeting was required to approve Proposal
         2d. Common shares of beneficial interests were voted as follows:

         For                                                      4,716,645
         Against                                                    420,275
         Abstain                                                    239,789

ITEM 5.  OTHER INFORMATION - None

ITEM 6.  EXHIBITS

         Exhibits


         3.1  Third  Amended  and  Restated  Declaration  of  Trust of  American
              Mortgage Acceptance Company Dated June 8, 2005.*



                                       23
<PAGE>



         3.2  Amended  and  Restated  Bylaws  of  American  Mortgage  Acceptance
              Company.*

         31.1 Chief  Executive Officer certification  pursuant to Section 302 of
              the Sarbanes-Oxley Act of 2002.*

         31.2 Chief Financial  Officer certification  pursuant to Section 302 of
              the Sarbanes-Oxley Act of 2002.*

         32.1 Certification  pursuant  to Section 906 of the  Sarbanes-Oxley Act
              of 2002.*

         *    Filed herewith.



                                       24
<PAGE>



                                   SIGNATURES



Pursuant to the requirements of Section 13 or 15(d) 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.



                      AMERICAN MORTGAGE ACCEPTANCE COMPANY
                                  (Registrant)



Date: August 8, 2005               By:     /s/ Stuart J. Boesky
                                           --------------------
                                           Stuart J. Boesky
                                           President and Chief Executive Officer



Date:  August 8, 2005              By:     /s/ Alan P. Hirmes
                                           ------------------
                                           Alan P. Hirmes
                                           Chief Financial Officer




<PAGE>



                                                                    Exhibit 31.1


                                  CERTIFICATION

I, Stuart J. Boesky, hereby certify that:

     1.  I have  reviewed  this  quarterly  report on Form  10-Q for the  period
         ending June 30, 2005, of American Mortgage Acceptance Company;

     2.  Based on my  knowledge,  this  quarterly  report  does not  contain any
         untrue  statement of a material  fact or omit to state a material  fact
         necessary  in  order  to make  the  statements  made,  in  light of the
         circumstances  under which such  statements  were made,  not misleading
         with respect to the period covered by this quarterly report;

     3.  Based on my knowledge,  the financial  statements,  and other financial
         information  included in this quarterly  report,  fairly present in all
         material  respects the financial  condition,  results of operations and
         cash flows of the  registrant as of, and for, the periods  presented in
         this quarterly report;

     4.  The  registrant's  other  certifying  officer and I are responsible for
         establishing  and  maintaining  disclosure  controls and procedures (as
         defined in Exchange Act Rules  13a-15(e)  and  15d-15(e))  and internal
         control  over  financial  reporting  (as defined in Exchange  Act Rules
         13a-15(f) and 15d-15(f)) for the registrant and we have:

         a) designed  such  disclosure  controls and  procedures  or caused such
         disclosure   controls  and   procedures   to  be  designed   under  our
         supervision,  to  ensure  the  material  information  relating  to  the
         registrant,  including its consolidated subsidiaries,  is made known to
         us by others within those entities,  particularly  during the period in
         which this quarterly report is being prepared;

         b) designed such internal control over financial  reporting,  or caused
         such internal control over financial reporting to be designed under our
         supervision,  to provide reasonable assurance regarding the reliability
         of financial reporting and the preparation of financial  statements for
         external  purposes in accordance  with  generally  accepted  accounting
         principles;

         c) evaluated the effectiveness of the registrant's  disclosure controls
         and procedures presented in this quarterly report our conclusions about
         the effectiveness of the disclosure controls and procedures,  as of the
         end of the period covered by this report based on such evaluation; and

         d)  disclosed  in this report any change in the  registrant's  internal
         control over financial  reporting that occurred during the registrant's
         most  recent  fiscal  quarter  that  has  materially  affected,  or  is
         reasonably  likely to  materially  affect,  the  registrant's  internal
         control over financial reporting; and

     5.  The registrant's other certifying  officer and I have disclosed,  based
         on our most  recent  evaluation  of  internal  control  over  financial
         reporting,  to the registrant's auditors and the audit committee of the
         registrant's  board of directors (or persons  performing the equivalent
         functions):

         a) all significant  deficiencies and material  weaknesses in the design
         or operation of internal  control over  financial  reporting  which are
         reasonably  likely to  adversely  affect  the  registrant's  ability to
         record, process, summarize and report financial information; and

         b) any fraud,  whether or not  material,  that  involves  management or
         other  employees  who  have a  significant  role  in  the  registrant's
         internal control over financial reporting.


