CESSNOCK and Maitland are the leading Hunter housing hot spots, according to a Housing Industry Australia report released yesterday.
NSW had 14 building and residential hot spots for the 2009-2010 financial year, compared with six in 2008-09, and two of them were in the Hunter.
Maitland and Cessnock both recorded population a growth of 1.8 per cent, which was just above the state average of 1.7 per cent.
The Greater Sydney region was the fastest-growing area in NSW, with 10 of the 14 hot spots in the state's sprawling capital.
"It's pleasing to see the Hunter feature among the 14 hot spots given that it doesn't have the critical mass of Sydney," HIA executive director Steve Jeffries said.
"The strong performance of the Hunter was certainly helped by the unprecedented stimulus to new home building in the form of record low interest rates and a tripling of the first-home owner grant for new dwellings."
Sydney's Canada Bay in Concord recorded the highest population growth with an incredible 5.7 per cent, followed by Blacktown with 4.5 and Camden with 2.9.
Maitland was 13th on the increased population list, ahead of Cessnock in 14th place and Central West goldmining town Orange in 15th position.
Hunter manager of the Master Builders Association Len Blakeney said the mining boom in the Hunter Valley had contributed greatly to the increase.
"They are both really good figures for the region," Mr Blakeney said.
"There is a lot more land available up in the valley compared to Newcastle but the western end of Newcastle is growing.
"It's a very strong result but it's not brilliant because we've still got people looking for work in the industry so it could always be better."