<PAGE>   1
                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549


                                    FORM 10-Q


             Quarterly Report Pursuant to Section 13 or 15(d) of the
                        Securities Exchange Act of 1934

                For the Quarterly Period Ended SEPTEMBER 30, 1998

                         Commission File Number 0-13112

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A California Limited Partnership)

                  I.R.S. Employer Identification No. 95-3778627

                         9090 WILSHIRE BLVD., SUITE 201
                            BEVERLY HILLS, CA. 90211

                         Registrant's Telephone Number,
                       Including Area Code (310) 278-2191



Indicate by check mark whether the registrant (1) has filed all documents and
reports required to be filed by Section 13 or 15(d) of the Securities Exchange
Act of 1934 during the preceding twelve 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>   2

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                               INDEX TO FORM 10-Q

                    FOR THE QUARTER ENDED SEPTEMBER 30, 1998



<TABLE>
<S>                                                                                                           <C>
PART I.  FINANCIAL INFORMATION

        Item 1.  Financial Statements

                      Consolidated Balance Sheets,
                              September 30, 1998 and December 31, 1997 .........................................1

                      Consolidated Statements of Operations,
                              Nine and Three Months Ended, September 30, 1998 and 1997..........................2

                      Consolidated Statement of Partners' Deficiency
                              Nine Months Ended September 30, 1998 .............................................3

                      Consolidated Statements of Cash Flows
                              Nine Months Ended September 30, 1998 and 1997 ....................................4

                      Notes to Consolidated Financial Statements ...............................................5

        Item 2.  Management's Discussion and Analysis of Financial
                      Condition and Results of Operation ......................................................12


PART II.  OTHER INFORMATION

        Item 1.  Legal Proceedings.............................................................................15

        Item 6.  Exhibits and Reports on Form 8-K .............................................................15

        Signatures ............................................................................................16
</TABLE>



<PAGE>   3

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                                 BALANCE SHEETS

                    SEPTEMBER 30, 1998 AND DECEMBER 31, 1997


<TABLE>
<CAPTION>
                                     ASSETS
                                                                       1998
                                                                    (Unaudited)               1997
                                                                   ------------           ------------
<S>                                                                <C>                    <C>         
INVESTMENTS IN LIMITED PARTNERSHIPS (Note 2)                       $  6,329,607           $  5,885,699

RENTAL PROPERTY, net of accumulated depreciation (Note 1)             2,885,205              3,016,049

CASH AND CASH EQUIVALENTS (Note 1)                                    6,065,898              6,611,690

CASH, restricted (Note 3)                                                38,465                 38,465

   OTHER ASSETS                                                         242,196                174,284
                                                                   ------------           ------------

   TOTAL ASSETS                                                    $ 15,561,371           $ 15,726,187
                                                                   ============           ============

                LIABILITIES AND PARTNERS' DEFICIENCY

   LIABILITIES:
Mortgage note payable related to property (Notes 3 and 7)          $  4,828,404           $  4,828,404
Notes payable and amounts due for partnership
interests (Notes 4 and 7)                                             5,795,000              5,795,000
Accrued interest payable (Notes 4 and 7)                              6,419,059              6,103,244
Accounts payable                                                        112,525                117,968
Other liabilities                                                        38,465                 38,465
                                                                   ------------           ------------

                                                                     17,193,453             16,883,081
                                                                   ------------           ------------

COMMITMENTS AND CONTINGENCIES (Notes 2, 5 and 6)

PARTNERS' DEFICIENCY:
General partners                                                       (367,510)              (362,758)
Limited partners                                                     (1,264,572)              (794,136)
                                                                   ------------           ------------

                                                                     (1,632,082)            (1,156,894)
                                                                   ------------           ------------

TOTAL LIABILITIES AND PARTNERS' DEFICIENCY                         $ 15,561,371           $ 15,726,187
                                                                   ============           ============
</TABLE>


        The accompanying notes are an integral part of these consolidated
                             financial statements.



                                        1
<PAGE>   4

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                      CONSOLIDATED STATEMENTS OF OPERATIONS
             NINE AND THREE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
                                   (Unaudited)


<TABLE>
<CAPTION>
                                                          Nine months        Three months        Nine months       Three months
                                                              ended              ended              ended             ended
                                                         Sept. 30, 1998     Sept. 30, 1998      Sept. 30, 1997    Sept. 30, 1997
                                                         --------------     --------------      --------------    --------------
<S>                                                      <C>                <C>                 <C>               <C>
RENTAL OPERATIONS:
     Revenues                                              $   846,121        $   291,741        $   798,573        $   268,902
                                                           -----------        -----------        -----------        -----------

      Expenses:
          General and administrative                            67,721             23,135                 --                 --
          Operating                                            299,713            106,408            363,511            110,204
          Depreciation and amortization (Note 1)               130,844             43,615            130,844             43,615
          Interest                                             363,465            121,155            363,465            121,155
                                                           -----------        -----------        -----------        -----------

