FORM 8-K




Current Report Pursuant to Section 13 or 15(d) of 
The Securities Act of 1934



Date of Report: April 30, 1998





UNITED MORTGAGE TRUST


     a Maryland trust      Commission File Number 333-10109

         IRS Employer Identification   No. 75-6496585





1701 N. Greenville Avenue, Suite 403
Richardson  TX  75081
(972) 705-9805



UNITED MORTGAGE TRUST
INDEX TO FORM 8-K

                                                Page Number


Item 2. Acquisition or Disposition of Assets         3

Item 5. Other Information                            4

Signatures                                           4





Item 2. Acquisition or Disposition of Assets

During April, 1998, United Mortgage Trust ("the Company") 
acquired fourteen first lien mortgage notes ("Residential 
Mortgages") with a total unpaid principal balance on the 
date of purchase of $539,230 at a discount for $506,204. 
Funds used to acquire the notes were Gross Offering Proceeds 
from the Closings on April 1, and April 15, 1998. The 
Residential Mortgages were chosen for purchase following the 
Investment Objectives and Policies as set forth in the 
Declaration of Trust, as amended, dated August 15, 1996, and 
using the Underwriting Criteria set forth therein. Nine of 
the Residential Mortgages were acquired from South Central 
Mortgage, Inc., an affiliate of the Advisor, Mortgage Trust 
Advisors, Inc. The ramining five Residential Mortgages were 
acquired from private individuals: Audrey Oaks Family Trust, 
Mr. & Mrs. Henry Smith, Phil Smith, Vivian Sanders and 
Pamela Brown.

The Residential Mortgages acquired had a blended annual 
interest rate of 11.39%, a current annual yield of 
approximately 12.12%, and an investment-to-value ratio of 
81.77%, as of the purchase date of the notes. On average 
they had an unpaid principal balance of $38,516, a term 
remaining of 156 months and were acquired for approximately 
93.97% of the outstanding unpaid principal balance on the 
notes purchase date.

The Company paid an Acquisition Fee in the amount of 
$16,176.90 to the Advisor, Mortgage Trust Advisors, Inc., 
which represented 3% of the unpaid principal balance of the 
Residential Mortgages acquired.

As of April 30, 1998 the Company had investments in 56 
Interim Mortgages for an aggregate investment of $1,432,499. 
The Interim Mortgages had terms of no greater than 12 months 
and were made to borrowers for the purchase, renovation and 
sale of single family homes. These loans, which were first 
lien mortgage notes secured by properties in Texas, had a 
blended interest rate of 14.34% and investment-to-values of 
no greater than 50%.

Funds used in the acquisition of the assets were offering 
proceeds from the sale of shares of the Company.


Item 5. Other Information 

Status of Offering

Twenty-four new shareholders were admitted to the Trust 
during April, 1998 increasing the total number of 
shareholders from 231 to 255, and the total number of 
outstanding shares from 327,694 to 355,140. Gross Offering 
Proceeds from the sale of shares was $548,920, increasing 
the aggregate Gross Offering Proceeds to $7,102,800. 
Proceeds from the April, 1998 Closings were allocated as 
follows: $491,238 to the Company; $54,892 or 10% to the 
Selling Group Manager for Selling Commissions; $2,745 or 
0.5% to the Selling Group Manager for Due Diligence Fees; 
and, $45 to the Escrow Agent as compensation for 
distributing interest accrued to subscribers.

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 hereunto duly 
authorized.

                                UNITED MORTGAGE TRUST


April 30, 1998                  /S/Christine A. Griffin
                                   Christine A. Griffin
                                         President



4