Fire and Emergency New Zealand Senior Station Officer Mark Leonard, of Dunedin City station, said three fire crews were called to reports of a house on fire with people inside in Norwood St, about 1.25pm on Sunday.
While the appliances were en-route, firefighters received an update that the people were out.
On arrival, they discovered a man and his 2-year-old daughter on the lawn outside, while smoke billowed from the front door.
Firefighters extinguished the fire in the kitchen, which had started in a pan of fat on the stove and spread to the whole room.
Allegedly, the man was sidetracked by something and was in the hallway when he heard his daughter crying, which alerted him to the fire.
"Early warning would have probably prevented the fire getting as bad as it did," SSO Leonard said.
The man and his daughter were taken to hospital and treated for smoke inhalation, along with a young man named Daniel who had been visiting a neighbour but rushed to help the homeowner, who had been using pots of water to try to extinguish the fire.
Using wet towels, Daniel helped to almost completely put the fire out, SSO Leonard said.
While members of the public needed to weigh up the risk to their safety, firefighters were grateful for his work especially as there had been a child involved.
Generally, people were reminded to close the doors and exit the building if there was a fire, as it would slow the spread of smoke and keep them safer.
The kitchen was damaged beyond repair and the rest of the house was badly smoke-logged and would need to be stripped.
Insurance was providing a place for the homeowner’s family to stay.
They were "very, very lucky", SSO Leonard said.
Police attended to assist with traffic and a Hato Hone St John spokesman said an ambulance and a rapid response vehicle attended.
They took a moderately hurt patient to Dunedin Hospital, along with two people who had minor injuries, the spokesman said.
