In-depth explanation of how to obtain visas and immigrate to the U.S., Australia

As of December 2024, the real estate market is booming, especially in the Asia-Pacific region, with the United States leading the way and Dubai and Singapore also seeing an increase in luxury real estate transactions.

The unique advantages of each country are also attracting attention, such as the U.S. tax system that favors the wealthy (especially inheritance tax) and the tremendous benefits of real estate acquisition, as well as Australia's healthcare system for permanent residents.

This article will discuss the investment environment, taxation system, living infrastructure, and specific migration options in four major countries in the world that are very popular for immigration: the United States, Australia, Singapore, and Dubai (UAE), based on the latest data.

1. general migration benefits in each country

First, let's look at the main benefits for investors in each country.

In the U.S., taxation systems differ greatly from state to state, and Florida and Texas have 0% state income tax, making them popular destinations for wealthy people to move to.

In addition, there are a variety of favorable programs for asset building, such as the real estate transfer income deferral program under Section 1031 and the Section 121 tax exemption for gains on the sale of a home (up to $500,000/75 million yen for a married couple).

Also, with regard to inheritance tax, a large deduction of $13.61 million lifetime gift limit (approximately ¥2.04 billion). In addition, there is a very attractive up to $27.22 million for married couples in the aggregate.

For more information, please also see the following article.

In Australia, there is a tax exemption of foreign source income for temporary resident visa holders and a generous depreciation system for real estate investment.In particular, for new buildings, 2.5% of the building value can be expensed over a 40-year period, providing a significant advantage for long-term asset building.

Singapore has established itself as a financial hub in Asia, and the top personal income tax rate is relatively low at 22%.In addition, foreign-source income is exempt from taxation as long as it is not remitted domestically, making it easy to manage assets on a global basis.Inheritance tax has also been abolished, making it easy to pass on assets from one generation to the next.

In Dubai (UAE), there is an overwhelmingly favorable tax system with a 0% personal income tax rate, and furthermore, there is no capital gains tax or inheritance tax.In real estate investment, transaction tax (stamp duty) is as low as 4%, and companies in the free zone are guaranteed a 50-year exemption from corporate income tax.

The following is a summary of the countries so far.

CountryKey BenefitsTax IncentivesInvestment EnvironmentUnited States of AmericaFreedom of Choice0% state tax region available, exempt couples from gift and estate taxes up to approximately $4.08 billionSection 1031 exchange systemAustraliaMedical Insurance for Permanent ResidentsTemporary Resident PreferenceDepreciation systemSingaporeNo inheritance taxLow 22% tax rateForeign income tax exemptDubai0% income taxCapital gains tax freeFree Zone Tax Exemption

Comparison of benefits for investors in major countries (as of December 2024)

Next, let's take a look at the living environment in each country.Here we will look at so-called upscale residential areas that are safe in terms of security and have few inconveniences in terms of living conditions.

2. living environment in each country

Living Environment in the U.S.

The United States is 25 times larger than Japan and has many upscale residential neighborhoods throughout the country.The characteristics of these neighborhoods vary greatly from region to region.

As an example, in Manhattan, New York, the average rent exceeds $5,500-6,000 (around 900,000 yen) for a one-bedroom size, and this is about double the amount for a size with a family.The standard purchase price is $1-3M (1.5-4.5M yen) for a 1LDK size, and 1.5-3 times this amount for a 2- to 3-bedroom unit.

Of course, the price varies greatly depending on the size and area, so please contact us for more details.Real estate brokerage services include

On the West Coast, in Beverly Hills, California, some single-family homes with pools are selling for an average of $25 million (¥3.75 billion), which is similar to New York, both on average and in terms of rent and purchase price.

However, in other states, such as Texas, Florida, and Seattle, for example, there are also significant differences, and it is difficult to generalize.Whether it is for educational, business, retirement, or various other factors, it varies, so please feel free to contact us first.

On the medical side, you will have access to world-class medical facilities such as the Mayo Clinic and Cleveland Clinic.Annual medical insurance premiums average $22,000 (¥3.3 million) for a family of four, but you will need more if you want better quality medical care.