         Date:  August 8, 2005                      By:  /s/ Stuart J. Boesky
                --------------                           --------------------
                                                         Stuart J. Boesky
                                                         Chief Executive Officer


<PAGE>



                                                                    Exhibit 31.2


                                  CERTIFICATION

I, Alan P. Hirmes, hereby certify that:

     1.  I have  reviewed  this  quarterly  report on Form  10-Q for the  period
         ending June 30, 2005, of American Mortgage Acceptance Company;

     2.  Based on my  knowledge,  this  quarterly  report  does not  contain any
         untrue  statement of a material  fact or omit to state a material  fact
         necessary  in  order  to make  the  statements  made,  in  light of the
         circumstances  under which such  statements  were made,  not misleading
         with respect to the period covered by this quarterly report;

     3.  Based on my knowledge,  the financial  statements,  and other financial
         information  included in this quarterly  report,  fairly present in all
         material  respects the financial  condition,  results of operations and
         cash flows of the  registrant as of, and for, the periods  presented in
         this quarterly report;

     4.  The  registrant's  other  certifying  officer and I are responsible for
         establishing  and  maintaining  disclosure  controls and procedures (as
         defined in Exchange Act Rules  13a-15(e)  and  15d-15(e))  and internal
         control  over  financial  reporting  (as defined in Exchange  Act Rules
         13a-15(f) and 15d-15(f)) for the registrant and we have:

         a) designed  such  disclosure  controls and  procedures  or caused such
         disclosure   controls  and   procedures   to  be  designed   under  our
         supervision,  to  ensure  the  material  information  relating  to  the
         registrant,  including its consolidated subsidiaries,  is made known to
         us by others within those entities,  particularly  during the period in
         which this quarterly report is being prepared;

         b) designed such internal control over financial  reporting,  or caused
         such internal control over financial reporting to be designed under our
         supervision,  to provide reasonable assurance regarding the reliability
         of financial reporting and the preparation of financial  statements for
         external  purposes in accordance  with  generally  accepted  accounting
         principles;

         c) evaluated the effectiveness of the registrant's  disclosure controls
         and procedures presented in this quarterly report our conclusions about
         the effectiveness of the disclosure controls and procedures,  as of the
         end of the period covered by this report based on such evaluation; and

         d)  disclosed  in this report any change in the  registrant's  internal
         control over financial  reporting that occurred during the registrant's
         most  recent  fiscal  quarter  that  has  materially  affected,  or  is
         reasonably  likely to  materially  affect,  the  registrant's  internal
         control over financial reporting; and

     5.  The registrant's other certifying  officer and I have disclosed,  based
         on our most  recent  evaluation  of  internal  control  over  financial
         reporting,  to the registrant's auditors and the audit committee of the
         registrant's  board of directors (or persons  performing the equivalent
         functions):

         a) all significant  deficiencies and material  weaknesses in the design
         or operation of internal  control over  financial  reporting  which are
         reasonably  likely to  adversely  affect  the  registrant's  ability to
         record, process, summarize and report financial information; and

         b) any fraud,  whether or not  material,  that  involves  management or
         other  employees  who  have a  significant  role  in  the  registrant's
         internal control over financial reporting.


         Date:  August 8, 2005                      By:  /s/ Alan P. Hirmes
                --------------                           ------------------
                                                         Alan P. Hirmes
                                                         Chief Financial Officer


<PAGE>



                                                                    Exhibit 32.1



                            CERTIFICATION PURSUANT TO
                             18.U.S.C. SECTION 1350,
                             AS ADOPTED PURSUANT TO
                  SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002


In connection with the Quarterly Report of American Mortgage  Acceptance Company
(the  "Company")  on Form 10-Q for the period ending June 30, 2005 as filed with
the Securities and Exchange Commission on the date hereof (the "Report"), Stuart
J. Boesky,  as Chief Executive  Officer of the Company,  and Alan P. Hirmes,  as
Chief  Financial  Officer of the Company each hereby  certifies,  pursuant to 18
U.S.C.  Section 1350, as adopted  pursuant to Section 906 of the  Sarbanes-Oxley
Act of 2002, that:


       (1) The Report fully complies with the  requirements  of Section 13(a) or
15(d) of the Securities Exchange Act of 1934; and


       (2) The  information  contained  in the Report  fairly  presents,  in all
material  respects,  the  financial  condition  and results of operations of the
Company.



By:  /s/ Stuart J. Boesky                           By:  /s/ Alan P. Hirmes
     --------------------                                ------------------
     Stuart J. Boesky                                    Alan P. Hirmes
     Chief Executive Officer                             Chief Financial Officer
     August 8, 2005                                      August 8, 2005


A signed  original of this  written  statement  required by Section 906 has been
provided to the Company and will be retained by the Company and furnished to the
Securities and Exchange Commission or its staff upon request.