An approach from Lincolnshire Community Land Trust could be a step to new homes being built in the village.
The parish council responded to the trust’s letter about community-led housing with an invitation for representatives to speak to councillors and members of the public at a future meeting.
Coun Michael Booth, a former housing committee chairman with South Holland District Council, said: “There are a lot of people who need housing, certainly our first time people who want to get on the housing ladder.
“If it does create a few houses for Sutton Bridge, I think the people of Sutton Bridge would be interested to hear what they have got to say.”
Projects have happened in other places, where parish councils have helped provide land for building.
Coun Booth said: “It’s been done in the past and it’s a route to getting houses built.”