Emmanuel St. Germain breaks down what the Boca Raton market needs to know before August 2026
BOCA RATON, Florida — April 15, 2026 — The Federal Housing Finance Agency (FHFA) has recently announced sweeping changes to how Fannie Mae and Freddie Mac evaluate condominium projects and in a market like Boca Raton, where condos represent a significant share of real estate activity, the impact could be felt quickly. Emmanuel St. Germain, CEO of Choice Mortgage Group, is available to help local buyers, sellers, homeowners associations, and real estate professionals understand what these changes mean and how to prepare.
Effective Aug. 3, 2026, the familiar “limited review” process for established condominium projects will be retired. Every condo loan application will require a full project review, a more thorough, time-intensive process that industry experts warn could add weeks to closing timelines. A second change takes effect Jan. 4, 2027: condo associations will be required to allocate a minimum of 15% of their annual budgeted income to capital replacement reserves, up from the current 10% threshold.
“Boca Raton has one of the most condo-dense real estate markets in South Florida,” St. Germain said. “These rule changes are not abstract policy; they will directly affect whether a buyer can get financing, how quickly a transaction can close, and whether certain buildings remain mortgageable at all. Buyers and sellers who wait to understand this will be at a serious disadvantage.”
The FHFA’s overhaul is not entirely restrictive. The agency simultaneously rolled back a 2024 insurance mandate, allowing condo buildings to carry actual cash value coverage on roofs rather than requiring full replacement cost coverage. With insurance costs running at record highs in South Florida, this adjustment could meaningfully reduce HOA insurance premiums and, in turn, the monthly carrying costs for condo owners.
From luxury waterfront high-rises to mid-rise communities near Mizner Park, condominiums represent a substantial portion of Boca Raton’s housing inventory. With the market already navigating softening prices and longer days on market, adding friction to the financing process through lengthier full reviews and tighter HOA reserve standards could further slow transactions and reduce the pool of eligible buyers for certain buildings.
St. Germain brings nearly two decades of South Florida mortgage experience to these conversations. Having worked through the 2008 financial crisis and every market cycle since, he is well-positioned to translate complex federal policy into clear, actionable guidance for local buyers, sellers, HOA boards, and real estate professionals alike.
“The condo landscape in South Florida is about to change significantly, and that brings a new urgency to this spring homebuying season,” St. Germain said. “People who have been waiting out the market need to make a decision soon, and they need to make it with a full understanding of what’s coming.”
About Choice Mortgage Group
Since 2021, Choice Mortgage Group has helped individuals and families improve their financial futures through personalized home lending solutions. Licensed in 24 states, the company offers a wide range of mortgage products, including conventional, FHA, VA, refinancing, and portfolio loans for complex borrower profiles. Choice is known for its white-glove service, streamlined processes, and a relationship-first approach to home financing. For more information, visit www.choicemortgage.com.