A SYDNEY father braved raging flames to save a woman from a house fire in the city's south-west yesterday - but remains heartbroken he couldn't rescue the owner too.

Father-of-four Rami Saleh fought his way into the property in Falcon Circuit, Green Valley, using a meat cleaver about 12.10am after being alerted to the blaze by his 13-year-old son.

While he managed to drag a 35-year-old woman to safety, Mr Saleh said he was devastated he couldn't save the home's owner, 61-year-old Pauline Bardsley, who perished in the fire.

Both Mr Saleh and the woman he saved, who suffered burns, were taken to Liverpool Hospital where they were yesterday being treated for injuries and smoke inhalation.

The 35-year-old woman, understood to be Ms Bardsley's carer, was yesterday transferred to Concord Hospital and is understood to be in a stable condition.

"I lost my neighbour," Mr Saleh, 35, said after being discharged yesterday.

"I wasn't thinking, I just wanted to save her."

Resident Hassan el-Achrat, who also helped with the rescue, said he heard a woman scream as the fire took hold of the house.

"Rami got a meat clever and started making a hole in the door, then he tried to get the shutters open," he said. "I heard his wife screaming and ran in and helped him.

"We dragged the lady onto the road and put her in the recovery position."

Firefighters found the house engulfed when they arrived at the scene but managed to contain the blaze. NSW Fire Brigade Superintendent Paul Bailey praised Mr Saleh's actions. "Rami's actions are greater than superhuman in the sense that he is not trained to do this nor does he have the right equipment, but without any consideration of his own life he has gone in there and tried to help someone else," he said.

His comments were echoed by neighbour Janaleen Wolfe.

"I think Rami was very heroic. If it hadn't been for him another person would have died too," Ms Wolfe said.

She said Ms Bardsley was a popular and well-liked member of the community.

Superintendent Bailey said they were still trying to determine the cause of the fire.