After returning to the house in Lakeside Rd after a night out in Wanaka, the trio decided to cook chips but then fell asleep.
Firefighters found the men asleep as smoke filled the house, despite the smoke alarms sounding.
Wanaka Voluntary Fire Brigade Deputy Chief Fire Officer Garth Campbell said if the men had not been found until 30 minutes later it could have been a more serious situation.
"The alarms were going flat out and they were out to it. They didn’t hear a thing," he said.
A private security company called 111 after the fire alarms at the property were activated.
When approached by the Otago Daily Times two men confirmed there had been a incident at the property but did not want to comment further.
The house is owned by John and Rose Acland, owners of Mt Peel Station in South Canterbury.
The New Zealand Fire Service has long promoted the kitchen safety messages: "Don’t drink and fry" and "Keep looking while you’re cooking".