Witnesses say the fire started before 6 a.m. PT in the garage, which faces Latimer Avenue, then spread to the house, which faces Byng Street.
The four people inside escaped without injuries.
A neighbour in the area, who did not want to be named, described the ordeal to CBC News.
"We woke up to the sounds of popping tires. Next thing we know, we're pounding on the front doors. The next-door neighbour across the street kicked in the door and that's when we found out that the people had left the building.
"Holy smokes. It was pretty intense. It was pretty scary, being that it was that close to the house, to our house and our neighbour's house."
The cause of the fire is under investigation.
YouTube: House fire, Latimer Ave.