FORM 10-QSB--QUARTERLY OR TRANSITIONAL REPORT UNDER SECTION 13 OR 15(d)
                    OF THE SECURITIES EXCHANGE ACT OF 1934
                        Quarterly or Transitional Report



                   U.S. Securities and Exchange Commission
                             Washington, D.C. 20549

                                   Form 10-QSB

(Mark One)
[X]   Quarterly Report Pursuant to Section 13 or 15(d) of the Securities
      Exchange Act of 1934

              For the quarterly period ended September 30, 2001


[ ]   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 0-14554


                        NATIONAL PROPERTY INVESTORS 8
      (Exact name of small business issuer as specified in its charter)



         California                                         13-3254885
(State or other jurisdiction of                          (I.R.S. Employer
 incorporation or organization)                         Identification No.)

                       55 Beattie Place, P.O. Box 1089
                       Greenville, South Carolina 29602
                   (Address of principal executive offices)

                                 (864) 239-1000
                           (Issuer's telephone number)


Check  whether the issuer (1) filed all reports  required to be filed by Section
13 or 15(d) of the  Exchange  Act during the past 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___



<PAGE>



                         PART I - FINANCIAL INFORMATION



ITEM 1.     FINANCIAL STATEMENTS


a)

                        NATIONAL PROPERTY INVESTORS 8

                                  BALANCE SHEET
                                   (Unaudited)
                       (in thousands, except unit data)

                               September 30, 2001

<TABLE>
<CAPTION>


Assets
<S>                                                                          <C>
   Cash and cash equivalents                                                 $  183
   Receivables and deposits                                                     299
   Restricted escrows                                                           111
   Other assets                                                                 281
   Investment properties:
       Land                                                  $ 1,970
       Buildings and related personal property                 30,538
                                                               32,508
       Less accumulated depreciation                          (19,919)       12,589
                                                                           $ 13,463
Liabilities and Partners' Deficit
Liabilities
   Accounts payable                                                          $ 93
   Tenant security deposit liabilities                                           74
   Accrued property taxes                                                       484
   Other liabilities                                                            228
   Mortgage notes payable                                                    14,579

Partners' Deficit
   General partner                                            $ (243)
   Limited partners (44,882 units
      issued and outstanding)                                  (1,752)       (1,995)
                                                                           $ 13,463


                See Accompanying Notes to Financial Statements

</TABLE>

<PAGE>

b)

                        NATIONAL PROPERTY INVESTORS 8

                            STATEMENTS OF OPERATIONS
                                   (Unaudited)
                     (in thousands, except per unit data)

<TABLE>
<CAPTION>

                                        Three Months Ended        Nine Months Ended
                                          September 30,             September 30,
                                        2001         2000          2001        2000
Revenues:
<S>                                   <C>           <C>          <C>          <C>
   Rental income                      $ 1,081       $ 1,100      $ 3,344      $ 3,314
   Other income                            97           105          277          269
     Total revenues                     1,178         1,205        3,621        3,583

Expenses:
   Operating                              515           540        1,418        1,382
   General and administrative              78            88          220          265
   Interest                               295           296          882          794
   Depreciation                           357           336        1,073          982
   Property taxes                         103           110          300          359
     Total expenses                     1,348         1,370        3,893        3,782

Loss before extraordinary item           (170)         (165)        (272)        (199)
Extraordinary loss on early
   extinguishment of debt                  --            --           --         (181)

Net loss                               $ (170)      $ (165)       $ (272)     $ (380)

Net loss allocated to general
  partner (1%)                          $ (2)        $ (2)         $ (3)       $ (4)
Net loss allocated to limited
  partners (99%)                         (168)         (163)        (269)        (376)

                                       $ (170)      $ (165)       $ (272)     $ (380)
Per limited partnership unit:
  Loss before extraordinary item      $ (3.74)      $ (3.63)     $ (5.99)     $ (4.39)
  Extraordinary loss on the
    early extinguishment of debt           --            --           --        (3.99)

Net loss                              $ (3.74)      $ (3.63)     $ (5.99)     $ (8.38)

Distributions per limited
  partnership unit                     $ 4.75       $ 1.52       $ 14.13      $ 97.57

                See Accompanying Notes to Financial Statements

</TABLE>

<PAGE>


c)

                        NATIONAL PROPERTY INVESTORS 8

                  STATEMENT OF CHANGES IN PARTNERS' DEFICIT
                                   (Unaudited)
                       (in thousands, except unit data)
<TABLE>
<CAPTION>

                                     Limited
                                   Partnership   General      Limited
                                      Units      Partner     Partners       Total

<S>                                   <C>          <C>        <C>          <C>
Original capital contributions        44,882       $ 1        $22,441      $22,442

Partners' deficit at
   December 31, 2000                  44,882      $ (234)     $ (849)      $(1,083)

Distribution to partners                  --          (6)        (634)        (640)

Net loss for the nine months
   ended September 30, 2001               --          (3)        (269)        (272)

Partners' deficit at
   September 30, 2001                 44,882      $ (243)     $(1,752)     $(1,995)

