The 66-year-old was married to Andrew Mountbatten Windsor from 1986 to 1996, but continued to live alongside her ex-husband, Andrew at Royal Lodge.
She has now been forced to find a new home, though, after King Charles took the dramatic decision to formally strip his brother of his Prince and Duke of York titles and HRH style, a move that effectively ends his public life.
Recent reports in the Daily Mail suggested that Ms Ferguson could be moving into a “granny annexe” at Princess Beatrice’s £3.5m Cotswolds home.
READ MORE: Fergie ‘moving into £3.5m Cotswolds mansion’s granny annexe’
Prince Andrew and Sarah Ferguson after their wedding ceremony in July 1986. (Image: PA Archive)
The mansion, tucked away in a quaint village, belongs to her daughter and son-in-law, Edoardo Mapelli Mozzi.
Now, according to an insider, the 66-year-old is a “virtual recluse” and is “one edge” ahead of the potential move.
A report in the Daily Record suggests Ms Ferguson could be planning to release a “tell-all book” about her time with Andrew.
Woman Magazine’s royal expert Emily Andrews suggests it could reveal the inner workings of the royal family and earn Fergie millions.
A source reportedly told Emily: “Sarah has been left devastated by the fallout from the Epstein email scandal.
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Sarah Ferguson, the former Duchess of York. (Image: NQ)
“She’s on edge, panicking, and has become a virtual recluse in the past weeks.
“She has nothing left to lose now, so she could easily sell another autobiography in the US – it worked for Harry.
“With no substantial income coming in, Sarah is now looking to follow in the footsteps of Prince Harry and is willing to pen a tell-all memoir about her time with Andrew and how she was treated by the Royal Family after their split.”
The option to move to the Oxfordshire Cotswolds to live with her daughter remains open to Ms Ferguson, as the Daily Mail reports.
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Sarah Ferguson could be moving into a “granny annexe” in the Cotswolds. (Image: Kirsty Wigglesworth / PA)
Noting that the one-bedroom former cattle shed has been recently renovated, the publication suggests that it could well house Fergie after her royal eviction.
A source told the Daily Mail: “Sarah would be able to just walk a few yards and be an on-site babysitter for Sienna, who she simply adores and with Eugenie living in Portugal, it makes perfect sense.”
The modest annexe, which was completed by the property’s previous owners, is hidden behind a stone wall opposite a row of new-build bungalows.
Recent work has included replacing doors, installing a gas fire boiler, and replacing the gutters, as well as repointing the stonework.
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Another source told the Mail on Sunday: “The granny annexe seems to be ready to move into now.
“It’d be perfect for Fergie, wouldn’t it? The stonework has all been repointed, the gutters renovated, and the woodwork nicely painted. It has its own entrance.
“Just today, the road was blocked for a delivery of propane gas bottles for the annexe. That coincided with the first cold snap of winter.
“So, clearly, the arrival of someone is imminent. It may not look like much of a palace on the outside, but I bet it’s stunning inside.”