Prince William and Duchess Catherine

Prince William and Duchess Catherine

Britain's Prince William and Duchess Catherine have found their perfect home at Kensington Palace.

It's an absolutely smashing little house. It's so quiet there you'd never think you were in the middle of London.

The newlywed royal couple have hand-picked a small cottage in a quiet spot within the grounds of the palace, which can be accessed via an archway and comes with its own private garden.

William - who turns 29 tomorrow (21.06.11) - and Catherine are said to have been given a choice of a number of different properties but settled on the cottage earlier this month.

Their possessions arrived at the property last week, and have been taken into the house, where they are now thought to be unpacking.

A source told the Sunday Mirror newspaper: "There was a lot of excitement on Thursday (16.06.11). This is them setting up home as a married couple.

"It's an absolutely smashing little house. It's so quiet there you'd never think you were in the middle of London."

The royals will officially take up residence in the cottage when they arrive back from a tour of North America next month. They will also keep their house in Anglesey, North Wales, near where William is based as a search and rescue pilot.

A spokesman for St James's Palace confirmed: "They are in the process of moving in and they expect fully to move in after their return from Canada.

"Their home will remain Anglesey, but Kensington Palace will become their London residence."