SAN JOSE -- An intense garage fire flushed a family out of an East San Jose home Wednesday morning, sending two people to the hospital and displacing seven.

The one-alarm blaze was reported at 10:25 a.m. at a home in the 2300 block of Palmira Way -- near King and Tully roads -- when an adult resident emerged from a back bedroom and immediately saw fire.

"The resident came out and saw a bright light coming from the garage," Fire Capt. Barry Ehlers said.

Firefighters arrived within four minutes to find heavy smoke and flames emanating from the garage of the single-story home. The five people who were home at the time escaped safely and summoned a neighbor to call for help.

The fire was fully extinguished within an hour, Ehlers said. A man in his 80s and a woman in her 70s were taken to the hospital for smoke inhalation and chest pains, respectively, but are expected to survive. The home's other occupants at the time of the fire, an adult and two children, were not injured.

Ehlers said the fire gutted the garage and damaged the kitchen and living room, for a rough estimate of up to $300,000 in damage. It is believed that the fire started in the garage, but a cause was not immediately clear.

None of the home's seven total residents will be allowed to stay at the home because of the damage, Ehlers said. The Red Cross was called to offer housing assistance.

Contact Robert Salonga at 408-920-5002. Follow him at Twitter.com/robertsalonga.