Wagga City Council's manager of environment and city compliance Mark Gardiner said the council currently had "an order on the property for demolition by the end of July".

"If the owner does not comply with the order by that time, council will then need to consider paying for the demolition and recovery of the costs from the owner."

Nearby residents on the house's street had posted in popular Wagga Facebook groups urging the council to "clean it up" and "act on this disaster".

"Residents have had enough of this dangerous situation," one resident posted, stating that the house was a "nightmare".

The house subject to the order is located across the road from another house that had been substantially damaged by fire but had a yard in much better condition.

Wagga City Council said it has issued four demolition orders over the past 12 months.

In separate cases over the past three months, NSW Land and Housing Corporation has made four applications to Wagga council to demolish burnt-out houses in Ashmont and Tolland.

Previous applications by the NSW Land and Housing Corporation have estimated the cost of demolishing fire damaged houses in Wagga at between $20,000 and $32,000 per site.

Under the NSW Environmental Planning and Assessment Act, a relevant enforcement authority such as a council can issue a demolish works order to demolish or remove a building that "is or is likely to become a danger to the public" or "is so dilapidated that it is prejudicial to persons or property in the neighbourhood".

Under the same legislation, the council "may remove any materials concerned" if it is forced to carry out the demolition works itself.

"Any expenses incurred" through a council-led demolition "together with all associated costs, may be recovered" from a property owner through court proceedings and the council can also seek legal costs.

These council powers were upheld by the NSW Court of Appeal in 2013 after Narrabri Shire Council demolished a fire-damaged pizza shop.

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