North Yorkshire Police said the incident happened at about 8.50am at West Haddlesey, near Selby.
A pilot and nine passengers were on board at the time.
Nobody was injured or stranded in the balloon, a police spokesman said.
The balloon is believed to have taken off from the Knavesmire in York earlier on Friday morning.
An investigation has been launched into the cause of the accident, which happened between West Haddlesey Road and Burkin Road.
The spokesman said: “No reports of any injuries have been received and we understand that the passengers have been taken back to York Racecourse from where the balloon had taken off earlier this morning.
“The Air Accident Investigation Branch have been informed of the incident.”