UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q



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


For the period ended June 30, 1997


[ ] 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  0-13520


                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
             (Exact name of registrant as specified in its charter)


             Massachusetts                              04-2828131
     (State or other jurisdiction of                (I.R.S. Employer
       incorporation or organization)                Identification No.)


 27 Christina Street, Suite 203, Newton, MA            02161
(Address of principal executive offices)             (Zip Code)


Registrant's telephone number, including area code  (617) 244-2242



                   Former address, if changed from last report


  Indicate  by check  mark  whether  the  registrant  (1) has filed all  reports
required to be filed by Sections 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.

                                              [X] Yes     [ ] No

                              There are no Exhibits

                                  Page 1 of 13

<PAGE>



                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

                                      INDEX



                                                                         Page

Part I:  Financial Information

Item 1. Financial Statements:

        Balance Sheets, June 30, 1997 and December 31, 1996               3-4

        Statements of Operations for the Three Months
          Ended June 30, 1997, and 1996 and the Six Months
          Ended June 30, 1997 and 1996                                      5

        Statements of Cash Flows for the Six Months Ended
          June 30, 1997, and 1996                                           6

        Notes to Financial Statements                                     7-9

Item 2. Management's Discussion and Analysis of Financial
        Condition and Results of Operations                             10-11



                                       2

<PAGE>

                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

                                 BALANCE SHEETS


                                       (Unaudited)           (Audited)
                                      June 30, 1997       December 31, 1996
                                     --------------       -----------------

Assets

Current assets:

    Cash and cash equivalents          $   92,175          $  163,915
                                                         
    Other current assets                       48                  31
                                       ----------          ----------
                                                         
        Total current assets               92,223             163,946
                                                         
Long-term notes and accrued interest                     
    receivable                            135,577             127,668
                                                         
Investments in local limited                             
    partnerships                        2,007,869           2,295,189
                                       ----------          ----------        
        Total assets                   $2,235,669          $2,586,803
                                       ==========          ==========
                                                  









                                   (continued)

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

                                       3



<PAGE>


                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

                           BALANCE SHEETS (continued)


                                           (Unaudited)          (Audited)
                                          June 30, 1997     December 31, 1996
                                         ---------------    -----------------

Liabilities and Partners' Deficit

Current liabilities:
    Accounts payable to affiliates        $     46,771         $     58,271 
    Accounts payable                             4,863                1,000
    Accrued expense                               --                 15,600
    Accrued interest payable                   478,286              385,901
                                          ------------         ------------
                                                             
        Total current liabilities              529,920              460,772
                                                             
Purchase money notes                        10,274,691            9,684,281
                                          ------------         ------------
                                                             
        Total liabilities                   10,804,611           10,145,053
                                          ------------         ------------
                                                             
Partners' deficit:                                           
    General partners:                                        
        Capital contributions                    4,202                4,202
        Capital distributions                      (22)                --
        Accumulated losses                    (186,458)            (176,373)
                                          ------------         ------------
                                              (182,278)            (172,171)
                                          ------------         ------------
                                                             
    Limited partners (21,576 Units):                         
        Capital contributions (net of                        
          offering costs of $1,134,440)      9,649,520            9,649,520
        Capital distributions                   (2,211)                --
        Accumulated losses                 (18,033,973)         (17,035,599)
                                          ------------         ------------
                                            (8,386,664)          (7,386,079)
                                          ------------         ------------
                                                             
        Total partners' deficit             (8,568,942)          (7,558,250)
                                          ------------         ------------
                                                             
        Total liabilities and partners'                      
           deficit                        $  2,235,699         $  2,586,803
                                          ============         ============
                                                        






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

                                       4
<PAGE>

<TABLE>
<CAPTION>
                                             LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                                                 (A Massachusetts Limited Partnership)

                                                       STATEMENTS OF OPERATIONS
                                                              (Unaudited)


                                                 For the Three Months Ended             For the Six Month Ended
                                                         March 31,                              June 30,
                                                 --------------------------             ------------------------
                                                    1997           1996                    1997            1996
                                                    ----           ----                    ----            ----
<S>                                          <C>            <C>                     <C>            <C>
                                                                          
