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February 27 2019

Increasing the EB-5 Investment Amount Moved a Step Closer

The government’s Office of Management & Budget (“OMB”) has advanced a regulation to the “review” stage that will likely increase the investment amount.  The “review” stage is the last step in the rulemaking process before a final rule is published and becomes effective.  Regarding how long the review stage will take, one prominent EB-5 commentator said it usually takes many months, but it can happen in as little as a month.  Once the final rule is published, the rule is generally effective in no less than 30 days.

The investment amount today remains $500,000 in a Targeted Employment Area (“TEA”).  Twenty-five months ago, the Department of Homeland Security issued a proposed regulation, the first step for changing the EB-5 rules, to increase the investment amount to $1.35 million in a TEA and change how TEAs are determined.

Whether and when the investment amount may change is unknown.  It is best to file EB-5 cases now and lock in the investment amount at the current level. 

Feel free to call me to discuss the EB-5 rules.