EB-5 Visa Reform: DHS Announces Major Fee Reduction

In a move that could significantly reshape the immigrant investor landscape, the U.S. Department of Homeland Security (DHS) has announced plans for a new regulation aimed at lowering the filing costs associated with the EB-5 Immigrant Investor Program. The proposed rule—titled the EB-5 Visa Fee Reduction Initiative—is designed to make the program more accessible, transparent, and efficient for global investors seeking a pathway to U.S. permanent residency.

What is the EB-5 Visa?

The EB-5 Visa Program was established to stimulate the U.S. economy through job creation and capital investment by foreign investors. Each year, approximately 10,000 visas are issued under this program to qualified applicants and their immediate families. To qualify, investors must commit at least $1.05 million, or $800,000 if the investment is made in a designated Targeted Employment Area (TEA)—which typically includes regions with high unemployment or rural communities.
The investment must create or preserve a minimum of 10 full-time U.S. jobs, offering a direct route to a U.S. Green Card for the investor and their family members.

Key Highlights of the Proposed EB-5 Visa Fee Reduction

According to DHS, the EB-5 Visa Fee Reduction proposal aims to streamline the process and reduce the financial burden on investors. The agency has proposed the following major changes:

• 14% fee reduction for Forms I-526 and I-526E, bringing the new cost down to $9,625 from the previous $11,160.

• 17% decrease in the Form I-829 petition fee (used to remove conditions on permanent residency), from $9,535 to $7,860.

• Introduction of a $95 technology fee to support improved digital processing infrastructure.

Additionally, a new Form I-527 will be created for investors whose Regional Center was deauthorized or terminated, particularly those who filed before March 2022 and are still awaiting adjudication.

Other Key Modifications in the Proposed Rule

The DHS also outlined technical clarifications to simplify and codify the EB-5 process. Among these are:

• Clarifying filing procedures for dependents (spouses and children) who were not initially included in the investor’s Form I-829.

• Formalizing penalties and contributions associated with the EB-5 Integrity Fund, which was established to enhance program oversight.

• Introducing Form I-527 (Legacy Form I-526 Amendment) for applicants with pending cases impacted by regional center terminations.

These measures are expected to improve transparency and operational consistency across EB-5 filings.

Why the EB-5 Visa Fee Reduction Matters

This proposal comes after months of legal challenges and investor backlash over the sharp fee hikes implemented in April 2024, when the U.S. Citizenship and Immigration Services (USCIS) increased EB-5 petition costs by over 200%. Many investors argued that the increases were excessive and not backed by actual cost analyses.

The new EB-5 Visa Fee Reduction rule appears to address these concerns by aligning filing costs with real administrative expenses. The DHS clarified that this move follows the completion of the EB-5 Reform and Integrity Act (RIA) fee study, which evaluated the true operational costs of processing EB-5 applications.

Industry and Investor Reactions

Industry experts have largely welcomed the proposal.
Ishaan Khanna, President of the American Immigrant Investor Alliance, called the initiative “a commendable and long-overdue effort” that restores fairness to the EB-5 ecosystem.

“For EB-5 investors, the 15–20% lower fees are positive, but we continue to be concerned with processing delays,” Khanna said. “Even with higher fees, USCIS has not met the processing time goals set by Congress under the Reform and Integrity Act.”

Immigration attorney Matthew Galati, who represents EB-5 investors in ongoing litigation, echoed similar sentiments.

“It’s a pleasant surprise that USCIS is proposing lower filing fees now that the EB-5 fee study is finally completed,” Galati noted. “The proposed reduction indirectly validates our lawsuit claiming that the 2024 fee hikes were unlawful.”

He added that while the fee cuts will benefit future investors, those who filed applications during the high-fee period may feel unfairly overcharged.

Impact on Indian Investors

The EB-5 Visa Program continues to gain popularity among Indian professionals, especially those frustrated by the decades-long wait times for employment-based green cards. For many high-net-worth individuals and H-1B visa holders, the EB-5 route offers a faster, more secure pathway to U.S. residency.

Over 90% of EB-5 investments in recent years have been channeled through USCIS-designated Regional Centers, which pool capital into large-scale infrastructure and real estate projects. The new EB-5 Visa Fee Reduction is expected to further attract this investor segment, making U.S. residency a more viable goal.

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