All homes along a 13-mile (21-kilometer) stretch of the Parks Highway were evacuated Thursday night, said Pete Buist, fire information officer for the Alaska Division of Forestry.
The fire started Wednesday at a home near the town of Anderson along the highway, which runs between Wasilla and Fairbanks.
Fire management officer Robert Schmoll said details were sketchy, but initial reports indicated that a homeowner had used a burn barrel and then dumped embers. The embers lit grass or brush and ignited the fire, he said. Winds gusting up to 25 mph (40 kph) spread it north, the AP reports.
Fire crews and rigs were positioned at the most threatened buildings, and fire retardant was being dropped on the blaze, Buist said.