The blaze is believed to have started from an open fireplace about 7.00am.

Two rooms were gutted while the rest of the weatherboard cottage, on the corner of Brooke and Fenton streets, sustained smoke and water damage.

CFA crews from Camperdown and Cobden attended the blaze, which took about 20 minutes to control.

Camperdown CFA captain Peter Stephens believed the home was one of the oldest in the town.

"It took us a while to get in through the roof," he said.

"It had the old-style shingles under the iron roof. Once we got in though, it didn't take us too long to control."

Mr Stephens estimated about half of the home was destroyed. The building's owner, who preferred not be named, told The Standard the damage bill was yet to be determined but the rental property would "probably be a write-off".

An insurance assessor would visit the site today, the owner said.

The blaze comes about two months after a chimney fire at the same residence.

Mr Stephens said two members of a family who were in the home escaped uninjured. They have since found other accommodation. He said the fire served as a warning for people to be vigilant around open fireplaces.