UNITED STATES
               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 quarter ended
                        September 30, 1996
                              OR

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

                      Commission File Number
                             0-14548
                             -------
              RAL-YIELD EQUITIES II LIMITED PARTNERSHIP
              -----------------------------------------
       (Exact name of registrant as specified in its charter)

          Wisconsin                             39-1494302
-------------------------------       ---------------------------
(State or other jurisdiction of              (I.R.S. Employer
 incorporation or organization)            Identification Number)

   20875 Crossroads Circle
         Suite 800
     Waukesha, Wisconsin                          53186
-------------------------------        --------------------------
   (Address of principal                       (Zip Code)
     executive offices)

Registrant's telephone number, including area code (414) 798-0900
                                                   --------------
     Securities registered pursuant to Section 12(b) of the Act:
                               None
                              ------
     Securities registered pursuant to Section 12(g) of the Act:
                  LIMITED PARTNERSHIP INTERESTS
                  -----------------------------
                         (Title of Class)

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
               -------                        -------
                      RAL-YIELD EQUITIES II
                       LIMITED PARTNERSHIP
                            FORM 10-Q

                        TABLE OF CONTENTS

                                                          PAGES
PART I    FINANCIAL INFORMATION       

          Item 1.   Financial Statements                    I-1

          Item 2.   Management's Discussion and
                    Analysis of Financial Condition and
                    Results of Operations                   I-7

PART II   OTHER INFORMATION

          Item 6.   Exhibits and Reports on Form 8-K (None)

Signatures



































<TABLE>
                      RAL-YIELD EQUITIES II
                       LIMITED PARTNERSHIP
                         BALANCE SHEETS
          September 30, 1996 and December 31, 1995
<CAPTION>
                                        UNAUDITED       AUDITED 
                                      SEPTEMBER 30,   DECEMBER 31,
         ASSETS                             1996          1995  
-------------------------------------   -----------   -----------
<S>                                     <C>            <C>
INVESTMENT PROPERTY, less accumulated
depreciation of $1,623,646 in 1996
and $1,503,961 in 1995                   4,051,149      4,137,023

CASH AND CASH EQUIVALENTS                  491,275        796,258

RENT AND OTHER RECEIVABLES                  17,495          7,510

DEFERRED CHARGES, less accumulated
amortization of $7,719 in 1996
and $5,844 in 1995                           7,281          8,406

NOTE RECEIVABLE                            235,087        244,865

OTHER ASSETS                                 4,433          5,155
                                        ----------     ----------
TOTAL ASSETS                             4,806,720      5,199,217
                                        ==========     ==========

LIABILITIES AND PARTNERS' CAPITAL
---------------------------------

ACCOUNTS PAYABLE AND ACCRUED EXPENSES      105,090        145,170
TENANT SECURITY DEPOSITS                    30,928         29,554
                                        ----------     ----------
                                           136,018        174,724

LIMITED PARTNERS' CAPITAL                4,615,489      4,974,396
GENERAL PARTNERS' CAPITAL                   55,213         50,097
                                        ----------     ----------
PARTNERS' CAPITAL                        4,670,702      5,024,493
                                        ----------     ----------
TOTAL LIABILITIES AND PARTNERS' CAPITAL  4,806,720      5,199,217
                                        ==========     ==========


<FN>
     The accompanying notes are an integral part of these
     statements.
</FN>
</TABLE>

                              I-1
<TABLE>
                       RAL-YIELD EQUITIES II
                        LIMITED PARTNERSHIP

                      Statement of Operations
 For three months and nine months ended September 30, 1996 and 1995

                                   UNAUDITED
<CAPTION>

                      3 MONTHS  9 MONTHS  3 MONTHS    9 MONTHS  
                       ended     ended     ended       ended    
                     SEPT. 30,  SEPT. 30, SEPT. 30,   SEPT. 30,
                       1996       1996      1995        1995
                     --------  ---------  ---------   ---------  

<S>
REVENUE:              <C>        <C>       <C>        <C>
 Rental income         202,655    603,751   195,786    584,752
 Restaurant sales      226,263    658,166   233,091    606,559
 Interest & other       21,734     61,610    26,200     64,635
                      --------   --------  --------   --------
                       450,652  1,323,527   455,077  1,255,946

OPERATING EXPENSES:
 Restaurant operating
  expenses             163,857    476,907   144,196    414,292
 Management fees        13,647     39,649    10,890     32,670
 Mobile home park
  operating and
  administrative exp.   58,290    174,515    56,412    184,357
 Depreciation and
  amortization          40,741    120,811    39,751    119,253
                      --------   --------  --------   --------
                       276,535    811,882   251,249    750,572
                       --------   -------- --------   --------
NET INCOME (LOSS)      174,117    511,645   203,828    505,374
                      ========   ========  ========   ========