                                                               861,743            294,313            857,820            274,974
                                                           -----------        -----------        -----------        -----------

LOSS FROM RENTAL OPERATIONS                                    (15,622)            (2,572)           (59,247)            (6,072)
                                                           -----------        -----------        -----------        -----------

PARTNERSHIP OPERATIONS:
    Interest income                                            221,728             71,797            208,041             76,846
                                                           -----------        -----------        -----------        -----------

    Expenses:
          Management fees - general partner (Note 5)           376,668            125,556            376,104            125,556
          General and administrative (Notes 2 and 5)           573,642            202,674            237,063             69,829
          Interest                                             400,275            133,425            400,275            133,425
                                                           -----------        -----------        -----------        -----------
                                                             1,350,585            461,655          1,013,442            328,810
                                                           -----------        -----------        -----------        -----------

LOSS FROM PARTNERSHIP OPERATIONS                            (1,128,857)          (389,858)          (805,401)          (251,964)
                                                           -----------        -----------        -----------        -----------

EQUITY IN INCOME OF LIMITED
      PARTNERSHIPS AND AMORTIZATION
      OF ACQUISITION COSTS                                     546,000            182,000            447,000            149,000

DISTRIBUTIONS FROM LIMITED
      PARTNERSHIPS RECOGNIZED AS
      INCOME (Note 2)                                          123,291             47,462            502,658            235,526
                                                           -----------        -----------        -----------        -----------

NET (LOSS) INCOME                                          $  (475,188)       $  (162,968)       $    85,010        $   126,490
                                                           ===========        ===========        ===========        ===========

NET (LOSS) INCOME PER LIMITED
     PARTNERSHIP INTEREST (Note 1)                         $       (28)       $       (10)       $         5        $         8
                                                           ===========        ===========        ===========        ===========
</TABLE>



                 The accompanying notes are an integral part of
                    these consolidated financial statements.



                                       2
<PAGE>   5

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                 CONSOLIDATED STATEMENTS OF PARTNERS' DEFICIENCY
                  FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1998
                                   (Unaudited)



<TABLE>
<CAPTION>
                                         General            Limited
                                         Partners           Partners             Total
                                        -----------        -----------        -----------
<S>                                     <C>                <C>                <C>         
PARTNERSHIP INTERESTS                                           16,810
                                                           ===========


DEFICIENCY,
          January 1, 1998               $  (362,758)       $  (794,136)       $(1,156,894)

     Net loss for the nine months
     ended September 30, 1998                (4,752)          (470,436)          (475,188)
                                        -----------        -----------        -----------

DEFICIENCY,
       September 30, 1998               $  (367,510)       $(1,264,572)       $(1,632,082)
                                        ===========        ===========        ===========
</TABLE>



              The accompanying notes are an integral part of these
                       consolidated financial statements.



                                        3
<PAGE>   6

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                      CONSOLIDATED STATEMENTS OF CASH FLOWS
              FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                                          1998                1997
                                                                       -----------        -----------
<S>                                                                    <C>                <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
       Net  loss                                                       $  (475,188)       $    85,010
       Adjustments to reconcile net loss to net cash
        provided by (used in) operating activities:
          Equity in income of limited partnerships
            and amortization of acquisition costs                         (546,000)          (447,000)
          Depreciation and amortization                                    130,844            130,844
          Increase in other assets                                         (67,912)           (25,118)
          Increase in accrued interest payable                             315,815            319,823
          Increase in accounts payable                                      (5,443)             2,009
                                                                       -----------        -----------

             Net cash provided by (used in) operating activities          (647,884)            65,568
                                                                       -----------        -----------

CASH FLOWS FROM INVESTING ACTIVITIES:
       Distributions to limited partnerships recognized as
         as a return of capital                                            102,092            781,543
                                                                       -----------        -----------


NET (DECREASE) INCREASE IN CASH AND  CASH EQUIVALENTS                     (545,792)           847,111

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                           6,611,690          5,849,983
                                                                       -----------        -----------

CASH AND CASH EQUIVALENTS, END OF PERIOD                               $ 6,065,898        $ 6,697,094
                                                                       ===========        ===========

SUPPLEMENTAL DISCLOSURE OF
       CASH FLOW INFORMATION:
       Cash paid during the period for interest                        $   447,925        $   443,917
                                                                       ===========        ===========
</TABLE>



        The accompanying notes are an integral part of these consolidated
                             financial statements.



                                        4
<PAGE>   7

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

                               SEPTEMBER 30, 1998


NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

         GENERAL

         The information contained in the following notes to the financial
         statements is condensed from that which would appear in the audited
         annual financial statements; accordingly, the financial statements
         included herein should be reviewed in conjunction with the financial
         statements and related notes thereto contained in the annual report for
         the year ended December 31, 1997 prepared by Real Estate Associates
         Limited VI and Subsidiaries (the "Partnership"). Accounting
         measurements at interim dates inherently involve greater reliance on
         estimates than at year end. The results of operations for the interim
         periods presented are not necessarily indicative of the results for the
         entire year.

