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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 March 31, 2005
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 0-25752

FNBH BANCORP, INC.
(Exact name of registrant as specified in its charter)

MICHIGAN
(State or other jurisdiction of
incorporation or organization) 		38-2869722
(I.R.S. Employer
Identification No.)

101 East Grand River, Howell, Michigan 48843
(Address of principal executive offices) (Zip Code)

Registrant’s telephone number, including area code: (517)546-3150

_________________

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act 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 Rule 12b-2 of the Exchange Act). Yes __X__ No___

The number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date: 3,182,227 shares of the Corporation’s Common Stock (no par value) were outstanding as of April 20, 2004.

INDEX

Page
Number
Part I. Financial Information (unaudited):  
 
         Item 1. 
         Interim Financial Statements: 
         Consolidated Balance Sheets as of March 31, 2005 and December 31, 2004  4  
         Consolidated Statements of Income, three months ended March 31, 2005 and 2004  5  
         Consolidated Statements of Stockholders' Equity and Comprehensive 
              Income for the three months ended March 31, 2005 and 2004  6  
         Consolidated Statements of Cash Flows for three months ended 
              March 31, 2005 and 2004  7  
 
         Notes to Interim Consolidated Financial Statements  8  
 
         Item 2. 
         Management's Discussion and Analysis of 
              Financial Condition and Results of Operations  10  
 
         Item 3. 
         Quantitative and Qualitative Disclosures about Market Risk  19  
 
         Item 4. 
         Controls and Procedures  19  
 
 
Part II. Other Information 
 
         Item 2. 
         Unregistered Sales of Equity Securities and Use of Proceeds  20  
 
         Item 6. 
         Exhibits  20  
 
         Signatures  21  

PART I — FINANCIAL INFORMATION

Item 1.
Financial Statements
Unaudited interim consolidated financial statements follow.









3

FNBH BANCORP, INC. AND SUBSIDIARIES
Consolidated Balance Sheets (Unaudited)

March 31
2005		 December 31,
2004
Assets
Cash and due from banks		   $   11,717,346   $   12,157,948  
Short term investments  9,614,580   5,680,395  
Total cash and cash equivalents  21,331,926   17,838,343  
Certificates of deposit  5,110,000   6,091,000  
Investment securities held to maturity, net (fair value of $16,755,000 
at March 31, 2005 and $16,706,000 at December 31, 2004)  16,287,600   16,009,337  
Investment securities available for sale, at fair value  30,278,723   30,775,695  
Mortgage-backed securities available for sale, at fair value  15,383,566   16,432,188  
FHLBI and FRB stock, at cost  1,142,150   1,130,650  
Total investment securities  63,092,039   64,347,870  
Loans: 
Commericial  293,366,307   286,940,773  
Consumer  36,099,779   36,077,528  
Real estate mortgage  34,633,819   34,358,613  
Total loans  364,099,905   357,376,914  
Less allowance for loan losses  (6,065,996 ) (6,092,949 )
Net loans  358,033,909   351,283,965  
Premises and equipment, net  10,989,207   11,086,901  
Land and facilities held for sale, net  95,680   95,680  
Other real estate owned, held for sale  335,000   735,000  
Accrued interest and other assets  6,016,930   5,431,302  
Total assets  $ 465,004,691   $ 456,910,061  
Liabilities and Stockholders' Equity 
Liabilities 
Deposits: 
Demand (non-interest bearing)  $   71,292,862   $   71,785,184  
NOW  43,354,086   49,206,656  
Savings and money market  137,093,744   147,298,849  
Time deposits  155,773,773   128,593,689  
Brokered certificates of deposit  2,380,021   2,378,532  
Total deposits  409,894,486   399,262,910  
Other borrowings  4,785,094   8,066,836  
Accrued interest, taxes, and other liabilities  3,937,857   3,864,267  
Total liabilities  418,617,437   411,194,013  
Stockholders' Equity 
Common stock, no par value. Authorized 4,200,000 shares; 3,182,227 
shares issued and outstanding at March 31, 2005 and 3,179,654 shares 
issued and outstanding at December 31, 2004  6,075,848   6,009,181  
Retained earnings  40,487,437   39,430,621  
Deferred directors' compensation  476,265   455,481  
Unearned long term incentive plan  (134,490 ) (151,048 )
Accumulated other comprehensive income, net  (517,806 ) (28,187 )
Total stockholders' equity  46,387,254   45,716,048  
Total liabilities and stockholders' equity  $ 465,004,691   $ 456,910,061  

See notes to interim consolidated financial statements.


