Questions and Answers > EB-5 Requirements

How does an eb5 investor prove his source of funds?

Hi, I am in the process of selling my house in order to invest the money in EB5 program. What documentation do I need to prove that the funds came from selling my property, and do I need to prove that I have a steady income to be able to live in the US after I put all the money in the EB5 program?

Answers

• Lei Jiang

  Immigration Attorney

  Answered on May 20, 2013

  You should have a signed purchase agreement and fund transferring documents from banks. Normally you have to be an accredited investor.

• Julia Roussinova

  Immigration Attorney

  Answered on May 17, 2013

  Proving source of funds is case specific. If you are in the process of selling the house, you would generally need the documents establishing your ownership of the home, purchase and sale related documents, bank statement establishing the sales proceeds were deposited into your personal account. You are not required to prove steady source of income. I encourage you to engage the legal services of an experienced immigration attorney to represent you in connection with I-526 petition filing.

• Reza Rahbaran

  Immigration Attorney

  Answered on May 17, 2013

  The sale of property is a popular choice for many EB-5 investors to fund their capital investment. The source of funds required will vary depending on the length of time the property was held prior to the sale. In all cases you should have the deed that shows the property is in your name, together with the bill of sale. If you have owned the property for less than 7 years, it is possible USCIS may require evidence of the source of the funds used to purchase the property initially. Beyond this you shall also need show the trail of the funds after the sale through to transfer into the new commercial enterprise account.

• Marisa Casablanca

  Immigration Attorney

  Answered on May 16, 2013

  The process of proving source of funds is different from person to person. I would suggest you consult your immigration attorney before you make any sales or take any steps. That way all the funds can be structured correctly for an EB5 visa petition. We are available if you need further assistance.

• Mahsa Aliaskari

  Immigration Attorney

  Answered on May 16, 2013

  When using the proceeds from the sale of property for EB-5 purposes, in general, you will need to document your lawful ownership of the property (how you paid/acquired the property), the sale transaction and documents showing the origin and receipt of the proceeds. The I-526 filing and supporting documents are very fact specific, it is best to consult with an experienced EB-5 immigration counsel on the specifics.

• Shahzad Q Qadri

  RC Creator

  Answered on May 16, 2013

  One of the key issues is sourcing of the funds. Failure to adequately prove where the funds came from will result in a denial of your petition. How you source depends on where the money is coming from, for example: if you sell your house, the deed, the PSA and the deposit into your account will all be needed to show the source.

• Jinhee Wilde

  Immigration Attorney

  Answered on May 15, 2013

  We need to prove that you are qualified EB-5 investor with either net assets of $1 million or had income of $200,000 per year for the last 3 years. This could be shown by income tax returns or an Audited financial Statement of your worth. Procuring your investment amount by selling your house, you will have the appraisal and sales documents of your house and the funds from the sale being deposited into an account that gets wired into the EB-5 investment. Copies of your bank accounts, stock portfolio, real estate holdings, business holdings/ownership, etc. are all the documents we may need.

• BoBi Ahn

  Immigration Attorney

  Answered on May 15, 2013

  Transfer of property documentation (Purchase/sale agreement, Deed ,etc) and bank deposit information is a start. You can also include a copy of the real estate listing of your house to show that it was on the market and at what price, etc. No, you do not have to show any evidence or proof of steady income to live in the U.S.

• Fredrick W Voigtmann

  Immigration Attorney

  Answered on May 15, 2013

  Proving the lawful source of funds is a very case specific issue. Generally, if you are selling a property, you will need to provide the buy/sell agreement, proof of the transaction (closing statement) and bank statement showing receipt of the purchase price and proof that any applicable taxes have been paid. Also, you should be prepared to document how you earned the funds to buy the property in the first place. For the I-526 petition, there is no requirement to show that you have sufficient funds to live on after you make the EB-5 investment, but it is a good idea to be prepared for your consular interview for that question.

• Daqin Zhang

  Immigration Attorney

  Answered on May 15, 2013

  Yes, you need to prove the lawful source of the investment fund, how it was accumulated in the past five years and its moving pathway. You will also need to show you have extra money for living in the US.

• Ed Beshara

  Immigration Attorney

  Answered on May 15, 2013

  Please retain the services of an experienced EB-5 attorney to assist you. Ask the attorney their success rate for the approval of I-526 petitions.

• Shenila A Momin

  Immigration Attorney

  Answered on May 15, 2013

  If the source of funds is a sale of your home that has resulted in substantial proceeds from the sale of real estate, the documentation of the real estate ownership, appraisal, sale and transfer of funds is required. If the real estate was purchased within the last several years, it is highly recommended to document how the investor obtained the money to purchase the real estate that has now been sold. If the real estate was purchased 30 years ago, it may be impossible to provide such documentation. There is no clear line regarding how far back one must go to obtain documentation, with "reasonableness" being the rule of thumb. You do not have to show a steady income.

• Lynne Feldman

  Immigration Attorney

  Answered on May 15, 2013

  You will want to include the contract of sale. Banking documents to show money into your account, settlement sheet, any original purchase documents you have and then transfer out of EB-5 funds into the commercial enterprise for the I-526.

• Boyd Campbell

  Immigration Attorney

  Answered on May 14, 2013

  The documentation you will need to prove the funds for your property include bank, business, and real property records. Accountants and banks can be helpful in this process.

• Philip H Teplen

  Immigration Attorney

  Answered on May 14, 2013

  Documentation you will need to show will include five years tax returns, how you acquired the house, and all documents related to sale. I will be happy to personally discuss this issue further with you.

• Robert West

  Immigration Attorney

  Answered on May 14, 2013

  No, you do not need to prove steady income. Show how you paid for the house in the beginning and the money you made by selling the house. Proving source is different in each country as tax systems can vary greatly.

• Neville M Leslie

  Immigration Attorney

  Answered on May 14, 2013

  You will need the settlement papers from the sale of your house. You do not need a steady income, just the capital.

• Stephen Berman

  Immigration Attorney

  Answered on May 14, 2013

  A copy of the contract for sale of the house and deposit after the sale was completed may be enough. No, you do not need to prove you have a steady income after you have invested in the EB5 program.