A woman, aged 22, and two teenage males were inside the house when a volley of shots was fired by a man using a handgun. No one was injured.
The shocking attack on the innocent family happened at about 7.40pm on New Rd, Thomodgate, on the north side of the Treaty City.
A senior Garda source said the shooting occurred as part of a “localised feud between two parties over drugs issues”.
A small quantity of live ammunition was recovered near the house in follow-up searches. It is understood the gunman fled from the scene on a motorbike — possibly driven by an accomplice.
A 23-year-old man was arrested nearby shortly afterwards. He was being detained at Mayorstone Garda Station. A second man, aged 20, was arrested shortly after midnight on Tuesday night. He was being held at Roxboro Road Garda Station.
Gardaí are satisfied that the house was incorrectly targeted.
Sergeant Justin McCarthy from Mayorstone Garda Station said: “Between 7.20pm and shortly after 7.30pm, at New Rd, Killeely, adjacent to Watch House Cross, gardaí received a report of a number of shots fired.
“Any information on this crime will be appreciated by gardaí at Mayorstone at 061456980 or the Garda confidential telephone line on 1800 666 111.”