Can I refinance conventional if I pay cash for a rental property?

[Wayne Solum]

I have a deal under contract (VA foreclosure) and possess enough cash to purchase and rehab it. I live in Texas. I've heard that if I pay cash and don't use a hard money lender, I would have to hold it for one year before refinancing it conventionally.

Is this true?  The hard money costs I could save are significant considering I have enough cash to do it without.

I'm sure this has already been answered.  Please forgive me, this is my first investment property and first post on BP.

Wayne