Lisa Pascoe told delegates at the Association of Directors of Children's Services annual conference in Manchester that the inspectorate is receiving an increasing number of reports about unregulated homes operating.
"We're increasingly seeing and hearing about provision we think should be registered," Pascoe said. "It's always existed but it's growing - I'm quite worried about that."
She said that in some of these homes, one member of staff is looking after three children, many of whom are highly vulnerable teenagers.
"These homes are not regulated or have the oversight of that of children's homes and that doesn't seem right," added Pascoe.
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