Karaosmani was born in Elbasan, back then part of Manastir Vilayet of the Ottoman Empire, today's central Albania, to an Albanian family.

Later he finished the high school and the graduate studies in Istanbul where he got a degree for Political Sciences and Civic Administration.

During his studies in Istanbul, he got in contact with some Albanian patriots and activists, especially Murat Toptani, who would become a close friend.

After the Italian invasion of Albania, Karaosmani moved to Kavajë with his family where he lived for the rest of his life.

His family donated in 1962 the original pen with which he had signed the act of Independence Declaration to the Albanian National Archives.