Emergency services were called to house fire on Fisherman's Crescent, North Narooma just before 3am Wednesday morning.
The house was gutted by the fire but no persons were injured. The cause of the fire at this stage is not known.
A Rural Fire Service spokesman said Narooma and Dalmeny RFS brigades attended, as did the NSW Fire & Rescue Narooma brigade, as well as police and ambulance.
The Narooma Fire & Rescue station was backfilled by the Moruya brigade during the emergency, and Essential Energy dealt with the electrical issue, the RFS spokesman said.
According to neighbours, the elderly owner of the house was away but her grandson was staying in the house although was not there at the time of the fire.
One neighbour gave the police clothes and bathroom products to give to the grandson and another provided him accommodation next door.
The whole neighbourhood was out on the street and the next door neighbours were asked to leave their homes for safety reasons. They were all sitting on the street watching the incident and looking after themselves.
Another nearby resident said neighbours were woken at 3am by breaking glass and roof was well alight then. The house has been gutted but the fire was contained to house and did not spread to adjacent bushland.
A crime scene has now been established pending the investigation.
Local firefighters said the situation could have been worse, as the house was surrounded by high trees on Fisherman’s Crescent.