EB5 Investors Magazine Volume 7, Issue 1 - Page 19

EB5INVESTORS.COM 17 There is one crucial caveat for any potential EB-5 client who wishes to take advantage of in-state tuition benefits: These benefits apply only to residents of the state where the student wishes to attend university. ” every student who graduates near the top of their high school class and earns a reasonable SAT or ACT score is guaranteed admission to the flagship University of Texas at Austin. Other states that have guaranteed admissions currently include California, Iowa, Colorado, Mississippi, Missouri, Montana, Oregon, South Dakota and Florida. The exact details vary by state. IN-STATE TUITION A further benefit can be calculated in dollars and cents: U.S. residents can benefit from significantly reduced in-state tuition at state universities in their state of residency. Many of the most famous American universities are funded by state governments. These include the University of California at Berkeley, the University of Texas, the University of Michigan, the University of California at Los Angeles (UCLA), The Ohio State University and many others. At these universities, residents of their sponsoring states pay substantially reduced tuition rates. The residency benefit varies from state to state, but the average is $15,512. The average of tuition and fees for in-state students is $10,202; it comes to $25,714 for out-of-state students, including foreigners. 9 There is one crucial caveat for any potential EB-5 client who wishes to take advantage of in-state tuition benefits: These benefits apply only to residents of the state where the student wishes to attend university. EB-5 applicants would do well to choose where to live with an eye on the universities within each state. One advantage of the EB-5 regional center program is that the investor can choose to live anywhere within the United States. What counts as a “resident” varies from state to state. Most states require the student and/or their parents to live there for at least a year before they qualify for in-state tuition. In most cases, whatever status you begin with stays with you throughout your years of studies. In other words, if a student is considered a non-resident when they start at the university, they will pay out-of-state tuition for the entire time they are at the university. It should also be noted that many of the most famous universities in America, including the Ivy League, are private schools. For those universities, there is no discount for local residents. However, in whichever case, public or private, there are generally huge benefits for U.S. green card status in the form of financial aid and student loans. According to U.S. law, anyone who holds permanent residency is fully eligible for all federal student aid, including government- backed student loans. According to the National Center for Education Statistics, the average grants for a full- time undergraduate student came to $7,110, with an additional $9,480 of available loans. 10 This means that it should be possible for a U.S. resident student to attend public university with little to no upfront expense.