Living Conditions in Australia

In Sydney's Point Piper and Melbourne's Turak district, luxury apartments with harbor views fetch A$35,000 (¥2.8 million) per square meter.

The health care system provides most medical care free or at low cost through Medicare for permanent residents.The annual premium for a family of four at a private hospital is approximately A$4,000 (¥320,000).

Living Environment in Singapore

Luxury condominiums in the Orchard Road and Marina Bay areas are priced at S$4,000 (¥440,000) per square foot and above.Luxury homes in Sentosa average in the S$30 million (¥3.3 billion) price range.

In terms of medical care, private general hospitals, such as Mount Elizabeth Hospital, are well established, and annual medical insurance premiums are about S$8,000 (¥880,000) for a family of four.

Living Environment in Dubai

High-rise apartments in the Palm Jumeirah and Burj Khalifa neighborhoods are priced at 3,500 dirhams ($140,000) per square foot.Luxury villas in Emirates Hills average 25 million dirhams ($1 billion).

Medical care is provided by Cleveland Clinic Abu Dhabi and other world-class medical facilities in the Middle East.The annual medical insurance premium for a family of four is approximately 40,000 dirhams (1.6 million yen).

The living environment in each country can be summarized as follows.

Comparison of living environment in luxury residential areas in major countries (as of December 2024)Country NameLuxury home price rangeMedical expenses (annual/family)Living expenses (monthly/family)SecurityU.S.A.250-30 million dollars (3.75-4.5 billion yen)22,000 (3.3 million yen)15,000 U.S. dollars (2.25 million yen)24-hour securityAustraliaA$3-8 million (¥2.4-6.4 million)4,000 AUD (320,000 yen)AUD 12,000 (960,000 yen)GatedSingapore5-30 million SGD (5.5-3.3 billion yen)8,000 SGD (880,000 yen)15,000 SGD (1,650,000 yen)High SecurityDubaiAED 5-25,000,000 (¥2-10,000,000,000)40,000AED (1.6 million yen)35,000 AED (1.4 million yen)24 hours a day, 7 days a week

3. tax advantages of each country

U.S. Tax System

Federal taxes are based on a seven-tier progressive tax system, with a maximum rate of 37% (for annual incomes over $600,000).State taxes vary widely from state to state, with Texas and Florida having state income taxes of 0%, while California has a maximum rate of 13.3%.

Below is a list of states in the U.S. that do not impose income taxes.

State NameState of AlaskaFloridaNevadaSouth DakotaTexasWashington StateState of Wyoming

Supplemental Information

• New Hampshire and Tennessee have no income tax on employment income, but do tax dividend and interest income.

For corporations, there is a corporate income tax; the federal corporate income tax is a flat 21% effective January 1, 2018 due to the Tax Cuts And Jobs Act, a tax reform bill signed by President Trump in December 2017, and state taxes vary from state to state.

Below is a list of major states in the U.S. that do not impose corporate income tax.

State NameSupplemental InformationNevada.No corporate income tax.However, business license tax and franchise tax may apply.South Dakota.No corporate income tax.Favorable business environment.TexasNo corporate income tax.However, **Franchise Tax** is imposed.Washington State.No corporate income tax.Instead, **Business and Operations Tax (B&O Tax)** applies.WyomingNo corporate income tax.Favorable business environment.State of AlaskaCorporate income tax available (exists at the state level, but may be exempt under certain conditions).

Inheritance tax, as mentioned above, is based on a $13.4 million (¥2.01 billion) basic exemption in 2024 *twice the amount for married couples combined, with a maximum tax rate of 40% applied to the portion in excess of that amount.In addition, gifts of up to $17,000 (¥2.55 million) per year are exempt from tax.

In real estate investments, gains on sales can be deferred through a Section 1031 exchange, and the Section 121 tax exemption on gains from the sale of a residence (up to $250,000 for a single person and $500,000 for a married couple *75 million yen) can also be used.This is a very beneficial rule for each property, as the gain on the sale of one property (capital gain earned from an increase in property value) is exempt from tax up to ¥75 million for a married couple, and the rule can be used once every two years.

Please also refer to the following articles for more information.

