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, 2000


[ ] 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.)


100 Second Avenue,  Needham, MA                                   02494
(Address of principal executive offices)                        (Zip Code)


Registrant's telephone number, including area code  (781) 444-5251


                   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

                            Exhibits Index on Page 16

                                  Page 1 of 17


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

                                      INDEX




                                                                    Page

Part I:  Financial Information

Item 1. Financial Statements:

        Balance Sheets, June 30, 2000 and December 31, 1999          3-4

        Statements of Operations for the Six Months
          Ended June 30, 2000 and 1999                                 5

        Statements of Cash Flows for the Six Months Ended
          June 30, 2000, and 1999                                      6

        Notes to Financial Statements                               7-10

Item 2. Management's Discussion and Analysis of Financial
        Condition and Results of Operations                        11-15

Part II: Other Information

Item 3. Defaults Upon Senior Securities                              16

Item 6. Exhibits and Reports on Form 8-K                             16



                                       2
<PAGE>
<TABLE>
<CAPTION>

                               LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                                  (A Massachusetts Limited Partnership)

                                              BALANCE SHEETS


                                                                (Unaudited)                (Audited)
                                                               June 30, 2000           December 31, 1999
                                                               -------------           -----------------
<S>                                                            <C>                     <C>
Assets

Current assets:

    Cash and cash equivalents                                   $    344,852             $    526,940

    Interest receivable                                                2,076                     --
    State tax refund receivable                                      211,271                     --
    Deferred legal fees                                               32,672                   40,109
                                                                ------------             ------------

        Total current assets                                         590,871                  567,049


  Investments in local limited
         partnerships                                                897,078                1,475,083
                                                                ------------             ------------

        Total assets                                            $  1,487,949             $  2,042,132
                                                                ============             ============


                                               (continued)

                                                    3
<PAGE>
<CAPTION>


                               LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                                  (A Massachusetts Limited Partnership)

                                        BALANCE SHEETS (continued)


                                                                (Unaudited)                (Audited)
                                                               June 30, 2000           December 31, 1999
                                                               -------------           -----------------
<S>                                                            <C>                     <C>

Liabilities and Partners' Deficit

Current liabilities:
  Purchase Money Notes, current maturities                      $ 10,053,816             $ 12,436,808
  Accounts payable to affiliates                                     237,271                  188,272
  Accounts payable                                                     2,527                    1,565
  Accrued expenses                                                    51,968                   98,597
  Accrued interest payable                                           138,038                  141,318
                                                                ------------             ------------

    Total current liabilities                                     10,483,620               12,866,560

Purchase money notes, net of current maturities                      331,430                  648,199
                                                                ------------             ------------

    Total liabilities                                             10,815,050               13,514,759
                                                                ------------             ------------

Contingencies                                                           --                       --

Partners' deficit:
  General partners:
    Capital contributions                                              4,202                    4,202
    Capital distributions                                               (159)                    (128)
    Accumulated losses                                              (189,403)                (210,889)
                                                                ------------             ------------
                                                                    (185,360)                (206,815)
                                                                ------------             ------------

  Limited partners (21,566 Units at
      June 30, 2000 and December 31, 1999):
    Capital contributions (net of
      offering costs of $1,134,440)                                9,649,520                9,649,520
    Capital distributions                                           (465,762)                (462,706)
    Accumulated losses                                           (18,325,499)             (20,452,626)
                                                                ------------             ------------
                                                                  (9,141,741)             (11,265,812)
                                                                ------------             ------------

    Total partners' deficit                                       (9,327,101)             (11,472,627)
                                                                ------------             ------------

    Total liabilities and partners'
      deficit                                                   $  1,487,949             $  2,042,132
                                                                ============             ============



<FN>
                The accompanying notes are an integral part of these financial statements.
</FN>
</TABLE>
                                                    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 Months Ended
                                                   June 30,                                     June 30,
                                        ---------------------------------         --------------------------------
                                             2000                1999                   2000               1999
                                             ----                ----                   ----               ----
<S>                                    <C>                  <C>                  <C>                  <C>
Interest income                         $     4,408          $    81,673          $    10,166          $    94,640
                                        -----------          -----------          -----------          -----------

Expenses:
 Interest expense                           176,463              386,406              359,271            1,135,343
 General and
 administrative expenses                     27,484               34,813               57,991               66,360
                                        -----------          -----------          -----------          -----------

Total expenses                              203,947              421,219              417,262            1,201,703
                                        -----------          -----------          -----------          -----------

