The fund, which was doubled during a housing crisis summit last October, is expected to deliver annual returns of $130 million.
Treasurer Cameron Dick is calling for more expressions of interest for grants to build social or affordable homes from community housing providers, private sector developers, super funds and construction firms.
"It's gone from $65 million a year to $130 million a year ... it means we can work with the private sector more innovatively to get more homes out in the community," Mr Dick told reporters on Thursday.
Social and affordable developments on privately owned sites could be eligible for millions of dollars in grants through an expression-of-interest process that will be open for another three months.
"It's got to stack up as value for money for Queenslanders, it's got to make sure that we can deliver low-cost rent," Mr Dick said.
"It could be standalone homes, it could be a small development in a rural community or regional community like Hervey Bay."
The treasurer hopes the latest round of funding will attract proposals from construction companies in regional and rural areas as well.
"They want to have a part, and be a part, of the housing investment fund, so that's why we go to the market, we listen to them," he said.
The fund has previously been used to support a commercial partnership for 1200 residences between Brisbane Housing Company and the Queensland Investment Corporation.
Mr Dick said construction would start on those homes this year and they would be completed in 2025.
Meanwhile, a build-to-rent pilot project for 470 homes in Brisbane has taken a step forward after investment manager Cedar Pacific is selected to deliver it.
Up to 250 of apartments will be available at a discounted rent subsidised by the state government.
The public-private partnership model is something Cedar Pacific chief executive Mark de Medici wants to see more of across the county.
"It provides institutional investors an attractive investment opportunity in an emerging sector whilst delivering a social benefit to fulfil their (environmental, social and governance) objectives" Mr de Medici said.
Housing affordability is also on the agenda nationally as the federal government presents a plan to increase the number of social and affordable homes.
Housing Minister Julie Collins will introduce legislation to establish a housing future fund, Housing Australia body and the National Housing Supply and Affordability Council to federal parliament on Thursday
The $10 billion housing future fund was one of Prime Minister Anthony Albanese's signature promises during the 2022 election, and has been spruiked as the largest federal housing investment in more than a decade.
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