Firefighters arrived to find the home almost fully engulfed in flames.
Sheriff's officials say five people were in the house when the fire broke out: Zionnah Muldrow, 2, Eric Bridges, 23, Michelle Bridges, 43, John Bridges, 74, and Vangeleane Bridges, 72.
Muldrow was pronounced dead at the scene. Two others were transported with non-life-threatening injuries.
The Wake County Fire Marshal and Fuquay-Varina Fire Department determined the origin of the fire was the living room, and the cause was accidental, due to a faulty electrical cord.
Investigators were on the scene for more than six hours, before finally clearing.