The Barack Obama Presidency, The US government has tried to change the rules for foreigners seeking to obtain the american residence through EB-5 visa.
By MiamiDiario Newsroom
Finally, on July 24 Donald Trump's government adopted new measures and regulations that will enter into force on November 21, 2019, marking the first significant revision to program regulations since 1993.
In recent years, this visa has gained popularity in Latin America as it allows families get the green card investing capital in real estate projects in the US For three decades, the amount of The minimum investment required was USD $500,000.
But with the new rules that amount will rise to USD $900,000 in three months. In general, the invested capital is recovered in a period of five years, depending on each project and its developer.
The EB-5 program is one of the few means of obtaining visas, which can grant american citizenship in a relatively short period. Experts on this subject do not believe that the changes to the EB-5 program will affect the demand for this visa, as many families are willing to pay a higher price in order to provide their investments and families with a future in the US.
“In my opinion, the increase to USD 900,000 will not have a total chilling effect on the market, since USA remains a strong brand and highly desirable,” said immigration attorney Roger Bernstein, with the law firm Saul Ewing Arnstein & Lehr in Miami. “However, foreign investors are going to want avoid the massive increase in the cost of this visa, so the next 120 days are going to be very hectic.”
The high demand for the EB-5 visa has led investors to inject close to USD $37 billion of foreign capital in the US since 2008. Those funds have financed part of the construction of some of the most important real estate projects in Miami, New York, Orlando and Los Angeles, among other cities.
The new rules will most likely change where the EB-5 funds will be invested. You will give preference to real estate projects located in rural areas with high levels of unemployment and with a greater need for economic development.
"The impact of the final rule and the amendments may cause a reduction in EB-5 projects in large investment centers like Manhattan," says Bernstein, who represents EB-5 investors. “So, I look forward to seeing next year more EB-5 projects in rural areas, unless there is new legislation that overrides these changes. But without a doubt, the EB-5 visa will continue to be a strong alternative source of capital for real estate developers, and for people who want to invest in the United States.”
For families who prefer to invest in much more economically viable areas, the capital required to obtain the Green Card will be much higher. Until November 21, 2019, that amount will be USD $1 million. After that date, the figure will increase to USD $1.8 million.
Press release