Understanding the New Changes to the EB-5 Program

New Changes to EB-5 Program
November 30, 2022

The EB-5 Reform and Integrity Act of 2022 increased the minimum amount an investor must invest to qualify for a green card. The Act now requires a minimum capital investment of $800,000 compared to the previous $500,000 for projects in targeted employment areas. Targeted employment areas are designated based on high unemployment in a geographic area. As a result, the minimum investment for projects not in targeted employment areas has also increased. It is now $1,050,000.

The increase in the minimum investment was part of several changes to the program’s reauthorization. The changes were included in the EB-5 Reform and Integrity Act of 2022 when Congress passed it earlier in the year. They intend to prevent fraud while still promoting investment and creating jobs.

The law also includes provisions that affect regional centers, which make up 90% of EB-5 applications. The new requirements ensure transparency for everyone involved with the regional center, making the program safer for investors.

Furthermore, one of the most notable changes introduced by the law will significantly benefit investors: The law now allows for concurrent filing. Concurrent filing means that investors residing in the United States with legal visas can now adjust their status in the US instead of returning to their home country as previously required. This change applies to investors with certain non-immigrant visas who want to apply for adjustment of US resident status (Form I-485) while filing to be part of the EB-5 program.

The law also extends the regional center program until 2027. This extension should make investors more comfortable with investing in the program because it will give them more time to obtain their green cards. The law also contains a grandfathering provision for those who filed before the new law took effect.

However, a legal dispute concerning the new law has come up. As part of the settlement, the USCIS is making it easier for investors to file an initial petition to invest in a new regional center project. As a result, the USCIS has made the changes mentioned above in the EB-5 program to benefit involved investors. These changes make it easier to participate in the EB-5 program for those investing directly in a business or through a regional center. Additionally, with a more transparent and accountable process, participants in the program can invest more confidently.

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