Australia's Tax System

The maximum income tax rate is 45% (for annual income over A$180,000), but temporary resident visa holders are exempt from tax on foreign source income.In addition, there is an extensive depreciation system for real estate investments, allowing 2.5% of the building value of a newly constructed property to be expensed over a 40-year period.

Inheritance taxes were abolished in 1979, and there is no tax burden on the transfer of assets by inheritance.In addition, gains from the sale of a principal residence are exempt from taxation.With regard to capital gains tax, there is a 50% deduction of taxable income if the asset holding period is longer than 12 months.

Singapore's Taxation System

Income tax is at a maximum rate of 22% (S$320,000 or more per annum), and foreign source income is exempt from taxation unless it is remitted domestically.The corporate tax rate is 17%, the most competitive among major Asian countries.

Capital gains tax is generally exempt, and inheritance tax was abolished in 2008.With regard to real estate investments, one should be aware of the Additional Buyer's Stamp Duty (ABSD), but permanent residents are subject to a reduced tax rate.

Dubai's Taxation System

Personal income tax is 0% and is standardized throughout the UAE.Corporate income tax is 9% effective June 2023, but companies established in the free zone are guaranteed a 50-year tax exemption.

Inheritance tax and capital gains tax are non-existent, and stamp duty on real estate transactions is relatively low at 4%.VAT (value-added tax) is 5%, which is low even by international standards.

The tax systems of each country are summarized below.

CountryHighest Individual Income Tax RateInheritance taxCapital Gains TaxSpecial MeasuresUnited States37% + state tax 0-13.3%

But corporate income tax is fixed at 21% federal + state tax

Deductible up to 4.08 billion lifetime20% of theSection 1031 exchangeable

Section 121, etc.
Very strong real estate
with tax savings rules

Australia45% NoNoneCGT discount 50%.Preferential treatment for temporary residentsSingapore22% NoneNoneNoneForeign Income Tax ExemptionDubai0% NoneNoneNoneFree Zone Tax Exemption

Next we will look at educational institutions.

4. educational institutions in each country

Educational Institutions in the U.S.

While educational institutions in the U.S. offer the best education in the world, they are generally very expensive.

For private high schools, boarding schools such as Phillips Exeter Academy and Hotchkiss School are popular, with annual tuition fees of approximately $65,000 (9,750,000 yen).

For a college education, annual tuition at Ivy League schools can reach about $80,000 (12 million yen), but demand-based scholarships are available; science and engineering universities such as MIT and Stanford University also offer world-class research environments.

However, immigration with a visa allows students to attend public schools.

And public schools in the United States are basically provided free of charge to residents of residential areas.The same is true for middle schools (jeremiahs) and high schools (high schools), which do not require payment of tuition fees.Public schools are funded primarily by local taxes (especially real estate taxes) and grants from state and federal governments.

These are structured so that school districts are determined by the area in which you live, so that more people want to live in good areas, and rents and property prices in those areas increase.

Educational Institutions in Australia

At prestigious private schools such as Melbourne Grammar School and Sydney Grammar School, annual tuition fees are approximately A$45,000 (¥3.6 million).

In terms of universities, eight research universities, known as the Group of Eight (Go8), rank high in the world university rankings.Scholarships for international students are available, and annual tuition fees are approximately A$45,000 (3.6 million yen).

Educational Institutions in Singapore

International schools such as United World College of South East Asia and Tanglin Trust School have annual tuition fees of approximately S$50,000 (¥5.5 million).

The National University of Singapore (NUS) and Nanyang Technological University (NTU) are globally recognized as top universities in Asia.Annual tuition fees are approximately S$35,000 (¥3.85 million).

Educational Institutions in Dubai

International schools such as GEMS World Academy and Repton School have annual tuition fees of approximately 120,000 dirhams (4.8 million yen).

In higher education, the Middle East campuses of world-class universities such as New York University Abu Dhabi and London Business School Dubai are located in the region.Annual tuition fees are approximately 150,000 dirhams (6 million yen).

Below is a summary of educational institutions in each country.

