Domain's June 2022 Rental Report, which was released this month, revealed that rent for houses in the local government area (LGA) rose from $590 per week in June, 2021, to $695 one year later.

This is a 17.8 per cent increase in the last 12 months and is the ninth highest price jump across regional NSW.

This is above the median weekly rent of $403 recorded by the Australian Bureau of Statistics in the 2021 census.

Findings from the report reveal that rent was $498 per week in June, 2017, which has meant prices have skyrocketed by 39.7 per cent in the last five years.

Domain's Chief of Research and Economics Dr Nicola Powell, said while it was the highest increase recorded in the Highlands, there would be a slowdown in growth.

In other news:

"...it looks like the peak rate for quarterly and also annual growth was towards the end of last year," she said.

The "Sydney drain" of people relocating from the cities to the region for a lifestyle change has also contributed to this.

Dr Powell said the rise in house prices has kept more people in the rental market for longer, because they would rent until they purchased an ideal home.

"We have seen a strong surge in rents, and that in itself just says the level of rental supply and the market just hasn't been able to meet the demand as well," she said.

The largest yearly increase in rent in regional NSW was 28.2 per cent recorded in the Upper Hunter LGA.

This was followed by Cessnock and Richmond Valley with an annual rise of 20 per cent, Lismore at 19.6 per cent and Eurobodalla at 19 per cent.

There were not any findings about units in the report.

Our journalists work hard to provide local, up-to-date news to the community. This is how you can access our trusted content: