Accordi ng to the Department of Human Services' waiting list figures for June, Warrnambool had 463 applicants for public housing while 58 applicants in Portland were also in need of a roof over their heads.

Sixty-three Warrnambool applicants fall into the early housing category - those who experience recurring homelessness, people with a disability and those with special housing needs.

Member for South West Coast Denis Napthine said that there was a crisis in housing affordability and believed the State Government had not attempted to remedy the pressure on public housing.

``People on lower incomes can't afford the high cost of rent and the public housing to accommodate them just isn't there,'' Dr Napthine said.

``Anybody who's in the rental market knows that paying rent at the moment is tough and it's going to get tougher.''

Rental price figures for the March quarter from the Department of Human Services reveals that Warrnambool has a higher median rental price for a three-bedroom house than most regional centres such as Ballarat, Shepparton, Mildura, Bendigo and Geelong.

Member for Western Victoria Gayle Tierney said the State Government would work closely with the Federal Government to implement a National Rental Affordability Scheme.

``We are concerned that the waiting list in Warrnambool is increasing due to a number of factors, including the significant cost rise in private rental properties,'' Ms Tierney said.

A spokesman for State Housing Minister Richard Wynne said 15 properties would be built in Warrnambool over the next year, bringing the total number of properties built since 1999/2000 to 146.

Portland will get an additional 29 properties and Hamilton will get another four.

Dr Napthine said there had been a ``distinct lack of investment'' in Warrnambool public housing since Premier John Brumby came into office last year.