<FN>
   The accompanying notes are an integral part of these
   statements.
</FN>
</TABLE>








                                  I-2      
                                                  

<TABLE>
                          RAL-YIELD EQUITIES II
                           LIMITED PARTNERSHIP

                Statements of Changes in Partners' Capital
            For the nine months ended September 30, 1996 and
                  for the year ended December 31, 1995

                                      UNAUDITED
<CAPTION>
                        General         Limited                 
                        Partners        Partners
                     (1% ownership)  (99% ownership)    Total    

                     --------------  --------------  -----------
<S>                       <C>           <C>            <C>
BALANCE, Jan. 1, 1995      43,552       4,968,522      5,012,074
                       ----------     -----------    -----------

NET INCOME                  6,545         647,995        654,540

CASH DISTRIBUTIONS              0        (642,121)      (642,121)
                       ----------     -----------    -----------

BALANCE, Dec. 31, 1995     50,097       4,974,396      5,024,493

NET INCOME                  5,116         506,529        511,645

CASH DISTRIBUTIONS              0        (865,436)      (865,436)

BALANCE,
  September 30, 1996       55,213       4,615,489      4,670,702
                       ==========     ===========    ===========

<FN>
The accompanying notes are an integral part of these statements.
</FN>
</TABLE>











                                  I-3



 <TABLE>
                        RAL-YIELD EQUITIES II
                         LIMITED PARTNERSHIP

                       Statements of Cash Flows
    For the nine months ended September 30, 1996 and 1995

                                          UNAUDITED
<CAPTION>
                                 SEPT. 30,          SEPT. 30,
                                    1996               1995
                                -------------     -------------
<S>                                 <C>                <C>
CASH FLOWS FROM
 OPERATING ACTIVITIES:
Net income (loss)                    511,645            505,374
Adjustments to reconcile net
 income to net cash provided
 by operating activities:
     Depreciation and
     amortization expense            120,811            119,253
     Gain on sale of equipment        (1,000)                 0
Change in assets and
 liabilities:
     Rent and Receivables             (9,985)             5,020
     Due from affiliate                    0             51,325
     Other Assets                        722              3,449
     Accounts payable and
      accrued expenses               (40,080)           (35,698)
     Tenants' security
      deposits                         1,373                839
                                  -----------        -----------
Net Cash provided by
 operating activities:               583,486            649,562

Cash flows from investing
 activities:
     Proceed from sale of
       equipment                       1,000                  0
     Additions to investment
      properties                     (33,811)                 0 
                                  -----------       -----------
Net Cash provided by
 (used in) investing
 activities                          (32,811)                 0 






                                     I-4



                                    
Cash flows from financing
 activities:
     Note Receivable                   9,778              8,939
     Cash distributions paid        (865,436)          (453,261)
                                  -----------        -----------
Net Cash used in
 financing activities               (855,658)          (444,322)
                                  -----------        -----------
Net increase (decrease)
 in cash                            (304,983)           205,240 

Cash at beginning of period          796,258            573,155

Cash at end of period                491,275            778,395
                                  ===========        =========== 



<FN>
     See accompanying notes to financial statements.
</FN>
</TABLE>




























                                     I-5
     
                             

                        RAL YIELD EQUITIES II
                         LIMITED PARTNERSHIP

                    NOTES TO FINANCIAL STATEMENTS

Pursuant to Rule 10-01(a)(5) of Regulation S-X (17 CFR Part 210)
RAL-Yield Equities II Limited Partnership is omitting its
footnote disclosure.  The Registrant has presumed that users of
the interim financial information have read or have access to the
audited financial statements for the preceding fiscal year.  The
disclosure is being omitted since it substantially duplicates the
disclosure contained in the most recent annual report to security
holders, Form 10-K for the fiscal year ended December 31, 1995.

In the opinion of management, the unaudited interim financial
statements presented herein reflect all adjustments necessary to
a fair statement of the results for the interim periods
presented.

































                                      I-6     


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

RAL-YIELD EQUITIES II LIMITED PARTNERSHIP (the "Registrant" or
"Partnership") is a Wisconsin Limited Partnership formed on March
30, 1984, under the Wisconsin Revised Uniform Limited Partnership
Act.  The Registrant was organized to acquire real estate
including mobile home communities and other commercial
properties.  The Partnership sold $8,301,500 in Limited
Partnership Interests (8,301.5 Interests at $1,000 per unit) from
March 30, 1984, through June 30, 1985.  After deducting offering
costs, the Partnership had approximately $6,641,200 with which to
make investments in income producing residential and commercial
properties, to pay legal fees and other costs related to such
investments and for working capital reserves.  The Partnership
utilized the net offering proceeds to purchase real property
investments.

