<PAGE>

                  SECURITIES AND EXCHANGE COMMISSION
                        Washington, D.C.  20549


                         _____________________


                               FORM 10-Q



[ X ]  Quarterly Report Pursuant to Section 13 or 15(d) of the
       Securities Exchange Act of 1934 For the quarterly period ended
       September 30, 2000

                                  or

[   ]  Transition Report Pursuant to Section 13 or 15(d) of the
       Securities Exchange Act of 1934
       For the transition period from ___________ to_____________


                    Commission File Number 0-19847


                      FIRST MORTGAGE CORPORATION
        (Exact name of registrant as specified in its charter)



         California                              95-2960716
(State or other jurisdiction                  (I.R.S. Employer
     of incorporation or                     Identification No.)
        organization)





                        3230 Fallow Field Drive
                     Diamond Bar, California 91765
     (Address, including zip code, of principal executive offices)

                            (909) 595-1996
         (Registrant's telephone number, including area code)



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____

As of September 30, 2000, 5,210,502 shares of the registrant's common
stock were outstanding.

<PAGE>

                      FIRST MORTGAGE CORPORATION
                               FORM 10-Q

                                 INDEX




Part I - Financial Information                                   Page

Item 1. Financial Statements:

        Balance Sheet
           September 30, 2000 (Unaudited) and March 31, 2000             3

        Unaudited Statement of Income
           Three Months and Six Months Ended September 30,
           2000 and 1999                                                 4

        Unaudited Statement of Cash Flows
           Six Months Ended September 30, 2000 and 1999                  5

        Notes to Unaudited Financial Statements                          6-7

Item 2. Management's Discussion and Analysis of Financial Condition
        and Results of Operations                                        8-12

Part II - Other Information

Item 6. Exhibits and Reports on Form 8-K                                 13

Signatures                                                               14
<PAGE>

                    PART I.  FINANCIAL INFORMATION

Item 1.   Financial Statements

                      FIRST MORTGAGE CORPORATION

                             BALANCE SHEET
<TABLE>
<CAPTION>
                                                         September 30, 2000 March 31, 2000
                                                             (Unaudited)
<S>                                                          <C>            <C>
ASSETS
Cash                                                         $16,107,000    $11,264,000
Mortgage loans and mortgage-backed
   securities held for sale                                   60,224,000     67,336,000
Other receivables and servicing advances                       3,698,000      5,558,000
Capitalized servicing rights, net                             10,329,000     11,555,000
Property and equipment, net                                      653,000        581,000
Prepaid expenses and other assets                              1,819,000      1,531,000

TOTAL ASSETS                                                 $92,830,000    $97,825,000

LIABILITIES AND STOCKHOLDERS' EQUITY

LIABILITIES:
   Notes payable, banks                                      $11,278,000    $19,291,000
   Note payable, other                                        45,433,000     43,787,000
   Sight drafts payable                                          576,000        393,000
   Accounts payable and accrued liabilities                      726,000        564,000
   Deferred income taxes                                       5,638,000      4,979,000

      Total Liabilities                                       63,651,000     69,014,000

STOCKHOLDERS' EQUITY
   Preferred stock, no par value:
      Authorized shares - 1,000,000
      Issued and outstanding shares - None                             -              -
   Common stock, no par value:
      Authorized shares - 10,000,000
      Issued and outstanding shares - 5,210,502 at
      September 30, 2000 and 5,253,197 at March 31, 2000       2,436,000      2,559,000
   Retained earnings                                          26,743,000     26,252,000

         Total Stockholders' Equity                           29,179,000     28,811,000

TOTAL LIABILITIES AND STOCKHOLDERS'
   EQUITY                                                    $92,830,000    $97,825,000

</TABLE>

See accompanying notes
<PAGE>
<TABLE>
                      FIRST MORTGAGE CORPORATION

                     UNAUDITED STATEMENT OF INCOME

<CAPTION>
                                         Three Months Ended        Six Months Ended
                                         September 30,             September 30,
                                         2000         1999         2000        1999
<S>                                      <C>          <C>          <C>         <C>
REVENUES:
   Loan origination income               $  528,000   $  629,000   $1,011,000  $1,404,000
   Loan servicing income                  1,814,000    1,948,000    3,658,000    3,873,000
   Gain on sale of mortgage loans         1,901,000      187,000    2,522,000    2,651,000
   Interest income                        1,238,000    1,462,000    2,501,000    2,308,000
   Other Income                               5,000        4,000        8,000        4,000

