Police have taken the husband of the deceased B Aruna into custody on the charge of abetting suicide.
"The incident occurred in Pati Tanda (hamlet) under Dharpally police station limits in the district when B Aruna hanged her two children before hanging herself at her house," Sub-inspector B Murali said.
The deceased children included a 8-month-old girl and a five-year-old boy.
As per preliminary investigation, Aruna had quarrelled with her husband Srinivas over his plans to marry her younger sister.
A case under section 306 (abetment of suicide) was registered against Srinivas and he was taken into custody, Murali said.