This particular strategy was personally told to me by Jimmy while we were driving from Phoenix to Las Vegas in the early 1980s to attend a real estate exchangers conference and exchange session.   

You would get the rest of your assignment fee at closing.4. take assign contract and deposit to title company so new buyer and your fee will be on HUD1.5. wait for closing to get your money.That is how I do it.Hope this has given you some clarity.I know this post is years old...but when you get the $1000 deposit from the buyer, do you have them give you a check or something personally or do you meet at the title company and have that $1000 deposit held with the title company?

I know a really good guy personally who built up his company from frostburg

For background this is my first investment and I own the property personally not with an LLC or anything of that nature. 

I personally would put down 20 percent and keep the rest of my cash, even if it meant I wasn't "making money" in the beginning.

Hey @Kyle Kline, these are all great questions to ask and ultimately it will be personal preference. 

When you get them on the phone setup a time to do a zoom call, see how they do business, who the connections are they have, and if you get to know them through those conversations and feel good go meet them in person.

However, the person you spoke with has a good point.

Not sure if personal info is allowed here but look up nerdtech on youtube for some details on how it works.

If anyone is interested I have a contact person who can provide more information.