         In the opinion of the Partnership, the accompanying unaudited financial
         statements contain all adjustments (consisting primarily of normal
         recurring accruals) necessary to present fairly the financial position
         of the Partnership at September 30, 1998 and the results of operations
         for the nine and three months then ended and changes in cash flows for
         the nine months then ended.

         The general partners have a 1 percent interest in profits and losses of
         the Partnership. The limited partners have the remaining 99 percent
         interest which is allocated in proportion to their respective
         individual investments. National Partnership Investments Corp. (NAPICO)
         is the corporate general partner of the Partnership. NAPICO is a wholly
         owned subsidiary of Casden Investment Corporation, which is wholly
         owned by Alan I. Casden.

         USE OF ESTIMATES

         The preparation of financial statements in conformity with generally
         accepted accounting principles requires management to make estimates
         and assumptions that affect the reported amounts of assets and
         liabilities and disclosure of contingent assets and liabilities at the
         date of the financial statements and reported amounts of revenues and
         expenses during the reporting period. Actual results could differ from
         those estimates.

         PRINCIPLES OF CONSOLIDATION

         The consolidated financial statements include the accounts of Real
         Estate Associates Limited VI and its majority-owned general
         partnerships. All significant intercompany accounts and transactions
         have been eliminated in consolidation.

         METHOD OF ACCOUNTING FOR INVESTMENT IN THE UNCONSOLIDATED LIMITED
         PARTNERSHIPS

         The investments in unconsolidated limited partnerships are accounted
         for on the equity method. Acquisition, selection and other costs
         related to the acquisition of the projects are capitalized as part of
         the investment account and are being amortized on a straight line basis
         over the estimated lives of the underlying assets, which is generally
         30 years.



                                       5
<PAGE>   8

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

                               SEPTEMBER 30, 1998


NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

         NET LOSS PER LIMITED PARTNERSHIP INTEREST

         Net loss per limited partnership interest was computed by dividing the
         limited partners' share of net loss by the number of limited
         partnership interests outstanding during the year. The number of
         limited partnership interests was 16,810 for the periods presented.

         CASH AND CASH EQUIVALENTS

         Cash and cash equivalents consist of unrestricted cash and bank
         certificates of deposit with maturities of three months or less.
         Restricted cash consist of tenants' security and escrow deposits and
         mortgage impounds. The Partnership has its cash and cash equivalents on
         deposit primarily with two high credit quality financial institutions.
         Such cash and cash equivalents are in excess of the FDIC insurance
         limit.

         INCOME TAXES

         No provision has been made for income taxes in the accompanying
         financial statements since such taxes, if any, are the liability of the
         individual partners.

         RENTAL PROPERTY AND DEPRECIATION

         Rental property is stated at cost. Depreciation is provided on the
         straight-line and accelerated methods over the estimated useful lives
         of the buildings and equipment. Pursuant to a purchase agreement in
         which the Partnership acquired its interest from withdrawing general
         partners, certain rental property was revalued to reflect the purchase
         price.

         Substantially all of the apartment units are leased on a month-to-month
         basis.

         IMPAIRMENT OF LONG-LIVED ASSETS

         The Partnership reviews long-lived assets to determine if there has
         been any permanent impairment whenever events or changes in
         circumstances indicate that the carrying amount of the asset may not be
         recoverable. If the sum of the expected future cash flows is less than
         the carrying amount of the assets, the Partnership recognizes an
         impairment loss.



                                       6
<PAGE>   9

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

                               SEPTEMBER 30, 1998


NOTE 2 - INVESTMENTS IN LIMITED PARTNERSHIPS

         The Partnership holds limited partnership interests in 27 local limited
         partnerships and a general partner interest in one general partnership.
         In addition, REAL VI holds a general partner interest in Real Estate
         Associates III ("REA III"), a California general partnership. NAPICO is
         also a general partner in REA III. REA III, in turn, holds limited
         partner interests in seven local limited partnerships. In total,
         therefore, the Partnership holds interests, either directly or
         indirectly through REA III, in 34 limited partnerships and one general
         partnership which own residential rental projects consisting of 2,832
         apartment units. The mortgage loans of these projects are insured by
         the United States Department of Housing and Urban Development ("HUD")
         or state governmental agencies.

         The Partnership, as a limited partner, is entitled to between 90
         percent and 99 percent of the profits and losses of the limited
         partnerships it has invested in directly. The Partnership is also
         entitled to 99.9 percent of the profits and losses of REA III. REA III
         holds a 99 percent interest in each of the limited partnerships in
         which it has invested.

         As of September 30, 1998, the Partnership is obligated, if certain
         conditions are met, to invest an additional $90,500 in its investee
         partnerships at various times in the future. This amount has not been
         recorded as a liability in the accompanying financial statements.

