Can I invest borrowed money?
Yes, with conditions. A loan secured by assets you own — for example a bank loan against your home or an investment property — can generally count towards your EB-5 investment.
What you must prove
- The lawful source of the secured asset: how the property was bought and where that money came from.
- The loan documents: the loan agreement, security documents and drawdown records.
- The transfer path: a complete record from the bank to the project.
Why must it be secured on your own assets?
EB-5 requires the investor to bear the risk. Securing the loan on your own assets means you bear the loss if it cannot be repaid, consistent with the "capital at risk" principle.
When does it suit?
- Most of your wealth is in property you don’t want to sell.
- You want to keep cash available for other purposes.
Our advice
Borrowing brings interest costs and repayment obligations, so assess it together with your wealth management team.