Loss before equity in local
limited partnership investments
and Extraordinary items                    (199,539)            (339,546)            (407,096)          (1,107,063)

Equity in income of Local
 Limited Partnership
  investments                               118,470               56,744              121,610               72,369
                                        -----------          -----------          -----------          -----------

Net Loss before
 Extraordinary items                        (81,069)            (282,802)            (285,486)          (1,034,694)

Extraordinary items:
 Gain on sale of investments
  in Local Limited Partnerships                --              2,654,107            2,434,099            2,654,107
                                        -----------          -----------          -----------          -----------

Net income (loss)                       $   (81,069)         $ 2,371,305          $ 2,148,613          $ 1,619,413
                                        ===========          ===========          ===========          ===========

Units used in computing
Basic Net Income(Loss) per
Limited Partnership Unit                     21,566               21,566               21,566               21,566
                                        ===========          ===========          ===========          ===========

Basic loss per Limited
Partnership Unit before
Extraordinary items                     $     (3.78)         $    (12.98)         $    (13.11)         $    (47.50)
                                        ===========          ===========          ===========          ===========

Basic net income (loss) per
Limited Partnership Unit                $     (3.78)         $    108.86          $     98.63          $     74.34
                                        ===========          ===========          ===========          ===========

<FN>
                    The accompanying notes are an integral part of these financial statements.
</FN>
</TABLE>
                                                         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,
                                                                                 -----------------------------------
                                                                                     2000                    1999
                                                                                     ----                    ----
<S>                                                                             <C>                    <C>
Cash flows from operating activities:
  Cash distributions from Local Limited
    Partnerships                                                                 $   129,618            $   251,371
  Interest payment on purchase money notes                                          (123,760)              (245,730)
  Uncashed interest payments on Purchase
    money notes from prior years                                                         841
  Cash paid for general and administration expenses                                  (27,029)               (14,576)
  Interest received                                                                    8,090                 12,207
                                                                                 -----------            -----------
      Net cash provided (used) by operating activities                               (13,081)                 4,113
                                                                                 -----------            -----------

Cash Flows from financing activity:
  Capital distributions                                                               (3,087)                (5,641)
                                                                                 -----------            -----------
      Net cash used in financing activities                                           (3,087)                (5,641)
                                                                                 -----------            -----------

Cash Flows from investing activities:
  Cash proceeds from sale of investments in
    Local Limited Partnerships                                                       100,000                483,451
  Closing costs                                                                      (54,553)                  --
  Cash paid for deferred legal fees                                                      (96)                  --
  Estimated state taxes paid from proceeds from sale of
    investments in Local Limited Partnerships                                       (211,271)                  --
                                                                                 -----------            -----------
      Net cash provided (used) by investing activities                              (165,920)               483,451
                                                                                 -----------            -----------

Net increase (decrease) in cash and cash equivalents                                (182,088)               481,923

Cash and cash equivalents at:
  Beginning of period                                                                526,940                 42,284
                                                                                 -----------            -----------
  End of period                                                                  $   344,852            $   524,207
                                                                                 ===========            ===========

Reconciliation  of net loss before extraordinary items to net cash provided (used) by
operating activities:

Net loss before extraordinary items                                              $  (285,486)           $(1,034,694)
Adjustments to reconcile net loss to net
  cash provided (used) by operating activities:
    Share of income of local limited
      partnership investments                                                       (121,610)               (72,369)
    Cash distributions from local limited
      Partnerships                                                                   129,618                251,371
    Interest expense added to purchase money
      notes, net of discount amortization                                            238,757                964,358
    Interest income added to long-term
      notes receivable, net of discount
      amortization, and interest received                                               --                  (82,432)
    (Decrease) increase in:
      Interest receivable                                                             (2,076)                  --
      Accrued interest payable                                                        (3,244)               (73,902)
      Accounts payable to affiliates                                                  48,998                 49,027
      Accounts payable                                                                   962                 17,254
      Accrued expenses                                                               (19,000)               (14,500)
                                                                                 -----------            -----------
    Net cash provided by operating activities                                    $   (13,081)           $     4,113
                                                                                 ===========            ===========
<FN>
                     The accompanying notes are an integral part of these financial statements.
</FN>
</TABLE>
                                                          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, 2000.
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, 1999.


