This is the children’s picture book I am looking for:

Circa 1940s +/- a decade

Pictures are, I think, in water color

Colors are dark and muted as it is night time

Story has to do with houses that – at night – gossip among themselves

Pictures show mouths and eyes and expressions on the fronts of the houses

Some of the houses are very proud and snooty to other houses

That’s all I remember.