Cumberland County Sheriff's Office spokesperson Debbie Tanna said detectives arrested Scott Anthony McIntyre Wednesday morning.
Sources told Eyewitness News that McIntyre had gone to the home on Lafayette Street on Monday to ask for money in exchange for raking the yard. The homeowners agreed to pay him, but only after the work was completed.
That apparently angered McIntyre because he wanted the money up front, and he left.
Tanna said the 35-year-old returned to the home early Tuesday morning and set fire to the back of it.
The family was alerted to the flames and managed to get out before the home burned down. The sheriff's office says they're now living in a hotel.
The homeowners told investigators they saw McIntyre leaving the property after the fire started.
McIntyre is now charged with first-degree arson and is in jail under a $50,000 bond. His first court appearance is scheduled for 2:30 p.m. today.