                See Accompanying Notes to Financial Statements

</TABLE>

<PAGE>

d)

                        NATIONAL PROPERTY INVESTORS 8

                            STATEMENTS OF CASH FLOWS
                                   (Unaudited)
                                (in thousands)
<TABLE>
<CAPTION>

                                                                    Nine Months Ended
                                                                      September 30,
                                                                     2001        2000
Cash flows from operating activities:
<S>                                                                 <C>         <C>
  Net loss                                                          $ (272)     $ (380)
  Adjustments to reconcile net loss to net cash provided by
   operating activities:
     Depreciation                                                    1,073         982
     Amortization of loan costs                                         33          28
     Extraordinary loss on early extinguishment of debt                 --         181
     Change in accounts:
        Receivables and deposits                                      (129)       (195)
        Other assets                                                   (21)        (59)
        Accounts payable                                               (64)          7
        Tenant security deposit liabilities                              3           1
        Accrued property taxes                                         140         100
        Other liabilities                                               (5)         57

          Net cash provided by operating activities                    758         722

Cash flows from investing activities:
  Property improvements and replacements                              (575)       (541)
  Net withdrawals from (deposits to) restricted escrows                427        (442)

          Net cash used in investing activities                       (148)       (983)

Cash flows from financing activities:
  Payments on mortgage note payable                                   (118)        (59)
  Payoff of mortgage note payable                                       --      (3,364)
  Proceeds from mortgage note payable                                   --       7,372
  Prepayment penalty                                                    --        (168)
  Loan costs paid                                                      (14)       (157)
  Distributions to partners                                           (640)     (4,423)

          Net cash used in financing activities                       (772)       (799)

Net decrease in cash and cash equivalents                             (162)     (1,060)

Cash and cash equivalents at beginning of period                       345       1,743

Cash and cash equivalents at end of period                          $ 183       $ 683

Supplemental disclosure of cash flow information:
  Cash paid for interest                                            $ 850       $ 744

At  December  31,  2000,  approximately  $97,000 of  property  improvements  and
replacements were included in accounts payable.

                See Accompanying Notes to Financial Statements
</TABLE>

<PAGE>

e)
                        NATIONAL PROPERTY INVESTORS 8

                          NOTES TO FINANCIAL STATEMENTS
                                   (Unaudited)

Note A - Basis of Presentation

The accompanying unaudited financial statements of National Property Investors 8
(the  "Partnership"  or  "Registrant")  have been  prepared in  accordance  with
generally accepted accounting  principles for interim financial  information and
with  the  instructions  to Form  10-QSB  and Item  310(b)  of  Regulation  S-B.
Accordingly,  they do not include all of the information and footnotes  required
by generally accepted accounting  principles for complete financial  statements.
In the opinion of NPI Equity Investments, Inc. (the "Managing General Partner"),
all adjustments  (consisting of normal recurring accruals)  considered necessary
for a fair presentation have been included.  Operating results for the three and
nine month periods ended  September 30, 2001 are not  necessarily  indicative of
the results that may be expected  for the fiscal year ending  December 31, 2001.
For further information, refer to the financial statements and footnotes thereto
included in the  Partnership's  Annual  Report on Form 10-KSB for the year ended
December 31, 2000. The General  Partner is an affiliate of Apartment  Investment
and  Management  Company  ("AIMCO"),  a publicly  traded real estate  investment
trust.

Segment Reporting

Statement of Financial  Accounting Standards ("SFAS") No. 131, "Disclosure about
Segments of an Enterprise and Related Information" established standards for the
way that public business enterprises report information about operating segments
in annual  financial  statements  and  requires  that those  enterprises  report
selected  information about operating segments in interim financial reports.  It
also established  standards for related disclosures about products and services,
geographic  areas,  and  major  customers.  As  defined  in SFAS  No.  131,  the
Partnership  has only one  reportable  segment.  The  Managing  General  Partner
believes that  segment-based  disclosures  will not result in a more  meaningful
presentation than the financial statements as currently presented.

Note B - Transactions with Affiliated Parties

The  Partnership  has no employees  and is  dependent  on the  Managing  General
Partner  and  its  affiliates  for  the  management  and  administration  of all
Partnership  activities.  The Partnership Agreement provides for (i) payments to
affiliates for services and (ii)  reimbursement of certain expenses  incurred by
affiliates on behalf of the Partnership. The following expenditures were paid or
accrued to the Managing  General  Partner and affiliates  during the nine months
ended September 30, 2001 and 2000:

                                                                  2001      2000
                                                                  (in thousands)
 Property management fees (included in operating expenses)        $186      $180
 Reimbursement for services of affiliates (included in
   investment properties and general and administrative
   expenses)                                                       258       133
 Non-accountable partnership reimbursement (included in
   general and administrative expense)                              59        67
 Partnership management fee (included in general and
   administrative expense)                                          --        25
 Loan costs (included in other assets)                              --        74


During the nine months  ended  September  30, 2001 and 2000,  affiliates  of the
Managing General Partner were entitled to receive 5% of gross receipts from both
of the Registrant's  properties for providing property management services.  The
Registrant paid to such affiliates  approximately  $186,000 and $180,000 for the
nine months ended September 30, 2001 and 2000, respectively.

