Statistics by Propertyology has found that Wagga and Griffith have been producing stronger rental yields and higher growth than most capital cities.

Over the three years ending in May, Sydney's median house price increased by 4 per cent whereas Wagga witnessed a 10 per cent capital growth and Griffith, 22 per cent.

Wagga's One Agency director Colin McGill said outside investor inquiry has increased over the past few months, particularly in Gobbagombalin.

"There's a fair bit of inquiry from the metro, which is interesting, we've found in the last few months that we've sold stock from people in Sydney and the south coast," he said.

"People are shifting away from investing in the city because a $400,000 investment in Sydney won't get the returns on rental yields here.

"People are looking outside the box and into regional centres because we've got great infrastructure."

Propertyology's head of research Simon Pressley said the local economy is benefiting from rising demand for regional tourism and renewable energy projects.

"The outlook for Australia's agri-sector is also very exciting with knock on benefits to food manufacturing and transport logistics," he said.

"This will continue to underpin solid housing demand in the region.

"Unlike Sydney and Melbourne's record high volumes of new residential construction, housing supply in the Riverina region has been more balanced."

According to the statistics, rental vacancies have tightened in Wagga, from 2.5 per cent a year ago, to 1.5 per cent.

"Real estate is selling quicker in Wagga, with an average 78 days two years ago to now 68 days, and the volume of houses that have sold has increased from 1200 per year, to about 1500," Mr Pressley said.

Professionals Real Estate agent Paul Irvine previously told The Daily Advertiser that the medical precinct is a big part of the city's growth at the moment.

"There's demand for it ... we need to embrace change, especially with small and medical businesses coming to Wagga as the accommodation which come with that makes Wagga a place where people want to invest," Mr Irvine said.