Why have a credibility kit in the first place? Considering all the benefits that a solid credibility kit can give you and your business the better question to ask is “Why not?”.
A credibility kit empowers you to take that next step, beyond the basics of locating properties, marketing, contacting and working with sellers, and working those critical first few deals that get the machine running. Also, you will have a STRONG LEG up on your competition! When the seller says “I have someone else coming to look at the house”, you can reply with “Make sure to ask to see their credibility kit…every honest investor should have one”. 😉 And believe me when I say, Investors don’t carry around Credibility Kits. So when you whip yours out, you’ll be remembered for it.
Here are some items that you should have in your credibility kit:
Cover Page: Gives your kit a professional touch.
Personal Bio: Sellers like to know who they’re dealing with on a personal level sometimes. By including some personal information about yourself , and even your family, they can feel like they know you a little better than they know the competition. This gives you the edge.
Examples of Marketing: Maybe include some photos of your marketing in the kit. This will trigger the seller’s mind to remember why they called you in the first place.
Credentials: If you have any certificates for Leadership, College, or any rewards, include them in your kit!
Education and Training: List all of the training courses you have been to or the number of hours you have spent training in the business).
Example of How You Evaluate Deals: Put some “fuzzy numbers” on paper. Use your MAO Formula in your example!!! This is very powerful when you refer to the credibility kit when discussing an offer (if the seller objects). You can explain that this is the most you can pay, based on the formula and guidelines that your company uses.
Don’t Forget About Testimonials
Testimonials: You may not have any right now, but as soon as you close a transaction, ASK FOR A TESTIMONIAL. Then get into the habit of asking for a testimonial every time you close a deal. My title company has started including my testimonial request with the closing docs. That way they can’t get away from the closing without filling it out.
Photos of Houses You’ve Purchased: No Matter how ugly, how cheap, or how pretty–include some photos (with addresses) of properties that you have bought/sold in the past. If you don’t have any yet, don’t worry!! You can add them later.
*Don’t overwhelm your sellers with a bunch of real estate jargon.
I keep a credibility kit in my car, and carry it in with me to seller appointments. It’s an essential part of my real estate investing package. I hand them the credibility kit while I’m looking at the house. I tell them to look through my credibility kit while I take a look around, and we’ll answer questions when I’m done.