         Total revenues                   5,486,000    4,230,000    9,700,000   10,240,000

EXPENSES:
   Compensation and benefits              1,820,000    1,666,000    3,450,000    3,973,000
   General and administrative expenses      950,000    1,071,000    1,892,000    2,893,000
   Amortization of capitalized servicing
      rights                              1,133,000    1,236,000    2,389,000    2,393,000
   Interest expense                         427,000      558,000    1,126,000      895,000

         Total expenses                   4,330,000    4,531,000    8,857,000   10,154,000

INCOME (LOSS) BEFORE INCOME TAXES         1,156,000     (301,000)     843,000       86,000

INCOME TAX (BENEFITS)                       466,000     (122,000)     352,000       39,000

NET INCOME (LOSS)                        $  690,000   $ (179,000)  $  491,000  $    47,000

BASIC AND DILUTED EARNINGS
 (LOSS) PER SHARE                        $     0.13   $    (0.03)  $     0.09  $      0.01

</TABLE>


See accompanying notes


<PAGE>
<TABLE>
                      FIRST MORTGAGE CORPORATION
                   UNAUDITED STATEMENT OF CASH FLOWS
<CAPTION>
                                                                           Six Months Ended
                                                                             September 30
                                                                     2000             1999
<S>                                                                  <C>              <C>
CASH FLOWS FROM OPERATING ACTIVITIES
 Net income                                                              $491,000       $   47,000
 Adjustments to reconcile net income to net cash provided by (used
  in) operating activities:
 Provision for deferred income taxes                                      659,000        1,106,000
 Provision for losses on foreclosure                                     (124,000)        (250,000)
 Amortization of capitalized servicing rights                           2,389,000        2,393,000
 Depreciation and amortization of property and equipment                  112,000          138,000
 Change in excess service fee                                               9,000           18,000
 Gain (loss) on sale of assets                                              2,000           (2,000)
 Originations and purchases of mortgage loans held for sale          (103,318,000)    (173,658,000)
 Sales and principal repayments of mortgage loans held for sale       110,430,000      145,952,000
 Change in other receivables and servicing advances                     1,984,000        1,663,000
 Change in prepaid expenses and other assets                             (288,000)        (973,000)
 Change in accounts payable and accrued liabilities                       162,000       (2,172,000)

Net cash provided by (used in) operating activities                    12,508,000      (25,738,000)

CASH FLOWS FROM INVESTING ACTIVITIES:
 Purchase of mortgage servicing rights                                    (23,000)        (518,000)
 Originated mortgage servicing rights                                  (1,149,000)      (2,583,000)
 Purchase of furniture, equipment and leasehold improvements             (187,000)         (76,000)
 Proceeds from sale of assets                                               1,000            4,000

Net cash used in investing activities                                  (1,358,000)      (3,173,000)

CASH FLOWS FROM FINANCING ACTIVITIES:
 Change in notes payable, banks                                        (8,013,000)       8,359,000
 Change in sight drafts payable                                           183,000       (9,120,000)
 Change in note payable, other                                          1,646,000       24,886,000
 Repurchase of common stock                                              (123,000)        (311,000)

Net cash provided by (used in) financing activities                    (6,307,000)      23,814,000

INCREASE (DECREASE) IN CASH                                             4,843,000       (5,097,000)

CASH, BEGINNING OF PERIOD                                              11,264,000       14,839,000

CASH, END OF PERIOD                                                   $16,107,000      $ 9,742,000

SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid during the period for:
 Interest                                                             $ 1,071,000      $   859,000
 Income taxes                                                                   -                -
</TABLE>
See accompanying notes

<PAGE>

                      FIRST MORTGAGE CORPORATION
                NOTES TO UNAUDITED FINANCIAL STATEMENTS
                          September 30, 2000

1.  BASIS OF PRESENTATION

    The accompanying unaudited financial statements have been prepared
    in accordance with generally accepted accounting principles for
    interim financial information and in accordance with the
    instructions to Form 10-Q and Regulation S-X.  In the opinion of
    management, all adjustments (consisting only of normal recurring
    accruals) necessary for a fair presentation of the results for the
    interim periods have been included.  The results of operations for
    the interim periods are not necessarily indicative of the results
    to be expected for the full year.  In addition, this document
    should be read in conjunction with the financial statements and
    footnotes included in the Company's annual report on Form 10-K for
    fiscal year ended March 31, 2000.