         Equity in losses of unconsolidated limited partnerships is recognized
         in the financial statements until the limited partnership investment
         account is reduced to a zero balance or to a negative amount equal to
         further capital contributions required. Losses incurred after the
         limited partnership investment account is reduced to zero are not
         recognized.

         Distributions from the unconsolidated limited partnerships are
         accounted for as a return of capital until the investment balance is
         reduced to zero. Subsequent distributions received are recognized as
         income.

         The following is a summary of the investment in unconsolidated limited
         partnerships for the nine months ended September 30, 1998:

<TABLE>
<S>                                                                 <C>        
         Balance, beginning of period                               $ 5,885,699
         Equity in income of limited partnerships                       636,000
         Amortization of acquisition costs                              (90,000)
         Cash distributions recognized as a return of capital          (102,092)
                                                                     -----------
          Balance, end of period                                     $ 6,329,607
</TABLE>

         The difference between the investment per the accompanying balance
         sheets at September 30, 1998 and December 31, 1997, and the deficiency
         per the unaudited combined estimated statements of operations is due
         primarily to cumulative unrecognized equity in losses of certain
         limited partnerships, costs capitalized to the investment account and
         cumulative distributions recognized as income.



                                       7
<PAGE>   10

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

                               SEPTEMBER 30, 1998

NOTE 2 - INVESTMENTS IN LIMITED PARTNERSHIP (CONTINUED)

         The following are unaudited combined estimated statements of operations
         for the nine and three months ended September 30, 1998 and 1997 of the
         unconsolidated limited partnerships in which the Partnership has
         investments:

<TABLE>
<CAPTION>
                                          Nine months        Three months         Nine months       Three months
                                             ended               ended               ended              ended
                                        Sept. 30, 1998      Sept. 30, 1998      Sept. 30, 1997      Sept. 30, 1997
                                         ------------        ------------        ------------        ------------
<S>                                     <C>                 <C>                 <C>                 <C>
         Revenues:
                Rental and other         $ 10,460,000        $  5,230,000        $ 15,933,000        $  5,311,000
                                         ------------        ------------        ------------        ------------

         Expenses:
                Depreciation                1,796,000             898,000           2,697,000             899,000
                Interest                    2,578,000           1,289,000           6,234,000           2,078,000
                Operating expenses          7,058,000           3,529,000           8,409,000           2,803,000
                                         ------------        ------------        ------------        ------------

            Total expenses                 11,432,000           5,716,000          17,340,000           5,780,000
                                         ------------        ------------        ------------        ------------

                     Net loss            $   (972,000)       $   (486,000)       $ (1,407,000)       $   (469,000)
                                         ============        ============        ============        ============
</TABLE>

         NAPICO, or one of its affiliates, is the general partner and property
         management agent for certain of the limited partnerships included
         above.

         One of the limited partnerships (Drexel Park III) sold its property on
         May 1, 1997, upon the necessary regulatory approval from the Maryland
         Community Development Agency. Drexel Park III was sold for $2,450,000.
         After payment of closing costs, the limited partnership received net
         proceeds of approximately $733,000, which were distributed to the
         Partnership.

         Under recently adopted law and policy, HUD has determined not to renew
         housing assistance payments contracts ("HAP Contracts") on their
         existing terms. In connection with renewals of the HAP Contracts under
         such new law and policy, the amount of rental assistance payments under
         renewed HAP Contracts will be based on market rentals instead of above
         market rentals, which was generally the case under existing HAP
         Contracts. As a result, existing HAP Contracts that are renewed in the
         future on projects insured by the Federal Housing Administration of HUD
         ("FHA") will not provide sufficient cash flow to permit owners of
         properties to meet the debt service requirements of these existing
         FHA-insured mortgages. In order to address the reduction in payments
         under HAP Contracts as a result of this new policy, the Multi-family
         Assisted Housing Reform and Affordability Act of 1997 ("MAHRAA"), which
         was adopted in October 1997, provides for the restructuring of mortgage
         loans insured by the FHA with respect to properties subject to HAP
         Contracts that have been renewed under the new policy. The restructured
         loans will be held by the current lender or another lender. Under
         MAHRAA, an FHA-insured mortgage loan can be restructured to reduce the
         annual debt service on such loan. There can be no assurance that the
         Partnership will be permitted to restructure its mortgage indebtedness
         pursuant to the new HUD rules implementing MAHRAA or that the
         Partnership would choose to restructure such



                                       8
<PAGE>   11

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

                               SEPTEMBER 30, 1998

NOTE 2 - INVESTMENTS IN LIMITED PARTNERSHIP (CONTINUED)

         mortgage indebtedness if it were eligible to participate in the MAHRAA
         program. It should be noted that there are uncertainties as to the
         economic impact on the Partnership of the combination of the reduced
         payments under the HAP Contracts and the restructuring of the existing
         FHA-insured mortgage loans under MAHRAA. Accordingly, the General
         Partners are unable to predict with certainty their impact on the
         Partnership's future cash flow.

