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 March 31, 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 12
<PAGE>



                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

                                      INDEX



                                                                     Page

Part I:  Financial Information

Item 1. Financial Statements:

        Balance Sheets, March 31, 1997 and December 31, 1996         3-4

        Statements of Operations for the Three Months
          Ended March 31, 1997, and 1996                               5

        Statements of Cash Flows for the Three Months Ended
          March 31, 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)
                                     March 31, 1997      December 31, 1996
                                   -----------------     -----------------

Assets

Current assets:

    Cash and cash equivalents          $  516,842          $  163,915
                                                          
    Other current assets                    2,321                  31
                                       ----------          ----------
                                                          
        Total current assets              519,163             163,946
                                                          
Long-term notes and accrued interest                      
    receivable                            131,622             127,668
                                                          
Investments in local limited                              
    partnerships                        1,972,515           2,295,189
                                       ----------          ----------
                                                          
        Total assets                   $2,623,300          $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)
                                         March 31, 1997       December 31, 1996
                                       -----------------      -----------------

Liabilities and Partners' Deficit

Current liabilities:
    Accounts payable to affiliates        $     58,771          $     58,271 
    Accounts payable                             1,000                 1,000
    Accrued expense                             15,600                15,600
    Accrued interest payable                   385,901               385,901
                                          ------------          ------------
                                                             
        Total current liabilities              461,272               460,772
                                                             
Purchase money notes                        10,198,949             9,684,281
                                          ------------          ------------
                                                             
        Total liabilities                   10,660,221            10,145,053
                                          ------------          ------------
                                                             
Partners' deficit:                                           
    General partners:                                        
        Capital contributions                    4,202                 4,202
        Accumulated losses                    (181,160)             (176,373)
                                          ------------          ------------
                                              (176,958)             (172,171)
                                          ------------          ------------
                                                             
    Limited partners (21,576 Units):                         
        Capital contributions (net of                        
          offering costs of $1,134,440)      9,649,520             9,649,520
        Accumulated losses                 (17,509,483)          (17,035,599)
                                          ------------          ------------
                                            (7,859,963)           (7,386,079)
                                          ------------          ------------
                                                             
        Total partners' deficit             (8,036,921)           (7,558,250)
                                          ------------          ------------
                                                             
        Total liabilities and partners'                      
           deficit                        $  2,623,300          $  2,586,803
                                          ============          ============
                                                       








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



                                        4

<PAGE>



                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

                            STATEMENTS OF OPERATIONS
                                   (Unaudited)


                                          For the Three Months Ended
                                                   March 31,
                                          --------------------------
                                            1997              1996
                                            ----              ----


Interest income                           $  17,227        $   7,451 
                                                          
Expenses:                                                 
                                                          
  Interest expense                          514,668          419,190
                                                          
  General and administrative                              
    expense                                  30,736           29,664
                                          ---------        ---------
                                                          
    Total expenses                          545,404          448,854
                                          ---------        ---------
                                                          
Loss before equity in income (loss)                       
 of local limited partnership                             
 investments                               (528,177)        (441,403)
                                          ---------        ---------
                                                          
Equity in income (loss) of local                          
  limited partnership                                     
  investments                                49,506           21,092
                                          ---------        ---------
                                                          
Net loss                                  $(478,671)       $(420,311)
                                          =========        =========
                                                      
Net loss per Limited Partnership
Unit, based on 21,576 Units
outstanding in the first three
months of 1997 and 1996                   $  (21.96)       $  (19.29)
                                          =========        =========










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


                                        5

<PAGE>




                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

                            STATEMENTS OF CASH FLOWS
                                   (Unaudited)

                                                    For the Three Months Ended
                                                              March 31,
                                                    --------------------------
                                                        1997          1996
                                                        ----          ----
Cash flows from operating activities:
    Cash distributions from local limited
        partnerships                                  $ 369,947    $ 125,006 
    Cash paid for Partnership administration         
        expenses                                        (30,236)     (24,937)
    Interest received                                    13,216        6,312
                                                      ---------    ---------
      Net cash provided by                           
           operating activities                         352,927      106,381
                                                      ---------    ---------
                                                     
Net increase in cash and                             
     cash equivalents                                   352,927      106,381
                                                     
Cash and cash equivalents at:                        
    Beginning of period                                 163,915      293,331
                                                      ---------    ---------
    End of period                                     $ 516,842    $ 399,712
                                                      =========    =========
                                                  

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

Net loss                                              $(478,671)   $(420,311)
Adjustments to reconcile net loss to net
    cash used in operating activities:
        Share of income of local limited
          partnership investments                       (49,506)     (21,092)
        Cash distributions from local limited
          partnerships                                  369,947      125,006
        Interest expense added to purchase money
          notes, net of discount amortization           514,668      419,189
        Interest income added to long-term
          notes receivable, net of discount
          amortization, and interest received            (3,954)      (1,035)
        Decrease (increase) in other current assets         (57)        (103)
        (Decrease) increase in:
          Accounts payable to affiliates                    500        4,678
          Accounts payable                                 --             49
                                                      ---------    ---------

        Net cash provided by operating
           activities                                 $ 352,927    $ 106,381
                                                      =========    =========