An  affiliate  of  the  Managing  General  Partner  received   reimbursement  of
accountable  administrative  expenses  amounting to  approximately  $258,000 and
$133,000 for the nine months ended  September  30, 2001 and 2000,  respectively,
including  construction  service fees of approximately  $147,000 and $16,000 for
the nine months ended September 30, 2001 and 2000, respectively.

For services relating to the  administration of the Partnership and operation of
its properties,  the Managing General Partner is entitled to receive payment for
non-accountable  expenses up to a maximum of $150,000 per year of  distributions
from  operations  based upon the number of  Partnership  units sold,  subject to
certain limitations. The Managing General Partner received approximately $59,000
and $67,000 for the nine months ended September 30, 2001 and 2000, respectively,
for non-accountable expense reimbursements.

For managing the affairs of the Partnership, the Managing General Partner of the
Partnership  is entitled to receive a  partnership  management  fee.  The fee is
equal to 4% of the  Partnership's  adjusted cash from operations,  as defined in
the Partnership  Agreement,  in any year, provided that 50% of the fee shall not
be paid until the Partnership has distributed to the limited  partners  adjusted
cash from operations in such year which is equal to 5% of the limited  partners'
adjusted invested capital, as defined,  on a non-cumulative  basis. In addition,
50% of the fee shall not be paid until the  Partnership  has  distributed to the
limited partners adjusted cash from operations in such year which is equal to 8%
of the limited partners'  adjusted  invested capital on a non-cumulative  basis.
The fee shall be paid when adjusted cash from  operations is  distributed to the
limited partners.  The Managing General Partner was paid  approximately  $25,000
during the nine months  ended  September  30, 2000 for such fees.  The  Managing
General Partner was not entitled to receive a similar  reimbursement  during the
nine months ended September 30, 2001.

In addition to reimbursement for services of affiliates, the Partnership paid an
affiliate of the General Partner approximately $74,000 for loan costs related to
the refinancing of one of the  Partnership's  properties  during the nine months
ended September 30, 2000. These costs were capitalized and are included in other
assets on the consolidated balance sheet.

The Managing  General Partner has  established a revolving  credit facility (the
"Partnership  Revolver")  to be used to fund  deferred  maintenance  and working
capital needs of the Partnership.  The maximum draw available to the Partnership
under the Partnership Revolver is $500,000. Loans under the Partnership Revolver
will have a term of 365 days,  be unsecured  and bear interest at the rate of 2%
per  annum in  excess of the  prime  rate  announced  from time to time by Chase
Manhattan  Bank.  The maturity date of such borrowing will be accelerated in the
event of: (i) the removal of the Managing  General  Partner  (whether or not for
cause);  (ii) the sale or refinancing of a property by the Partnership  (whether
or not a borrowing under the Partnership  Revolver was made with respect to such
property); or (iii) the liquidation of the Partnership.  The Partnership has not
borrowed under the Partnership Revolver to date.

In addition to its  indirect  ownership of the general  partner  interest in the
Partnership,  AIMCO and its affiliates  currently own 26,477 limited partnership
units in the Partnership  representing 58.99% of the outstanding units. A number
of these  units were  acquired  pursuant  to tender  offers made by AIMCO or its
affiliates or affiliates of the Managing  General  Partner.  It is possible that
AIMCO or its  affiliates  will make one or more  additional  offers  to  acquire
additional  limited  partnership  interests  in the  Partnership  for cash or in
exchange for units in the operating  partnership of AIMCO. Under the Partnership
Agreement,  unitholders  holding a majority  of the units are  entitled  to take
action  with  respect to a variety  of  matters,  which  would  include  without
limitation, voting on certain amendments to the Partnership Agreement and voting
to remove the Managing General  Partner.  As a result of its ownership of 58.99%
of the  outstanding  units,  AIMCO is in a  position  to  influence  all  voting
decisions with respect to the Registrant. When voting on matters, AIMCO would in
all likelihood vote the units it acquired in a manner  favorable to the interest
of the Managing  General Partner  because of its  affiliation  with the Managing
General Partner.  However,  DeForest Ventures II L.P., from whom AIMCO,  through
its merger with Insignia,  acquired 16,447 units,  had agreed for the benefit of
non-tendering  unitholders,  that it would vote these  units:  (i)  against  any
increase  in  compensation  payable  to  the  Managing  General  Partner  or  to
affiliates;  and (ii) on all other matters submitted by it or its affiliates, in
proportion  to the votes  cast by non  tendering  unit  holders.  Except for the
foregoing, no other limitations are imposed on AIMCO or its affiliates' right to
vote each unit acquired.

