Moving to the USA: investor visas and buying property

Start with the right adviser

US immigration law is detailed, and a mistake can delay your plans by years. The first step is to find someone who is allowed to advise you. USCIS, the agency that handles immigration requests, lists who may represent you: lawyers in good standing with a US state bar, and accredited representatives who work for an organization on the Department of Justice's list of recognized organizations.

USCIS also warns about people who pretend to be immigration experts or say they have special connections to the government. A notary public in the United States is not a lawyer and cannot represent you in an immigration case, even though the word notario means a lawyer in some other countries.

BIMINIO is a real estate company. This page explains in general terms how investment and immigration connect, so you can ask a lawyer better questions. It is not advice on your case.

The E-2 treaty investor visa

The E-2 visa lets a national of a treaty country live in the United States to run a business they have invested in. The United States has a treaty of commerce and navigation with each of these countries, and the State Department keeps the list. Check that your country is on it before anything else.

USCIS lists what the investor must show. You must have invested, or be actively investing, a substantial amount of capital in a real US business. The business must be a real, active and operating commercial or entrepreneurial undertaking. You must be coming to the United States to develop and direct that business, which you show with at least 50 percent ownership or with operational control. The money must be at risk: it must be able to be lost in part or in full if the business fails.

Treaty investors may be admitted for up to two years at first, and extensions may be granted in steps of up to two years each. A spouse in valid E-2 status may work in the United States.

Federal rules describe the investment as capital placed in an enterprise that the investor controls. Ask your lawyer how a real estate plan fits that test before you buy anything.

The EB-5 immigrant investor program

The EB-5 program leads to a green card, which is lawful permanent residence. For petitions filed on or after March 15, 2022, USCIS lists a minimum investment of $1,050,000, or $800,000 in a targeted employment area or an infrastructure project.

The investment goes into a new commercial enterprise that must create full-time positions for at least 10 qualifying employees. The investor's spouse and unmarried children under 21 may also apply for permanent residence.

Treat any EB-5 offer as an investment: read every document with your own lawyer, and check the project, the people behind it and the risks before you send money.

Buying a home is a separate question

Both visas above are tied to a business. Buying a house to live in, or a rental you hold, is a property purchase. Many people from other countries buy US homes for holidays, for family, or as an investment, and the purchase follows the same steps as for anyone: a contract, a title company and a deed.

Plan your stays in the house with your immigration lawyer, and plan your taxes with a tax adviser who works with people from your country.

How investors buy and sell houses and land →

Selling later: the 15 percent withholding

When a foreign person sells US real property, a tax law called FIRPTA applies. In most cases the buyer must withhold part of the price and send it to the IRS. The IRS says the rate generally is 15 percent of the amount the seller receives.

There are exceptions. One covers a sale of $300,000 or less when the buyer plans to live in the home. Another reduces the amount withheld for some home sales between $300,000 and $1 million. Plan this with a tax adviser before you buy.

Florida's limits on some foreign buyers

Florida law limits property purchases by people and companies tied to seven foreign countries of concern: China, Russia, Iran, North Korea, Cuba, the Maduro regime in Venezuela, and Syria.

For these buyers, the law limits ownership of farm land, and of property on or within 10 miles of a military installation or critical infrastructure facility in Florida. It goes further for people domiciled in China who are not US citizens or permanent residents: with narrow exceptions, they may not buy property in Florida. One exception lets a person with certain visa or asylum status buy one home of up to 2 acres, more than 5 miles from a military installation.

At closing, buyers sign a sworn statement that they are not barred by these rules, and some owners must register their property with the state. Breaking the China rule is a third degree felony. A Florida real estate lawyer can tell you whether any of this applies to you.

A checklist before you buy

These steps help a buyer from abroad avoid the most common problems.

• Talk to a US immigration lawyer about your plan first, before any purchase.
• Talk to a tax adviser who knows both countries' rules, including the 15 percent withholding when you sell.
• Decide with your advisers whose name the property goes in: your own, or a company.
• Open a US bank account, and plan how money will move between the two countries.
• Use a title company and buy title insurance. Never send money on instructions you get only by email; call the title company at a number you found yourself.
• In Florida, check the foreign buyer rules with a lawyer if you are tied to one of the seven named countries.

Where BIMINIO fits

The BIMINIO team has roots in Canada, the UK and Europe. We buy and sell houses and land in Florida and Arizona, and we share our deals with investors on our approved list. For anything about your visa or your status, your lawyer has the final word.

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