Sometimes an Erotic Dream will involve homosexual relations, even if the dreaming character is straight. And when this trope is applied, especially if the dreaming character is straight (or thought themselves straight).
Often if another cast member appeared in the dream, that person will find out about it, and will feel, if anything, more homosexual anxiety than the dreaming character. There will probably be some discussion of how this dream does not necessarily mean that the dreaming character really is gay—but likely this will not be reassuring for any characters involved in the dream.
This trope stems from Homoerotic Subtext as well as Erotic Dream. Also, whatever weird crap your unconscious mind can dish up. This is of course Truth in Television but people usually don't want to talk about it. Compare Stupid Sexy Flanders.
- In YuYu Hakusho, in order to get back to life in the first few episodes, Yusuke has to contact people he knows with spiritual awareness through dreams. One of the people is Kuwabara, who has a dream of Yusuke kissing him (since that's how Yusuke's body is supposed to come back)... and is immediately weirded out by it.
- Strike Witches had Yoshika having a dream about her best friend Lynette. Her explanation for said dream was that they were "flying in formation".
- This trope is pretty much the premise of the Miyuki-chan in Wonderland series. Despite having one of these every night, she still can't figure out what her dreams are trying to tell her.
- In Azumanga Daioh, Kaorin has a dream with Sakaki. She is subsequently embarrassed when her parents notice that she had been drooling in her sleep.
- In Tengen Toppa Gurren Lagann's Special, titled "Viral's Sweet Dream", Viral continually has nightmares of Kamina in drag, the first time with Kamina being a bar pianist (wearing a wig and dress and everything) that Viral tries to hit on, and the second time with Viral talking to his child, only for it to be revealed that he's the "papa" and Kamina is the "mama".
- Ranma ˝: Due to the fact Ranma Saotome is a male-to-female Gender Bender, all of his Erotic Dreams technically fall under this category. As Ranma is strictly heterosexual, these invariably cause him considerable distress upon waking. The most explicit format is the anime take on his first Catapult Nightmare, which has (male) Ranma, who had just received a declaration of love from Tatewaki Kuno in the last episode, entering a room to find Tatewaki seated there, only to turn around and repeat his declaration of love. The floor promptly gave out and dumped a naked (and still male) Ranma in the bath… where he finds himself confronted by an equally nude Tatewaki, who stares at him with a love-sick expression and repeats his desire to date Ranma.
- Julia from Strawberry Shake Sweet has a lot of these about Ran.
- Tsuzuki in one volume of the manga version of Descendants of Darkness has a fairly tame but rather shiver-inducing one of these involving Muraki.
- Daisuke of D.N.Angel once had a dream that featured him hugging his crush Risa but she suddenly turned into Satoshi.
- In the Yaoi Genre Oku-san's Daily Fantasties Oku has erotic daydreams almost constantly about his crush, Sudo, and (understandably) has a couple of erotic dreams as well.
- Axis Powers Hetalia:
- Iceland had a dream where he was flying through the air with Turkey while the latter was only wearing his mask, a Santa hat, and boxer shorts.
- France seems to get one over at America and England's house, about China. ("China, you're so cute…) For further effect, he even has steam coming out of his head and a Longing Look on his face. All of this happens while China is in the same room. Hilarity Ensues.
- In the Girls und Panzer spin-off Ribbon Warrior, Rin has one about being Shizuka's ponygirl.
- Subverted in the OVA for Lucky Star. During a dream Kagami is having, dream-Konata tells her that the only way she can undo a spell is to say a specific phrase. Kagami ends up saying it out loud as she wakes up from a nap. It's unknown specifically what she said (she said "I want to *BLEEP* with Konata") but her sister's awkward reaction to hearing it along Kagami's embarrassment implies something less innocent than "I want to cosplay with Konata".
- In Chapter 15 of Off*beat, Tory has an Imagine Spot where he and Colin face off against Dr. Garrets in a Star Wars-esque world. After defeating Dr. Garrets, Tory pats Colin on the shoulder— and accidentally strips him down to his underwear. They draw closer, as if to kiss... and cut to the next morning, where Tory's mother tucks him in before leaving.
Tory: (ducking underneath the covers while blushing) Ah, shit!
- Cable & Deadpool:
- A recurring joke. When Black Mamba was using her ability to make people hallucinate their greatest fantasies in order to pacify Deadpool, he dreamed about applying sun tan lotion to Cable (and oiling his Techno-Organic arm) on a sunny beach. Deadpool's reaction was not what she expected.
