Phuket City Police were called to the house, on Srisena Rd, at 10:50am and soon arrived with firefighters aboard three fire trucks.
Flames and smoke were bellowing out of the house, which was accelerated by a cooking gas cylinder exploding.
Firefighters took more than 20 minutes to put out the fire, but prevented it from reaching several rented rooms behind the main home.
The main house, belonging to Khwanjai Jehtee, 57, was completely gutted.
Matha Rassameekiri, 36, a tenant in one of the rooms for rent behind the home, told police that he was sleeping when he heard an explosion.
“At first I thought it was someone working on the roof, but then I ran out of my room and saw the fire growing quickly inside Ms Khwanjai’s home.
Ms Khwanjai’s brother, Niphon Kraisorn, 40, who acts as caretaker at the house, told police that he was not at home when the fire broke out.
“But I remember pulling all the plugs out and turning off the gas stove before I left the house,” he told police.
Police believe that a short circuit started the fire.
“But we will wait for Forensic Police to investigate before we conclude our report,” said Lt Waitchasak Julaodung of the Phuket City Police.