Note C - Distributions

During the nine months ended  September 30, 2001,  the  Registrant  declared and
paid  distributions of  approximately  $640,000  (approximately  $634,000 to the
limited partners or $14.13 per limited partnership unit) from operations. During
the nine months ended  September  30,  2000,  the  Registrant  declared and paid
distributions  of  approximately  $4,423,000  (approximately  $4,379,000  to the
limited  partners  or  $97.57  per  limited   partnership  unit)  consisting  of
approximately  $1,245,000  (approximately  $1,233,000 to the limited partners or
$27.48  per  limited   partnership   unit)  from  operations  and  approximately
$3,178,000  (approximately  $3,146,000  to the  limited  partners  or $70.09 per
limited  partnership unit) from the refinancing  proceeds of Huntington Athletic
Club Apartments.

Note D - Refinance of Mortgage Note Payable

On May 11, 2000, the Partnership  refinanced the mortgage encumbering Huntington
Athletic Club Apartments. The refinancing replaced indebtedness of approximately
$3,364,000  with a new  mortgage in the amount of  $7,372,000.  The new mortgage
carries a stated  interest rate of 8.15% as compared to the 9.85%  interest rate
on the old  mortgage.  Payments on the mortgage  loan are due monthly  until the
loan matures on June 1, 2020 at which time the loan will be fully amortized.  In
addition,  the  Partnership  was  required  to  establish  a  repair  escrow  of
approximately  $454,000 with the lender for certain capital replacements.  Total
capitalized loan costs were  approximately  $160,000 for the year ended December
31, 2000. Additional loan costs of approximately $14,000 were capitalized during
the nine  months  ended  September  30,  2001.  The  Partnership  recognized  an
extraordinary loss on the early extinguishment of debt of approximately $181,000
due to the write-off of unamortized loan costs and a prepayment penalty.

Note E - Legal Proceedings

In March 1998, several putative unit holders of limited partnership units of the
Partnership  commenced an action  entitled  Rosalie  Nuanes,  et al. v. Insignia
Financial Group, Inc., et al. (the "Nuanes action") in the Superior Court of the
State of  California  for the  County  of San  Mateo.  The  plaintiffs  named as
defendants,  among others,  the  Partnership,  its Managing  General Partner and
several of their  affiliated  partnerships  and corporate  entities.  The action
purports  to  assert  claims  on  behalf  of a class  of  limited  partners  and
derivatively  on behalf  of a number  of  limited  partnerships  (including  the
Partnership)  which are named as nominal  defendants,  challenging,  among other
things,  the  acquisition of interests in certain  general  partner  entities by
Insignia  Financial  Group,  Inc.  ("Insignia")  and entities which were, at one
time,  affiliates of Insignia;  past tender offers by the Insignia affiliates to
acquire  limited  partnership  units;  management  of  the  partnerships  by the
Insignia  affiliates;  and the series of transactions which closed on October 1,
1998 and  February 26, 1999 whereby  Insignia  and  Insignia  Properties  Trust,
respectively,  were merged into AIMCO.  The plaintiffs seek monetary damages and
equitable relief, including judicial dissolution of the Partnership. On June 25,
1998,  the Managing  General  Partner  filed a motion  seeking  dismissal of the
action.  In lieu of responding to the motion,  the  plaintiffs  filed an amended
complaint. The Managing General Partner filed demurrers to the amended complaint
which were heard February 1999.

Pending the ruling on such  demurrers,  settlement  negotiations  commenced.  On
November 2, 1999,  the parties  executed and filed a Stipulation  of Settlement,
settling claims, subject to court approval, on behalf of the Partnership and all
limited partners who owned units as of November 3, 1999. Preliminary approval of
the  settlement  was obtained on November 3, 1999 from the Court,  at which time
the Court set a final  approval  hearing for  December  10,  1999.  Prior to the
December  10,  1999  hearing,  the  Court  received  various  objections  to the
settlement, including a challenge to the Court's preliminary approval based upon
the alleged lack of authority of prior lead counsel to enter the settlement.  On
December 14, 1999, the Managing  General  Partner and its affiliates  terminated
the  proposed  settlement.  In  February  2000,  counsel  for some of the  named
plaintiffs filed a motion to disqualify plaintiff's lead and liaison counsel who
negotiated  the  settlement.  On June  27,  2000,  the  Court  entered  an order
disqualifying  them  from the case and an  appeal  was  taken  from the order on
October 5, 2000. On December 4, 2000, the Court  appointed the law firm of Lieff
Cabraser  Heimann & Bernstein  LLP as new lead  counsel for  plaintiffs  and the
putative class.  Plaintiffs filed a third amended complaint on January 19, 2001.
On March 2, 2001,  the  Managing  General  Partner  and its  affiliates  filed a
demurrer to the third amended  complaint.  On May 14, 2001,  the Court heard the
demurrer to the third amended  complaint.  On July 10, 2001, the Court issued an
order  sustaining  defendants'  demurrer on certain  grounds.  On July 20, 2001,
plaintiffs filed a motion for reconsideration of the Court's July 10, 2001 order
granting in part and denying in part defendants' demurrer. On September 7, 2001,
plaintiffs  filed a fourth amended class and  derivative  action  complaint.  On
September 12, 2001, the Court denied plaintiffs' motion for reconsideration.  On
October 5, 2001, the Managing General Partner and affiliated  defendants filed a
demurrer to the fourth amended complaint,  which, together with a demurrer filed
by other  defendants,  is currently  scheduled to be heard on November 15, 2001.
The Court has set the matter for trial in January 2003.

