Heavy rain is causing major flash flooding in low lying suburbs of Newcastle, including several streets in Carrington.
The State Emergency Service says it is not expecting any major flooding across the region despite more than 150 millimetres of rain falling in parts of the Hunter.
A minor to moderate flood warning's been issued for the Paterson and Williams rivers with a peak of 6.5 metres expected at Dungog around 5pm (AEDT).
Bureau of Meteorology figures show 155 millimetres of rain fell at Merewether in the 24 hours to 9am (AEDT), 167 mils at Dungog, 136 at Wallsend and 120 millimetres at Maitland.
In the Upper Hunter just 3 mills has fallen at Murrurundi.
A number of roads remain closed while buses are replacing trains on the Hunter line between Thornton and Broadmeadow, due to flooding at Sandgate.
The heavy rain has inundated homes in the port-side suburb of Carrington.
Victoria Street is still underwater and locals are having to sweep the water away from their homes.
Tom Pattison says he has been at it since 8:00am but the flooding is being made worse by people driving their cars through.
He says he has asked council to close the road.
"This one one on the corner always gets flooded, it's higher than us," he said.
"Cars just go through, don't care, and that's our living area, straight through where the door is."
Greg Perry from the SES says crews have attended more than 170 jobs across the Hunter since the rain began to fall.
"I think we'll just have this initial surge of water go through the Williams and Paterson based on the fact the radar shows this rain is moving well and truly inland," he said.
"The fact the Bureau is also saying it should ease off later this evening.
"I think we won't have any issues with any major or minor to moderate flooding or on the Hunter for that matter."
Parts of the Hunter region are getting their first steady rain in months.
Susan Henderson is a stock producer near Scone and says it has been a long time coming.
"This is probably the best we've seen in six months I'd say," she said.
"Till about 8:00am (AEDT) there was 20 mill and it's still raining lovely and steadily.
"This is money in the bank when you see it rain like this.
"Maybe even if we have a day of sunshine and then a little bit more we'd be well on the way to helping get things back to normal again."
© ABC 2013
11:17 EDT Rising humidity across New South Wales will accompany heating during the coming week, contributing to widespread rainfall and keeping fire danger down.