Exacerbating the problem is a long waiting list for recipients of public housing.

Anglicare NSW West mission and community development general manager Reverend Dr Ian Coutts said it was especially difficult for young people on Newstart who can't get into the private rental market.

“For Newstart recipients across the community it is near impossible to afford rent and have any money left over for food and other expenses,” Rev Dr Coutts said.

In a recent Anglicare study completed in April this year, it was revealed that virtually no private rental properties in Bathurst were affordable for a single person receiving the youth allowance or Newstart or surviving on a parenting payment.

According to the latest NSW Family and Community Services data families in Bathurst can wait between five and 10 years for a one, two or three-bedroom property.

Rev Dr Coutts said the agency’s emergency relief services in Orange and Dubbo were getting a real workout as increasing rents left families struggling to make ends meet.

“Rental prices are going up but Newstart is not,” Rev Dr Coutts said.

“As a result some people are homeless because they don’t have anywhere to go.

“Some couch surf, but that can make them vulnerable for all kinds of reasons.

“Others are forced to stay at home longer, which isn’t ideal in some cases, and some have been forced to leave the area.”

Rev Dr Coutts said a community was in crisis when 40 per cent of earning households spent more than 30 per cent of their income on rent.

“In some cases people are paying a huge percentage of their income just to keep a roof over their head,” he said.

He said this led people to turn to pay day lenders or answer television ads offering instant money and they ended up with punitive interest rates.

Rev Dr Coutts said there were agencies, including Anglicare, that offered no interest loans for eligible people.

While this was an important service, it only worked for people who have a little money to pay it back.