Cromwell First National rental property manager Lori Hyndman said there were almost no rental properties in the town.
``People will get jobs here, and then have nowhere to rent. Many are young families.
``One couple who moved here a few weeks ago is living in a tent until something comes up.''
The average price for a three-bedroom house in the town rose by $100 to $380 per week in the past 18 months, she said.
``There's huge demand. I advertised a property the other day and 12 people applied.
``We're advertising them eight to six weeks early.''
Many of the people seeking rentals were moving to the area from Queenstown and Christchurch, she said.
Edinburgh Realty Central Otago property manager Bridget McCaughan said the pressure began about a year ago and prices had increased ``considerably'' in the last few years.
``But it isn't just Cromwell; the whole region is affected.''
LJ Hooker Alexandra residential property manager Cindy Bell said she received many inquires about rental properties from people in Cromwell who could not find places there.
``The demand particularly increases at this time of year.''
CR Motors owner Ross Hansen, of Cromwell, said the lack of rentals in the area was partly responsible for the company not being able to find motor technicians.
``I had one staff member leave recently because there were no rentals in the town. If we can't house our staff, then we can't bring in new people.
``It's the same across all the trades.''
Presbyterian Support Family Works Otago rural services practice manager Rachel McAnally said there was a ``constant struggle'' for people searching for rental properties in Cromwell.
``We were lucky in that the last few people we helped with that were older, so we could get them into council housing on health and age grounds.''
Some people came to Cromwell for a new beginning and did not have family there, she said.
``In that case we would support them back to an area where they have family.''
A lack of rentals and high prices had some people camping or living in caravan parks, she said.
