IT is a heartbreaking scene as little Jayden and Ebony Hill smile for the camera.

At just five and six years old, they remain blissfully unaware of the nightmare being lived by their parents.

Every night for the past two weeks, parents Matthew Hill and Jessica Ashford have had to explain to their four young children why they will spend another night sleeping in the family car.

The Hills are just one of an increasing number of homeless families living in the Caboolture district, north of Brisbane.

Until two weeks ago, the family had been living with a relative before a sudden change of circumstances forced them to leave.

Without any other friends or family in Queensland and no rental history, the family has found it virtually impossible to find accommodation.

"We've spent the last two weeks looking but no one is willing to give us a chance," Mr Hill said.

"We have everything we own in the car and Jessica is pregnant so it's very, very uncomfortable."

media_camera Caboolture father Matthew Hill, with Jaicob, 4, Jye, 7, Ebony, 5, Jayden, 6 and Jessica Ashford - a local family that live in their 1999 VT Holden Commodore wagon. Picture: Brad Cooper

As Mr Hill suffers from bipolar and receives a disability pension, money is also in short supply.

He said they were doing their best to keep things as "normal as possible" for the children.

"The kids are really happy at school here so we don't want to leave the area," he said.

"But we desperately need a house that we can get the kids settled into."

Since finding themselves on the street, the Hills have been relying on the support of Caboolture crisis centre, Friends of the Street.

Founder Phil McLean said he had seen the number of homeless people rise dramatically in the past six months.

"We're helping 380 to 400 people a month," he said.

"This is just one family, there's many more like them."

Mr McLean said the Hills had "tried everything" to find somewhere to live.

"They (government services) are not listening to these people, they've been everywhere," he said.

"Because these guys are a normal family it's so much harder for them to get help."

"They're on the waiting list for affordable housing but that could take years."

media_camera Jayden, 6, and Ebony, 5, are homeless with their family in Caboolture. Picture: Brad Cooper

State Member for Morayfield Darren Grimwade said the public housing waiting list in his electorate, which covers Caboolture, had dropped from 831 families in March, 2012, to 325 applicants at present.

This was achieved through building additional housing stock and other strategies, Mr Grimwade said.

"I was recently joined in the electorate by the Hon Tim Mander MP, Minister for Housing who officially opened a new public housing complex on Caboolture River Road with 13 one and two bedroom units. The most recent State budget also included funding for a 17 unit complex to be constructed in Frank St, Caboolture South. These additional funded housing complexes will further assist in reducing our waiting lists.

"We have a number of organisations in our local area who are State Government funded and also many non-Government organisations who do a wonderful job working in collaboration with the Department of Housing to ensure families most in need are able to be placed in appropriate affordable housing."

For three years, Mr McLean has been fighting for a homeless shelter to be established in the Caboolture district.

"We desperately need one," he said.

"All we need is an old house with a working hot water system. Most people only usually need accommodation for one or two days to let them calm down, have a shower and a hot meal and forget their problems for a little while."

Mr Hill said he did not know what the future held for his family.

"For now, just another night in the car."