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How can a loan be used to supplement my EB-5 capital investment?

Hi I am a Greek citizen (Greek Army Officer/LtC) living in an country that is currently facing severe financial problems. I have been stationed at Ft Eustis (as Liaison Officer between the Greek Army and the USA Army) during 2010 - 2012. I had a house in Yorktown and I am now having thoughts of starting a new life in the USA ( I am married, I have two children (they attended Seaford elementary and Yorktown middle schools (almost straight A, honor roll etc). I already have a SSN. My question would be about the amount of invested capital necessary. Would it be possible to acquire some kind of a loan (I have an checking account in a US bank) to gather the $500,000 (I would say that I have around 150,000€ (euros) available for investment. Thank you in advance for your time

Answers

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    Reza Rahbaran

    Immigration Attorney
    Answered on

    A bank loan may be used towards your EB-5 investment if the loan is secured by collateral that you personally own. Your house at Yorktown can be used as collateral for the bank loan.

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    Jinhee Wilde

    Immigration Attorney
    Answered on

    One of the fundamental requirements to show eligibility as an EB-5 investor, is to show that either you have earned $200,000 per year in income for the past 3 years or have a net asset of $1 million. Thus, while you may always obtain a loan to gather the $500,000 needed for investment, you need to show that you have the assets to support such a loan.

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    Lei Jiang

    Immigration Attorney
    Answered on

    No. Investment funds must be your own fund and you must document the source of your fund. A loan will not qualify for it.

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    Julia Roussinova

    Immigration Attorney
    Answered on

    A loan may be used for EB-5 visa purposes. However, it must be secured by the personal funds of the investor, not the new commercial entity into which you will be investing. If you plan to invest through a USCIS approved Regional Center, Regional Centers generally require that you also qualify as an accredited investor, i.e. either have personal net worth of at least $1m excluding personal residence or have individual income of at least $200K or joint with your spouse of at least $300K for the past two years and reasonable expectation of the same level of income in current year.

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    Ed Beshara

    Immigration Attorney
    Answered on

    You will have to invest your personal funds of USD $500,000.00 (TEA) into an EB-5 project. A loan against your personal assets may be used to supplement your minimum investment requirement of USD $500,000.00. However, you cannot obtain loan proceeds based upon the assets of the EB-5 project. You will also more likely than not qualify as an investor for EB-5 purposes either by your annual income or net worth.

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    Farah Abbas

    Immigration Attorney
    Answered on

    You can use a loan to gather the $500,000 that you would need to invest into the EB-5 program. The loan should be in your name. If the loan is secured (like a mortgage loan secured by real estate), you will also have to show that you own the collateral and lawfully purchased the collateral. Please contact an experienced immigration attorney who files EB-5 petitions to properly document your case.

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    Margo Chernysheva

    Immigration Attorney
    Answered on

    You can use a loan as your source of funds if it is backed up by collateral that you personally own. For example, if you have take about $400,000 loan against your property here in US or back home, it is possible. It has to be a reasonable loan value/loan ratio and given to you against your asset. Good luck!

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    Boyd Campbell

    Immigration Attorney
    Answered on

    Yes, as long as the loan is secured by your personal assets, such as a house in Yorktown.

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    David Tseng

    Immigration Attorney
    Answered on

    I am afraid the only suitable loan proceeds that could qualify for an EB-5 investment are those which are fully secured by the personal assets of the I-526 petitioner. It sounds like you have a beautiful family, solid financial footing and some established connections with the United States. While they are not relevant with respect to the EB-5 program which is specifically designed to attract foreign investment, I think they may be quite relevant to an employer who may sponsor a traditional work visa for you. Good luck.

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    Salvatore Picataggio

    Immigration Attorney
    Answered on

    An EB-5 investment requires the authentication of the legal and lawful source of investment funds. Often, this is shown through salary, mortgages on or sale of property, gifts, inheritance, etc. Retaining a qualified EB-5 attorney, like the attorneys at our law firm, can help you prepare the information and documentation needed to show your investment funds come from a legal and lawful source. Please note that EB-5 Regional Centers often require accredited investors that have a certain level of wealth as defined by the Securities and Exchange Commission.

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    Lynne Feldman

    Immigration Attorney
    Answered on

    As long as the loan is secured by your personal assets and not the enterprise in which you are investing, it would be considered lawful funds. Some of the Regional Centers do try to insure that you are not investing more than a certain percent of your net worth as it is "at risk" money but this is on a cases by case basis.

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    Fredrick W Voigtmann

    Immigration Attorney
    Answered on

    Loans can be considered as a lawful source of funds. The regulations allow for this as long as the loan is not secured by the assets of the new commercial enterprise into which you are investing. Also, the USCIS may want to see evidence of the lawful source of funds to purchase the asset, i.e., your home, if you are using the asset to secure the loan. It would be best if you consult directly with an experienced EB-5 immigration attorney, such as myself, on this issue.

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    Anthony Korda

    Immigration Attorney
    Answered on

    Loans are an acceptable source of EB-5 funding. However, in order to satisfy strict USCIS criteria, any loan used to source the investment funds must be secured on assets owned by the investor and/or the investor''s Spouse.

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    Jennifer Parser

    Immigration Attorney
    Answered on

    No, loans may not be used.

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    Stephen Berman

    Immigration Attorney
    Answered on

    No, you have to own the money.

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