More than 25 firefighters attended the blaze, which destroyed a single-storey brick house in North Road about 4pm.

There had been numerous calls to triple zero from the public, including reports that an alarm was going off inside the house.

Commander Brett Cowcher said the house was totally engulfed in flames when fire crews arrived.

"The fire was through the roof, with the flames leaping out of the holes in the roof," he said.

"We'd been given some information that there was possibly up to three people inside the house.  One person was found deceased and the other two were confirmed by relatives later on that they were accounted for."

Commander Cowcher said the MFB fire investigation unit and Victoria Police arson squad were investigating.

"We couldn't tell whether they had smoke detectors or anything there, but it was unusual for it to be so well alight this early in the day," he said.

It is understood the three people who lived in the house were related.

The woman's body is yet to be formally identified.

North Road is closed between Warrigal and Poath roads, and police are asking people to avoid the area.

Anyone with information is asked to phone Crime Stoppers on 1800 333 000 or submit a confidential report to www.crimestoppersvic.com.au