Five people including two police officers were knifed the terrifying frenzy.
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Police chased the attacker through gardens before he was floored by three 50,000-volt Taser bolts.
A 36-year-old man was later arrested on suspicion of murder. The suspect was last night under guard in hospital.
Video shows the moment he was injured when he crashed his Ford van into a house before the carnage in Hainault, North East London.
The clip, shot on a doorbell camera shows the van, slamming into a pedestrian as blood-curdling screams were heard.
The man then got out of the smoking van carrying a 2ft ornamental sword.
James Fernando, 39, said the suspect had the “massive sword” in one hand and was using a phone with the other asking for the fire brigade.
He said the attacker stepped on a woman neighbour’s foot to stop her moving but she ran.
James added: “As the boy was ten metres from the door, the woman screamed to warn him that the man had a sword.
“As he’s turned round he’s waved the sword and it struck him in the face. He was dead on the spot.”
Another added: “He was covered in blood. He never stood a chance.”
As cops swarmed to the scene, James said the attacker was still running around with the sword looking for more victims.
Another video clip showed the first police car arriving and the maniac shouting: “Is there anybody here who believes in God?”
Police ruled out terrorism and were examining the suspect’s background to establish a motive.
‘Hacked down in school uniform’
Amanda Trezza, 35, who saw the incident as she walked her son to get a coffee, told The Sun: “I’m very scared about this because I have two children
“I was getting ready to leave home at about 10 minutes to seven to go and get some coffee.
“And then I heard a lot of noises and sirens.
“And my daughter asks me, ‘What’s happening?’
“I looked out of my window and saw a lot of ambulances and bodies.
“After I go with my son to the bus stop. I see on the main road.
“I see the boy the body of the boy being given CPR.
“He was wearing a school uniform with grey trousers and a white shirt.
“I don’t know which school it was for because I couldn’t see the jumper.
“Then I saw an ambulance that was being prepared to take him away. My son saw what they were doing and started crying.
“And then we turned around and went back home.”
They said the boy was not known to the attacker.
Two officers were injured trying to restrain the man. One almost had his hand severed.
