The surge in new home sales in July was driven by pent-up buyers taking advantage of the sharp drop in borrowing costs last month, after having been sidelined earlier this year by high mortgage rates. As we do not expect rates to drop any further this year, we would not be surprised to see sales numbers fall back. Therefore, we are comfortable with our forecast that newbuild sales volumes will settle at 700,000 annualised by the end of the year.
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