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,
                                                   2000             1999
                                               -----------       ------------

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                    (3,331,079)       (3,450,761)

    Cash distributions received from Local
        Limited Partnerships                    (4,199,189)       (4,069,602)

    Cash distributions received from Local
        Limited Partnerships recognized as
        investment income                           95,060            93,162

    Value of Local
        Limited Partnership investments sold    (1,035,518)         (465,520)
                                               -----------       -----------



Investments in Local Limited Partnerships      $   897,078       $ 1,475,083
                                               ===========       ===========


                                   (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,
                                                     ---------------------------
                                                        2000            1999
                                                        ----            ----

Rental and other income                              $ 1,619,168    $ 2,704,338
Expenses:
    Operating expenses                                   978,608      1,747,669
    Interest expense                                     288,437        506,319
    Depreciation and amortization                        294,530        489,155
                                                     -----------    -----------
    Total expenses                                     1,561,575      2,743,143
                                                     -----------    -----------

Net income (loss)                                    $    57,593    $   (38,805)
                                                     ===========    ===========

Partnership's share of net income (loss)             $    58,955    $   (37,668)
                                                     ===========    ===========

Other partners' share of net income (loss)           $    (1,362)   $    (1,137)
                                                     ===========    ===========


         The  differences  between  the  Partnership's  share of income in Local
Limited Partnership investments in the Partnership's Statement of Operations for
the six months  ended June 30, 2000 and 1999 and the share of net income  (loss)
in the above Summarized Statements of Operations consists of the following:

                                                      For the Six Months Ended
                                                               June 30,
                                                     ---------------------------
                                                        2000            1999
                                                        ----            ----
Share of income in Local Limited
    Partnership Investments in the
    Partnership's Statement of Operations            $   121,610    $    72,369
Partnership's share of income (loss) in the
    above summarized Statements of Operations             58,955        (37,668)
                                                     -----------    -----------
           Difference                                $    62,655    $   110,037
                                                     ===========    ===========

Partnership's unrecorded share of losses (income):
    Linden Park                                      $      --      $    54,521
    Brierwood Ltd.                                         6,642          8,131
    Brierwood II, Ltd.                                    13,743          6,042
    Pine Forest Apartments, Ltd.                          17,793          5,995
    Surry Manor                                            8,365         29,317
    Glendale Manor                                         6,590
    Meadowwood                                             7,594
Prior year loss carry forward applied
 against 1999 net income
    Meadowwood                                              --          (11,636)
    Glendale Manor                                          --           (1,335)
                                                     -----------    -----------
       Subtotal                                           60,729         91,035
Cash Distributions
 recorded as investment income                             1,928         19,002
                                                     -----------    -----------

Total                                                $    62,655    $   110,037
                                                     ===========    ===========

                                   (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  Brierwood  Ltd.,
Brierwood II, Ltd., Pine Forest  Apartments,  Ltd., Surry Manor,  Glendale Manor
and  Meadowwood,  LTD.,  until  its  related  investment  was  reduced  to zero.
Subsequent  to  that  point,   further   losses  were  suspended  and  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  $3,087  during the first six
months  of 2000 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,  2000,  and 1999 the  Partnership
recognized  general and  administrative  expenses  owed to the Managing  General
Partner, as follows:
                                         2000                  1999
                                         ----                  ----
Reimbursement of Partnership
  administration expenses              $24,000               $25,019
Partnership management fees             25,000                25,000

        As of June  30,  2000,  and  December  31,  1999,  accounts  payable  to
affiliates totaling $237,271 and $188,272, respectively,  represent amounts owed
for  reimbursements  of  Partnership  administration  expenses of  $120,000  and
$96,001,  respectively, and partnership management fees of $117,271 and $92,271,
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,
2000, as defined in Section 17 of the Partnership Agreement, is as follows:

Interest income per Statement of Operations                     $ 10,166

Less: General and administrative expenses per
         Statement of Operations                                 (57,991)
                                                                --------

Cash from Operations, as defined                                 (47,825)
                                                                --------


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

       Disposition of Investments

       On February 1, 2000, the  Partnership  sold its 98% interest as a limited
partner (the  "Partnership  Interest") in Osuna Apartments  Company ("Osuna") to
the Sovereign  Management  Corporation,  the company retained by Osuna to manage
its apartment  complex (the  "Purchaser").  In consideration for the sale of the
Partnership  Interest,  the  Partnership  received a net cash purchase  price of
$100,000.  In connection  with the sale, the holders of the Purchase Money Notes
(the "Notes")  issued by the  Partnership in connection  with its acquisition of
the  Partnership  Interest  released the  Partnership  from all  liabilities  in
connection  with  the  Notes.  After  transaction   expenses,   the  Partnership
recognized a gain estimated to be $2,434,099 on the sale of the investment.

