CEREDIGION faces a critical shortage of homes for people on low incomes, according to a housing chief.
The chief executive of the housing association Tai Ceredigion, Steve Jones, said there is a desperate lack of one and two-bedroom houses.
The association has attempted to build more houses — but stirred up stiff opposition to the plans to build on a green space in Cardigan.
"This housing crisis is going from bad to worse," he said.
"There is a huge need for more social housing in Ceredigion, to meet the needs of local people, many of who are on very low incomes.
"While homelessness is often associated with cities, the rural situation is as bad, if not worse because of the limited supply of accommodation available."
Mr Jones said Tai Ceredigion had doubled its provision of temporary housing used by Ceredigion Council, from 20 to 40 properties.
The association met stiff opposition, however, when it tried twice to build flats on the green space at Maesglas in Cardigan.
People living in the area, which includes a children's play area, are now trying to register it as 'village green' status to prevent any development in the future.
The issue of housing was brought up at a meeting of Ceredigion Council recently.
Cardigan county councillor John Adams Lewis, who declared an interest over the Maesglas matter, said in general terms: "I think there has to be a dialogue between Tai Ceredigion and the county council about where they are going to build.
"They can't just build on every little bit of green area they come across in Cardigan or other towns."
He added: "There are a lot of houses for sale or rent in Cardigan. That is a fact.
"Even if there is such a shortage, I think homelessness is something that should be decided by the county council."