4

FNBH BANCORP, INC. AND SUBSIDIARIES
Consolidated Statements of Income (Unaudited)

Three months ended March 31
2005 2004
Interest and dividend income:      
Interest and fees on loans  $6,016,857   $5,479,643  
Interest and dividend on investment securities: 
U.S. Treasury and agency securities  426,387   338,459  
Obligations of states and political subdivisions  185,663   185,458  
Corporate bonds  15,099   44,609  
Other securities  11,577   13,049  
Interest on short term investments  84,878   32,129  
Interest on certificates of deposit  23,235   15,839  
Total interest and dividend income  6,763,696   6,109,186  
Interest expense: 
Interest on deposits  1,370,798   1,337,214  
Interest on other borrowings  105,861   94,122  
Total interest expense  1,476,659   1,431,336  
Net interest income  5,287,037   4,677,850  
Provision for loan losses  366,000   495,000  
Net interest income after provision for loan losses  4,921,037   4,182,850  
Noninterest income: 
Service charges and other fee income  834,248   787,216  
Trust income  64,671   61,910  
Gain on sale of loans  16,307   18,560  
Other  55,598   310,862  
Total noninterest income  970,824   1,178,548  
Noninterest expense: 
Salaries and employee benefits  1,968,809   1,850,564  
Net occupancy expense  323,685   298,787  
Equipment expense  204,446   219,331  
Professional and service fees  342,433   349,884  
Printing and supplies  99,021   81,298  
Advertising  45,063   78,235  
Other  512,358   401,989  
Total noninterest expense  3,495,815   3,280,088  
Income before federal income taxes  2,396,046   2,081,310  
Federal income taxes  735,096   625,506  
Net income  1,660,950   1,455,804  
Per share statistics: 
Basic EPS  $         0.52   $         0.46  
Diluted EPS  $         0.52   $         0.46  
Dividends  $         0.19   $         0.17  
Basic average shares outstanding  3,193,886   3,169,210  
Diluted average shares outstanding  3,194,899   3,169,210  

See notes to interim consolidated financial statements.

5

FNBH BANCORP, INC. AND SUBSIDIARIES
Consolidated Statements of Stockholders’ Equity and Comprehensive Income
For the Three Months Ended March 31, 2005 and 2004 (Unaudited)

Common
Stock		 Retained
Earnings		 Deferred
Directors'
Compensation		 Unearned Long
Term
Incentive Plan		 Accumulated
Other
Comprehensive
Income(Loss)		 Total
Balances at December 31, 2003   $ 5,725,898   $ 35,425,699   $           -   $(222,652 ) $ 306,536   $41,235,481  
Amortization of long term incentive plan              29,377       29,377  
146 shares from long term incentive plan forfeited  (3,059 )         3,059       -  
Issued 428 shares for employee stock purchase plan  9,870                   9,870  
Issued 136 shares for current directors' fees  3,544                   3,544  
Issued 283 shares for deferred directors' fees  5,953                   5,953  
Comprehensive income:  -  
  Net income      1,455,804               1,455,804  
  Change in unrealized gain on debt securities                  126,962   126,962  
  available for sale, net of tax effect 
    Total comprehensive income                      1,582,766  
Cash dividends ($.17 per share)  (538,764 ) (538,764 )
Balances at March 31, 2004  $ 5,742,206   $ 36,342,739   $           -   $(190,216 ) $ 433,498   $42,328,227  
Balances at December 31, 2004  $ 6,009,181   $ 39,430,621   $455,481   $(151,048 ) $(28,187 ) $45,716,048  
Amortization of long term incentive plan              16,558       16,558  
Issued 2,402 shares for employee stock purchase plan  61,515                   61,515  
Issued 171 shares for current directors' fees  5,152                   5,152  
Deferred compensation (690 stock units)          20,784           20,784  
Comprehensive income: 
  Net income      1,660,950               1,660,950  
  Change in unrealized gain (loss) on debt securities                  (489,619 ) (489,619 )
  available for sale, net of tax effect 
    Total comprehensive income                      1,171,331  
Cash dividends ($.19 per share)      (604,134 )             (604,134 )
Balances at March 31, 2005  $ 6,075,848   $ 40,487,437   $476,265   $(134,490 ) $(517,806 ) $46,387,254  

