I know there are limited lenders if you buy a property, refurb it and then sell it within six months, but if I pay cash for a property and want to spend about £10k max on the refurb to turn it into 4-room lets for professionals before getting some money back out and renting the property out, is this feasible?
Buying for cash if you can is positive because you have:
Having four tenants on separate AST's will reduce your choice of BTL lenders as some only allow a single AST let.
The majority of BTL lenders will not accept a remortgage application until you have owned the property for six months, regardless of your method of purchase. There are a couple that will lend limit lending primarily to purchase price and provable refurb spend, thus trapping perhaps more money in the property than you intend.
Specialist and commercial lenders will not have that six-month limitation, allowing you to apply for a mortgage as soon as the property is refurbed and tenanted. However, they charge higher rate and set up fees than BTL lenders.
The question is; what is your driving objective to release your cash back out of the property with such haste? It may be to fund your next purchase, but how quickly will you find that purchase. Is it possible that your cash will sit idly in your bank until that cracker of a deal appears?
There is an alternative strategy you may wish to consider
This means that