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theartfullodger

A major advantage when buying for cash is being able to tell estate agents and sellers that that is the case, no mortgage approval required, you can buy really quickly,  

Quite a few people like (or need) the "genuine quick purchase" deal.  It worked for me a couple of times. But get a god survey (maybe two..)

And take a builder or canny DIY-er round with you....

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Yorkie1

With the increasing uncertainty around the rental market, because landlords are finding it a harder place to make a decent business out of it, there is a lot to be said for being the master / mistress of your own destiny.

You don't say how old you are, but the prospect of renting throughout retirement may not be attractive.

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ian1246

Absolutely 100% buy yourself a house and move out of rental - that will reduce your overheads substantially.

Worst case scenario - if your business continues to struggle or goes under, then is there anything stopping you getting a basic employed job such as at your local supermarket or other employer?

Without a mortgage or rent to worry about, it means any job you go for will only need to cover all of your utility costs, food, transport & council tax, giving you a good flexibility in the type of job/work you can go for - including potentially even just looking at part time work. As long as the bills are covered (Which will be substantially reduced due to no rent or mortgage), you have a huge amount of potential flexibility in what you can choose to do, should the worst happen with your business.

If you can cover the essentials with an employed job, this would then allow whatever savings remain after the house purchase to be kept in a high interest account (you can get easy-access savings accounts which pay close to 5%. If you use a combination of regular savers, fed each month from your 5% easy access account, you can bump this up further - there's some regular savers out there at 6-8%).

On the other hand... if you continue to deplete your savings you'll come to the point where a house purchase is beyond you and your then in a situation of potentially your business still going under, but having to still find the rent, so a massively inflated overhead which in turn will reduce your options on what jobs you can consider.

Cloysterpete

ian1246 said:

Absolutely 100% buy yourself a house and move out of rental - that will reduce your overheads substantially.

Worst case scenario - if your business continues to struggle or goes under, then is there anything stopping you getting a basic employed job such as at your local supermarket or other employer?

Without a mortgage or rent to worry about, it means any job you go for will only need to cover all of your utility costs, food, transport & council tax, giving you a good flexibility in the type of job/work you can go for - including potentially even just looking at part time work. As long as the bills are covered (Which will be substantially reduced due to no rent or mortgage), you have a huge amount of potential flexibility in what you can choose to do, should the worst happen with your business.

If you can cover the essentials with an employed job, this would then allow whatever savings remain after the house purchase to be kept in a high interest account (you can get easy-access savings accounts which pay close to 5%. If you use a combination of regular savers, fed each month from your 5% easy access account, you can bump this up further - there's some regular savers out there at 6-8%).

On the other hand... if you continue to deplete your savings you'll come to the point where a house purchase is beyond you and your then in a situation of potentially your business still going under, but having to still find the rent, so a massively inflated overhead which in turn will reduce your options on what jobs you can consider.

This is it, because I’ve always owned my own place and never rented I’m able to comfortably manage just working part time in my local supermarket, it gives me enough to cover my monthly expenses and still leaves enough for me to put away savings. Which is good really as I’m very limited in what jobs I would be able to secure, I don’t drive and I have zero applicable skills. 

It might be a daunting prospect after a long time of being your own boss, but doing twenty hours a week in a supermarket sat on a till or stacking shelves is not at all difficult and is infinitely preferable to watching your total available funds slowly drain away over the years. Lidl/Aldi will actually expect you to work, but some of the British supermarkets like Sainsbury’s you’re able to work at a glacial speed so a measly 20 hours a week is not at all tiring.

EssexHebridean

Regardless of what else you do, get those savings earning some interest anyway - ensuring of course that you deposit no more than £85k with any one banking institution. Allowing that you aren’t certain of the eventual outcome of your buying or not dilemma, for thr time being even too paying easy access savings options will be better than them earning nothing at all! 

FlorayG

To me this is a no-brainer. You have enough cash in the bank to buy a house? Buy one. Even if you later sell it you will have made a profit. If you buy a suitable one you can get a lodger if you like which will top up your monthly income. 
Yes you will have the upkeep expenses but you can also have it how you want it.
If in the future your financial situation becomes unstable you will have the reassurance of nobody being able to take your home from you because you defaulted on mortgage/can't pay the rent

Chieveley

Worse case scenario you could have a lodger? give that idea some thought when choosing a property, eg. 2 bathrooms or ensuites, plenty of parking. good luck

BungalowBel

Buy yourself a house with your cash.  Then even if you have to get a minimum wage job, you won't ever be homeless.