Government officials revamped the controversial EB-5 visa program — which enables immigrant investors to obtain “golden visas” — by raising investment minimums from $500k to $900k.
Wait, wait, wait… what’s a ‘golden visa’?
The EB-5 visa program gives immigrant investors (and their immediate family members) 2-year green cards in exchange for US investments.
The original program, launched in the ’90s to attract investment during a recession, granted green cards for $500k investments in “high-unemployment areas” or $1m investments anywhere else.
Now, those minimums will increase to $900k for high-unemployment investments and $1.8m investments elsewhere.
This new program will (try to) close a loophole
The original program was widely criticized when it brought in investment for luxury condos instead of underserved communities.
The new rules will tighten the requirements for investment, theoretically aligning the program with its original mission of creating US employment opportunities.
But, since the program doesn’t go into effect for another 4 months, critics worry the changes will open the floodgates for a final wave of unscrupulous investing as buyers rush to purchase golden visas in the final 120 days before the prices go up.
Get the 5-minute roundup you’ll actually read in your inbox
Business and tech news in 5 minutes or less