A man has died in hospital after being badly burnt in a suspected drug lab explosion in Perth.

A 33-year-old man and his 49-year-old wife were set on fire when their home in Camillo burst into flames following an explosion just after midnight on Monday morning.

Police found two people in vacant land near the house on Excalibur Circle with extensive burns and suffering from smoke inhalation.

They were hosed down by neighbours before being rushed to the burns unit at Royal Perth Hospital.

The man died from his injuries and his wife remains in a serious but stable condition.

Police were waiting to interview the couple who were allegedly involved in a similar explosion at a separate address in the same area less than 12 months ago.

The Excalibur Circle home was destroyed in the explosion.