Published Tuesday, 03 July 2012
Firefighters prevented the blaze from spreading to other homes. (© Pacemaker)
The fire - which is being treated as arson - was reported in the Fern Park area of Galliagh at around 4pm.
Barry McDowell, Assistant Group Commander with the Fire Service, told UTV the fire was "very well developed" when they arrived at the scene and had burned through the roof.
He said the good work of the firecrews prevented the flames from spreading to other properties.
Smoke damage was caused to a neighbouring property.
SDLP Derry City Councillor Jimmy Carr said people living in the area have been left extremely distressed.
"It is extremely fortunate that no one has been killed or injured here and I would like to pay credit to the emergency services for their swift response to this inferno.
"With so many people on the social housing waiting list in Derry, it is vital that the Housing Executive and housing associations ensure that bungalows, like the affected property, are not left derelict as this simply entices underage drinkers and can facilitate this kind of anti-social behaviour."
Police are asking anyone who was in the area at the time and who may have noticed anyone acting suspiciously to contact them.