Two young children have died in hospital after being rescued from a horror house fire

Two siblings who were trapped in a horror house fire have sadly died in hospital.

Two young siblings who were rescued from a house fire in Melbourne’s northwest have died in hospital surrounded by family.

Emergency services rushed to a home at Fergus Court in Sydenham about 9.30pm on Sunday after neighbours raised the alarm.

Firefighters entered the burning home and found five-year-old girl Izabel, three-year-old boy Kalais and another girl aged 1.

The children, who are believed to be siblings, were treated at the scene and rushed to hospital.

The two girls aged five and one passed away surrounded by family in hospital on Wednesday morning, police confirmed.

Five-year old Izabel has suffered fatal injuries from a house fire dying in a Melbourne hospital alongside her one-year old sister.

Three-year old Kalais remains in a critical condition in hospital after he was rescued from a house fire in Melbourne.

Three-year-old brother Kalais remains in hospital in a critical condition. He is suffering from smoke inhalation.

Detectives from the Arson and Explosives Squad are investigating what might have cause the fire and who was in the property at the time prior to the blaze.

Neighbours described the noise as sounding like gunshots or a car exploding.

Earlier in the week family of the five-year old girl said she may not survive her injuries.

Emergency services rushed to a home in Sydenham on Sunday rescuing three young children who were inside the burning home. picture 7 News,

Two young sisters aged five and one have passed away in hospital after they were rescued from a burning home in Melbourne on Sunday. Image: 7 News

The stepfather of the five-year old and father of the three-year old Jayde Petalas told Channel 7 the children were “not well at all.”

The man is estranged from the children’s mother, and his biological son is also in the hospital with injuries from the fire.

“It was hard to see,” Mr Petalas said after visiting the children in hospital.

Father Jayde Petalas told reporters on Monday that his five-year old stepdaughter Izabel might not survive her injuries.

“Happy little kids. That’s what they were. They loved everything. No kid deserves this.”

Authorities are yet to announce if they know what sparked the fire, which badly damaged the house when there were no adults at the property.

It is understood the children were trapped in the house for half an hour.

Neighbouring properties were assessed for smoke damage; however, the fire had not spread.

An investigation has been launched into the circumstances of the blaze.

Police have urged anyone with information to come forward.