A houseboat has sunk south of Nelligen as torrential rain continues to swell the Clyde River near Batemans Bay.
Resident Stephanie Hunter caught on camera the moment the houseboat sank after it began taking on water on Monday morning, July 27.
The 19-year-old said it took about 90 minutes to sink about 500 metres south of the Nelligen bridge.
Her mother noticed the vessel in trouble and contacted maritime authorities in an effort to alert the owner.
"I was out the front of our house and noticed the houseboat had a lean," she said.
"It was in trouble and had some water on board.
"From that minute I rang around trying to find out who the owner was.
"I rang maritime and finally found someone who knew the owners.
"By that time it was apparent it was going to go under.
"It was worse and worse and on its side and finally flipped. Maritime are on their way to have a look."
She understood the houseboat was still attached to its mooring and was not floating downstream.
"It is rough out there."
Ms Hunter works at a Nelligen cafe and lives east of the river.
At 12.15pm she said residents and businesses were safe.
Despite the wild weather, she said "it is a lot better than having fires" and welcomed the chance for empty rainwater tanks to be filled.
"We ran out of water two days before," she said.