Regulatory Analysis(3)

The site that the condo will be built is LR-2 zone. It means that the area is Local Retail Districts, non residential district. But, the city allows the condo could be built in this zone. And, they are doing process to change the zoning. Carrollton city emphasizes that this site will be high density TOD zone.  

site zone(LR-2)

The most attractive regulation for this condo is the Community Reinvestment Act(CRA). This area was appointed as CRA zone. CRA is a federal act that is designed to boost reinvestment on underdeveloped community. Under CRA, homebuyers can get a home mortgage loan with only 3% down payment. The interest rates is from 4.25% to 4.5%. Minimum credit score for this loan is 620. And, the Deb to income ratio is at least 48%. Government officer such as police, fireman, teacher can get home loan with 0% down payment. The Compass bank provides this loan under CRA. 

*CRA definition(from Wikipedia)

The Community Reinvestment Act (CRA, Pub.L. 95-128, title VIII of the Housing and Community Development Act of 1977, 91 Stat. 1147, 12 U.S.C. § 2901) is a United States federal law designed to encourage commercial banks and savings associations to help meet the needs of borrowers in all segments of their communities, including low- and moderate-income neighborhoods. Congress passed the Act in 1977 to reduce discriminatory credit practices against low-income neighborhoods, a practice known as redlining.

The Act instructs the appropriate federal financial supervisory agencies to encourage regulated financial institutions to help meet the credit needs of the local communities in which they are chartered, consistent with safe and sound operation (Section 802.) To enforce the statute, federal regulatory agencies examine banking institutions for CRA compliance, and take this information into consideration when approving applications for new bank branches or for mergers or acquisitions (Section 804.)

Summary

-LR-2 zone(Local Retail District), but the city allows to build condos

-CRA district. Home loan with 3% down payment with 4.25%~4.5% interest rates