Her father, Bangladesh's first president, Sheikh Mujibur Rahman, is widely viewed as an independence hero, but his relation to Hasina has turned him into a symbol of hate for many.
The home had already been badly damaged during the student-led revolution last year that ended Hasina's 15 years of autocratic rule.
Protests were triggered in response to reports that 77-year-old Hasina, who has defied an arrest warrant to face trial for massacres, would appear in Facebook broadcast from exile.
Abdullah posted on his Facebook page that the “Holy Land of Fascism” should be freed.
Mohammad Arefin, 25, said there was no reason for the house to remain standing.
“Since we, the students, have formed the government through revolution, we find it legitimate to demolish it”.
Hasina's government was accused of widespread human rights abuses, including the extrajudicial killing of hundreds of political opponents and the unlawful abduction and disappearance of hundreds more.
“I don’t know who the custodian was, or who was responsible for maintaining the museum,“ Rahman told AFP.
“I haven’t encountered any objections from the police”, he said. “The army is patrolling and talking to us”.
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