The fire at the Wattle Ave house began about 8.45am when Rebecca Stratton was woken by a smoke detector.

She found the couch in her front lounge room on fire.

"The smoke detector went off, and I flew out of bed to get the kids up," Ms Stratton said.

"I started to race back and forth with a pot of water to try and put it out, but when I returned the third time the flames were too high."

Ms Stratton then led her children including twins, Joshua and Jay, 9, and Makai, 2, outside.

However, her four-year-old son, Tyson, fled back inside as the flames began to spread.

"He ran back through the house and I was trying to get him out ... I was coughing and the smoke was going everywhere," Ms Stratton said.

"He panicked, he is only young, and he was screaming and trying to get out. As we got out everything just exploded."

Country Fire Authority crews estimated damage to the rented public housing property would be up to $300,000. The contents of the home were not insured.

The Red Cross has assisted with emergency clothing, while the family has moved in with relatives.

Among the items lost are bedding, clothing, toys, and treasured photographs, including one of Ms Stratton with her brother.

Her grandmother had made an embroidered border for the picture.

The children have also lost several pets including a cat and turtles.

"By the time the fire brigade came it was all over," Ms Stratton said.

Ballarat City and Wendouree Fire Brigades attended the scene.

Investigations were continuing to determine the fire's cause.