Source of capital

[hope74]

I am a permanent resident. Can I lend $500 K to my parents, with their property in India (worth more than twice as much) as collateral, to be invested in a regional center. Will this be an acceptable source of capital?

[JoeF]

No.

[Attorney_23]

It is difficult to use loans for EB5 purposes, especially those secured by property located overseas. A simpler solution (from an immigration law perspective) would be to purchase $500,000 worth of property from them (which you could presumably sell back to them at a later date, if you so wished.) The end goal is for the funds to be in your parents' possession with no strings attached, which means even a gift of the funds is permitted. (This is not to say a loan is impossible, but I would generally recommend against it for a variety of reasons.)

I always encourage people who are serious about using the EB-5 program to first consult with an attorney. This is one of the more complicated areas of immigration law, and it seems unwise for a person to invest $500,000, yet avoid spending a tiny fraction of that to hire a competent attorney to better ensure they end up with a green card at the end of the process. We have several attorneys here at the Murthy Law Firm with experience in this area. Feel free to schedule a consult with us by calling us at 410.356.5440 between the hours of 9:00am and 5:00pm (ET).