Generally crashing into inhospitable terrain while under control is preferable to a vertical spin into the ground short of flat terrain, which guarantees a bad result.
In any case, it usually isn't necessary to turn around back to the runway, which requires more than a 180⁰ turn since the maneuver is more of a question mark pattern. It's a matter of maneuvering to a survivable surface. "Land straight ahead" no matter what is just as foolish, if landing straight ahead takes you into an oil refinery, as trying to return to the runway from 300 ft. As the old saying goes, the rules and conventions aren't a suicide pact. It comes down to some judgement on maneuvering room from the point of failure.
It's better to forget about the concept of the "impossible turn, yes/no" and think in terms of "how much maneuvering margin does this altitude give me". To make that kind of judgement instantly, it means you need to know your airplane and its gliding ability and your own skill level. An airplane with a good L/D has way more options that a draggy biplane. Taken to an extreme, a 40:1 sailplane can have a tow line break at 300-400 ft and fly a complete pattern/circuit to land at the original starting point.
In general an airplane like a 172, with an L/D of around 9, will need more than 400ft to be able to turn and maneuver all the way back to the runway, if flown expertly and optimally. Go to a safe altitude and try it, and practice it and see for yourself.
But who says you need to reverse direction? There may be a golf course or a highway 90⁰ off the course that can be reached from 200-300 ft.
These eventualities should be part of the pre-flight planning from a particular airport. You brief yourself: If the engine quits at point X at 300 ft, where can I go? Make a few "advance decisions" so if it actually happens, you just react and put it down under control, even if it's trees (even there; if there are tall deciduous trees and a patch of short conifers, put it into the conifers, which will absorb energy like a big hair brush) .
This is part of the normal pre-takeoff checks in gliding, knowns as "Options" at the end of the pre-takeoff CISTERSC Nemonic. You observe the winds, review the terrain, and decide in advance what to do if a rope breaks at less than 400 ft.
I just had a fun and enlightening experience in my towplane checkout recently. We were doing circuits in the tug (a Citabria) and, mindful of some recent turn-back crashes, my check pilot eased the power back somewhere between 300-400 ft, catching me by surprise. After the quick run-through checking switches, carb heat etc, and pitching to maintain speed, I looked down, then back toward the airport, and instantly realized there was no way I could make it back. I pointed to a field about 45 deg off to the left and said "I'm putting it down there". He said "Good boy! Power's yours again".