Twenty-one firefighters were called to deal with a shed fire on Friday which spread to a neighbouring house.
Shortly before midday the building in Falmouth Gardens, Ilford was gutted by the blaze.
The fire quickly spread from the shed to a garage belonging to a next door property and caused damage to the ground floor of a neighbouring house in Lakeside Avenue.
Four crews had the incident under control by 1.22pm.
Fire crews from Hainault, Ilford, Leyton and Leytonstone fire stations attended.
The cause of the fire is under investigation.