SECURITIES AND EXCHANGE COMMISSION

                                 WASHINGTON, DC
                                     20549


                    ________________________________________

                                    FORM 8-K
                    ________________________________________

                                 CURRENT REPORT

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

                       Date of Report: December 31, 1996
                       (Date of earliest event reported)


                         INSIGNIA FINANCIAL GROUP, INC.
             (Exact name of registrant as specified in its charter)


              DELAWARE                    0-19066                  13-3591193
   (State or other jurisdiction of     (Commission            (I.R.S. Employer
   incorporation or organization)      File Number)              Identification
                                                                    Number)


                          One Insignia Financial Plaza
                              Post Office Box 1089
                        Greenville, South Carolina 29602
                    (Address of Principal Executive Office)


       Registrant's telephone number, including area code: (864) 239-1000


                     ______________________________________








                                       
<PAGE>



Item 5.  Other Events


On December 31, 1996, a 25% owned affiliate of Insignia  Financial  Group,  Inc.
("Insignia"  or the  "Company"),  successfully  completed the  acquisition of 25
multi-family  properties.  The  affiliate  ("Southwest  Associates")  is a joint
venture  with  Blackstone  Real  Estate  Advisors,  a New York based  investment
banking group.  Southwest Associates entered into a Purchase Agreement with GSSW
Limited  Partnership and GSSW-REO Ownership  Corporation to acquire assets known
as the GSSW  Portfolio,  which were formerly  owned by a joint  venture  between
Great Southern Life Insurance Company and Southwestern  Life Insurance  Company.
Insignia  owns 25% of  Southwest  Associates.  The total  consideration  paid by
Southwest Associates for the GSSW Portfolio was approximately $109 million.

Affiliates of Insignia,  in addition to being a general partner in the acquiring
entity,  became the property  manager for the  properties  effective  January 1,
1997. The addition of approximately  6,000 units is expected to add $1.0 million
in management fee revenues.

Item 7.  Financial Statement and Exhibits

         (c)     Exhibits

    Exhibit No.

     99.1                  Press Release to be issued January 15, 1997





                                       
<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 hereunto duly authorized.


                                    INSIGNIA FINANCIAL GROUP, INC.

 

                                    By:     /s/ John K. Lines
                                    -------------------------
                                            John K. Lines
                                            General Counsel

Date:  January 15, 1997
[{"type": "8-K", "sequence": "1", "description": "JOINT VENTURE PURCHASE OF CERTAIN ASSETS OF GSSW", "secsgml_size_bytes": 3347}]
{"company-data": {"conformed-name": "INSIGNIA FINANCIAL GROUP INC", "cik": "0000870480", "assigned-sic": "6552", "irs-number": "133591193", "state-of-incorporation": "DE", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "001-13962", "film-number": "97506517"}, "business-address": {"street1": "ONE INSIGNIA FINANCIAL PLZ", "street2": "PO BOX 1089", "city": "GREENVILLE", "state": "SC", "zip": "29602", "phone": "8032391000"}, "mail-address": {"street1": "ONE INSIGNIA FINANCIAL PLZ", "street2": "PO BOX 1089", "city": "GREENVILLE", "state": "SC", "zip": "29602"}, "former-company": {"former-conformed-name": "METSOUTH FINANCIAL CORPORATION", "date-changed": "19600201"}}
SECURITIES AND EXCHANGE COMMISSION

                                 WASHINGTON, DC
                                     20549

                    ________________________________________

                                    FORM 8-K
                    ________________________________________

                                 CURRENT REPORT

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

                       Date of Report: December 31, 1996
                       (Date of earliest event reported)

                         INSIGNIA FINANCIAL GROUP, INC.
             (Exact name of registrant as specified in its charter)

              DELAWARE                    0-19066                  13-3591193
   (State or other jurisdiction of     (Commission            (I.R.S. Employer
   incorporation or organization)      File Number)              Identification
                                                                    Number)

                          One Insignia Financial Plaza
                              Post Office Box 1089
                        Greenville, South Carolina 29602
                    (Address of Principal Executive Office)

       Registrant's telephone number, including area code: (864) 239-1000

                     ______________________________________
Item 5.  Other Events

On December 31, 1996, a 25% owned affiliate of Insignia  Financial  Group,  Inc.
("Insignia"  or the  "Company"),  successfully  completed the  acquisition of 25
multi-family  properties.  The  affiliate  ("Southwest  Associates")  is a joint
venture  with  Blackstone  Real  Estate  Advisors,  a New York based  investment
banking group.  Southwest Associates entered into a Purchase Agreement with GSSW
Limited  Partnership and GSSW-REO Ownership  Corporation to acquire assets known
as the GSSW  Portfolio,  which were formerly  owned by a joint  venture  between
Great Southern Life Insurance Company and Southwestern  Life Insurance  Company.
Insignia  owns 25% of  Southwest  Associates.  The total  consideration  paid by
Southwest Associates for the GSSW Portfolio was approximately $109 million.

Affiliates of Insignia,  in addition to being a general partner in the acquiring
entity,  became the property  manager for the  properties  effective  January 1,
1997. The addition of approximately  6,000 units is expected to add $1.0 million
in management fee revenues.

Item 7.  Financial Statement and Exhibits

         (c)     Exhibits

    Exhibit No.

     99.1                  Press Release to be issued January 15, 1997
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 hereunto duly authorized.

                                    INSIGNIA FINANCIAL GROUP, INC.

 

                                    By:     /s/ John K. Lines
                                    -------------------------
                                            John K. Lines
                                            General Counsel

Date:  January 15, 1997