Police said a Nissan ute left the road and hit a tree in Buxton, about 40 kilometres north-west of Wollongong, about 8pm.
The 18-year-old man behind the wheel survived the crash, at the intersection of Orange Road and East Parade, and was taken to Liverpool Hospital for mandatory testing.
Police said the victims — three females and two males of similar ages — died at the scene.
Local councillor Michael Banasik said it was a "terrible tragedy" for the tight-knit town of 400–500 people.
"It's devastating for Buxton and the general community, you know, it's just horrible," he told 9news.com.au.
"Buxton's a great place, small, small town and yeah, this is a terrible tragedy, no matter where it's happened."
Banasik, who struggled to put the impact of the accident into words, said what little was known about the crash was enough to "make everybody sick in the stomach", adding that the families involved would be devastated.
A medical team was flown in by helicopter to treat the victims, firefighters said.
Police have launched an investigation into the crash.
https://news.google.com/__i/rss/rd/articles/CBMijwFodHRwczovL3d3dy45bmV3cy5jb20uYXUvbmF0aW9uYWwvYnV4dG9uLWNyYXNoLW51bWVyb3VzLWNhc3VhbHRpZXMtYWZ0ZXItc2VyaW91cy1jcmFzaC1zb3V0aHdlc3Qtb2Ytc3lkbmV5L2Q1ZDgzMWE4LWY5MjktNGRjYS1hZjc0LTZkNzVkOTViMmFkNNIBAA?oc=5
2022-09-06 13:05:36Z
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