"It seems to be a very violent crime that took place in there which led to this double shooting homicide," Philadelphia Police Chief Inspector Scott Small said.
The shooting took place around 9:00 p.m. at the 700 block of North 3rd Street.
Police found two victims inside the three-story home.
A woman in her 60s, suffering from a gunshot wound to the chest, was pronounced dead at the scene.
Her daughter, shot once in the face, was transported to Hahnemann Hospital in critical condition.
Late Sunday, police were questioning others who were in the home at the time of the shooting.
"We have several witnesses that stated the shooting took place inside the private residence where both of these victims reside," Small said.
Police believe the suspect who fled the scene is a male. They say there is evidence of a struggle on all 3 floors of the home.
Authorities are hoping surveillance video from area businesses will help with the investigation.
The 41-year-old woman who survived the shooting remains in critical condition in Hahnemann University Hospital.