Research by Shelter Scotland found the median time spent in temporary accommodation by families with children has increased by almost 20% in the last two years to almost 20 weeks.
In addition, that 13% of families with children were in temporary accommodation for longer than a year compared to 11% of households without children.
With councils providing 3.8 million days of temporary accommodation to homeless families and individuals last year, further figures revealed the number of homeless children in temporary accommodation rose by 17% in September 2016.
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A previous Audit Scotland report estimates local authorities spend around £27 million per year extra on temporary housing than if they provided permanent homes.
While the Scottish Government has committed to building 50,000 'affordable' homes by 2021, Shelter Scotland Deputy Director Alison Watson said the figure "falls short" of the minimum 12,000 per year which is required.
"If we do build enough affordable housing of the right sort in the right places, then people's stay in temporary accommodation can be cut dramatically, the profound impact of homelessness can be reduced and people can rebuild their lives sooner," she said.
"We'd also save millions of pounds a year to the public purse."
Ms Watson added a new national homelessness strategy is needed across government departments to help tackle the situation.
"If homeless families and individuals are having to stay longer in temporary accommodation because of the lack of appropriate housing for them, it's imperative that guidance on the expected minimum standard of accommodation is given to ensure that people's stays in temporary accommodation are positive and not a miserable life in limbo," she concluded.
(LM)