         As a result of the foregoing, the Partnership is undergoing an
         extensive review of the properties in which the limited partnerships
         have invested that are subject to HUD mortgages and which may be sold
         to the REIT as set forth below. The Partnership has incurred expenses
         in connection with this review by various third party professionals,
         including accounting, legal, valuation, structural review and
         engineering costs, which amounted to approximately $449,000 through
         September 30, 1998, including approximately $321,000 and $36,000 for
         the nine months ended September 30, 1998 and 1997, respectively, which
         are included in general and administrative expenses.

         A real estate investment trust ("REIT") organized by affiliates of
         NAPICO has advised the Partnership that it intends to make a proposal
         to purchase from the Partnership certain of the limited partnership
         interests held for investment by the Partnership.

         The REIT proposes to purchase such limited partnership interests for
         cash, which it plans to raise in connection with a private placement of
         its equity securities. The purchase is subject to, among other things,
         (i) consummation of such private placement by the REIT; (ii) the
         purchase of the general partnership interests in the local limited
         partnerships by the REIT; (iii) the approval of HUD and certain state
         housing finance agencies; (iv) the consent of the limited partners to
         the sale of the local limited partnership interests held for investment
         by REAL VI; and (v) the consummation of a minimum number of purchase
         transactions with other NAPICO affiliated partnerships.

         A consent solicitation statement has been sent to the limited partners
         setting forth the terms and conditions of the purchase of the limited
         partners' interests held for investment by the Partnership, together
         with certain amendments to the Partnership Agreement and other
         disclosures of various conflicts of interest in connection with the
         proposed transaction. As of November 2, 1998, the consents of the
         limited partners to the sale of the partnership interests and
         amendments to the Partnership Agreement have been obtained. In
         addition, the REIT has completed buy-out negotiations with a majority
         of the general partners of the local limited partnerships and has
         obtained approval from HUD.

NOTE 3 - MORTGAGE NOTE PAYABLE

         The mortgage note has an interest rate of 8.78 percent per annum, with
         principal and interest payments due monthly. The note matures in
         September 2006.

         The note is collateralized by the underlying rental property.



                                       9
<PAGE>   12

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

                               SEPTEMBER 30, 1998

NOTE 4 - NOTES PAYABLE

         Certain of the Partnership's investments involved purchases of
         partnership interests from partners who subsequently withdrew from the
         operating partnership. The purchase of these interests provides for
         additional cash payments of approximately $325,000 based upon specified
         events as outlined in the purchase agreements. Such amounts have been
         recorded as liabilities. In addition, the Partnership is obligated on
         non-recourse notes payable of $5,470,000 which bear interest at 9.5 or
         10 percent per annum and have principal maturities ranging from
         December 1999 to December 2012. Effective January 1, 1997, the interest
         rates for two notes totaling $2,810,000 changed to 10 percent per terms
         of the note. The notes and related interest are payable from cash flow
         generated from operations of the related rented properties as defined
         in the notes. These obligations are collateralized by the Partnership's
         investments in the limited partnerships. Unpaid interest is due at
         maturity of the notes.

NOTE 5 - MANAGEMENT FEES AND EXPENSES DUE TO GENERAL PARTNER

         Under the terms of the Restated Certificate and Agreement of Limited
         Partnership, the Partnership is obligated to NAPICO for an annual
         management fee of approximately .4 percent of the original invested
         assets of the limited partnerships. Invested assets are defined as the
         costs of acquiring project interests, including the proportionate
         amount of the mortgage loans related to the Partnership's interests in
         the capital accounts of the respective partnerships. This fee was
         approximately $377,000 for the nine months ended September 30, 1998 and
         1997, respectively.

         The Partnership reimburses NAPICO for certain expenses. The
         reimbursement to NAPICO was approximately $39,000 and $36,000 for the
         nine months ended September 30, 1998 and 1997, and is included in
         general and administrative expenses.

NOTE 6 - CONTINGENCIES

         On August 27, 1998, two investors holding an aggregate of eight units
         of limited partnership interests in Real Estate Associates Limited III
         (an affiliated partnership in which NAPICO is the managing general
         partner) and two investors holding an aggregate of five units of
         limited partnership interest in Real Estate Associates Limited VI
         (another affiliated partnership in which NAPICO is the managing general
         partner) commenced an action in the United States District Court for
         the Central District of California against the Partnership, NAPICO and
         certain other affiliated entities. The complaint alleges that the
         defendants breached their fiduciary duty to the limited partners of
         certain NAPICO managed partnerships and made materially false and
         misleading statements in the consent solicitation statements sent to
         the limited partners of such partnerships relating to approval of the
         transfer of partnership interests in limited partnerships, owning
         certain of the properties, to the REIT (Note 2). The plaintiffs seek
         preliminary and permanent injunctive relief and other equitable relief,
         as well as compensatory and punitive damages. The managing general
         partner of such NAPICO partnerships and the other defendants believe
         that the plaintiffs' claims are without merit and intend to contest the
         action vigorously.



