More than 450 households in Newcastle faced eviction last year, as renters across the city are finding themselves locked out of a market where demand far exceeds supply.
Despite being the largest regional city in NSW, the LGA’s infrastructure is failing to keep pace with its rapidly-growing population.
According to City of Newcastle (CN), the populace was expected to increase by 21.24% between 2021 and 2046, exceeding 205,000 residents.
That surge has placed immense pressure on the city’s rental market, too.
As of 2021, 35.6% of the Newcastle population were renting, a steep 10% higher than the regional NSW average.
Meanwhile, vacancy rates plummeted from 1.65% in March 2019 to a mere 0.90% by March 2025.
Some suburbs have been hit harder than others.
Vacancy rates are as low as 0.42% in Adamstown/Kotara, 0.53% in Lambton/New Lambton, and 0.62% in Merewether/The Junction, as of December 2024.
Currently, Broadmeadow hosts the largest number of renters, according to the 2021 Census data.
The result is that renters are being left with fewer choices and, in many cases, no home at all.
Hunter Tenants Advice and Advocacy Service coordinator Nicole Grgas admitted the numbers made dreary reading.
“We’ve also seen a 30% increase in no-ground evictions over the past six months,” she said.
“It’s pretty bleak.
“Many renters are being forced to leave because the property is sold or the landlord wants it back.
“We’re witnessing more tenants being taken to the tribunal, too, because they haven’t been able to find another place before their lease ends.
“We have people saying they’ve never had to do this before, and that they’ve always been able to get somewhere… and that is really changing.”
Data shows 2024 was one of the worst years for Newcastle renters, according to the NSW Civil and Administrative Tribunal.
A similar situation occurred in Lake Macquarie with 438 evictions, with Maitland recording 232.
Central Coast, however, is the worst with 820 reported last year.
“There are people who have been applying for upwards of three months,” Ms Grgas explained.
“By the time they come to us and are taken to the tribunal, they’ve already applied for 120 properties, sometimes even more.
“It’s pretty soul-crushing for people who come to us with that list and say ‘I have nowhere for my family to go,’ and often their tenancy history is fine.”
While the outlook remains grim, Ms Grgas believes solutions do exist.
“In terms of affordability, one thing we can do is increase the rate of rent assistance,” she said.
“So, people who are on benefits have a bit more affordability and leverage.
“But, also, we need some sort of mechanism that slows down rent increases.
“Without that, the crisis will only get worse.”
In May, the Minns government introduced new reforms aiming to improve conditions for renters across NSW, including ending no-grounds evictions, capping rent increases to once a year, and banning discrimination against pet owners.
However, it is uncertain whether this legislation will aid in vacancy rates.
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