Comparison of Educational Environments in Major Countries (as of December 2024)Country NamePrivate school (yearly)University (yearly)CharacteristicsAcademic AchievementsU.S.A.65,000 U.S. dollars (9,750,000 yen)80,000 U.S. dollars (12,000,000 yen)Full scholarshipsTop Schools in the WorldAustraliaAUD 45,000 (3.6 million yen)AUD 45,000 (3.6 million yen)English Language EnvironmentGo8 University GroupSingapore50,000SGD (5.5 million yen)35,000 SGD (3.85 million yen)BilingualAsia TopDubai120,000AED (4.8 million yen)150,000AED (6 million yen)European and U.S. branchesPrestigious universities in Europe and America

5. hurdles to migration in each country

Finally, let's take a closer look at each country's visa system, including the amount of investment required and requirements.

Visa Requirements for the U.S.

The E-2 investor visa can be applied for from $100,000 (15 million yen) minimum investment depending on the application method and strategy, according to our experience in assisting clients.Although there is no clear standard for the minimum investment amount, it is generally said that about $20-300,000 (about 45 million yen) is required.The period of stay is 5 years, renewable.

If you wish to obtain permanent residence (green card), you will need to separately apply for an EB-5 investor visa (minimum investment of $800,000 or 120 million yen).

We have been assisting our clients with this E2 visa support since 2019 based on the know-how gained from our representative's experience, and we have experience in providing full-package comprehensive support to dozens of companies and more than 250 cases of paid support including spot support.

We would be happy to discuss this with you.Details are as follows

Australian Visa Requirements

The Business Innovation and Investment Visa (subclass 188) requires a minimum investment of AUD 2.5 million (JPY 200 million).This investment may be made in state government bonds or certain investment funds, etc. After five years of temporary residence, the applicant may apply for permanent residence from the fourth year.

Visa Requirements for Singapore

The Global Investor Program (GIP) requires a minimum investment of S$2.5 million (JPY275 million).Investors can choose to establish a new business, expand an existing business, or invest in a VC fund. 5-year residency is granted, with the possibility of applying for permanent residency after 2 years.

Visa Requirements for Dubai

Under the Golden Visa Program, a 10-year long-term resident visa is available for real estate investments of 2 million dirhams (80 million yen) or more.Alternatively, investment in an authorized fund or establishment of a new business can also be applied for.Renewal of the visa allows for substantial permanent residence.

CountryVisa TypeRequired InvestmentLength of StayPermanent ResidenceUnited States of AmericaE-2 Investor VisaFrom $100,000 (15 million yen)
*This is not general data, but data based on our experience
.5 years (renewable)EB-5 application requiredAustraliaInvestor VisaFrom AUD 2.5 million (JPY 200 million)5 yearsCan apply after 4 yearsSingaporeGlobal InvestorSGD 2.5 million (¥275 million) ~5 yearsCan apply after 2 yearsDubaiGolden VisaFrom 2 million AED (80 million yen)10 yearsPermanent residence possible with renewal

Comparison of Visa Requirements for Investors in Major Countries (as of December 2024)

Conclusion

We have looked at some important information on investor migration in the various countries mentioned above.

The U.S. E-2 visa is relatively easy to obtain and features a wide range of investment options.On the other hand, Australia and Singapore, while having high investment requirements, have clear processes for obtaining permanent residency, and offer a full range of public services in terms of education and medical care.

The U.S. stands out for its wide range of educational options, while Australia stands out for the quality of its health care system.

Investors are advised to consider all of these factors and choose the most appropriate destination, taking into account their own business development and asset management strategies, as well as their family's living environment.

Thank you for taking the time to read this article.

Our company, Reinvent NY Inc, continues to assist individuals and companies entering or immigrating to the US since 2019, providing comprehensive services to support all aspects of the process.

In terms of E2 visas, our assistance is based on the experience of our representative who, at the age of 30, decided to immigrate to New York in 2019 under the Trump administration and obtained a 5-year investor visa (E2 visa) with all his own capital, and we have over 250 companies that we have assisted with paid assistance.

Please contact us from cases with no track record or history in the U.S.We promise to provide you with friendly and sincere service.Details are below.

Read the Japanese version of this article on reinvent.co.jp