Interest income                               $     9,352    $     7,121              $    26,579    $    14,572  
Expenses:                                                                           
   Interest expense                               538,074        504,720                1,052,742        923,909
General and administrative                                                          
   expense                                         36,420         28,967                   67,156         58,632
                                              -----------    -----------              -----------    -----------
Total expenses                                    574,494        533,687                1,119,898        982,541
                                              -----------    -----------              -----------    -----------
Loss before equity in local                                                         
   limited partnership operations                (565,142)      (526,566)              (1,093,319)      (967,969)
                                              -----------    -----------              -----------    -----------
Equity in income (loss) of local                                                    
   limited partnership investments                 35,354        (10,282)                  84,860         10,810
                                              -----------    -----------              -----------    -----------
     
Net Loss                                      $  (529,788)   $  (536,848)             $(1,008,459)   $  (957,159)
                                              ===========    ===========              ===========    ===========
Net loss per Limited Partnership                                                    
Unit, based on 21,576 Units                                                         
outstanding in the first six                                              
months of 1997 and 1996                     
                                              $    (24.31)   $    (24.63)             $    (46.27)   $    (43.92)
                                              ===========    ===========              ===========    ===========
                                  
</TABLE>









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

                                       5
<PAGE>

<TABLE>
<CAPTION>

                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

                            STATEMENTS OF CASH FLOWS
                                   (Unaudited)

                                                                            For the Six Months Ended
                                                                                      June 30,
                                                                           --------------------------
                                                                               1997           1996
                                                                               ----           ----
<S>                                                                      <C>            <C>
Cash flows from operating activities:
    Cash distributions from local limited
        partnerships                                                       $   369,947    $   288,086
  Interest payments on purchase money notes                                   (369,947)      (290,553)
  Cash paid for Partnership administration
     expenses                                                                  (90,393)       (74,633)
  Interest received                                                             18,653          9,590
                                                                           -----------    -----------
      Net cash provided by
           operating activities                                                (71,740)       (67,510)
                                                                           -----------    -----------

Net decrease in cash and
     cash equivalents                                                          (71,740)       (67,510)

Cash and cash equivalents at:
    Beginning of period                                                        163,915        293,331
                                                                           -----------    -----------
    End of period                                                          $    92,175    $   225,821
                                                                           ===========    ===========


Reconciliation of net loss to net cash provided by operating activities:

Net loss                                                                   $(1,008,459)   $  (957,159)
Adjustments to reconcile net loss to net
    cash used in operating activities:
      Share of income of local limited                 
        partnership investments                                                (84,860)       (10,810)
      Cash distributions from local limited            
        partnerships                                                           369,947        288,086
      Interest expense added to purchase money         
        notes, net of discount amortization                                    590,410        467,617
      Interest income added to long-term               
        notes receivable, net of discount              
        amortization, and interest received                                     (7,909)        (4,990)
      Decrease (increase) in other current assets                                  (17)             8
      (Decrease) increase in:                          
         Accrued interest payable                                               92,385        165,738
         Accounts payable to affiliates                                        (11,500)       (16,000)
         Accounts payable                                                        3,863           --
         Accrued expenses                                                      (15,600)          --
                                                                           -----------    -----------
      Net cash used by operating
         activities                                                        $   (71,740)   $   (67,510)
                                                                           ===========    ===========
</TABLE>


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

                                       6

<PAGE>
  
                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

                          NOTES TO FINANCIAL STATEMENTS
                                   (Unaudited)

1.      Organization of Partnership

        Liberty Housing Partners Limited  Partnership  (the  "Partnership")  was
formed under the Massachusetts Uniform Limited Partnership Act on March 20, 1984
for the primary purpose of investing in other limited partnerships which own and
operate government  assisted  multi-family  rental housing complexes (the "Local
Limited Partnerships").


2.      Significant Accounting Policies

        In the  opinion  of the  General  Partner,  the  accompanying  unaudited
financial  statements  contain all normal  recurring  adjustments  necessary  to
present  fairly the financial  position of the  Partnership as of June 30, 1997.
The  financial  statements,  which do not  include  all of the  information  and
footnote  disclosures  required by  generally  accepted  accounting  principles,
should  be  read  in  conjunction  with  the  Partnership's   audited  financial
statements for the year ended December 31, 1996.


3.      Investments in Local Limited Partnerships

        The following is a summary of  cumulative  activity for  investments  in
Local Limited Partnerships since their dates of acquisition:

                                             (Unaudited)      (Audited)
                                               June 30,     December 31,
                                                 1997            1996
                                             -----------    -----------

Total acquisition cost to the Partnership    $ 9,356,379    $ 9,356,379

    Additional capital contributed by the
        Partnership                               11,425         11,425

    Partnership's share of losses of Local
        Limited Partnerships                  (3,765,434)    (3,818,174)

    Cash distributions received from Local
        Limited Partnerships                  (3,626,621)    (3,254,441)

    Cash distributions received from Local
        Limited Partnerships recognized as
        investment income                         32,120           --
                                             -----------    -----------

Investments in Local Limited Partnerships    $ 2,007,869    $ 2,295,189
                                             ===========    ===========


                                   (Continued)

                                       7
<PAGE>

                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP

                      (A Massachusetts Limited Partnership)

                          NOTES TO FINANCIAL STATEMENTS
                                   (Unaudited)


3.  Investments in Local Limited Partnerships, continued

        Summarized  financial   information  from  the  combined  statements  of
operations of all Local Limited Partnerships is as follows:

                                      For the Six Months Ended
                                               June 30,
                                    --------------------------
                                        1997            1996
                                        ----            ----

Rental and other income             $ 2,720,631    $ 2,580,854
Expenses:
    Operating expenses                1,730,564      1,661,730
    Interest expense                    517,885        605,499
    Depreciation and amortization       483,766        475,711
                                    -----------    -----------
    Total expenses                    2,732,215      2,742,940
                                    -----------    -----------
Net loss                            $   (11,584)   $  (162,086)
                                    ===========    ===========

Partnership's share of net loss     $   (11,223)   $  (155,541)
                                    ===========    ===========
Other partners' share
    of net income (loss)            $      (361)   $    (6,545)
                                    ===========    ===========


        The  differences  between the  Partnership's  share of income  (loss) in
Local  Limited  Partnership   investments  in  the  Partnership's  Statement  of
Operations  for the six months ended June 30, 1997 and 1996 and the share of net
loss in the above Summarized Statements of Operations consists of the following:

                                                For the Six Months Ended 
                                                          June 30, 
                                               --------------------------
                                                   1997            1996
                                                   ----            ----
                                  
Share of income (loss) in Local Limited
    Partnership Investments in the
    Partnership's Statement of Operations        $  84,860      $  10,810
                                                              
Partnership's share of loss in the above                      
    summarized Statements of Operations            (11,223)      (155,541)
                                                 ---------      ---------
        Difference                               $  96,083      $ 166,351
                                                 =========      =========
Partnership's unrecorded share of losses:                     
    Linden Park                                  $  27,486      $ 129,830
    Brierwood Ltd.                                   9,711          7,566
    Brierwood II, Ltd.                               3,023          5,701
    Pine Forest Apartments, Ltd.                     9,614         18,917
    Surry Manor                                     14,129          4,337
    Glendale Manor                                    --             --
                                                 ---------      ---------
        Subtotal unrecorded losses                  63,963        166,351
Cash Distributions from Glendale Manor                        
    recorded as investment income                   32,120           --
                                                 ---------      ---------
                                                              
        Total                                    $  96,083      $ 166,351
                                                 =========      =========

                                   (Continued)

                                       8
<PAGE>


                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

                          NOTES TO FINANCIAL STATEMENTS
                                   (Unaudited)


3.  Investments in Local Limited Partnerships, continued


        The Partnership  recorded its share of losses in Linden Park,  Brierwood
Ltd., Brierwood II, Ltd., Pine Forest Apartments, Ltd., Surry Manor and Glendale
Manor  until its related  investment  was  reduced to zero.  Subsequent  to that
point, any cash distributions  received from these six partnerships have been or
will be recognized as investment income rather than as a reduction in Investment
in  Local  Limited   Partnerships  on  the  Partnership's   Balance  Sheet.  The
Partnership is not obligated to make additional  capital  contributions  to fund
the deficit in its capital accounts in these Local Limited Partnerships.

        Certain Local Limited  Partnerships  have made payments on behalf of the
Partnership for non-resident  state  withholding  taxes in accordance with state
income tax  regulations.  These  amounts  totaling  $2,233  during the first six
months  of 1997 have  been  treated  as  distributions  from the  Local  Limited
Partnerships  and a  distribution  to the partners of Liberty  Housing  Partners
Limited Partnership.

4.  Transactions with Affiliates

        During the six  months  ended June 30,  1997,  and 1996 the  Partnership
recognized  general and  administrative  expenses  owed to the Managing  General
Partner, as follows:

                                            1997      1996
                                            ----      ----
Reimbursement of Partnership
  administration expenses                 $29,176   $24,227
Partnership management fees                25,000    25,000

        As of  June  30,  1997  and  December  31,  1996,  accounts  payable  to
affiliates totalling $46,771 and $58,271,  respectively,  represent amounts owed
for reimbursements of Partnership  administration expenses of $4,000 and $7,771,
respectively,   and   partnership   management  fees  of  $42,771  and  $50,500,
respectively.