Liquidity and Capital Resources:

Properties acquired by the Partnership were purchased for cash.
Therefore, liquidity is not reduced by debt service payments.

During the Properties' holding periods, the investment strategy
is to maintain (on the "triple net lease" restaurant properties)
and improve (on Spacious Acres Mobile Home Park) occupancy rates
through the application of professional property management
(including selective capital improvements).  The Partnership also
accumulates cash reserves for normal repairs, replacements, working
capital, and contingencies.

Net cash flow provided by operating activities for the nine
months ended September 30 was $583,486 in 1996 and $649,562 in
1995, primarily from earnings and depreciation, net of increases in
receivables.  The 9.7% decline in cash from operations is a result
of the inclusion in 1995 of a $51,000 payment received on a note
receivable.  This resulted in a $51,000 increase in cash from
operations in 1995 that will not reoccur.  The decline is not
indicative of a decline in operating results.

As of September 30, 1996, the Partnership had cash and cash
equivalents of $491,275 representing undistributed cash flow,
working capital reserves, repair and improvement reserves, and
tenant security deposits.  The Partnership has the following cash
needs for repairs and improvements:  

The Partnership has approved the plan to upgrade the sewage
treatment plant at Spacious Acres Mobile Home Park. The upgrade
will improve and expand the life of the sewage treatment plant.
The approximate cost to perform this repair, including
engineering fees,  has been estimated at $100,000.  This should 


                               I-7
not effect the level of cash distributions to the limited
partners due to the large amount of cash reserves on hand.  It is
hoped the repairs will begin in Fall, 1996.

In August, 1996 the Partnership remodeled the restaurant it
operates in Wauwatosa, Wisconsin.  The remodel included replacement
of carpet, a new dish machine and repair of drywall in the kitchen
area.   The total cost was approximately $21,000 which was funded
out of cash reserves.

A distribution totaling approximately $201,000 was made to the
Limited Partners in August, 1996. 
                                      
Results of Operations:

Gross rental revenues of $603,751 for the period ended September
30, 1996 increased 3.2% percent over gross rental revenues of
$584,752 for the first nine months of 1995.  This is primarily due
to the annual rent increases at the mobile home park and the effect
of the rent increase at the commercial property in Waterloo, Iowa.

Rental property operating and administrative expenses were
$174,515 for the period ended September 30, 1996 and $184,357 for
the period ended September 30, 1995.

Restaurant operations reported net income for the first three
quarters of 1996 of $148,356 on sales of $658,166.  In the first
three quarters of 1995, restaurant operations reported net income
of $157,228 on sales of $606,559.  The increase in revenue from
the restaurant is a result of an increase in sales volume.  Due
to rising food and labor costs, the restaurant will instituted a
price increase of about 4%  after Labor Day, 1996.   Together with
projected increased sales volume, the price increase should have a
positive impact on the amount of sales and cash flow the restaurant
produces.

Net income for the period ended September 30, 1996 was $511,645
compared to net income of $505,374 for the period ended September
30, 1995.

<TABLE>
The following is a listing of the approximate average physical
occupancy rates for the Partnership's investment in Spacious
Acres Mobile Home Park during the period covered by this report.
<CAPTION>
                                 Occupancy Rate
                                   Nine months
                            ended September 30, 1996   1995
                               --------------------    ----
     <S>                               <C>              <C>
     Spacious Acres MHP                100%             100%

</TABLE>
                                   I-8
Inflation:

Due to the comparatively low level of inflation in the
Partnership's last three fiscal years, the effect of inflation on
the Partnership has not been material.  Should the rate of
inflation increase substantially over the life of the
Partnership, it is likely to moderately influence ongoing
operations, in particular, the operating expenses of the
Partnership.  The commercial leases generally contain clauses
permitting pass-through of certain increased operating costs.
Residential leases are typically of one year or less in duration;
this allows the Partnership to react quickly (through rental
increases) to changes in the level of inflation.  These factors
should serve to reduce any impact of rising costs on the
Partnership.

                                     



                                  
                              





























                                      I-9

       
                          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.


                  RAL-YIELD EQUITIES II LIMITED PARTNERSHIP
                               (Registrant)


Date:  November 12, 1996              Robert A. Long
                                      -------------------------
                                      Robert A. Long
                                      General Partner

                                      Christine Kennedy
                                      -------------------------
                                      Christine Kennedy
                                      Controller