At about 1118 Eastern time, the airplane was destroyed, and the student and Commercial-rated flight instructor aboard fatally injured, when it crashed in a rural residential area and burned. Visual conditions prevailed. The crew had been practicing instrument approaches at the Daytona Beach Airport, and was being vectored for the ILS Runway 7L approach, when the pilot declared an emergency, stating that he had minimum fuel onboard, and that his right engine had ceased operating. The controller provided the location of nearest airports and the pilot elected to proceed to the Spruce Creek Airport. At 1113, the pilot stated he was about to lose the second engine and, at 1116, reported the Spruce Creek Airport in sight, but he could not see the runways. The controller continued to provide assistance to the flight and, at 1117, informed the flight it was on a right downwind for Runway 23. The pilot responded that he was too low. At 1118, radio contact was lost with the flight.