During the third  quarter of 2001, a complaint  (the "Heller  action") was filed
against  the same  defendants  that are named in the  Nuanes  action,  captioned
Heller v. Insignia Financial Group. On or about August 6, 2001, plaintiffs filed
a first amended  complaint.  The first amended complaint in the Heller action is
brought as a purported  derivative  action,  and asserts  claims for among other
things  breach  of  fiduciary  duty;  unfair  competition;   conversion,  unjust
enrichment;  and judicial  dissolution.  Plaintiffs in the Nuanes action filed a
motion to  consolidate  the Heller action with the Nuanes action and stated that
the Heller action was filed in order to preserve the derivative claims that were
dismissed  without  leave to amend in the Nuanes action by the Court order dated
July 10, 2001. On October 5, 2001, the Managing  General  Partner and affiliated
defendants  moved to strike the first  amended  complaint  in its  entirety  for
violating  the Court's July 10, 2001 order  granting in part and denying in part
defendants'  demurrer in the Nuanes action, or alternatively,  to strike certain
portions of the complaint based on the statute of limitations.  Other defendants
in the action  demurred to the fourth  amended  complaint,  and,  alternatively,
moved to strike the complaint.  The matters are currently  scheduled to be heard
on November 15, 2001.

The Managing  General Partner does not anticipate that any costs,  whether legal
or  settlement  costs,  associated  with  these  cases will be  material  to the
Partnership's overall operations.

The  Partnership is unaware of any other pending or outstanding  litigation that
is not of a routine nature arising in the ordinary course of business.

ITEM 2.     MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

The  matters  discussed  in this Form  10-QSB  contain  certain  forward-looking
statements  and  involve  risks and  uncertainties  (including  changing  market
conditions,   competitive  and  regulatory   matters,   etc.)  detailed  in  the
disclosures  contained  in this  Form  10-QSB  and the  other  filings  with the
Securities and Exchange Commission made by the Registrant from time to time. The
discussion of the  Registrant's  business and results of  operations,  including
forward-looking  statements  pertaining  to such  matters,  does not  take  into
account the effects of any changes to the  Registrant's  business and results of
operations.  Accordingly,  actual  results  could differ  materially  from those
projected in the forward-looking  statements as a result of a number of factors,
including those identified herein.

The Partnership's  investment properties consist of two apartment complexes. The
following table sets forth the average  occupancy of the properties for the nine
months ended September 30, 2001 and 2000:

                                                   Average Occupancy
      Property                                      2001       2000

      Williamsburg on the Lake Apartments           91%        93%
         Indianapolis, Indiana
      Huntington Athletic Club Apartments           92%        89%
         Morrisville, North Carolina

The Managing General Partner  attributes the increase in occupancy at Huntington
Athletic Club  Apartments to increased  advertising and marketing to attract new
tenants.

Results of Operations

The  Registrant's  net loss for the nine  months  ended  September  30, 2001 was
approximately  $272,000 as compared to a net loss of approximately  $380,000 for
the nine months ended  September  30, 2000.  The  Registrant's  net loss for the
three  month  period  ended  September  30, 2001 was  approximately  $170,000 as
compared to a net loss of  approximately  $165,000  for the three  month  period
ended  September  30,  2000.  The decrease in net loss for the nine month period
ended September 30, 2001 was due to the recognition in 2000 of an  extraordinary
loss on early  extinguishment  of debt as well as an increase in total revenues,
partially  offset by an increase in total expenses.  The  extraordinary  loss on
early  extinguishment  of debt  relates to the  refinancing  of the  mortgage at
Huntington Athletic Club Apartments (see "Liquidity and Capital Resources"). The
increase in net loss for the three month period ended September 30, 2001 was due
to a decrease  in total  revenues  which was  partially  offset by a decrease in
total expenses.

Total revenues  increased for the nine month period ended September 30, 2001 due
to increased  rental  income and other income.  Rental  income  increased due to
increased  occupancy at Huntington  Athletic Club Apartments,  increased average
rental rates at Williamsburg on the Lake Apartments,  and decreased  concessions
at both of the Partnership's properties which were partially offset by increased
bad debt expenses and decreased occupancy at Williamsburg on the Lake Apartments
and a decrease in average rental rates at Huntington  Athletic Club  Apartments.
Other  income  increased  due to an  increase  in laundry  income and  utilities
reimbursements primarily at Williamsburg on the Lake Apartments partially offset
by reduced  interest  income due to lower  average  cash  balances  in  interest
bearing  accounts.  Total  revenues  decreased  for the three month period ended
September  30, 2001 due to  decreased  rental  income and other  income.  Rental
income  decreased due to increased bad debt expenses and decreased  occupancy at
Williamsburg  on the Lake  Apartments  and a decrease in average rental rates at
Huntington Athletic Club Apartments. Other income decreased due to a decrease in
interest income due to lower average cash balances in interest bearing accounts.

