‘This is the only way I can save’

One graduate has moved back with her parents into a “graddy annexe” to beat the high costs of renting and save for a deposit.

Lucy Fermor is now living with her family, near Maidstone, after being faced with soaring rents. They paid £10,000 to create the annexe out of their garage.

The 20-year-old’s monthly outgoings left her with no money to set aside for a deposit so she decided to return home.

Her new rent of £500 per month, to her parents, will be banked so she can get a deposit together.

Miss Fermor, an insurance company account manager, said she faced little choice but to move in with her family.

She added: “My annexe has its own front door, floor to ceiling wardrobes, a little patio area at the side and enough space for me to have my boyfriend over.

“When my parents were at this stage in their careers they could afford to rent or buy. But I am in a generation of people who simply don’t have that luxury.”

Council tax for an annexe is reduced by half if a family member is living in there and presents a more financially viable option. The Fermors’ version has an en-suite bathroom and kitchenette.

Miss Fermor, the eldest daughter of the family, who thanked her parents for helping her save, added: “This is the only way I will ever be able to save for a deposit.”