Before the call to police, neighbours heard the unmistakable sound of gunshots. According to police, two adults were found outside of the property and the other five bodies were discovered inside the home.
"Police are now responding to what I can only describe as a horrific incident", Chris Dawson, Western Australia's Commissioner of Police, told reporters.
It is reported by The Australian, referring to the information police.
The generally accepted definition of a mass shooting - four deaths excluding the shooter in a single event - has been met only once in Australia since then.
The country had just seen a mass shooting-where four or more people were murdered-a year earlier after a man murdered his wife and three kids when Obama made those comments.
Though strict, Australia's gun laws do allow for some exceptions.
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Australia has banned all semi-automatic rifles and all semi-automatic and pump-action shotguns, and has a restrictive system of licensing and ownership controls.
Osmington is a collection of a few streets, farms, holiday accommodation and vineyards supplying the premium wine-making district known as Margaret River. The incident prompted the nation to introduce stringent gun controls.
WA Police say they are not looking for any suspects, after being called to the home before dawn yesterday morning.
Dozens of Homicide Squad Detectives and forensic investigators remain at the rural property on Osmington Road.
Police moved quickly to allay community fears of a killer on the loose by saying there was no threat to public safety - suggesting they knew who the killer was and that person was one of the seven victims.
The ages of the children and adults have not been revealed.
Police said two firearms were also found at the scene. All weapons must be registered, although many arrive illegally from overseas through organised syndicates.
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Australia's most recent mass shooting occurred in 1996, when a gunman killed 35 people and wounded 23 in Tasmania.
"They were just such lovely people", she told the broadcaster.
"They are a hugely respected family and a great asset to the community", he told AAP.
Homicide detectives are now assisting police, he said, adding that there was no danger to the public.
Pamela Townsend, president of the Shire of Augusta-Margaret River, said the deaths have impacted everyone in the community.
A friend confirmed that those who died were part of the Cockman family. Dawson said the bodies had been there for several days before they were discovered.
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