The number of people being made homeless dropped by 20% in 2011, according to official figures.
Scottish Government statistics showed there were 23,796 homeless applications to local authorities between April and September 2011, the lowest number of applications in a decade.
Reductions were recorded in 28 of Scotland's 32 councils, with Aberdeen and the Borders both recording a fall of 56%.
The Government is working towards a homelessness target to ensure that by the end of 2012 all unintentionally homeless people will be entitled to settled accommodation.
Housing minister Keith Brown said: "These encouraging statistics show that we are within touching distance of meeting the 2012 homelessness target.
"Over the past few years councils have been developing services in which staff assist households to consider the range of options available to address their housing needs, including preventing homelessness.
"We will continue to work with councils and their partners to prevent homelessness and improve outcomes for households that do become homeless."
Charity Shelter Scotland welcomed the figures.
Director Graeme Brown said: "A 20% reduction in homeless applications compared to this time last year is great news and I congratulate the majority of local authorities across Scotland who have made huge progress on homelessness.
"This success should not blind us to the scale of Scotland's ongoing housing crisis.
"Nearly 50,000 people still presented as homeless in the last 12 months, so this progress needs to be a catalyst for even greater change."
Elaine Murray, Scottish Labour's spokeswoman for housing, said the Government must "pull out all the stops" if the 2012 target is to be met.
She said: "We must not forget that people become homeless for all sorts of reasons and are among the most vulnerable people in our communities.
"I urge the SNP Government to pull out all the stops to make Scotland's 2012 homelessness target a reality."
Scottish Liberal Democrat housing spokesman Jim Hume said: "Homelessness still blights far too many lives in Scotland.
"While we welcome a 20% decrease in homeless applications, there is absolutely no room for complacency."
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