See accompanying notes to consolidated financial statements.

6

FNBH BANCORP, INC. AND SUBSIDIARIES
Consolidated Statements of Cash Flows (Unaudited)

Three months ended March 31
2005 2004
Cash flows from operating activities:      
  Net income  $   1,660,950   $   1,455,804  
Adjustments to reconcile net income to net cash provided by operating activities: 
  Provision for loan losses  366,000   495,000  
  Depreciation and amortization  245,705   254,114  
  Deferred income tax benefit  (4,620 ) (46,554 )
  Net amortization on investment securities  6,125   10,875  
  Earned portion of long term incentive plan  16,558   29,377  
  Shares issued for current directors' compensation  5,152   3,544  
  Shares earned for deferred directors' compensation  20,784   5,953  
  Gain on sale of loans  (16,307 ) (18,560 )
  Proceeds from sale of loans  1,307,749   1,424,139  
  Origination of loans held for sale  (1,024,520 ) (727,713 )
  Gain on the sale of other real estate owned, held for sale  (48,931 ) -  
  Proceeds from sale of other real estate owned, held for sale  448,931   40,000  
  Proceeds from sale of land and facilities held for sale  -   1,400,290  
  Increase in accrued interest income and other assets  (325,861 ) (448,827 )
  Increase (decrease) in accrued interest, taxes, and other liabilities  88,590   (276,535 )
   Net cash provided by operating activities  2,746,305   3,600,907  
Cash flows from investing activities: 
  Purchase of available for sale securities  (998,290 ) (3,498,750 )
  Purchase of held to maturity securities  (564,998 ) -  
  Purchases/Stock dividend FHLBI stock  (11,500 ) (13,000 )
  Proceeds from maturities and calls of available for sale securities  1,000,000   2,500,000  
  Proceeds from mortgage-backed securities paydowns-available for sale  794,727   645,577  
  Proceeds from maturities and calls of held to maturity securities  285,000   -  
  Purchases of certificates of deposit  (1,279,000 ) -  
  Maturity of certificates of deposit  2,260,000   -  
  Net (increase) decrease in loans  (7,397,865 ) 4,681,780  
  Capital expenditures  (148,011 ) (192,439 )
    Net cash provided by (used in) investing activities  (6,059,937 ) 4,123,168  
Cash flows from financing activities: 
  Net increase (decrease) in deposits  10,630,087   (2,039,267 )
  Increase (decrease) in brokered certificates of deposit  1,489   (2,374,921 )
  Payments on FHLBI note  (281,742 ) (260,872 )
  Proceeds from issuance of short term debt  5,000,000   -  
  Repayment of short term debt  (8,000,000 ) -  
  Dividends paid  (604,134 ) (538,764 )
  Shares issued for employee stock purchase  61,515   9,870  
    Net cash provided by (used in) financing activities  6,807,215   (5,203,954 )
Net decrease in cash and cash equivalents  3,493,583   2,520,121  
Cash and cash equivalents at beginning of year  17,838,343   32,883,492  
Cash and cash equivalents at end of period  $ 21,331,926   $ 35,403,613  
Supplemental disclosures: 
  Interest paid  $   1,464,319   $   1,522,153  
  Federal income taxes paid  217,682   215,000  
  Loans transferred to other real estate  -   151,174  
  Loans transferred to land and facilities, held for sale  -   155,690  
  Loans charged off  452,965   258,898  

See notes to interim consolidated financial statements.

7

Notes to Interim Consolidated Financial Statements (unaudited)
The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, they d