- It happened again later in the issue with Deadpool, Cable, Deadpool's friend Weasel, and Marvel's other bromantic couple Power Man & Iron Fist — when they came to, they were tangled and on top of each other in a homoerotic manner.
- In Disclosure, Tom Sanders (Michael Douglas) gets sexually harassed by his boss, Meredith Johnson (Demi Moore). Later, he has a dream in which he's in an elevator with the CEO of the company (played by Donald Sutherland) and the CEO leans in for a kiss, causing Sanders to wake up in terror. It doesn't really imply that Sanders is gay, more that being sexually harassed really screws with your head.
- In Black Swan, Nina has such a dream about Lily. Or does she?
- In Blue Is the Warmest Color, Adèle has those about Emma.
- In Blackbird, closet gay Randy has several dreams about his two male love interests.
- Played with in the Doctor Who Eighth Doctor Adventures novel Half Life. Fitz dreams he and the Doctor are naked and back to back, and the Doctor reassures him it doesn't necessarily mean anything about his sexuality. However, any hint of eroticism is quickly lost when they start melding together. It turns out to be a sort of manifestation of the Freaky Friday thing they're about to go through. It's nonetheless the subject of much amusement and squee in fandom.
- In War and Peace, Pierre dreams of Iosif calling him to bed, giving him a desire "to embrace him, and to lie down too," then asking him about his sins.
- Miles from Murphy Brown had a homoerotic dream once.
- In True Blood erotic dreams about the donor are an established side effect of using vampire blood, especially when using quantities sufficient to heal from wounds. Given the show's love of Fanservice and playing with sexuality tropes...
- Lafayette remarks on having sexual dreams about Eric after drinking his blood. He describes them as being both "nasty" and "fantastic" and laments the fact that they're so enjoyable because he "hates that motherfucker".
- And in the season three premiere, Sam has the same experience with Bill.
- In season four, Jason is having an Erotic Dream about Jessica when she suddenly turns into Hoyt.
- Not to mention Jason's guilt-laden dream with Eddie.
- And again with Jason, in season 6, this time with Ben.
- Psychic Andrew Gallagher from Supernatural mentions that he plants homosexual pornography in the mind of a former high school bully "24/7," therefore also as he slept.
- Fez dreams about Kelso in That '70s Show. Then after the credits Kelso has the same dream, about himself.
- Frasier: Frasier dreams about Gil Chesterton, but eventually realizes his subconscious is providing a mystery for his lately-underused psychoanalytical skills. Parodied immediately afterwards, when he then has the same dream, but featuring Sigmund Freud.
- The fourth season of Nip/Tuck: Christian is having explicitly homosexual dreams about Sean, and later goes to therapy, where his therapist believes that the dreams are expressing his repressed sexual feelings for Sean. Sean, meanwhile, doesn't think anything of the dreams, is not freaked out (which is good, considering this is Sean we're talking about), and stays friends with Christian.
- Red Dwarf: Lister, finally beginning to miss Rimmer, dreams that he returns and they start making out. Naturally we're not let on to the fact that it is a dream until Lister falls out of bed screaming. Scene.
- Drop the Dead Donkey. Gus Hedges starts having erotic dreams about office hottie Joy, so asks Handsome Lech Dave for help, promising to be "financially grateful". Realizing his boss is a stuck-up virgin Dave sets him up with a professional 'sex counselor' (actually a prostitute) and the problem is resolved. Dave turns up for his promised payrise the next day, only Gus has fallen asleep and has another erotic dream… about Dave, who he immediately throws out of his office the moment he wakes up.
- On Robin Hood, Guy of Gisborne has a dream about Maid Marian massaging his shoulders, who then turns into Allan-a-Dale. The actors express their bafflement on the DVD commentary, and not even the man who wrote the scene can adequately explain what's going on.
- How I Met Your Mother:
Marshall: ...why do we keep trying to have sex with Ted?
- Ted lies to Barney and Marshall about having a homoerotic dream about his "best friend". Since which one of them is Ted's best friend is a point of contention between the two, they end up arguing about which one of them Ted would prefer to have sex with.
Barney': I don't know, it's weird.
- Lily had a dream about Robin that reminded her that "a woman's sexuality is a moving target".
- On Suddenly Susan, Todd has a romantic dream about his boss, Jack Richmond, which freaks him out all episode. Finally he decides it doesn't mean anything. At the end of the episode, the dream repeats... except this time it's Jack dreaming about Todd.
- Dean Pelton from Community apparently has some rather bizarre ones involving Jeff.