       As of June 30, 2000 seven series of the Purchase Money Notes, relating to
Fuquay-Varina Homes for the Elderly,  Ltd., Oxford Homes for the Elderly,  Ltd.,
Williamston Homes for the Elderly, Ltd., Austintown Associates, Meadowwood Ltd.,
Brierwood Ltd, and Pine Forest Apartments, Ltd. had matured and were in default.
The remaining  two series of Purchase  Money Notes,  relating to Glendale  Manor
Apartments  and Surry  Manor,  Ltd.  mature on August 29, 2000 and July 9, 2001,
respectively.  None of the series of Purchase Money Notes is  cross-defaulted to
the others, nor are the series of Purchase Money Notes  cross-collateralized  in
any manner.

        The  aggregate  outstanding  principal  amount of and accrued and unpaid
interest on the Purchase Money Note obligations of the  Partnership,  as of June
30, 2000, was $10,580,214.  The outstanding obligations are expected to increase
annually as interest  continues to accrue under the  Purchase  Money Notes.  The
aggregate  outstanding  principal amount of the Purchase Money Notes reported on
the  Partnership's  Balance Sheet  ($10,385,246  at June 30,  2000),  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.  The  unamortized  discount  was
written off in 1999 on those Purchase Money Notes that matured.

       The decrease in Purchase Money Note obligations from December 31, 1999 to
June 30, 2000 reflects  $2,938,554 in Purchase Money Note obligations from which
the Partnership  was released in connection  with the sale of the  Partnership's
interest in Osuna.

        Management does not believe that the principal and accrued  interest due
on  these  notes  can be  realized  or  supported  by the  current  value of the
respective properties,  through either a sale or refinancing.  The Partnership's
interests in these Local Limited  Partnerships  were pledged as security for the
Partnership's obligations under the respective Purchase Money Notes.

                                       11
<PAGE>

                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

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


Liquidity and Capital Resources, continued


The sale or other  disposition by the  Partnership of its interests in the Local
Limited Partnerships,  including in connection with a foreclosure of the pledged
security,  is likely to result in recapture of previously  claimed tax losses to
the Partnership  and may have other adverse tax  consequences to the Partnership
and to the Limited Partners. Such recapture may cause some or all of the Limited
Partners to have taxable income from the Partnership  without cash distributions
from  the  Partnership  with  which  to  satisfy  the  tax  liability  resulting
therefrom.

        The liquidity of the Local Limited Partnerships in which the Partnership
has  invested  is  dependent  on the  ability of the  respective  Local  Limited
Partnerships,  which own and operate  government  assisted  multi-family  rental
housing complexes,  to generate cash flow sufficient to fund operations and debt
service and to maintain  working  capital  reserves.  Each of the Local  Limited
Partnerships  is regulated by government  agencies which require monthly funding
of certain  operating and capital  improvements  reserves and which regulate the
amount of cash to be  distributed  to owners.  Each Local Limited  Partnership's
source of funds is rental income received from tenants and government subsidies.

       Certain of the Local Limited  Partnerships receive rental income pursuant
to Section 8 rental assistance  contracts which expire at various times from May
2000 through March 2005.  Under the Multifamily  Assisted Housing and Reform and
Affordability  Act  (MAHRAA)  of  1997,  as  amended,  Congress  set  forth  the
legislation for a permanent  "mark-to-market" program and provided for permanent
authority  for the  renewal  of  Section  8  Contracts.  Owners  with  Section 8
contracts  expiring  after  September 30, 1998 are subject to the  provisions of
MAHRAA.   On  September  11,  1998,  HUD  issued  an  interim  rule  to  provide
clarification of the implementation of the mark-to-market  program.  Since then,
revised  guidance has been provided  through various HUD housing  notices,  most
recently HUD housing  notice  99-36,  which  addresses  project-based  Section 8
contracts expiring in fiscal year 2000.

