Emergency services and local people rushed to pull bodies from the rubble of what was previously a three story building on Sunday evening.
It was reportedly the home of Hamas official Jamal Al-Dalou before being targeted by Israeli forces.
At least six of those who were killed in the blast were women and children.
One of Al-Dalou’s neighbours, speaking anonymously, expressed his disbelief at the attack.
“I don’t know why. But there is no humanity in the Israelis [sic]. That is all.”
The airstrike is the deadliest attack on a single family since the Gaza crisis began on Wednesday.
As efforts intensified to pull the final two bodies from the rubble, residents of another house less than 200 metres away shouted to the crowd that they had received a message from Israeli forces telling them that their house would also be struck.
The crowd fled, but the attack never came.
Israeli airstrikes, naval and tank shelling pounded Gaza, targeting the densely populated areas of Al-Nuseirat and Jabaliya refugee camps, as well as close to the Rafah crossing and several districts within Gaza City itself.
Israeli military chief Benny Gantz instructed forces on Sunday to increase attacks on what he termed “terror targets” in Gaza.