    The preparation of the financial statements of the Company requires
    management to make estimates and assumptions that affect reported
    amounts.  These estimates are based on information available as of
    the date of the financial statements.  Therefore, actual results
    could differ from those estimates.


2.  CAPITALIZED SERVICING RIGHTS

    Activities in capitalized servicing rights are summarized as
    follows:
<TABLE>
<CAPTION>

                                      Six Months ended
                                        September 30
                                  2000                1999
<S>                               <C>                 <C>
Beginning balance                 $11,555,000         $12,475,000
   Additions                        1,172,000           3,101,000
   Amortizations and write offs    (2,398,000)         (2,411,000)

Ending balance                    $10,329,000         $13,165,000

</TABLE>
3.  NOTES PAYABLE

    At September 30, 2000, the Company had mortgage loan warehousing
    agreements with two nonaffiliated banks, which provided for
    borrowings up to $50,000,000 and $35,000,000 with annual interest
    payable monthly at 1.25% or the bank's reference rate, depending on
    the level of borrowings and the compensating balances maintained.
    At September 30, 2000, borrowings under these lines of $11,278,000
    were collateralized by mortgage loans and mortgage-backed
    securities held for sale.

    The mortgage loan warehousing agreements are subject to renewal on
    August 31, 2001, and both contain certain requirements, including
    but not limited to, the maintenance of minimum net worth, debt to
    net worth ratio, current ratio, net income and servicing portfolio,
    and restrict the Company's ability to pay dividends.  The Company
    believes its warehousing agreements will be renewed prior to their
    expiration.

    In addition to the warehousing agreements, the Company makes use of
    the short-term reverse repurchase agreement provided by investment
    banking firms in connection with its inventory of mortgage-backed
    securities.  These facilities tend to carry lower interest rates
    and also allow the Company to better utilize its warehousing lines.
    Borrowings outstanding under this facility totaled $45,433,000 at
    September 30, 2000.


<PAGE>
4.  EARNINGS PER SHARE

   The following table sets forth the computation of basic and diluted
   earnings per share:
<TABLE>
<CAPTION>
                                                     Three Months Ended Six Months Ended
                                                     September 30,              September 30,
                                                     2000         1999          2000         1999
<S>                                                   <C>         <C>           <C>          <C>
Numerator:
 Net income                                            $690,000    $(179,000)    $491,000      $47,000

Denominator:
 Shares used in computing basic earnings per share    5,217,819    5,298,983    5,234,387    5,308,816
  Effect of stock options treated as equivalents
   under the treasury stock method                            -        2,636            -        6,358
Denominator for diluted earnings per share            5,217,819    5,301,619    5,234,387    5,315,174
Basic earnings per share                                   $.13        $(.03)        $.09         $.01
Diluted earnings per share                                 $.13        $(.03)        $.09         $.01
</TABLE>

5.  NEW ACCOUNTING PRONOUNCEMENTS

    In June 1998, the FASB issued SFAS 133, Accounting for Derivative
    Instruments and Hedging Activities.  This Statement provides
    guidance for the way public enterprises report information about
    derivatives and hedging in annual financial statements and in
    interim financial reports.  The derivatives and hedging disclosure
    is required for financial statements for fiscal years beginning
    after June 15, 2000.  The Statement will require the Company to
    recognize all derivatives on the balance sheet at fair value.
    Derivatives that are not hedged must be adjusted to fair value
    through income.  If the derivative is a hedge, depending on the
    nature of the hedge, changes in fair value of derivatives will
    either be offset against the change in fair value of the hedged
    assets, liabilities, or firm commitments through earnings or
    recognized in earnings.  The ineffective portion of a derivative's
    change in fair value will be immediately recognized in earnings.
    The Company is in the process of evaluating the effect of Statement
    133, if any, will have on the earnings and financial position of
    the Company.



6.  CONTINGENCIES

    The Company is currently a defendant in certain litigation arising
    in the ordinary course of business.  It is management's opinion
    that the outcome of these actions will not have a material effect
    on the financial position or results of operations of the Company.
<PAGE>

                MANAGEMENT'S DISCUSSION AND ANALYSIS OF
             FINANCIAL CONDITION AND RESULTS OF OPERATIONS


FORWARD LOOKING STATEMENTS

Certain statements in this Form 10-Q are forward-looking statements,
including those that discuss strategies, goals, outlook, projected
revenues, income, return and other financial measures.  These forward-
looking statements are subject to risk and uncertainties that may cause
actual results to differ materially from those contained in the
statements, including the following factors: (i) the direction of
interest rates;  (ii) the demand for mortgage credits;  (iii) the
ability to obtain sufficient financial sources for liquidity and
working capital; (iv) changes in laws or regulations governing mortgage
banking operations; and (v) level of competition within the mortgage
banking industry.  In addition, the words "believe,"  "expect,"
"anticipate," "intend," "will" and similar words identify forward-
looking statements in this Form 10-Q.


