Ideally, if an investor wishes to use a loan, the EB-5 Program requires it to be secured through personal assets. It is possible to secure this loan through real estate (mortgage or loan against property as it is known in many countries) that the investor owns. In such cases, the value of the investor assets must be worth more than or equal to the loan amount.
The only other requirements that the investor will need to show concerning the loan through a private or public lender is to show the source of the funds.
The investor must show that the funds that were used to purchase the collateral or property against which they received a loan from the lender, came from a legal source. This is called the Source of Funds exercise.
LCR’s Source of Funds advisory services team may be able to provide you detailed insights and information about this. The role of LCR’s SOF Advisory Team is to help its clients identify simpler, easier and efficient ways of documenting the final source of funds that they may finally utilise. The goal of LCR’s SOF Advisory Team is to help the client get a head start in the Source of Funds document collection process.
LCR’s SOF Advisory Team is NOT a replacement for an immigration attorney, and all EB-5 petitioners must seek the advice of a competent Immigration Attorney.
For additional information concerning EB-5 visa investments and using loans, please contact us.
Disclaimer: Any guidance provided by LCR regarding a prospective EB-5 investor’s source of funds services are strictly business services and are not to be construed as legal advice. All information provided by LCR is general information based upon USCIS guidance and standards. Each prospective EB-5 investor must consult with, and rely solely upon an experienced EB-5 immigration attorney to obtain individualized advice and guidance about any decision in related to the preparation and filing of an immigration petition.