       Under this  notice,  project  owners have  several  options for Section 8
contract  renewals,  depending  on the type of project and rent  level.  Options
include  marking rents up to market,  renewing other  contracts with rents at or
below market, referring projects to the Office of Multifamily Housing Assistance
Restructuring  (OMHAR) for  mark-to-market  or "OMHAR lite"  renewals,  renewing
contracts  that are exempted  from  referral to OMHAR,  renewing  contracts  for
portfolio re-engineering demonstration and preservation projects, and opting out
of the Section 8 program.  Owners must submit  their  option to HUD at least 120
days before  expiration of their contract.  Each option contains  specific rules
and procedures that must be followed to comply with the  requirements of housing
notice 99-36.

                                       12
<PAGE>

                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

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


Liquidity and Capital Resources, continued

       As such,  each Local Limited  Partnership may choose to either opt out of
the Section 8 program, request mortgage restructuring and renewal of the Section
8  contract,  or request  renewal of the  Section 8  contract  without  mortgage
restructuring.  Each option contains a specific set of rules and procedures that
must be followed in order to comply with the requirements of MAHRAA. The general
partner  of  Williamston  Homes  received a five year  renewal  to March,  2005,
subject to annual Federal  appropriation of funds. The remaining  properties are
working with HUD to renew their existing contracts for two to five year periods.

       The Partnership  cannot reasonably  predict  legislative  initiatives and
governmental  budget  negotiations,  the  outcome  of which  could  result  in a
reduction  in funds  available  for the various  federal and state  administered
housing programs  including the Section 8 program.  Such changes could adversely
affect the future net  operating  income  and debt  structure  of certain  Local
Limited Partnerships currently receiving such subsidy or similar subsidies.

       Management  currently  anticipates  selling the Partnership's 98% limited
partnership  interests in  Fuquay-Varina,  Oxford Homes and Williamston Homes to
the general  partner of these  partnerships  or his affiliate for  approximately
$150,000 plus the assumption of the related Purchase Money Note obligations. The
sale of these  interests  requires  consent from all the related  Purchase Money
Note  holders.   Such  consents  have  been  requested  and,   although  certain
documentation  remains  outstanding,  management believes that unanimous consent
has been obtained.  Management  anticipates  closing these  transactions  in the
third quarter of 2000.

       Management  had also  entered into an  agreement  with the local  general
partner  of  Austintown   Associates  to  sell  the  Partnership's  98%  limited
partnership interest, subject, among other things, to the consent of the related
Purchase  Money Note holders.  A meeting with the Purchase Money Note holders to
discuss this  transaction  was held in November  1999. The  Partnership  has not
received  unanimous  consent of the Purchase Money Note holders and  accordingly
the agreement  expired on April 1, 2000.  Management  is continuing  discussions
with the local general  partner  regarding  possibilities  for disposing of this
investment.

       Management  presently  anticipates entering into an agreement to sell the
Partnership's  94%  interests  in  Brierwood I & II, Pine Forest and  Meadowwood
Apartments.  The sale of the Partnership's interests in Brierwood I, Pine Forest
and Meadowwood  Apartments also requires  consent from all the related  Purchase
Money Note holders.  Management presently  anticipates selling the Partnership's
94% Limited  Partnership  interests in these  properties in the third quarter of
2000.

       The  Partnership  has  commenced  discussions  with the local manager for
Surry Manor,  Ltd. and Glendale Manor  Apartments to purchase the  Partnership's
interests  in those  partnerships.  Management  expects to pursue more  detailed
discussions in the third quarter of 2000.

                                       13
<PAGE>



                  LIBERTY HOUSING PARTNERS LIMITED PARTNERSHIP
                      (A Massachusetts Limited Partnership)

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


Liquidity and Capital Resources, continued

        No  assurance  can be  given  that  the  Partnership  will  be  able  to
successfully  conclude any of the above  transactions.  If Partnership funds are
insufficient  to pay when due the  Purchase  Money  Notes,  the  holders  of the
Purchase  Money  Notes  will have the right to  foreclose  on the  Partnership's
respective  interests  in the  Local  Limited  Partnerships.  The  sale or other
disposition   by  the   Partnership  of  its  interests  in  the  Local  Limited
Partnerships,  including in  connection  with such a  foreclosure,  is likely to
result in recapture of previously  claimed tax losses to the Partnership and may
have other adverse tax  consequences to the Partnership and to the Unit holders.
Such  recapture may cause some or all of the Unit holders to have taxable income
from the Partnership  without cash distributions from the Partnership with which
to satisfy the tax liability resulting therefrom.