Total  expenses  increased  for the nine months ended  September 30, 2001 due to
increases in operating,  interest and depreciation expenses which were partially
offset by  decreases in property  tax and general and  administrative  expenses.
Total expenses decreased for the three month period ended September 30, 2001 due
to decreases in operating, property tax, and general and administrative expenses
which were partially  offset by an increase in depreciation  expense.  Operating
expenses increased for the nine months ended September 30, 2001 primarily due to
an increase in  insurance  expense and payroll  related  expenses at both of the
Partnership's  properties.  Operating  expenses  decreased  for the three months
ended September 30, 2001 primarily due to a decrease in administrative  salaries
at Williamsburg on the Lake Apartments and reduced  maintenance costs at both of
the Partnership's  properties partially offset by increased insurance expense at
both of the  Partnership's  properties.  Interest expense increased for the nine
months ended  September 30, 2001 due to the  refinancing of Huntington  Athletic
Club Apartments  which increased the debt balance at the property.  Depreciation
expense increased due to property  improvements and replacements during the past
twelve months. Property tax expense decreased due to the receipt of a tax refund
at Williamsburg on the Lake Apartments during 2001.  General and  administrative
expenses  decreased  due  to  a  decrease  in  the  non-accountable  partnership
reimbursement  and  partnership  management  fees paid to the  Managing  General
Partner  from  distributions  from  operations  as provided  in the  Partnership
Agreement. Included in general and administrative expenses at both September 30,
2001 and 2000 are  management  reimbursements  to the Managing  General  Partner
allowed under the Partnership Agreement. In addition,  costs associated with the
quarterly and annual  communications  with investors and regulatory agencies and
the annual audit  required by the  Partnership  Agreement  are also  included in
general and administrative expenses.

As part of the ongoing  business plan of the  Partnership,  the Managing General
Partner  monitors  the  rental  market  environment  of each  of its  investment
properties  to assess  the  feasibility  of  increasing  rents,  maintaining  or
increasing  occupancy  levels and protecting  the  Registrant  from increases in
expenses. As part of this plan, the Managing General Partner attempts to protect
the  Registrant  from the burden of  inflation-related  increases in expenses by
increasing rents and maintaining a high overall occupancy level. However, due to
changing market  conditions,  which can result in the use of rental  concessions
and  rental  reductions  to  offset  softening  market  conditions,  there is no
guarantee that the Managing General Partner will be able to sustain such a plan.

Liquidity and Capital Resources

At  September  30,  2001,  the  Partnership  held cash and cash  equivalents  of
approximately $183,000 compared to approximately $683,000 at September 30, 2000.
The  decrease  of  approximately  $162,000  in cash and cash  equivalents  since
December  31, 2000 is due to  approximately  $148,000 of cash used in  investing
activities and approximately $772,000 of cash used in financing activities which
was  partially  offset by  approximately  $758,000 of cash provided by operating
activities. Cash used in investing activities consisted of property improvements
and  replacements  partially  offset by net  withdrawals  from  escrow  accounts
maintained by the mortgage lender. Cash used in financing  activities  consisted
of  distributions  to the partners,  payments of principal  made on the mortgage
encumbering Huntington Athletic Club Apartments,  and the payment of loan costs.
The  Partnership  invests its  working  capital  reserves  in  interest  bearing
accounts.

On May 11, 2000, the Partnership  refinanced the mortgage encumbering Huntington
Athletic Club Apartments. The refinancing replaced indebtedness of approximately
$3,364,000  with a new  mortgage in the amount of  $7,372,000.  The new mortgage
carries a stated  interest rate of 8.15% as compared to the 9.85%  interest rate
on the old  mortgage.  Payments on the mortgage  loan are due monthly  until the
loan matures on June 1, 2020 at which time the loan will be fully amortized.  In
addition,  the  Partnership  was  required  to  establish  a  repair  escrow  of
approximately  $454,000 with the lender for certain capital replacements.  Total
capitalized loan costs were  approximately  $160,000 for the year ended December
31, 2000. Additional loan costs of approximately $14,000 were capitalized during
the nine  months  ended  September  30,  2001.  The  Partnership  recognized  an
extraordinary loss on the early extinguishment of debt of approximately $181,000
due to the write-off of unamortized loan costs and a prepayment penalty.

The Managing  General Partner has extended to the Partnership a $500,000 line of
credit.  At the present time, the  Partnership  has no  outstanding  amounts due
under this line of credit.  Based on present plans, the Managing General Partner
does not anticipate  the need to borrow in the near future.  Other than cash and
cash equivalents,  the line of credit is the Partnership's only unused source of
liquidity.

