The incident began early in the afternoon on Tuesday when police responded to the home in a Northeast neighborhood.
When they initially encountered the man, he was holding a machete and what appeared to be a firearm. Police stressed that the weapon did not have an orange tip on the barrel.
After the suspect barricaded himself, police shut down the 5700 block of North Capitol Street, Northeast and Blair Road and McDonald Place, Northeast.
Police say that after hours of negotiation, they began to smell smoke or fire issuing from the home.
According to police officials, the person had a history of trying to burn the house down, which prompted them to try to resolve the situation quickly.
Once they were inside, they noticed what they described as ignitable fluid on the stairs leading to the basement.
When they were in the basement, the suspect reportedly fired what appeared to be a weapon at police. They say large pellets passed the officer, who returned fire, injuring the man.
According to police, the weapon appears to have been a paintball gun.
Police say the man is in critical condition.