ReMax Elite director Dave Skow said that in the past, hundreds of workers arriving for construction projects like the Bomen Solar Farm or Wagga Base Hospital boosted the Wagga market, but the current rental vacancy rate has changed things.

"For the past 10 years we've had a nice steady flow of projects, up until the last 18 months that wasn't such a big deal because rentals weren't in shortage as they are now," Mr Skow said.

Wagga's housing market has experienced unprecedented growth in the past 12 months.

The most recent CoreLogic figures recorded a home value increase of 12.2 per cent, while rentals saw a drop of 39 per cent in availability and a jump of 7.5 per cent in price.

Scott Jones, who heads up property management at PRD, last month estimated rental vacancy rate in the city at 0.04 per cent, while SQM numbers recorded an overall vacancy of 0.6 per cent in the Riverina.

He said in the current climate, it is inevitable that Wagga renters may be priced out by companies leasing homes, or workers with a rental allowance overbidding.

"Anytime you've got any type of infrastructure project around town it will squeeze the rental market even more," he said.

"You've got people able to spend $500 per week on rent and that allowance contracts the market even more.

"I definitely foresee it being an issue for people struggling to find rentals."

Mr Skow said when housing workers, many companies opt for the lower end of the rental market as renting a cheaper home allows for the cost of furnishing it.

With big companies able to offer more than 10 per cent over asking, as well as maintenance services, low-earning renters competing for the property will be the ones most impacted.

"The ones that could miss out are the ones who are going to feel it the most," Mr Skow said.

One town which has seen the impacts of large scale projects on a low-vacancy rental market first hand is Cooma in the Snowy Valley.

Andrew Thaler, a candidate for council and long-time resident of the town, said he has seen evidence of people made homeless because of the accommodation stressors linked to short-term Snowy Hydro construction in the town.

"There is evidence that people have resorted to living in their cars," Mr Thaler said. "Other people have been staying on friends' floors."

"People can't afford the new rent prices so [they're] leaving the area and calling it quits.

There's nothing to stay for and [they] can't afford the rent."

Mr Thaler said the town saw rental prices almost double after hundreds of workers with a working away from home allowance set an "unrealistic rental standard".

Under ATO requirements working away from home allowance is set at a minimum of $600 per week.

In Wagga, major projects underway and on the horizon include the Culcairn Solar Farm, currently under construction, and the upcoming EnergyConnect and HumeLink energy lines from TransGrid that will have power stations in the city and begin construction in 2022.

In a statement, TransGrid said they planned to house the 1500 workers along the EnergyConnect route using "a mix of purpose-built camp-style accommodation, private rentals and motel accommodation" while housing for HumeLink's 1220 workers is still being decided.

Culcairn Solar Farm operators Noen did not respond to request for comment.

Bomen Solar Farm, which was constructed in 2019, said they used a mix of hotel and motel accommodation, cabins in caravan parks and short term rentals for workers on 6-month contracts. They reported no issues with rental or accommodation availability at the time.

Wagga MP Dr Joe McGirr said infrastructure and renewable projects like the energy line and solar farms are vital to the economy, but housing is a growing concern that needs to be considered when planning them.

"... [W]e have a number of large infrastructure projects coming to our region. This is great for growth and ensures our future," he said.

"But one of the major issues will be housing for both the staff working on these large-scale projects and for our growing population.

"I think companies that are coming here should be considering how they can assist local communities."

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