‘Most things double up. The sofa is also a double bed, things like that. We live more simply’

Money takes you through all you need to know before embarking on a life on Britain’s waterways.

WHAT TO CONSIDER BEFORE BUYING

Housing costs are rising, fast. About 2.4m people face a financial shock as they come to the end of their fixed mortgage term before the end of 2024, says banking trade body UK Finance.

Strong demand for properties and rising costs for landlords mean rents are also increasing. Could the waterways be the answer to reducing your costs?

There are about 35,000 licences granted to boats in the UK by the Canal & River Trust, which administers most of the UK’s waterways. The licences allow you to make use of the 2,000km of waterway they own. Of these a fifth are permanent residences, this proportion has remained flat for a decade.

DO YOU NEED A LOAN?

Like houses, there is also a huge range of boats on the market. The average price of a narrowboat is £ 57,000, according to specialist website Boats and Outboard, although some can cost more than £150,000 (the average price of a house in England is £310,000).

There are plenty of options for places to buy from and an active secondhand market. But unless you have about £60,000, it is likely you need financing.

When Emily found herself without student accommodation, it was fortunate that her parents had considered buying a boat in their retirement and the predicament provided an opportunity to invest. They funded the initial purchase of a smaller 35ft boat with their savings and then used the sale to upgrade to the one they have now.

Deena and her husband bought their boat for £25,000 in the summer of 2018, then invested £ 9,000 immediately to replace the hull and get the boat through the Boat Safety Scheme, using savings and cashing in a pension.

However, for others it may not be as simple. The good news is that it is possible to get a loan, similar to a mortgage.

You will need to go to a specialist lender and they are likely to have similar requirements to a traditional mortgage provider.

Andy Wood, from Swanley Brokerage, says: “The market for lenders providing finance for residential boats is very limited. I believe there are just two or three. ”

Like home loans, interest rates for residential boats vary. The least expensive is about 12pc, staggeringly high compared with home mortgages, and the most expensive is about 18pc.

Buyers can also take out a personal loan. Currently interest rates on that type of borrowing are between 8pc and 9pc for a five year loan term, according to data supplied by analyst MoneyFacts.

WHAT PAPERWORK

DO YOU NEED TO FILL OUT? Once you are close to buying a boat there are licences and permits that are required. The first one you need to look at is a Boat Safety Scheme certificate, similar to an MOT.

The second important document you need is a waterway licence granting you access to the canals and rivers of the UK. A gold licence lets you navigate on all waterways owned by both the Canal and Rivers Trust and the Environment Agency and runs for a year.

The average cost for a gold licence is about £1,400.

HOW OFTEN WILL YOU MOVE AND WHAT ABOUT MOORING COSTS? Staying in one location requires a permanent mooring. Moorings are charged per foot, so if you have a bigger boat you will end up paying more. The cost is also based on demand in the area and the facilities that come with the mooring.

At Cadogan Pier in Chelsea, west London, a 47ft boat has an estimated annual mooring cost of £14,500. Yet, a mooring for the same boat on private farmland without any facilities may cost only £15 per foot a year, just £810.

In Bath, Emily and Cameron pay £7,400 a year to moor close to the city. The location allows her husband to work in Bath as a building surveyor.

Most of the places you can stop along the waterways are clearly marked with the length of time you can stay for free.

For Deena and Steve, cruising is one of the main appeals. Deena says: “This week alone we have been moored near Lincoln, Newark, Nottingham.”

If moving during the colder months doesn’t sound appealing, the Canal and Rivers Trust offers permits for winter moorings.

While there are obvious benefits to a permanent mooring such as having a residential address, it comes with some disadvantages. You will need to pay council tax.

THE BOAT IS SORTED.

HOW DO YOU GET IT MOVING? There are also fuel costs to consider. Diesel is still the most popular fuel.

How much fuel you use will depend on the size of your boat, how much you move and the size of the boat’s tank. Deena says they pay £1.10 around £13.50 per week.

Canal Junction, a website for narrowboat owners, estimates the total cost of providing power to a boat is between £1,000 to £3,000 a year.

AND FINALLY

There are no shortage of considerations. Adventure comes with admin.

“To anyone thinking of doing it,” Deena advises, “I recommend doing a long-term hire so that gives you a feel for it. There are people who love it and those who loathe it.”