RESULTS OF OPERATIONS:

Three months ended September 30, 2000 compared to three months ended
September 30, 1999.


GENERAL

     First Mortgage reported net income of $690,000 or $0.13 per share
     for the quarter ended September 30, 2000, compared to a net loss
     of $179,000 or $0.03 per share for the comparable 1999 quarter.
     The higher net income was primarily attributable to the easing of
     mortgage interest rates during the course of the period, which
     enabled us to reverse a significant portion of the loss reserve
     against the mortgage-backed securities inventory.


REVENUES

     For the quarter ended September 30, 2000, the volume of new
     mortgage loans closed decreased by 7.8% to $52.81 million from
     $57.28 million in the prior year quarter and loan origination
     revenue decreased by approximately 16.1% to $528,000 from $629,000
     of the September 1999 quarter.  The decrease is a reflection of
     higher long-term interest rates as compared to the prior year
     quarter, which significantly impacted refinancing loans in the
     market place, and to a lesser degree, loans for the purchase of
     housing.

     As of September 30, 2000, the Company serviced $1.487 billion in
     loans compared to $1.638 billion at September 30, 1999, a decrease
     of 9.2%.  Total loan servicing income, including late charges and
     other miscellaneous fees also fell slightly to $1.81 million in
     the September 2000 quarter, from $1.95 million in the prior year
     quarter.  The drop in the servicing portfolio balance was due
     primarily to a sub-servicing client selling their servicing
     portfolio, and the acquirer doesn't require sub-servicing.

<PAGE>
     The following table sets forth certain information pertaining to
     the servicing portfolio of the Company for the period indicated.
<TABLE>
<CAPTION>

                                           Three Months Ended
                                              September 30,
                                           2000           1999
                                          (Dollars in thousands
                                           except average loan
                                                balance)
<S>                                    <C>            <C>
Beginning loan service portfolio       $1,492,008     $1,523,082

Add: Loans originated                      52,808         57,284
     Purchased Loans                        5,811         70,505

Less:  Prepayment and amortization         67,849         91,706

Ending loan servicing portfolio         1,482,778      1,559,165
Sub-Servicing                               4,436         78,540
Total servicing portfolio              $1,487,214     $1,637,705
Average loan balance (end of period)     $ 91,279      $  91,380
Number of Loans                            16,293         17,922

</TABLE>

     Due to a decrease in long-term mortgage interest rates towards the
     end of the quarter, the gain on sale of mortgage loans was $1.901
     million for the three months ended September 30, 2000, as we were
     able to sell loans at a higher gain and reverse a significant
     portion of the loss reserve against the mortgage-backed securities
     inventory.

     Interest income, which reflects the interest received on mortgage
     loans and mortgage-backed securities held for sale, decreased to
     $1.24 million for the three months ended September 30, 2000 from
     $1.46 million for the comparable prior year quarter.  This
     decrease was due primarily to the smaller mortgage-backed
     securities inventory carried in the warehouse line by the Company
     during the September 2000 quarter.


EXPENSES

     The major components of the Company's total expenses are (i)
     compensations and benefits, (ii) general and administrative
     expenses, (iii) amortization of capitalized servicing rights, and
     (iv) interest expense.  Total expenses for the three months ended
     September 30, 2000 decreased by $201,000 to $4.33 million from
     $4.53 million for the quarter ended September 30, 1999.
     Compensations and benefits were $1.82 million for the September
     2000 quarter, an increase of 9.2% over the year-ago quarter.  The
     increase in compensation and benefits were the result of the
     expansion of our retail origination branches.  General and
     administrative expense decreased by $121,000, or 11.3% over the
     prior period.  These lower general and administrative expenses
     were a direct result of contracting production operations in the
     quarter, along with other cost reduction measures taken by the
     Company over the course of this year.

     Amortization of capitalized servicing rights decreased compared to
     the year earlier quarter due mainly to the lower volume of
     prepayments from refinances over the comparable prior period.