                                       10
<PAGE>   13

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

                               SEPTEMBER 30, 1998

NOTE 6 - CONTINGENCIES (CONTINUED)

         The corporate general partner of the Partnership is involved in various
         lawsuits and have also been named defendants in other lawsuits arising
         from transactions in the ordinary course of business. In the opinion of
         management and the corporate general partner, the claims will not
         result in any material liability to the Partnership.

         The Partnership has assessed the potential impact of the Year 2000
         computer systems issue on its operations. The Partnership believes that
         no significant actions are required to be taken by the Partnership to
         address the issue and that the impact of the Year 2000 computer systems
         issue will not materially affect the Partnership's future operating
         results or financial condition.

NOTE 7 - FAIR VALUE OF FINANCIAL INSTRUMENTS

         Statement of Financial Accounting Standards No. 107, "Disclosure about
         Fair Value of Financial Instruments," requires disclosure of fair value
         information about financial instruments, when it is practicable to
         estimate that value. The mortgage notes payable are insured by HUD and
         are collateralized by the rental properties. The notes payable are
         collateralized by the Partnership's investments in investee limited
         partnerships and are payable only out of cash distributions from the
         investee partnerships. The operations generated by the property and
         investee limited partnerships are subject to various government rules,
         regulations and restrictions which make it impracticable to estimate
         the fair value of the mortgage note payable and the notes payable and
         related accrued interest. The carrying amount of other assets and
         liabilities reported on the balance sheets that require such disclosure
         approximates fair value due to their short-term maturity.



                                       11
<PAGE>   14

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                               SEPTEMBER 30, 1998


ITEM 2.  MANAGEMENT'S ANALYSIS AND DISCUSSION OF FINANCIAL
            CONDITION AND RESULTS OF OPERATIONS

         LIQUIDITY AND CAPITAL RESOURCES

         The Partnership's primary sources of funds include interest income on
         short term investments and distributions from limited partnerships in
         which the Partnership has invested.

         The Partnership has committed as of September 30, 1998 to investments
         in limited partnerships requiring additional capital contributions of
         $90,500. The Partnership normally makes its capital contributions to
         the local limited partnerships in stages, over a period of two to five
         years, with each contribution due on a specified date, provided that
         certain conditions regarding construction or operation of the project
         have been fulfilled. The Partnership has no significant commitments
         once the capital contributions have been made.

         RESULTS OF OPERATIONS

         Rental operations consist primarily of rental income and depreciation
         expense, debt service, and normal operating expenses to maintain the
         properties. Variances in rental operations from the prior year to the
         current year relate to the sale of the Drexel Property in 1997.

         Partnership revenues consist primarily of interest income earned on
         certificates of deposit and other temporary investment of funds not
         required for investment in local partnerships.

         Operating expenses consist primarily of recurring general and
         administrative expenses and professional fees for services rendered to
         the Partnership. In addition, an annual Partnership management fee in
         an amount equal to .4 percent of invested assets is payable to the
         corporate general partner.

         The Partnership accounts for its investments in the local limited
         partnerships on the equity method, thereby adjusting its investment
         balance by its proportionate share of the income or loss of the local
         limited partnerships. Losses incurred after the limited partnership
         investment account is reduced to zero are not recognized in accordance
         with the equity accounting method.

         Distributions received from limited partnerships are recognized as
         return of capital until the investment balance has been reduced to zero
         or to a negative amount equal to future capital contributions required.
         Subsequent distributions received are recognized as income.

         Except for certificates of deposit and money market funds, the
         Partnership's investments are entirely from interests in other limited
         and general partnerships owning government assisted projects. Funds
         temporarily not required for such investments in projects are invested
         providing interest income as reflected in the statement of operations.
         These funds can be converted to cash to meet obligations as they arise.
         The Partnership intends to continue investing available funds in this
         manner.



                                       12
<PAGE>   15

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                               SEPTEMBER 30, 1998


ITEM 2.  MANAGEMENT'S ANALYSIS AND DISCUSSION OF FINANCIAL
            CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

         RESULTS OF OPERATIONS (CONTINUED)

         Under recently adopted law and policy, HUD has determined not to renew
         housing assistance payments contracts ("HAP Contracts") on their
         existing terms. In connection with renewals of the HAP Contracts under
         such new law and policy, the amount of rental assistance payments under
         renewed HAP Contracts will be based on market rentals instead of above
         market rentals, which was generally the case under existing HAP
         Contracts. As a result, existing HAP Contracts that are renewed in the
         future on projects insured by the Federal Housing Administration of HUD
         ("FHA") will not provide sufficient cash flow to permit owners of
         properties to meet the debt service requirements of these existing
         FHA-insured mortgages. In order to address the reduction in payments
         under HAP Contracts as a result of this new policy, the Multi-family
         Assisted Housing Reform and Affordability Act of 1997 ("MAHRAA"), which
         was adopted in October 1997, provides for the restructuring of mortgage
         loans insured by the FHA with respect to properties subject to HAP
         Contracts that have been renewed under the new policy. The restructured
         loans will be held by the current lender or another lender. Under
         MAHRAA, an FHA-insured mortgage loan can be restructured to reduce the
         annual debt service on such loan. There can be no assurance that the
         Partnership will be permitted to restructure its mortgage indebtedness
         pursuant to the new HUD rules implementing MAHRAA or that the
         Partnership would choose to restructure such mortgage indebtedness if
         it were eligible to participate in the MAHRAA program. It should be
         noted that there are uncertainties as to the economic impact on the
         Partnership of the combination of the reduced payments under the HAP
         Contracts and the restructuring of the existing FHA-insured mortgage
         loans under MAHRAA. Accordingly, the General Partners are unable to
         predict with certainty their impact on the Partnership's future cash
         flow.

