Work on ten new affordable homes in West Meon has started after local MP George Hollingbery cut the first sod on the project.
The homes will be available for people with strong local connections and comes after residents in the South Downs National Park village voted to have the properties built.
They will also meet the code for sustainable homes and are to be built by Drew Smith and managed by Hyde Housing Association.
"I was delighted to be invited to put a spade into the ground and start off this great project that will help local people have a home in West Meon for generations," said George.
"Affordable homes for families is a major issue in the Meon Valley and this innovative initiative shows just what local people and the parish council can do.
"It's also very much in line with government localism legislation designed to empower communities to be part of the planning process."