                                   (Continued)

                                       9
<PAGE>


                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

                          NOTES TO FINANCIAL STATEMENTS
                                   (Unaudited)


5.  Statement of Distributable Cash from Operations

        Distributable  Cash From  Operations  for the six months  ended June 30,
1997, as defined in Section 17 of the Partnership Agreement, is as follows:

Interest income per Statement of Operations         $ 26,579

Less:  Interest income added to long-term notes
         receivable, net of discount amortization     (7,909)

       General and administrative expenses per
         Statement of Operations                     (67,156)
                                                    --------
Cash from Operations, as defined                     (48,486)
                                                    --------
Distributable Cash from Operations, as defined      $   --
                                                    ========




                                       10

<PAGE>



                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

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

Liquidity and Capital Resources

        The  aggregate  outstanding  principal  amount of and accrued and unpaid
interest on the Purchase Money Note obligations of the  Partnership,  as of June
30, 1997, was approximately  $15,079,844.  The aggregate  outstanding  principal
amount of the Purchase Money Notes reported on the  Partnership's  Balance Sheet
($10,274,691  at June 30, 1997),  reflects a discount using an imputed  interest
rate of approximately  21%, which was applied to the face amount of the notes on
the  respective  investment  purchase  dates and which is used to  calculate  an
annual  interest  accrued  in  accordance  with  generally  accepted  accounting
principles that will equate to the legal obligation  expected at maturity of the
notes.

        As of June 30,  1997,  the unpaid  principal  amount of and  accrued and
unpaid interest on the Linden Park Associates Limited Partnership Notes equalled
$2,477,620.

        At June 30, 1997,  the  Partnership  had reserves of $92,175 in cash and
cash  equivalents.  Accrued interest  totaling  $369,947 due on certain Purchase
Money  Notes  from  distributions   received  from  the  related  Local  Limited
Partnerships was distributed in the second quarter of 1997.

        In 1997, the Partnership  accrued  interest of $7,821 on the Linden Park
Associates  Limited  Partnership  Notes  held by the  Partnership  and  received
$13,720  of  interest  payments  on  these  notes.  As of  June  30,  1997,  the
outstanding  balance of principal and accrued and unpaid interest  receivable on
these notes amounted to $249,354.

Partnership Operations

        The Partnership is engaged solely in the business of owning interests in
the Local Limited Partnerships rather than the direct ownership of real estate.

        The  Partnership's  net loss  increased to  $1,008,459  in the first six
months of 1997 from  $957,159  in the first six  months of 1996  primarily  as a
result of the increase in the Partnership's interest expense.

        The  Partnership's  interest income reflects interest earned on reserves
and interest  net of discount  amortization  on the long term notes  receivable.
Total interest  income  increased  $12,007 to $26,579 in the first six months of
1997  compared  to  $14,572 in the first six months of 1996.  This  increase  is
primarily  attributable  to  interest  payments  received  on  the  Linden  Park
Associates Limited Partnership Notes held by the Partnership.


                                       11

<PAGE>



                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

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


Partnership Operations, continued


        The Partnership's  interest expense increased to $1,052,742 in the first
six months of 1997 from $923,909 in the first six months of 1996.  Such increase
is attributable to the accrual of interest under the Purchase Money Notes.

       The  Partnership's  equity in income from the Local Limited  Partnerships
was  $84,860 in the first six months of 1997 and $10,810 in the first six months
of 1996.  The $74,050  increase in income  recognized in the first six months of
1997 is attributable  to the recognition of investment  income of $32,120 from a
cash  distribution  from Glendale  Manor which would have reduced its investment
amount balance below zero,  plus an increase in the  Partnership's  share of net
income recorded of $41,930.




                                       12


<PAGE>


                                   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.


                                 LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP

                                  By:        TNG Properties Inc.
                                             Managing General Partner



                                  By:        /s/ Michael A. Stoller
                                             Michael A. Stoller
                                             President and CEO


                                  By:        TNG Properties Inc.
                                             Managing General Partner



                                  By:        /s/ Wilma R. Brooks
                                             Wilma R. Brooks
                                             Chief Financial Officer


Date: August 12, 1997