Many of those people were renting while they had a new home built, Mr Lusby said.
The recent rent increases came as a relief to some landlords who had struggled to cover increasing rates bills and interest rates for the last few years despite his effort to increase rents at least once a year to keep up with the market rates, Mr Lusby said.
Properties were being rented out within a reasonable time but there remained plenty of rental properties available to be tenanted, he said.
"We've let more, but we have enough supply for more. There's just over 300 available on TradeMe. Last winter we got up to almost 600. There's a lot less available, but they are turning over better," Mr Lusby said.
Be Home Realty Bay of Plenty property manager Josh Fitzgibbon said local rents had increased by about $20 "across the board" in the past year.
"A lot of people out there are in a good rental so they would prefer to stay where they are rather than go out there [and] pay more for possibly less and compete with a dozen other people who want the same property and are in the same position."
Last week's interest rates hike would load a lot more costs on to property owners, usually recouped through raised rents when there was a change of tenants, Mr Fitzgibbon said.
"In some instances we're increasing the rent by $30 to $40 a week and we're not having a problem in renting."
Anna and her partner William have been looking for a rental property in Papamoa for them and their 20-month-old daughter Shykia for about a month with no success.
"We've had about two declines. I'm looking every day," Anna said.
The couple were looking for a three-bedroom house in Papamoa or Bayfair and could pay up to $310 per week.
Having pets made it more difficult to find a house, she said.