Dean Pelton: I have always dreamt of playing Charades with you, Jeffrey, just not like this. And not on dry land.
- In The Big Bang Theory Raj tells Howard that he dreamed that they lived in next-door houses, with a tunnel going from the front of Raj's house to the back of Howard's; Howard replies, "The next time we play racquetball together, I'm showering at home!"
- Played with on Friends, where Rachel dreams that she had sex with both Chandler and Joey, and sometimes she was just watching them. At first they are interested but then they get squicked out.
- Avenue Q: Dramatic example with Rod's dream about Nicky confessing to him. Rod was already worried that he was gay, but this dream confirms that to him, as well as makes him realise that he has a crush on Nicky. The reveal that it was All Just a Dream is notable for being one of the saddest moments in the whole show.
- In Sam and Max Season 3: The Penal Zone, there is an optional cutscene if you try to "use engagement ring on Max", which causes Sam to have a De Beers commercial-style fantasy about getting getting down on one knee and tenderly placing the ring on Max's finger…
- The vampire Rabbit from Skins has a very explicit homoerotic bondage dream  about Tyr, one of the werewolf soldiers. So explicit that when Rabbit meet Tyr in the elevator the next day, he can't look him in the eye. This is made even funnier when Tyr asks if Rabbit slept well the night before and Rabbit blurts out that he didn't sleep, never mind dream and he certainly didn't dream anything about Tyr!!
- In the webcomic YU+ME: dream , Fiona has a Homoerotic Dream about her best friend Lia. This leads to Fiona questioning her sexuality (and she hardly sleeps for awhile because of it).
- In fact, the entire first book is a Homoerotic Dream, albeit not about anyone in particular.
- Amber from Khaos Komix had a dream of her and her best friend Nay as Sailor Senshi, which also led to her realization that she is a lesbian.
- Gabe of Penny Arcade has recurring dreams of being saved by Spider-Man. Gabe, uh, is a little more happy than you might expect.
- Penny from Penny and Aggie has a dream of being in a bisexual three-way relationship with Duane and Aggie after her best friend tells her she thinks Penny's rivalry with Aggie stems from massive amounts of UST.
- Much later, after Penny and Aggie have become friends, she dreams of flying through clouds shaped like Aggie in the nude, while her gay friends suggest stereotypical fashions for her to wear. The dream ends with Cyndi urging her to "Taste the rainbow!" (and soaking her with a rainbow-producing hose) while a naked Aggie and Lisa look on. Upon awakening she leafs uneasily through a Manmeat Monthly magazine.
- Otra from Girly shows us how it's done.
- Awkward Zombie plays with this trope in one strip. Marth has a dream in which he is putting up with Roy, until Roy suddenly lunges forward and lip-locks him to the floor. It turns out, Mewtwo was controlling Marth's dream telepathically for fun.
- Ash from Misfile has an Erotic Dream that can be called lesbian by terms of the bodies involved, but it's complex.
- Ethan from Shortpacked!, before he comes to the realization that he is gay, has one of these involving Rob Corddry and the rest of the cast of The Daily Show.
- Chapter 4 of Lily Love opens with Donut having a sexual dream about her friend Mew, after previously having her accidentally fall on top of her a few days prior.
- In Chester 5000 XYV, the Inventor has a dream where a robotic version of his wife (this being chronologically well before the first sex robot is built) becomes a robotic version of George.
- Christophe of Sandra on the Rocks keeps falling into what are strictly speaking erotic waking fantasies involving his (rather geeky) friend Alex. As Christophe is normally a classic (if good-natured) heterosexual Jock/Casanova, this is very confusing for him.
- Yu-Gi-Oh! The Abridged Series has Joey having two homoerotic dreams about Kaiba, with Joey dressed as a dog. Also started the Running Gag about Joey being a furry.
- This actually initiates the main relationship in Ilivais X. Granted, Mille was having this dream right after Iriana saved her from being killed or becoming a sex slave, so it's relatively justified.
- In early episodes of The Simpsons, Smithers had this kind of dream about Mr. Burns. The original plan may not have been to make him strictly gay, but the character definitely developed in that direction.
- Undergrads features one, where tough-guy dumbass Rocco has one about his Kavorka Man friend Cal (whom he regularly despises and beats on).
"Keanu Reeves was in it too."
- In The Venture Bros., one of the members of the organization SPHINX mentions having one during a Truth-Telling Session.
"I had an erotic dream about Henry Rollins last night, and I'm straight as an arrow!"