       At June 30, 2000, the Partnership had total cash and cash  equivalents of
$344,852,  which  consisted  of funds  segregated  pursuant  to the terms of the
consulting  agreement  with the  General  Partner of Linden Park  Associates  of
$145,065 and cash reserves of $199,787.  The reserves include $841  representing
uncashed  checks issued to certain  Purchase Money Note holders for interest due
under their notes. This amount is also included in accrued interest payable. The
increase  in cash  reserves  compared  to  $120,946  at  December  31,  1999 was
primarily funded from the proceeds of the sale of the Partnership's  interest in
Osuna Apartments.

        Estimated  state taxes totaling  $211,271 were paid from the proceeds of
the sale of the  Partnership's  investments  in Fiddlers Creek  Apartments.  The
Partnership has  subsequently  reevaluated this obligation and has applied for a
refund of amounts previously remitted.

        The only sources of  Partnership  funds are (i)  distributions  from the
Local Limited Partnerships (substantially all of which are presently required to
be applied to payment of interest  accruing on the Purchase  Money  Notes),  and
(ii) Partnership reserves.


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.
As  discussed   above,  the  Partnership  is  currently  in  various  stages  of
negotiations to sell its interests in the remaining local limited  partnerships.
If the  Partnership  is successful  in disposing of its  remaining  investments,
management presently intends to wind up the Partnership's  operations by the end
of the Year 2001.

       The  Partnership's  net loss  before  extraordinary  items  decreased  to
$285,486 in the first six months of 2000 from $1,034,694 in the first six months
of 1999  primarily  as a result of the  decrease in the  Partnership's  interest
expense of $776,072.

                                       14
<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

        On  February  1,  2000  the  Partnership  sold its  investment  in Osuna
Apartments.  The  Partnership  realized a net gain of $2,434,099,  determined as
follows:

Cash received                                                   $   100,000
Forgiveness of Purchase Money Notes                               2,938,554
Less: Investment in Osuna Apartments                               (569,998)
Less: Consulting fees paid in connection with
      the disposition                                               (26,924)
Less: Professional fees                                              (7,533)
                                                                -----------
Gain on sale of investment in Osuna Apartments Company          $ 2,434,099
                                                                ===========

       In the  first six  months  of 2000,  the  Partnership's  interest  income
reflects  interest  earned on reserves  of  $10,166.  In the first six months of
1999,  interest income totaling $94,640 consisted of interest earned on reserves
of $2,022 and  interest  net of discount  amortization  on the  long-term  notes
receivable of $18,094 and the write off of the unamortized discount of $74,524.

       The Partnership's interest expense decreased to $359,271 in the first six
months of 2000 from  $1,135,343 in the first six months of 1999. The decrease is
attributable  to the  decrease  in  discount  amortization  included in interest
expense of $661,696 and the reduction of interest accrued totaling  $114,376 due
to the sales of the Fiddlers  Creek  investment  and Osuna  Apartments  Company,
which included the assumption or release of the related Purchase Money Notes, on
May 28, 1999 and February 1, 2000, respectively.

       The  Partnership's  equity in income from the Local Limited  Partnerships
was $121,610 in the first six months of 2000 and $72,369 in the first six months
of 1999.

                                       15

<PAGE>



                                     Part II
                                Other Information

Item 3. Defaults Upon Senior Securities.

        On  September  29,  1999  the  Purchase  Money  Notes   outstanding  for
Fuquay-Varina,  Oxford Homes and Williamston  Homes matured.  The amounts due at
maturity  under  these  non-recourse  obligations  consisted  of  $2,015,000  in
aggregate  principal amount and $530,961 in accrued and unpaid  interest.  As of
June  30,  2000,  the  aggregate   arrearages  under  these  notes  amounted  to
$2,571,102.

        The  Purchase  Money  Notes  outstanding  for Compass  West  Apartments,
Meadowwood  Ltd,  Brierwood Ltd and Pine Forest matured on October 30, 1999. The
amounts  due at maturity  under  these  non-recourse  obligations  consisted  of
$2,830,000 in aggregate  principal  amount and  $3,608,251 in accrued and unpaid
interest.  As of June 30,  2000,  the  aggregate  arrearages  under  these notes
amounted to $6,603,421.


Item 6. Exhibits and Reports on Form 8-K

       (b) Reports on Form 8-K.

       On February 15, 2000, the Partnership  filed a Current Report on Form 8-K
to report the disposition on February 1, 2000 of its limited partner interest in
Osuna Apartments Company. The Form 8-K was amended on April 13, 2000, to include
pro forma financial information for the Partnership, reflecting the disposition.

                                       16
<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: 8/11/00


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