The council is about to launch a 12 week public consultation on ways to stop the housing crisis from blighting Milton Keynes.
The Housing Strategy aims to increase the supply of local housing and manage the demand.
Councillor Nigel Long, Cabinet member for housing, said: “It highlights how important increasing the number of new homes is to tackling the cities homelessness, housing and affordability problems.”
The council also want to see housing associations and private landlords in MK improve their performance.
Councillor Long said tackling homelessness was a top priority.
“We aim to end rough sleeping. We also aim to end the shame of hundreds of families in temporary accommodation. That requires building many new homes and a change of heart by the government.”
MK Council currently owns 13,000 homes in MK. The Housing Stragegy aims to build 500 more. It also plans to work with partners to deliver more “truly affordable new homes”.
The strategy, which will be launched at the Cabinet meeting next Tuesday, covers the period 2018-2023.
Councillor Long said: “Over the summer and in the autumn we will be consulting people. We want to hear from residents, developers, providers and the voluntary sector on how we can end the housing crisis blighting our city.”