         As a result of the foregoing, the Partnership is undergoing an
         extensive review of the properties in which the limited partnerships
         have invested that are subject to HUD mortgages and which may be sold
         to the REIT as set forth below. The Partnership has incurred expenses
         in connection with this review by various third party professionals,
         including accounting, legal, valuation, structural review and
         engineering costs, which amounted to approximately $449,000 through
         September 30, 1998 including approximately $321,000 and $36,000 for the
         nine months ended September 30, 1998 and 1997, respectively, which are
         included in general and administrative expenses.

         A real estate investment trust ("REIT") organized by affiliates of
         NAPICO has advised the Partnership that it intends to make a proposal
         to purchase from the Partnership certain of the limited partnership
         interests held for investment by the Partnership.

         The REIT proposes to purchase such limited partnership interests for
         cash, which it plans to raise in connection with a private placement of
         its equity securities. The purchase is subject to, among other things,
         (i) consummation of such private placement by the REIT; (ii) the
         purchase of the general partnership interests in the local limited
         partnerships by the REIT; (iii) the approval of HUD and certain state
         housing finance agencies; (iv) the consent of the limited partners to
         the sale of the local limited partnership interests held for investment
         by REAL VI; and (v) the consummation of a minimum number of purchase
         transactions with other NAPICO affiliated partnerships.



                                       13
<PAGE>   16

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                               SEPTEMBER 30, 1998


ITEM 2.  MANAGEMENT'S ANALYSIS AND DISCUSSION OF FINANCIAL
            CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

         RESULTS OF OPERATIONS (CONTINUED)

         A consent solicitation statement has been sent to the limited partners
         setting forth the terms and conditions of the purchase of the limited
         partners' interests held for investment by the Partnership, together
         with certain amendments to the Partnership Agreement and other
         disclosures of various conflicts of interest in connection with the
         proposed transaction. As of November 2, 1998, the consents of the
         limited partners to the sale of the partnership interests and
         amendments to the Partnership Agreement have been obtained. In
         addition, the REIT has completed buy-out negotiations with a majority
         of the general partners of the local limited partnerships and has
         obtained approval from HUD.

         The Partnership has assessed the potential impact of the Year 2000
         computer systems issue on its operations. The Partnership believes that
         no significant actions are required to be taken by the Partnership to
         address the issue and that the impact of the Year 2000 computer systems
         issue will not materially affect the Partnership's future operating
         results or financial condition.



                                       14
<PAGE>   17

                        REAL ESTATE ASSOCIATES LIMITED VI
                       (A CALIFORNIA LIMITED PARTNERSHIP)

                               SEPTEMBER 30, 1998


PART II.  OTHER INFORMATION

ITEM 1.     LEGAL PROCEEDINGS

       On August 27, 1998, two investors holding an aggregate of eight units of
       limited partnership interests in Real Estate Associates Limited III (an
       affiliated partnership in which NAPICO is the managing general partner)
       and two investors holding an aggregate of five units of limited
       partnership interest in Real Estate Associates Limited VI (another
       affiliated partnership in which NAPICO is the managing general partner)
       commenced an action in the United States District Court for the Central
       District of California against the Partnership, NAPICO and certain other
       affiliated entities. The complaint alleges that the defendants breached
       their fiduciary duty to the limited partners of certain NAPICO managed
       partnerships and made materially false and misleading statements in the
       consent solicitation statements sent to the limited partners of such
       partnerships relating to approval of the transfer of partnership
       interests in limited partnerships, owning certain of the properties, to
       the REIT (Note 2). The plaintiffs seek preliminary and permanent
       injunctive relief and other equitable relief, as well as compensatory and
       punitive damages. The managing general partner of such NAPICO
       partnerships and the other defendants believe that the plaintiffs' claims
       are without merit and intend to contest the action vigorously.

       The Partnership's general partner is involved in various lawsuits. None
       of these lawsuits are related to the Partnership.


ITEM 6.     EXHIBITS AND REPORTS ON FORM 8-K

       A report 8-K relating to an unsolicited offer to buy units of limited
       partnership interests (the "Units"), as discussed below, was filed with
       the Securities and Exchange Commission during the quarter ended September
       30, 1998.

