Cash-strapped Kerry Katona is considering raising money by selling her own mother’s house.

The ex-Atomic Kitten is currently struggling to pay a £200,000 tax bill, so is now eyeing up the two-bedroom terrace she bought for her mum in Warrington, Cheshire.

As her mum has lived there gratis for the last three years, and Kerry expects to raise nearly £100,000 by flogging it, mother Susan is now said to be terrified she’ll soon be homeless.

A source tells the News of the World, “Susan is panicking. She's in bits and doesn't know where she'll end up."

Kerry apparently broke the unhappy news just before Christmas with a text message – but the pair have been on bad terms ever since Susan said in an interview that her daughter had become a drug addict.