Police are investigating whether the attack, at the end of a quiet cul-de-sac in Colyton, was targeted.
The man, believed to be Adrian Buxton, was gunned down as he put the bins out around 9pm on Thursday, police say.
Network Ten reports Mr Buxton had links to the Nomads bikie gang and his death is believed to be linked to two other recent shootings.
One of these, as yet unsolved, involved a known member of the Rebels bikie gang.
Mr Buxton’s wife and two children were inside the house, just metres away from where he was found lying on the neighbour’s nature strip with multiple gunshot wounds.
Paramedics treated Mr Buxton, believed to be in his 30s, but he died at the scene.
“He was taking out his rubbish, the garbage bin, because it was garbage night,” Superintendent Greg Peters told reporters at St Mary’s Police Station on Friday.
“It’s early at this stage of our inquiries, we’re not sure what took place.”
Police have been told people were seen running from the scene and it’s hoped CCTV footage from the home will help identify them.
“It’s a tragic shooting,” Supt Peters added.
Investigators have dusted cars surrounding the home for fingerprints, searched under gutters and ruffled through bushes to look for any clues linked to the attack.
The man’s aunt, Kelly Keesing, took to Facebook to pay tribute to Mr Buxton.
“You will be sadly missed but now you’re riding the highway in the sky with your Dad, mate,” she wrote.
“You can finally teach him how to ride a Harley.”
Originally published as Sydney father dead, gunman on the run