Donegal County Council is being urged to avail of funding from the Croí Cónaíthe Fund announced in Budget 2023.
The initiative would see the development of servcied sites in towns and villages that would facilitate people who wish to build their own homes.
The local authority has confirmed that work is ongoing in the context of the County Development Plan.
Councillor Donal Coyle says such developments have proved to be positive in the past: