ARSON is suspected after a woman allegedly set fire to a large timber home and car, leaving neighbours and a usually quiet community in shock.

Jessica Anne Turner, 34, has been charged with one count each of arson of a building and a motor vehicle after a Horse Camp home and a car went up in flames last night.

Police say nobody was injured but a crime scene has been established at the Horsecamp Rd property.

Neighbour Ailuj Naelcm phoned 000 just after 6pm after she noticed smoke emanating from the property while watering her garden.

"I heard some noises from next door - loud bangs and popping sounds,” she said.

Ms Naelcm sought advice from police as she was concerned about dogs on the property.

She phoned a neighbour and cautiously made her way up the driveway to find a car engulfed by fire.

Flames were flickering from within the raised timber home, threatening to spread out to nearby bushland.

"The car was about 30m to 50m from the house,” Ms Naelcm said.

"I was concerned the fire would spread to the bush and start a bushfire.”

Shocked and scared, Ms Naelcm backed away until police arrived.

Thankfully, emergency service crews arrived swiftly on scene, dousing the blaze.

"I was grateful when fireys turned up and in great numbers,” Ms Naelcm said.

"They were fantastic.”

Ms Naelcm has lived in her home for a few years and said her neighbours kept to themselves.

Police say the suspected arsonist was found in Toowoomba about 9.30pm last night.

She will face Toowoomba Magistrates Court next month.

Investigations are continuing.