Is it a car? Or is it a plane?

The Terrafugia Transition flying car has completed its maiden test flight in New York.

The road-legal two seater runs on unleaded fuel and can convert into a plane at the touch of a button. It takes 30 seconds for the wings to fold and lock into position and it requires just over 500 metres of runway to take-off.

Inside, it has a steering wheel and pilot's telescopic stick, and rudder pedals are located either side of the accelerator and brake.

Details of its road-going prowess are scarce, beyond the fact it is front-wheel drive and capable of around 30mpg. Once airborne it is capable of flying at 115mph and has a range of 400 miles.

Holders of a driver's licence need not apply, however, as anyone flying the car must have a light sport aircraft licence.

Around 40 people have put down a $10,000 (£7000) deposit for the car.

The final price is expected to be about $200,000 (£137,000), and it is expected to go on sale in 2011 following further tests.