25 Mistakes That Cause EB‑5 Cases to Fail in 2026

Introduction

The EB‑5 program offers a path to U.S. permanent residency, but it is also fraught with technical requirements. Many investors find their petitions delayed or denied because of avoidable mistakes. Having watched friends and colleagues navigate this process, I have compiled a list of common pitfalls along with practical advice to help you stay on track. By learning from others’ missteps, you can improve your chances of success in the 2026 environment.

Investment Selection Mistakes

• Investing less than required: The minimum investment is $800 000 for rural or high‑unemployment areas and $1.05 million elsewhere. Underfunding or partial payments will lead to a denial.
• Choosing a non‑qualifying business: You must invest in a new commercial enterprise that qualifies under the program; investments in personal residences, speculative land or passive assets do not count.
• Failing to put funds at risk: The entire investment must be placed at risk with no guarantee of return. Leaving money in escrow without releasing it to the project or receiving a repayment promise can invalidate your case.
• Not creating ten full‑time jobs: Each investor must create or preserve at least ten qualifying U.S. jobs. Failing to plan for sufficient job creation or relying on unverified economic models can doom a petition.
• Ignoring due diligence on regional centers: Choosing an unapproved or inactive regional center can lead to termination. Verify that the center is in good standing, has a track record of approvals and pays required fees.
• Skipping independent vetting: Not hiring independent counsel, economists and accountants to review a project can leave you exposed to fraud or mismanagement.

Documentation and Evidence Mistakes

• Incomplete or incorrect forms: Submitting outdated versions of Form I‑526E or I‑829, forgetting signatures or leaving blanks can result in immediate rejection.
• Poor source‑of‑funds evidence: You must provide comprehensive documentation tracing the lawful origin of your capital, including tax returns, bank statements, loan records and gift documents. Gaps, inconsistencies or missing translations raise red flags.
• Misrepresentation or fraud: Providing false documents or misrepresenting your finances can lead to a denial and a bar from future immigration benefits.
• Unlicensed cryptocurrency transactions: If your funds came from digital assets, ensure they were purchased through a licensed exchange and that you maintain a complete transaction history. Unlicensed exchanges and missing records can make your funds unacceptable.
• Ignoring tax compliance: Failure to report or pay taxes on income used for the investment can lead to questions about the legitimacy of the funds. Amend past tax returns if necessary.
• Missing dependent documentation: Failing to include birth certificates, marriage certificates and other required evidence for spouses and children can delay or derail your family’s visas.

Compliance and Timing Mistakes

• Missing the grandfather deadline: Petitions filed after September 30 2026 will not be protected if the regional‑center program lapses again. File before the deadline to secure your place.
• Withdrawing funds too soon: Your capital must remain at risk for at least two years from the date of investment. Premature repayment or removing funds from the project can cause denial.
• Improper redeployment: If your project repays early, funds must be redeployed into another qualifying commercial activity within a reasonable time. Investing in securities or outside the regional center’s geographic area may violate USCIS rules.
• Not paying USCIS and integrity fees: The Reform and Integrity Act requires regional centers and projects to pay annual fees into an integrity fund. Failure to pay these fees can lead to regional‑center termination and jeopardize investors’ cases.
• Neglecting third‑party fund administrators: Projects must use independent administrators to monitor escrow accounts and disbursements. Projects without proper oversight may be flagged.
• Ignoring ongoing reporting: Regional centers and new commercial enterprises must file annual reports and undergo site visits. Investors should ensure their managers comply; non‑compliance can result in termination.
• Poor response to RFEs or NOIDs: When USCIS issues a Request for Evidence or Notice of Intent to Deny, failing to respond thoroughly and on time can sink your petition. Work with experienced counsel to address every issue raised.
• Underestimating processing times: EB‑5 adjudication can take 18–24 months or longer. Misjudging timelines can lead to unrealistic expectations and poor planning for work or school transitions.
• Not addressing children aging out: Children must remain unmarried and under 21 when a visa becomes available. Delays can push them past this threshold; filing early and monitoring visa bulletin movements helps protect them.
• Failing to prepare for regional‑center termination: If your regional center is terminated, you have 180 days to affiliate with another center or reinvest in a new project. Ignoring this window can cost you your priority date.
• Overlooking health or criminal issues: Medical inadmissibility, criminal convictions or prior immigration violations can lead to denial. Address these issues early and seek waivers where possible.

Conclusion

Each EB‑5 case is unique, but most failures stem from the same set of avoidable mistakes. The stakes are high – both financially and personally – so it’s worth taking the time to understand program rules, gather thorough evidence and work with reputable professionals. By avoiding the pitfalls listed above, you can navigate the 2026 EB‑5 landscape with greater confidence and move closer to securing your U.S. residency.