Durham, N.C. — Bullets struck two children inside a house when someone opened fire along a Durham street Sunday afternoon, police said. Neighbors said they saw three masked people drive up in a car and begin shooting at houses in the neighborhood.

Dominique Hagans said her daughter, 1-year-old Au-Nestii Hagans, was shot in the arm and her son, 3-year-old Anaryiion Hagans, was shot in the hand.

"I went to pick up my baby and my baby was in a puddle of blood," Hagans said. "I just started panicking."

The children were recovering at Duke Hospital Sunday evening.

"My daughter just keeps crying. My son, he's strong. He's not crying," Hagans said. "All he keeps telling me is somebody shot him."

Troy Lee Howard, 48, was shot in the thigh while he was visiting family on the street, his brother told WRAL News.

"We just heard gunfire and then I asked him, I said, 'Man, are you all right?" And he said, "No, I've been shot," Charles Howard said. 

Police said that an altercation occurred on the sidewalk at 210 N. Driver St., and that Howard was shot around 1:15 p.m. Bullets that missed him entered a house at 204 1/2 N. Driver St. and struck the children.

It wasn't clear whether Howard was the intended target of the shooting.

Police said they were interviewing witnesses and did not yet have a suspect in the case.

Neighbors said they believe the shooting was in retaliation for recent crime in the area.

"It's no joke over here. If it isn't this house, it's that house," Miriam Liles said. "If it isn't that house, it's the house down the street."