     Interest expense decreased 23.5% to $427,000 for quarter ended
     September 2000 from $558,000 for the same period in 1999.  The
     decrease was due to a lower volume of loans and mortgage-backed
     securities carried in the warehouse line towards the end of the
     quarter, as compared to the same period a year ago.


<PAGE>
RESULTS OF OPERATIONS:

Six months ended September 30, 2000 compared to six months ended
September 30, 1999.


GENERAL

     In the six months ended September 30, 2000, the Company reported
     net income of $491,000 or $0.09 per share, compared to net income
     of $47,000 million or $0.01 per share for the same period of
     1999.  The increase in net income was largely due to reduction of
     general and administrative expenses resulting from substantially
     lower loan production and effective cost cutting measures taken
     by the Company.


REVENUES

     For the six months ended September 30, 2000 the volume of new
     mortgage loan originations decreased 40.5% to $103.32 million
     from $173.66 million in the comparable period last year, and the
     loan origination revenue decreased 28.0% to $1.01 million from
     $1.40 million for the six months ended September 30, 1999.  The
     lower loan origination revenue was largely due to the reduction
     of new loans originated by the Company.

     Loan servicing income, representing the loan servicing fees, late
     charges and other fees earned by the Company for administering
     the loans in its servicing portfolio, fell slightly to $3.66
     million for the six months ended September 30, 2000 from $3.87
     million for the same period in 1999.  The decrease in servicing
     income is primarily due to a small drop in the Company's
     servicing portfolio as a sub-servicing client sold its entire
     servicing portfolio and the acquirer does not require sub-
     servicing.

     The following table sets forth certain information pertaining to
     the servicing portfolio of the Company for the period indicated:
<TABLE>
<CAPTION>

                                     Six Months Ended September 30,
                                     2000           1999
                        (Dollars in thousands except average loan balance)
<S>                                 <C>            <C>
Beginning loan service portfolio    $1,497,616     $1,527,507
Add:  Loans originated                 103,318        173,658
      Purchased Loans                    5,811         70,505

Less:  Prepayment and amortization     123,967        212,505

Ending loan servicing portfolio      1,482,778      1,559,165
Sub-Servicing                            4,436         78,540
Total servicing portfolio           $1,487,214     $1,637,705
Average loan balance (end of period)   $91,279        $91,380
Number of Loans                         16,293         17,922

</TABLE>

     The sale of mortgages for the six months ended September 30, 2000
     resulted in a gain of $2.52 million compared to a gain of $2.65
     million for the 1999 period.  The decrease is primarily
     attributable to the reduction in new loans originated.

     Interest income, which reflects the interest earned on mortgage
     loans and mortgage-backed securities held for sale, was $2.50
     million for the six months ended September 30, 2000 as compared
     to $2.31 million over the comparable 1999 period.  The increase
     was as a result of the higher volume of mortgage-backed
     securities carried in the warehouse line compared to the earlier
     period.


<PAGE>



EXPENSES

     The major components of the Company's total expenses are (i)
     compensation and benefits, (ii) general and administrative
     expenses, (iii) amortization of capitalized servicing rights, and
     (iv) interest expenses.  Total expenses for the six months ended
     September 30, 2000 decreased by $1.30 million or 12.8% from the
     six months ended September 30, 1999.  Compensation and benefits
     decreased 13.2% to $3.45 million compared to $3.97 million in the
     first six months of fiscal year 1999.  General and administrative
     expenses decreased by 34.6% to $1.89 million from $2.89 million
     in the comparable period in 1999.  The decreases in these
     expenses were largely a result of the reduction in loan
     originations and associated compensation and general and
     administrative expenses in the first half of fiscal year 2000.

     The amortization of capitalized servicing rights was essentially
     flat compared to the prior period.

     Interest expense increased 25.8% to $1.126 million as compared to
     $895,000 in the year-earlier six months, due primarily to the
     larger volume of loans and mortgage-backed securities carried in
     the warehouse line during the period.


LIQUIDITY AND CAPITAL RESOURCES

     The Company's principal liquidity requirement is the funding of
     its new mortgage loans and loan origination expenses.  To meet
     these funding needs, the Company relies on warehouse lines of
     credit with banks, its own capital, and also cash flows from
     operations.

