VietNamNet Bridge – More rich people in Vietnam want to purchase houses in the US in order to get an official green card from the U.S. Government. A green card allows lawful permanent residence.

On April 6, at a luxury hotel in Hanoi, a US company specializing in immigration investment in the US, Canada, and the EU held a talk on the EB-5 immigration investment program in the US with the offer of investing $500,000 in the U.S., which would result in a green card.

It is normal that American businesses seek investment opportunities in Vietnam but the US is also "inviting" investment from rich Vietnamese.

According to the director of a real estate company in District 7, HCM City, which specializes in estate brokerage services in the US, in recent years Vietnamese clients seeking information about and buying estate in the US is on the rise. Because once they own a house in the US, it will be much easier for them to get a visa.

However, this man said, without thorough understanding of the strict rules of US law, real estate investors will lose. For example, if you own a house there, you have to use it otherwise it will be revoked after a certain time. If one buys a house to re-sell for profit, the owner will have to pay taxes even if he sells the house at a loss.

Nguyen Ninh, director of an architectural firm in Tan Phu District, said: "I intended to buy a house in the US for my children but after learning carefully about this market I found it is quite complicated because the annual taxes are very high and house buyers have to pay many kinds of insurance and maintenance costs."

At the talks on immigration investment in the US on April 6, USIS – a consulting firm for Vietnamese individuals and companies investing in the US – said that in 2015, the EB-5 skyrocketed compared to other forms such as EB-1 and EB-2 (EB-5 is specifically reserved for investors and entrepreneurs investing significantly inthe US economy), from 6,418 cases in 2014 to 17,662 in 2015.

China took the lead, followed by Vietnam.

American dream of Vietnamese and the risks

EB-5 investment requires $500,000 or $1 million in a project. Each project must create at least 10 jobs for US workers. The investors and their families will be granted a green card.

On the issue of transferring foreign currency from Vietnam to the US to buy a house, experts said that Vietnamese buyers should be careful because US anti-money laundering law is very strict. If the buyers cannot prove the origin of the money, they can lose the investment.

Ms. Hang, director of a company on US immigration services, said recently many American companies travelled to Vietnam to advertise the US immigration investment programs under the EB-5 policy. Some companies promised their clients that with $500,000, they can participate in the program. They guaranteed that investment records would be successful for 100%. However, clients should be very careful.

The issue of rich Vietnamese seeking to buy houses in the U.S. should be considered by the authorities because the state could lose a huge amount of foreign currency.

Lao Dong