Firefighters were called to the Beardsley St property at 12.46pm after smoke was seen coming out of the back door of the house, which was unoccupied at the time.

Queenstown fire brigade arrived on the scene a short time later, only to find the home already well alight.

Due to the fierce nature of the blaze and the home's close proximity with neighbouring residences, firefighters were forced to concentrate their efforts on protecting the homes on each side of the blaze.

These houses, only a few metres from the fire, were a particular worry to firefighters due to the plastic weatherboard used in their construction.

While they were able to be saved, a garage on an adjoining Powell St property was not so lucky.

The structure caught fire and was burnt to the ground.

The blaze also spread to the front of the home, causing two wrecked automobiles in the front yard to catch alight.

Efforts to tame the aggressive flames were hampered by an insufficient water supply available from the mains, which Tasmania Fire Service district officer Rob Deverell said was a problem commonly experienced by firefighters in the area.

Due to these supply problems, a fire truck from the nearby Copper Mines Tasmania, as well as a local water contractor's tanker, were both enlisted to assist the brigade.

Aware of the difficult condition his troops had endured, Mr Deverell praised all firefighters that had attended the incident for their great efforts.

Tasmania Fire Service has estimated the property damage of the fire at $50,000.