Queensland police have charged a woman after she allegedly acted on an earlier threat to torch a home on Palm Island.

A Palm Island woman is facing arson charges after she allegedly carried out her threat to torch a home on the island, off Townsville.

Queensland police say the 22-year-old got into an argument with an occupant of the house and threatened to burn it down.

She later did exactly that and lit a fire underneath it, destroying the property, police say.

The house was unoccupied at the time and no one was injured.

The 22-year-old woman was charged with two counts of arson and will appear in the Townsville Magistrates Court on Monday.