Fire and Emergency NZ said the house fire in Mount Lyford Village, Hurunui, was reported about 11.13am on Wednesday.
A spokesperson said multiple crews were responding and the house was fully engulfed in fire.
It was also believed to have caused a nearby vegetation fire, which had been contained, the spokesperson said.
"Due to the high risk of vegetation fires in the area, nearby residents have been sent a prepare to evacuate notice.
"No formal evacuations have taken place yet," the spokesperson said.
Canterbury continues to experience hot and dry conditions.
Over the long weekend, firefighters battled more than a dozen fires in the Canterbury region, which were fanned by strong winds and damaged conservation land.
Fire and Emergency believed there were various causes behind those fires, including powerlines and old fires reigniting.
At the time, Hurunui Mayor Marie Black said there remained a high fire risk in North Canterbury due to "tinder-dry conditions".