By Jenelle Etzel, June 14, 2023
Even been laughed at and hung up on by a bank? I have..
In 2008-09 in the depth of the housing crash I tried to buy the commercial building where I started Living Room Realty.
Bankers thought I was joking or completely out of my mind. (I had two babies under 2 years of age- I was out of my mind!)
But I was serious.
Commercial loans need 25-30% down. Didn’t have it. Needed a business plan. Didn’t have it. (Did I mention I have a weaving degree not a business degree?) So this bitch got crafty & got to work. Googled “biz plans” and put my ideas and strategy onto paper while backing it up with number’s and projections I scratched out while the babies slept.
The owner who offered to sell me the building, Roslyn Hill, encouraged me to look into grants that may be available. (Thank you Roslyn!) She connected me with the Portland Developement Commission and they offered me a “Gap” loan for women and BIPOC biz owners if I could find a bank to loan the other half the value of the property. I was responsible for 10%. Every bank I called said “No”. I CALLED A LOT OF THEM. You just need one “Yes!” and local bank Lewis and Clark bank was that “Yes”. They looked at my past track history as the best predictor of my future success, I wasn’t just a number but a person who they were willing to bet on. Small local banks and credit unions are so important to our economy for this very reason.
Another option could have been SBA financing as well. They also have 10% down programs. You will need a business plan in place for them as well as long as proof of reserves to pay the mortgage for the next 6-12 months.
This was one of the most challenging things I have done in my business. But after doing this once, it got 100X EASIER! Like buying a home, the 1st purchase opens doors to opportunities.
Please reach out to talk about the benefits of buying real estate. I’m passionate about seeing more folks make it happen!
Jenelle Etzel
President & Owner, Licensed Broker OR
She/Her
What does being lead singer and guitar player in a female punk band have in common with starting a real estate company in the middle of a recession? Not many people can answer that question...
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- jenelle@livingroomre.com
