Fire crews are battling a grassfire in regional Victoria that threatened homes.

Firefighters have saved homes and properties from a grassfire burning in regional Victoria.

The 300-hectare blaze threatened homes in Steiglitz on Wednesday afternoon but the Country Fire Authority (CFA) says the immediate danger has passed.

The CFA downgraded its emergency warning to a watch and act warning just before 7pm (AEDT).

A CFA spokesman said the fire sparked in Maude, between Geelong and Ballarat, about 4pm and raced north, where it briefly posed a threat to the homes in Steiglitz, near the Brisbane Ranges National Park.

Forty CFA crews and eight aircraft blacked out one edge of the blaze and expected to have the remainder of the fire under control before nightfall, the spokesman said.