Jhenaidah police chief Mizanur Rahman said bombs were hurled from the house after police tried to move into it early on Sunday.
An officer of the local police and a counter-terrorism officer were injured when the bombs exploded.
The house in Maheshpur Upazila's Bajrapur village was sealed off late on Saturday after intelligence indicated it was used by Islamist radicals, said Superintendent of Police (SP) Rahman.
Fire trucks and ambulances have been kept on stand by and the media has not been allowed to go near the scene.
Meanwhile, police have cordoned-off another suspected terror den on the outskirts of Jhenaidah town.
The house, owned by one 'Sharafat' at Lebutala area, has been sealed off since Saturday night.
Counter-terrorism unit's ADC Saiful Islam said they have information about explosives being stored inside the house.
Later on they received information on the Moheshpur terror hideout and began the raid there.
"We have surrounded the house. Will move in once the bomb disposal unit arrives," said Jhenaidah Sadar Police Harendanath Sarkar.
On the third week of April, police raided another house at a village near the district town.
No one was found in the house of Muslim convert 'Abdullah', but police said they found a huge amount of explosives and bomb-making materials there.
A week later, police raided another militant hideout in Chapainawabganj, when four terror suspects were killed in suicide blasts, officials said.
Police and counter-terrorism personnel have been confronted with such suicide explosions in Sylhet, Moulavibazar and many other places in the country, during raids on hideouts of the neo-JMB this year.