UPDATE: Two missing people found safe after body recovered at house fire near Ballarat

Two missing people have been found safe and well after a fatal house fire at Mount Helen.

A body was found at the scene this morning after reports a woman and her two adult children were unaccounted for.

Neighbours reported hearing an explosion at the Greenhill Rd home around 1.30am.

Fire crews managed to extinguish the blaze but the weatherboard home was destroyed.

A man aged 21, a woman aged 25 and a woman aged 43 were initially unaccounted for.

Earlier, Country Fire Authority's Lieutenant Bill Cook said they were still trying to determine who was inside as the owners were in the process of moving.

Arson detectives are working to determine if the blaze is suspicious.