A video taken by a neighbour in Southfield Avenue, Far Cotton shows how the party spilt out onto the street in the early hours of Sunday morning (February 10).
Neighbours say a DJ with a microphone and speakers was reportedly set up in the back garden, and some residents claim the number of people in the house on the night was in the hundreds.
The students living at the house reportedly went door to door the next day to apologise for the party that 'got out of hand'.
One resident said: "Fair play to them, they went door to door to say sorry for what happened. It sounds like it got out of hand and lots of people they didn't even know turned up.
"I don't expect them to not have parties. We all did it when we were younger. But that many people, at 4am with a bloke in the back garden shouting at the top of his voice on a microphone is a bit much."
The students declined to speak to the Chronicle & Echo about the party but neighbours say they had apologised and said it "wouldn't happen again".
The same house reportedly held a smaller party the weekend before.
However, county councillor for the Far Cotton area Julie Davenport [Con.] said she felt the University of Northampton needs to 'educate' students about how to be a considerate neighbour.
She said: "This is a quiet residential street and the residents there don't want this kind of trouble.
"These are people who have to go to work the next day. These are households with children who were scared by it all.
"I'm happy to hear they apologised for the noise but just because they are young we cannot just shrug it off and say students will be students. The university has got to be educating them on their behaviour."
A University of Northampton spokesperson said: "Following a complaint about noise levels at a private house rented by students during the weekend, the University has been in touch with the tenants to remind them of their responsibility to their neighbours, and that disciplinary action is possible if there are future occurrences. It is understood that the students have apologised to their neighbours in person, and we hope that will be an end to the matter."