The EB-5 visa, also known as the “employment-based fifth preference” visa, is a pathway to obtaining a U.S. Green Card through the EB-5 Immigrant Investor Program. This program offers one of the fastest routes to U.S. citizenship.

The EB-5 Immigrant Investor Program was established by Congress in 1990 with the primary goal of stimulating the U.S. economy through job creation and capital investment by foreign investors. Since its inception, the program has been operated by the United States Citizenship and Immigration Services (USCIS).

The United States boasts the world’s largest economy and is renowned for its political stability. Investing in an EB-5 project in the U.S. can be a lucrative opportunity, offering foreign nationals a source of consistent and reliable returns on their investments.

In this article, we will cover the topic of U.S. citizenship by naturalization, and how foreign nationals can apply for citizenship through the EB-5 immigrant investor visa.

The EB-5 Visa Pathway to U.S. Citizenship

Through a financial investment, foreign investors, along with their spouses and unmarried children under 21, can secure U.S. Green Cards, granting them lawful permanent residence. Notably, no employer or family visa sponsor is required for this program.

After maintaining permanent residence status for five years in the United States, foreign nationals become eligible to apply for U.S. citizenship. The two-year period of conditional residency in the U.S. also counts toward citizenship, which makes the process even faster.

The EB 5 program is accessible to foreign investors with a clean criminal record, and it does not require demonstrating “extraordinary ability,” having a permanent job offer, or specific work experience.

To qualify for the EB-5 visa, foreign nationals should be accredited investors with a net worth of at least $1,000,000 or an annual income of $200,000 for the last two years. Investors must also have the financial capacity to cover a substantial investment, USCIS filing fees, administrative expenses, and attorney fees.

It’s important to note that investment funds must be lawfully sourced, and both investors and their eligible family members must pass routine criminal, financial, and medical background checks to participate in the program.

In addition to serving as a pathway to both U.S. Green Cards and U.S. citizenship, an EB-5 investment can also prove to be highly profitable.

EB-5 Investment Criteria for Obtaining U.S. Citizenship

To qualify for a U.S. passport, a foreign national is first required to invest a minimum of $800,000 into a New Commercial Enterprise situated within a targeted employment area (TEA).

A targeted employment area represents a geographic region in the United States that is categorized as either rural or a high unemployment area.

The reduced minimum investment threshold for EB-5 projects located in TEAs is designed to foster investment in underserved communities. For EB-5 investment projects located outside of TEAs, the minimum required investment increases to $1,050,000.

It’s important to note that an EB5 investment must be channeled into a New Commercial Enterprise (NCE), and the investment must generate a minimum of 10 permanent full-time positions for U.S. workers. These positions must be maintained for two years.

The investment capital must remain “at risk” for at least two years, with no assurance of financial return during this period.

Moreover, all funds utilized throughout the EB5 process must have a lawful source. The source of funds requirement also applies to gifts or inheritance.

Step-by-step EB-5 Visa Application Process

Acquiring a Green Card through the EB-5 visa program can span a few months or several years, depending on the investor’s nationality, choice of EB-5 project, and various other factors.

The EB-5 process involves several essential steps. In summary, an investor must start by making the initial investment and subsequently demonstrate the creation and maintenance of permanent jobs.

It is crucial that the intended job creation is outlined in the initial immigration application through a detailed business plan. While removing conditions from the investor’s two-year conditional Green Card, the project must have followed the estimations in the business plan.

Initiating Your Investment

Investors have two main options for their investment approach. They can opt for a standalone or “direct investment,” where they invest independently in a business, or they can choose to invest through a USCIS-designated EB-5 regional center. EB-5 regional centers connect foreign investors with qualifying EB-5 projects available for investment.

It’s worth noting that standalone or direct investors are only allowed to count full-time workers who are directly employed by the new commercial enterprise towards meeting the minimum requirement of 10 permanent jobs. Regional center investors, on the other hand, have the flexibility to include indirect and induced jobs that result from business interactions with the NCE, such as those involving vendors or local businesses.

Additionally, an EB 5 investor must engage in the management of the NCE on some level. Direct investors are required to assume a more hands-on managerial role, while regional center investors can meet this requirement by serving as a limited partner.

Filing an Immigration Petition

Following their investment, foreign investors are required to submit an immigration petition to the United States Citizenship and Immigration Services (USCIS). This petition serves as evidence of their lawfully sourced qualifying investment and the job opportunities it has created.

For direct investors, the appropriate form to file is Form I-526, known as the Immigrant Petition by Standalone Investor. EB-5 regional center investors, on the other hand, should file Form I-526E, Immigrant Petition by Regional Center Investor.

