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The study will be focused on the Ballyhornan and Bishopscourt areas of the County Down town.
Public consultation will be taken under the NIHE's Rural Homes and People Strategy, with the aim of identifying areas where so-called "hidden need" may exist.
This exercise would assess whether a small new build housing scheme would be viable in the town.
District Manager Aidan Brannigan said: "As the Regional Housing Authority, the Housing Executive is responsible for identifying where housing may be required. We examine our waiting lists to help assess the need."
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Often people living in rural towns do not do not register their interest on waiting lists for their local area because housing to rent may be in short supply or low cost housing may be unavailable to buy, according to Mr Brannigan.
"This often means that people move away to areas where the housing they want is more readily available. This can, in turn, lead to rural population decline, which can threaten the viability of other local services."
NIHE called on locals to come forward and participate in discussions.
"We are inviting people who have not already done so, to contact the Housing Executive. This will allow us to take their interest into account when assessing the need for housing in Ballyhornan and Bishopscourt," said Mr Brannigan.
NIHE has also made an appeal for people seeking co-ownership housing to contribute to discussions, so interests in affordable housing can be highlighted.
(PR/JM)
