Man ran from Melbourne house fire

Police continue to search for a man seen running from the scene of a fatal Melbourne house fire.

The body of a 52-year-old man, identified by News Corp Australia as local Mark Mennie, was found in the front room of the Ringwood boarding home, which went up in flames on Wednesday night.

Witnesses have told police they saw a man dressed in a long sleeve, high-visibility top running towards a dark-coloured sedan after the blaze took hold.

Detectives say the victim was packing his belongings at the time of the fire with the residence slated for demolition before Christmas.

Senior Sergeant Stuart Bailey told reporters on Thursday the dead man was known to police.

"He's had a difficult and unfortunate life," he said.

"This is a tragic event for him and his family."

It's understood the blaze was deliberately lit. However, it is uncertain whether there was any intention to hurt anyone.