   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 March 31, 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)
                                              March 31,      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                  (3,800,788)    (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    $ 1,972,515    $ 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 Three Months Ended
                                                       March 31,
                                              --------------------------
                                               1997             1996
                                               ----             ----

Rental and other income                      $ 1,325,511    $ 1,298,838 
Expenses:                                   
    Operating expenses                           857,679        822,541
    Interest expense                             258,943        302,749
    Depreciation and amortization                242,047        237,855
                                             -----------    -----------
    Total expenses                             1,358,669      1,363,145
                                             -----------    -----------
                                            
Net loss                                     $   (33,158)   $   (64,307)
                                             ===========    ===========
                                            
Partnership's share of net loss              $   (32,893)   $   (59,674)
                                             ===========    ===========
                                            
Other partners' share                       
    of net income (loss)                     $      (265)   $    (4,633)
                                             ===========    ===========
                                   

        The  differences  between the  Partnership's  share of income  (loss) in
Local  Limited  Partnership   investments  in  the  Partnership's  Statement  of
Operations  for the three  months ended March 31, 1997 and 1996 and the share of
net loss in the  above  Summarized  Statements  of  Operations  consists  of the
following:

                                                  For the Three Months Ended
                                                           March 31,
                                                  --------------------------
                                                      1997         1996
                                                      ----         ----
Share of income (loss) in Local Limited
    Partnership Investments in the
    Partnership's Statement of Operations           $ 49,506    $ 21,092 
                                                   
Partnership's share of loss in the above           
    summarized Statements of Operations              (32,893)    (59,674)
                                                    --------    --------
        Difference                                  $ 82,399    $ 80,766
                                                    ========    ========
                                                   
Partnership's unrecorded share of losses:          
    Linden Park                                     $ 30,398    $ 64,660
    Brierwood Ltd.                                     2,069       1,300
    Brierwood II, Ltd.                                 1,304       3,408
    Pine Forest Apartments, Ltd.                         415       9,573
    Surry Manor                                       14,007       1,825
    Glendale Manor                                     2,086        --
                                                    --------    --------
        Subtotal unrecorded losses                    50,279      80,766
Cash Distributions from Glendale Manor             
    recorded as investment income                     32,120        --
                                                    --------    --------
                                                   
        Total                                       $ 82,399    $ 80,766
                                                    ========    ========
                                            
                                   (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.


4.       Transactions with Affiliates

        During the three months ended March 31, 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                     $13,375          $12,181
Partnership management fees                    12,500           12,500

        As of March 31, 1997 and 1996, accounts payable to affiliates  totalling
$58,771 and $93,449, respectively,  represent amounts owed for reimbursements of
Partnership  administration  expenses of $7,771 and $42,949,  respectively,  and
partnership management fees of $51,000 and $50,500, respectively.


5.       Statement of Distributable Cash from Operations

        Distributable  Cash From Operations for the three months ended March 31,
1997, as defined in Section 17 of the Partnership Agreement, is as follows:

Interest income per Statement of Operations         $ 17,227

Less:  Interest income added to long-term notes
         receivable, net of discount amortization     (3,954)

       General and administrative expenses per
         Statement of Operations                     (30,736)
                                                    --------
Cash from Operations, as defined                     (17,463)
                                                    --------
Distributable Cash from Operations, as defined      $   --
                                                    ========





                                        9

<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 March
31, 1997, was approximately  $14,883,981.  The aggregate  outstanding  principal
amount of the Purchase Money Notes reported on the  Partnership's  Balance Sheet
($10,198,949 at March 31, 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 March 31, 1997,  the unpaid  principal  amount of and accrued and
unpaid interest on the Linden Park Associates Limited Partnership Notes equalled
$2,518,575.

         At March 31, 1997,  the  Partnership  had  reserves of  $146,895.  This
consists of cash and cash equivalents of $516,842 less accrued interest totaling
$369,947 due on certain  Purchase Money Notes from  distributions  received from
the related Local Limited Partnerships.

         In 1997, the Partnership  received $10,828 of interest  payments on the
Linden Park Associates  Limited  Partnership Notes held by the Partnership,  and
accrued  unpaid  interest  of $74,533.  As of March 31,  1997,  the  outstanding
balance of principal and accrued and unpaid  interest  receivable on these notes
amounted to $248,335.

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  $478,671  in the first three
months of 1997 from  $420,311 in the first three  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  $9,776 to $17,227 in the first three months of
1997  compared to $7,451 in the first  three  months of 1996.  This  increase is
primarily  attributable  to  interest  payments  received  on  the  Linden  Park
Associates Limited Partnership Notes held by the Partnership.





                                       10

<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 $514,668 in the first
three  months of 1997 from  $419,190  in the first  three  months of 1996.  Such
increase is  attributable  to the accrual of interest  under the Purchase  Money
Notes.

       The  Partnership's  equity  in  income  (loss)  from  the  Local  Limited
Partnerships  was $49,506 in the first  three  months of 1997 and $21,092 in the
first three months of 1996.  The $28,414  increase in income  recognized  in the
first three 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, net of a decrease in LHPLP's
share of net income recorded of $3,706.




                                       11

<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: 5/9/97



                                       12