The sufficiency of existing  liquid assets to meet future  liquidity and capital
expenditure   requirements   is  directly   related  to  the  level  of  capital
expenditures  required at the various  properties  to  adequately  maintain  the
physical  assets and other  operating needs of the Registrant and to comply with
Federal, state and local legal and regulatory requirements. Capital improvements
for each of the Registrant's properties are detailed below.

Williamsburg on the Lake Apartments

During the nine months ended  September  30,  2001,  the  Partnership  completed
approximately  $257,000 of budgeted and  non-budgeted  capital  expenditures  at
Williamsburg  on the Lake  Apartments  consisting  primarily  of  swimming  pool
improvements,  carpet  and vinyl  replacements,  major  landscaping,  structural
improvements,  appliances and window treatments.  These improvements were funded
from operating cash flow and the  Partnership's  reserves.  The  Partnership has
evaluated the capital  improvement  needs of the property for the year 2001. The
amount budgeted is approximately $205,000,  consisting primarily of water heater
replacements,  air conditioning  unit  replacement,  appliances,  and carpet and
vinyl replacements. Additional improvements may be considered and will depend on
the  physical  condition  of the  property as well as  replacement  reserves and
anticipated cash flow generated by the property.

Huntington Athletic Club Apartments

During the nine months ended  September  30,  2001,  the  Partnership  completed
approximately  $221,000 of budgeted and  non-budgeted  capital  expenditures  at
Huntington Athletic Club Apartments consisting primarily of carpet replacements,
structural improvements, appliances, and interior decoration. These improvements
were funded from the Partnership's  reserves.  The Partnership has evaluated the
capital improvement needs of the property for the year 2001. The amount budgeted
is approximately $191,000,  consisting primarily of appliances, air conditioning
unit replacements and carpet and tile replacements.  Additional improvements may
be considered and will depend on the physical  condition of the property as well
as replacement reserves and anticipated cash flow generated by the property.

The additional  capital  expenditures will be incurred only if cash is available
from operations or from Partnership  reserves.  To the extent that such budgeted
capital improvements are completed, the Registrant's distributable cash flow, if
any, may be adversely affected at least in the short term.

The  Registrant's  current assets are thought to be sufficient for any near-term
needs (exclusive of capital improvements) of the Registrant. Huntington Athletic
Club Apartment's mortgage indebtedness of approximately  $7,179,000 is amortized
over  20  years  and  matures  June  1,  2020.  The  mortgage   encumbering  the
Williamsburg  on the Lake  Apartments  requires  interest only payments with the
principal  balance of  $7,400,000  due in November  2003.  The Managing  General
Partner will attempt to refinance such indebtedness  and/or sell Williamsburg on
the Lake prior to such maturity  date.  If the property  cannot be refinanced or
sold for a  sufficient  amount,  the  Registrant  may risk losing such  property
through foreclosure.

During the nine months ended  September 30, 2001,  the  Registrant  declared and
paid  distributions of  approximately  $640,000  (approximately  $634,000 to the
limited partners or $14.13 per limited partnership unit) from operations. During
the nine months ended  September  30,  2000,  the  Registrant  declared and paid
distributions  of  approximately  $4,423,000  (approximately  $4,379,000  to the
limited  partners  or  $97.57  per  limited   partnership  unit)  consisting  of
approximately  $1,245,000  (approximately  $1,233,000 to the limited partners or
$27.48  per  limited   partnership   unit)  from  operations  and  approximately
$3,178,000  (approximately  $3,146,000  to the  limited  partners  or $70.09 per
limited  partnership unit) from the refinancing  proceeds of Huntington Athletic
Club Apartments. Future cash distributions will depend on the levels of net cash
generated from operations,  the availability of cash reserves, and the timing of
debt   maturities,   refinancings   and/or  property  sales.   The  Registrant's
distribution  policy is reviewed on a monthly basis.  There can be no assurance,
however,  that the Registrant  will generate  sufficient  funds from  operations
after  required  capital  improvements  to permit further  distributions  to its
partners during the remainder of 2001 or subsequent periods.



<PAGE>


                           PART II - OTHER INFORMATION


ITEM 1.     LEGAL PROCEEDINGS

In March 1998, several putative unit holders of limited partnership units of the
Partnership  commenced an action  entitled  Rosalie  Nuanes,  et al. v. Insignia
Financial Group, Inc., et al. (the "Nuanes action") in the Superior Court of the
State of  California  for the  County  of San  Mateo.  The  plaintiffs  named as
defendants,  among others,  the  Partnership,  its Managing  General Partner and
several of their  affiliated  partnerships  and corporate  entities.  The action
purports  to  assert  claims  on  behalf  of a class  of  limited  partners  and
derivatively  on behalf  of a number  of  limited  partnerships  (including  the
Partnership)  which are named as nominal  defendants,  challenging,  among other
things,  the  acquisition of interests in certain  general  partner  entities by
Insignia  Financial  Group,  Inc.  ("Insignia")  and entities which were, at one
time,  affiliates of Insignia;  past tender offers by the Insignia affiliates to
acquire  limited  partnership  units;  management  of  the  partnerships  by the
Insignia  affiliates;  and the series of transactions which closed on October 1,
1998 and  February 26, 1999 whereby  Insignia  and  Insignia  Properties  Trust,
respectively,  were merged into AIMCO.  The plaintiffs seek monetary damages and
equitable relief, including judicial dissolution of the Partnership. On June 25,
1998,  the Managing  General  Partner  filed a motion  seeking  dismissal of the
action.  In lieu of responding to the motion,  the  plaintiffs  filed an amended
complaint. The Managing General Partner filed demurrers to the amended complaint
which were heard February 1999.

