Two of the 10 Local Government Areas in NSW most in need of additional rental properties are in the Hastings and Macleay Valley, new research shows.
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Wauchope and West Kempsey have been listed as two areas that are experiencing a high rental crisis.
Commissioned by national rental reviews platform Rent Rabbit, the research uses vacancy rates and demographic data to identify the top 20 suburbs most in need of new rental supply, and ranks them based on their median weekly rent expressed as a share of their average weekly household income.
Making the top 10 list are West Kempsey (number 6) and Wauchope (number 7).
Kempsey Neighborhood Centre manager Shirley Kent said the rental crisis is a "major issue" within the community.
"There are a high number of people who are desperately searching for rental properties," she said.
"These are people who have good rental records and their applications are more than acceptable but they can't find anywhere to live."
Ms Kent said this is largely due to the lack of rental properties and increased rent prices.
"There just aren't enough rental properties and they're overpriced."
According to the recent report, houses in West Kempsey have a vacancy rate of just 0.3 per cent compared to 1.7 per cent this time last year.
The median weekly rent in June last year was $350, and a year later is now $410 which is a change of 17.1 per cent.
Ms Kent said there are people and families living out of their cars because of the housing crisis.
"We have some young people living in a tent near the Neighbourhood Centre, there's a man living out of his car next door and we know of a family with four kids who are living in a camper trailer.
"Because it's so hard to find a rental, we also see a lot of people having to live in substandard accommodation because they can't find anywhere else."
"This issue is not just in West Kempsey, but it's all over Kempsey and in other areas as well."
RentRabbit co-founder Ben Pretty said the rental crisis is one of the biggest issues facing NSW right now.
"For affluent tenants in more privileged suburbs, they at least have more options in terms of where they can live, especially as many of them are knowledge workers who can work remotely," he said.
"But for the many tenants who have low household incomes and who live in socio-economically disadvantaged areas, they're really struggling right now and have very few options."
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