       On June 26, 1998, Bond Purchase, L.L.C. (the "Buyer") made an unsolicited
       tender offer to buy a certain number of units in the Partnership for a
       price of $333 per Unit. The Buyer did not contact the Corporate General
       Partner prior to commencing its tender offer. By letter dated July 6,
       1998, the Corporate General Partner advised limited partners that it had
       determined not to take a position with respect to the tender offer but
       cautioned limited partners to consider certain items before determining
       whether to tender their Units to the Buyer. A copy of the letter from the
       is attached as an Exhibit to the September 30, 1998 10-Q.



                                       15
<PAGE>   18

                        REAL ESTATE ASSOCIATES LIMITED VI
                             (A LIMITED PARTNERSHIP)

                               SEPTEMBER 30, 1998


                                   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.


                                        REAL ESTATE ASSOCIATES LIMITED VI AND
                                        SUBSIDIARIES (a California limited 
                                        partnership)


                                        By:     National Partnership Investments
                                                Corp., General Partner



                                                /s/ PAUL PATIERNO
                                                --------------------------------
                                                Paul Patierno
                                                Chief Financial Officer



                                                Date:



                                                /s/ CHARLES BOXENBAUM
                                                --------------------------------
                                                Charles Boxenbaum
                                                Chief Executive Officer



                                                Date:



                                       16
<PAGE>   19
                                                                       EXHIBIT 1

BOND PURCHASE, L.L.C.
P.O. Box 26730
Kansas City, MO 64196

June 26, 1998

To the Holders of Limited Partnership Interests in Real Estate Associates 
Limited VI.

RE:  OFFER TO PURCHASE LIMITED PARTNERSHIP INTERESTS FOR $333.00

Dear Investor:

     We are offering you an opportunity to sell your limited partnership
interests (the "Units") in Real Estate Associates Limited VI (the
"Partnership") for cash in the amount of $333.00 per Unit (which amount will be
reduced by any cash distributions declared by the Partnership after the date of
this letter). Our offer provides you with an opportunity to sell your Units now
without the costly transfer fees and commission costs (typically up to 10%)
usually paid by the seller in secondary market sales. ALL TRANSFER COSTS AND
FEES WILL BE PAID BY BOND PURCHASE, L.L.C.

     We believe that it is appropriate for investors to have financial choices. 
Our offer gives you, the investor, the ability to make a decision about your 
continued involvement with the Partnership. You may no longer wish to continue 
with your investment in the Partnership for a number of reasons, including:

     -  NO FURTHER IRS FILING

     -  HIGHEST OFFER -- This offer is higher than the last reported trade of
        $330 (November 1, 1997 to December 31, 1997) in the secondary market.
  
     -  If you sell your units, 1998 will be the final year for which you
        receive a K-1 tax form from the partnership.

     -  You may be able to realize a tax loss that would reduce your taxes for
        1998.

     -  The Partnership was closed fifteen years ago in 1983. Your money has 
        been tied up for this long period with minimal return.

     -  More immediate use for the cash tied up in your investment in the Units.

     -  The absence of a formal trading market for the Units and their resulting
        relative illiquidity.

<PAGE>   20

        -       The lack of any current cash distributions.

        -       General disenchantment with real estate investments,
                particularly long-term investments in limited partnerships;

        Our offer is limited to 835 of the 16,800 outstanding Units. If we were
to acquire more than this amount, the administrative costs of our offer would
become burdensome.

        We will accept for purchase properly documented Units on a
"first-received, first-buy" basis. You will be paid promptly following
confirmation of a valid properly executed Agreement of Transfer and other
required transfer documents. We will pay for all Partnership transfer fees and
costs. All tenders of Units will be irrevocable and may not be rescinded or
withdrawn.

        We are real estate investors who are not affiliated with the Partnership
or the General Partners. The General Partners of the Partnership have not
analyzed, approved, endorsed or made any recommendation as to acceptance of the
offer. The purchase offer has been determined solely at the discretion of Bond
Purchase, L.L.C. and does not necessarily represent the true market value of
each unit. We are seeking to acquire Units for investment purposes only and not
with a view to their resale.

        An Agreement of Transfer is enclosed which you can use to accept our
offer. Please execute page 3 of this document, as well as the Power of Attorney.
Obtain all other required signatures and return the documentation in the
enclosed envelope. Please note that all signatures must be medallion guaranteed.
The transfer cannot be processed without signatures that are medallion
guaranteed and failure to obtain them will result in needless delays. In
addition, place your Unit Certificate in the enclosed envelope. We encourage you
to act immediately if you are interested in accepting our offer as only 16,800
Units will be purchased.

        OUR OFFER WILL EXPIRE AT 5:00 PM ON JULY 31, 1998, UNLESS EXTENDED.

        Please call John Katzer at (816) 421-4670 if you have any questions.

Sincerely,



Bond Purchase, L.L.C.