CFA firefighters responded to reports of a house fire on Myamyn-Macarthur Road in Knebsworth at around 7.35am on 5 September.
Nine CFA units from Warrnambool, Hamilton, Byaduk, Heywood, Macarthur and District 5 HQ responded to the incident.
Firefighters arrived on scene to find the weatherboard house fully engulfed by fire and all occupants accounted for.
Crews worked together to suppress the fire and stop it from spreading to the adjoining garage, which they successfully achieved.
The scene was deemed under control at 10.33am.
An excavator has been called in to allow firefighters access to extinguish fire spots within the debris.
Extinguishing and mopping up works will continue over the next few hours to ensure no further flare ups.
The incident was caused by a fire escaping from a wood heater.
CFA Commander Andrew Emery said the incident is a timely reminder for people to ensure their wood heaters are installed properly and well-maintained.
"Make sure to check your chimneys, flues and fire boxes for cracks, rust and debris," he said.
"While winter is over, people still want to stay warm so we urge people to maintain home fire safety practices and don't become complacent.
"CFA crews on scene took quick action and were able to contain fire to the structure, save multiple out-buildings and save the fire from impacting gas cylinders."