Pending the ruling on such  demurrers,  settlement  negotiations  commenced.  On
November 2, 1999,  the parties  executed and filed a Stipulation  of Settlement,
settling claims, subject to court approval, on behalf of the Partnership and all
limited partners who owned units as of November 3, 1999. Preliminary approval of
the  settlement  was obtained on November 3, 1999 from the Court,  at which time
the Court set a final  approval  hearing for  December  10,  1999.  Prior to the
December  10,  1999  hearing,  the  Court  received  various  objections  to the
settlement, including a challenge to the Court's preliminary approval based upon
the alleged lack of authority of prior lead counsel to enter the settlement.  On
December 14, 1999, the Managing  General  Partner and its affiliates  terminated
the  proposed  settlement.  In  February  2000,  counsel  for some of the  named
plaintiffs filed a motion to disqualify plaintiff's lead and liaison counsel who
negotiated  the  settlement.  On June  27,  2000,  the  Court  entered  an order
disqualifying  them  from the case and an  appeal  was  taken  from the order on
October 5, 2000. On December 4, 2000, the Court  appointed the law firm of Lieff
Cabraser  Heimann & Bernstein  LLP as new lead  counsel for  plaintiffs  and the
putative class.  Plaintiffs filed a third amended complaint on January 19, 2001.
On March 2, 2001,  the  Managing  General  Partner  and its  affiliates  filed a
demurrer to the third amended  complaint.  On May 14, 2001,  the Court heard the
demurrer to the third amended  complaint.  On July 10, 2001, the Court issued an
order  sustaining  defendants'  demurrer on certain  grounds.  On July 20, 2001,
plaintiffs filed a motion for reconsideration of the Court's July 10, 2001 order
granting in part and denying in part defendants' demurrer. On September 7, 2001,
plaintiffs  filed a fourth amended class and  derivative  action  complaint.  On
September 12, 2001, the Court denied plaintiffs' motion for reconsideration.  On
October 5, 2001, the Managing General Partner and affiliated  defendants filed a
demurrer to the fourth amended complaint,  which, together with a demurrer filed
by other  defendants,  is currently  scheduled to be heard on November 15, 2001.
The Court has set the matter for trial in January 2003.

During the third  quarter of 2001, a complaint  (the "Heller  action") was filed
against  the same  defendants  that are named in the  Nuanes  action,  captioned
Heller v. Insignia Financial Group. On or about August 6, 2001, plaintiffs filed
a first amended  complaint.  The first amended complaint in the Heller action is
brought as a purported  derivative  action,  and asserts  claims for among other
things  breach  of  fiduciary  duty;  unfair  competition;   conversion,  unjust
enrichment;  and judicial  dissolution.  Plaintiffs in the Nuanes action filed a
motion to  consolidate  the Heller action with the Nuanes action and stated that
the Heller action was filed in order to preserve the derivative claims that were
dismissed  without  leave to amend in the Nuanes action by the Court order dated
July 10, 2001. On October 5, 2001, the Managing  General  Partner and affiliated
defendants  moved to strike the first  amended  complaint  in its  entirety  for
violating  the Court's July 10, 2001 order  granting in part and denying in part
defendants'  demurrer in the Nuanes action, or alternatively,  to strike certain
portions of the complaint based on the statute of limitations.  Other defendants
in the action  demurred to the fourth  amended  complaint,  and,  alternatively,
moved to strike the complaint.  The matters are currently  scheduled to be heard
on November 15, 2001.

The Managing  General Partner does not anticipate that any costs,  whether legal
or  settlement  costs,  associated  with  these  cases will be  material  to the
Partnership's overall operations.

ITEM 6.     EXHIBITS AND REPORTS ON FORM 8-K

            a)    Exhibits:

                  None.

            b)    Reports on Form 8-K filed during the quarter  ended  September
                  30, 2001:

                  None.



<PAGE>



                                   SIGNATURES



In accordance with the  requirements of the Exchange Act, the Registrant  caused
this  report to be  signed on its  behalf  by the  undersigned,  thereunto  duly
authorized.



                                    NATIONAL PROPERTY INVESTORS 8


                                    By:   NPI EQUITY INVESTMENTS, INC.
                                          Its Managing General Partner


                                    By:   /s/Patrick J. Foye
                                          Patrick J. Foye
                                          Executive Vice President


                                    By:   /s/Martha L. Long
                                          Martha L. Long
                                          Senior Vice President
                                          and Controller


                                    Date: