As the plane nose-dived towards Hatherley, in Cheltenham, the pilot managed to open a parachute attached to the aircraft.
Witnesses captured the plane's descent over the town before it landed in Mike and Karen Dean's back garden at 10:45am this morning.
The couple were in their home at the time of the crash but luckily no-one was injured, including the 76-year-old pilot who escaped with just minor injuries.
Mrs Dean said: "All I heard was a big bang. I feel very lucky that it didn't go through my house".
David Shatford, 23, a construction worker, was working on the house at the time and pulled the pilot to safety.
The scene of the crash is just 2.5miles from Gloucestershire Airport, in Staverton, near Cheltenham.