In this Ask Evan episode, Evan Carmichael responds to a newsletter reader, Osman, a former property manager who lost his job and wants to raise capital to purchase and manage a building but doubts his confidence. Evan explains that the current market offers low‑price properties and cheap loans, but borrowers must have sufficient credit and cash flow to cover payments. He outlines two primary funding routes: (1) Find an investor partner who provides the capital while Osman runs the property, emphasizing the need to differentiate himself from typical property managers to attract such partners; (2) Raise a small, private fund for the down payment by tapping friends, family, former classmates, etc. Evan stresses that both paths require a degree of “backbone,” encouraging Osman to believe in his skill set and take action. The video ends with a call for likes, comments, and a tease for the next episode.
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Hi, I'm Evan Carmichael and welcome to another edition of Ask Evan. In today's episode, I'm going to answer a question from one of my newsletter readers, Osman, who was a property manager for 12 years, lost his job, and now wants to raise money to buy his own building and manage it, but he says he doesn't have the backbone to do it. And he wanted my advice. So Osman, now is a great time to be able to go out and get a loan for properties. Properties are, you know, super low prices. It's easy to get a loan with a low interest rate, but you have to be able to support those payments and you have to have the credit history to be able to get that loan as well. So you have two options. If you don't have the credit history to support it yourself, you can either go out and find an investor to partner up with, so the investor gives the money and you run the building. The problem on that front is a lot of investors are used to hiring property managers and maybe not about having them part of the business as an owner. Now there's definitely incentive to have a good property manager on as a partner, but a lot of investors may not see it that way. So you have to go out of your way to find a good investor and also show how you're different than the average property manager. How you're going to make it way better, you really know what you're doing, you have all this experience, and you're not just a typical property manager that they can hire. So give them reasons to want to make you a partner in the business. The other way that that could also work is if you don't have the financial backing yourself, try to raise a small fund. So how much do you need to, you know, buy this building to manage, and then what do you need for the down payment? And then start talking to friends, family, you know, kindergarten, old schoolmates, and ask them to potentially invest with you to raise the amount that you need for the down payment to be able to, to make that go. So it does require a little bit of backbone. You said you're worried that you don't have one, but this could be the time to believe in yourself and launch your own business. You know you have the skill sets to do it, so get up and start doing it. I hope that helps. If you guys like the video, please give it a thumbs up or leave a comment below. Share your thoughts as well. I'd love to hear from you, and stay tuned for the next episode.
