Andrea Barker, from Cleethorpes, Lincs, said she was watching TV by the Christmas tree when she noticed a “bright light”. However, she thought it was just her festive decorations until a neighbour knocked on her door and alerted her to the vehicle on fire.
Ms Barker was with her daughter Olivia, who the vehicle belonged to, and her daughter’s boyfriend when the terrifying incident took place.
Ms Barker told Grimsby Live: “I was sat watching telly and, at first, I thought it was just the tree lit up in the window that was causing the bright light.
“I didn’t see the flames until my next-door neighbour, Andy, ran round and told me.
“I was in so much shock when he explained what was going on, I didn’t know what to do.
“I was worried about the car blowing up so myself and the others in the house made our way to the back garden.
“We were all really scared, my daughter Olivia and her boyfriend are only 19 as well, so it was a scary situation for them especially.”
The Citroen DS3 has now been written off.
Pictures show the charred remains of the car outside the front of the house, where windows have also been damaged.
The blaze has brought back bad memories for Ms Barker, whose aunt died in a fire five years ago.
She has also been put off parking her car on her drive in future.
She said: “I lost my auntie in a fire years ago and I just kept thinking about what could have happened if someone was in the car or driving when the fire started.
“I’d rather not have a car parked on my driveway now if I’m honest.
“The neighbours have been brilliant though, one of them was even throwing stones at our back window to alert us to the fire.
“I just never expected anything like this to happen though, I was in complete shock.”
Humberside Fire and Rescue said the fire started due to an “accidental ignition”.
The blaze spread to two properties but caused minimal damage.