THE lack of affordable homes in the Forest has been put into sharp focus after more than 320 people fought over nine new houses in Littledean.
Around 25 people are set to move into the newly-built Three Trees Way development this weekend, but more than 300 people have missed out.
All the applicants had to demonstrate a link to the village.
They are among the 2,300 people who are currently on the waiting list for affordable housing in the Dean.
District councillor Patrick Molyneux (Con, Hewelsfield and Woolaston) cabinet member for regeneration and planning, said that action was being taken to address the problem.
He said: "There is an issue but I don't think it is exceptionally worse here than elsewhere.
"The huge number of responses for the houses in Littledean shows there is a real need for affordable homes in the district.
"We have a lot of new developments coming but we still need more."
These include plans for 80 affordable homes as part of a 133-home development under way in Lydney.
Major developments are also earmarked for the Ensor's abattoir site in Cinderford and Angel Farm in Coleford.
The rush for affordable homes follows shocking figures announced last month which show the average house price in the Forest is now more than 10 times the average salary.
Figures from the National Housing Federation show prices have risen by 140 per cent since 1999 while incomes have gone up just 21 per cent in the same period.
The newly-built Three Trees Way development in Littledean is to be officially launched this afternoon. The street has been named by pupils from Littledean CofE Primary who won a competition launched by Two Rivers Housing which has built the homes.
The nine houses feature state-of-the-art eco-technology including photovoltaic roof tiles and airtight construction.
Malcolm Vine, strategic housing manager at Forest of Dean district council said: "We were pleased to be able to help nine local families to maintain their links with the village. The huge number of applications for these homes shows just how great a demand there is for affordable housing in the Forest of Dean.
"As a result of the success of this scheme we hope that other parishes will be interested in similar developments and explore further the housing needs of their own communities."
Garry King, Two Rivers' chief executive said: "We're committed to providing quality homes."