The big new estate marks a significant expansion of the town.
J Ross Developments has won outline planning permission from Shropshire Council to build the houses on land off Shrewsbury Road. It has held talks to resolve issues regarding traffic and the effect more cars would have on surrounding areas.
And it hopes to start work on the homes early next year once full planning permission has been granted.
J Ross Developments managing director Nick Scott said: “We have been working closely with the local authority to complete the necessary legal documentation to allow the planning permission to be issued.
“We are hopeful that this process will be completed very shortly so that we can progress our reserved matter planning application for the first phase of residential development.
“We recognise the importance of this scheme for the town of Oswestry, which requires a range of good quality homes to meet the needs of local residents.”
Outline permission was granted in April for the land, on the eastern edge of Oswestry, and detailed plans will go before Shropshire Council shortly.
Mr Scott said: “Our detailed scheme proposals are designed to meet these requirements and will include a choice for first time buyers, growing families and downsizers in a garden village setting.”
Ten per cent of the homes will be affordable housing, and J Ross successfully applied to extend the usual five-year permission to seven years to allow the large number of houses to be constructed.
The development was made possible after the government gave £9.3 million to fund two roundabouts on the Oswestry bypass to be upgraded and a new one to be built on Shrewsbury Road.
Originally Highways England had objected, but objections were removed after new plans were put in place, including a spine road connecting the new homes to the new roundabout, with traffic calming planned for Middleton Road to put motorists off using that access.