The filing fee for either Form I-526 or I-526E is currently $3,675, but USCIS is raising this fee to $11,160 on April 1, 2024. It’s important to note that immigration attorney fees and any administrative costs will also apply.

The processing time for Form I-526E can vary based on factors such as demand and visa availability. EB-5 investors can check the official USCIS website for current processing times, although actual wait times often prove to be shorter than announced.

Obtaining Conditional Permanent Residence

EB-5 investors in the United States can file their Form I-485, Application to Register Permanent Residence or Adjust Status, at the same time as their I-526E petition. Investors who are already legally residing in the United States on a different visa, such as the H-1B, can enjoy the benefits of concurrent filing and apply for work and travel permits while their I-526E petitions are being processed.

Form I-485 currently has a filing fee of $1,140 for adults, with a reduced fee of $750 for children under 14 applying with a parent. An additional $85 biometrics services fee for fingerprinting is also mandatory, except for children under 14 or adults over 79, who are exempt from this fee. The USCIS fee hike of April 1, 2024, will increase the I-485 filing fee for adults to $1,440.

The processing times for I-485 petitions differ based on the field office or service center that processes them.

Investors residing outside the United States must follow the process of filing Form DS-260 to obtain their initial immigrant visa from their local U.S. embassy or consulate. They should file this form once they have received I-526E approval from USCIS.

Form DS-260 incurs a filing fee of $325, plus an Affidavit of Support fee of $120.

Upon the approval of their relevant petitions, EB-5 investors are granted a two-year conditional permanent resident status.

As a holder of a conditional Green Card, the investor, their spouse, and unmarried children under 21 have the liberty to live, work, and study anywhere within the United States.

Conditional permanent resident status is valid for two years, but it can be extended until the approval of Form I-829.

Progressing to Permanent Residence and U.S. Citizenship

During the final 90 days of an EB-5 investor’s two-year conditional permanent residency, it is important to start the process of removing conditions from their Green Card.

This involves the submission of Form I-829 to USCIS. The goal of this form is to provide sufficient evidence demonstrating that the investment fulfilled all the requirements of the EB-5 program. This includes the creation and maintenance of 10 permanent full-time jobs for U.S. workers, each lasting at least two years.

Form I-829 currently comes with a filing fee of $3,750, rising to $9,525 with the April price increase.

As of March 2024, USCIS announces the current estimated processing time for I-829 petitions as about five years. While this form is being processed, EB-5 investors can get extensions to remain in valid conditional permanent resident status.

Upon the approval of the I-829 petition, the investor, along with their spouse and unmarried children under the age of 21, will have the conditions lifted from their Green Cards. At this point, they obtain full permanent resident status in the United States.

After accumulating five years of permanent residence, which includes the initial conditional residence period, EB-5 Green Card holders become eligible to apply for U.S. citizenship. This can be achieved by submitting Form N-400, the Application for Naturalization, which can be conveniently filed online.

The Advantages of U.S. Citizenship

U.S. citizenship offers many advantages beyond lawful permanent resident status.

• U.S. citizenship provides a safeguard against deportation. Lawful permanent residents can face deportation in cases involving criminal convictions or certain activities, while U.S. citizens are protected from such deportations.
• U.S. citizens have the privilege to petition for the immigration of additional family members, including aging parents or married adult children. Lawful permanent residents are restricted to applying for their spouses and unmarried young children.
• U.S. citizens hold the right to vote in U.S. federal, state, and local elections.
• Numerous studies have demonstrated that U.S. citizens tend to enjoy a more prosperous financial status, with economic earnings exceeding those of noncitizens by 50% or more. Additionally, U.S. citizens are eligible to pursue U.S. government jobs, expanding their career opportunities.
• As for international travel, lawful permanent residents are limited to traveling outside of the United States for up to one year at a time, whereas U.S. citizens face no restrictions on their travel.

First Step to Citizenship by Investment in the United States

The EB-5 program is the only investor visa with a direct pathway to U.S. citizenship. Investors with long-term plans in the U.S. can benefit from this program not only for a streamlined immigration process but also for the prospect of having their capital repaid in a relatively short time.

To take advantage of these benefits, it is important for prospective EB-5 investors to do their due diligence and make informed decisions. The first step to U.S. citizenship through the EB-5 visa should be selecting the right team of professionals to assist investors throughout their investment process.

For additional insights on the process of becoming a U.S. citizen through the EB-5 program, book a call with our EB-5 team today.