There were conflicting reports on the number of rebels versus civilians killed in the strike which was believed to have been carried out by the Saudi-led coalition.
The coalition said it was investigating the reports and could not immediately comment.
The strike occurred in the district of Al-Hali in Hodeida province, which is controlled by the Iran-backed insurgents.
The security sources said a second air strike targeted the house of a Huthi commander in the same area, but there were no immediate reports of casualties.
The rebels' Al-Masirah news outlet also reported two air strikes in Al-Hali district, saying they targeted a camp for displaced people and that most of the victims were women and children.
In a statement to AFP, coalition spokesman Turki al-Malki said: "We take this report very seriously and it will be fully investigated as all reports of this nature are."
The coalition is the only force known to carry out air strikes on Huthi rebel-held territory and has previously admitted to "erroneous" strikes that caused civilian casualties.
Saudi Arabia and its allies launched a military intervention in Yemen in 2015 with the aim of rolling back the Huthi rebels who had seized the capital and restoring the government to power.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
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