     At September 30, 2000, maximum permitted borrowings under the
     mortgage loan warehousing agreements with two nonaffiliated banks
     totaled $85 million and the amount outstanding was $11.28 million.
     Borrowings under these facilities are secured by mortgage loans
     and mortgage-backed securities.  The agreements contain various
     covenants, including minimum net worth, current ratio, net income,
     servicing portfolio balances, debt to net worth ratio, and
     restrict the Company's ability to pay dividends.  The Company was
     in compliance with all debt covenants at September 30, 2000.  The
     Company believes that the warehouse agreements will be renewed
     when the current term expires.

     In addition to the warehouse lines of credit, the Company makes
     use of the short-term reverse repurchase agreements provided by
     two investment banking firms in connection with its inventory of
     mortgage-backed securities.  These facilities tend to carry lower
     interest rates and also allow the Company to better utilize its
     warehousing lines.  Borrowings outstanding under this facility
     totaled $45.43 million at September 30, 2000.

     In the first six months in fiscal year 2001, the Company
     repurchased in open market transactions 42,695 shares of its
     common stock at an aggregate cost of $123,000.

     The Company had stockholders' equity of $29.18 million at
     September 30, 2000.  Management believes that its current
     financing arrangements are adequate to meet its projected
     operational needs.


DISCLOSURE ABOUT MARKET RISK

    The Company manages many risks in its normal course of business,
     however, the management considers interest rate risk to be the
     most significant market risk which could materially impact its
     financial position and results of operations. The movements in
     interest rates affect the value of capitalized mortgage servicing
     rights, the mortgage inventory held for sale, volume of loan
     production and total net interest income earned.

     The Company has been managing this risk by striving to balance its
     loan origination and loan servicing segments, which generally are
     counter cyclical in nature. In an environment of raising interest
     rates, loan production will slow down, but the drop in origination
     income is mitigated by decrease in the loan
<PAGE>

     prepayment rate in its servicing portfolio and hence write-offs,
     amortization and impairment charges against income will fall.
     Conversely, the opposite scenario is true during a period of
     declining interest rates. The overall objective is to offset
     changes in the values of the following items arising from
     fluctuations in interest rates, such as the production pipeline,
     mortgage loan inventory, mortgage-backed securities held for sale
     and capitalized mortgage servicing rights. The Company does not
     speculate on the direction or movement of the interest rates.

     Based on the information available and on the estimates quantified
     by various interest rate calculations, and also based on the
     interest environment as of September 30, 2000, the Company
     believes that a 50 basis point change in long-term interest rates
     over a twelve month period, up or down and all else being
     constant, would increase or decrease the Company's gross income by
     approximately $2.5 million dollars. These estimates are limited by
     the fact that they are performed at a particular point in time and
     do not incorporate many other factors and, consequently, should
     not be relied on as a forecast of actual results.


PROSPECTIVE TRENDS

     During the fiscal quarter ended September 30, 2000, long-term
     interest rates flattened and then began to slowly ease from the
     earlier levels.  This arrested the year long slide in new loan
     originations and our new loan closings for August and September
     were virtually the same as the year earlier levels.  Because the
     majority of new loan business is now for purchase loans rather
     than refinance, traditional seasonality factors are coming back
     into play, and new loan applications can be expected to remain at
     modest levels throughout the winter.  Should long-term interest
     rates continue to ease however, new loan application volume could
     jump very quickly.

     We are continuing our strategy to grow our retail channel and are
     aggressively looking for new locations and the appropriate
     personnel for this growth.  Our most recent new retail office is
     in Nevada.

     In order to be better prepared for the possibility of a new wave
     of refinance loans, we are remodeling two of our existing websites
     to make them more useful and user-friendly for consumers.  The new
     sites should be ready by the end of November, and will have
     interactive features not available on our present sites.  We have
     also acquired the domain name firstmortgage.com, which will make
     our consumer site easy to find, not only for existing customers,
     but particularly for search engines looking for lenders who make
     first mortgage loans.



<PAGE>


                     PART II.  OTHER INFORMATION.


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

        (a)  No exhibits are filed with this report.

        (b)  The Company did not file any reports on Form 8-K during the
             quarter ended September 30, 2000.
<PAGE>

                              SIGNATURES


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


                                     FIRST MORTGAGE CORPORATION




Date:  November 10, 2000             By  S/Clement Ziroli
                                         Clement Ziroli
                                         Chairman of the Board of Directors,
                                         Chief Executive Officer



Date:  November 10, 2000             By  S/Pac W. Dong
                                         Pac W. Dong
                                         Executive Vice President,
                                         Chief Financial Officer