Police say seven people have been found dead with gunshot wounds at a property near the town of Margaret River in Australia's southwest.

Western Australia state Police Commissioner Chris Dawson said three adults and four children and two guns were found at a property on Friday.

Dawson say police have no information to raise concerns about the wider public safety. Police were led to the property by a phone call.

This could be the worst mass shooting in Australia since a lone gunman killed 35 in Tasmania state in 1996, prompting the nation to introduce tough gun control laws.