Superstorm challenges US housing market recovery

The recovery of the US housing market, which gained momentum earlier this year, is facing fresh challenges from flooding and property damage caused by superstorm Sandy, media reports said.

The tropical gale battered houses in US eastern coastal states, accounting for about one fifth of the country's real estate sales, and threatened inland areas with flooding and blackouts, reported Xinhua citing the media reports.

CoreLogic Inc., a California-based mortgage software and data firm, estimated that about $88 billion worth of homes in seven US states are at risk of damage, with New York having $35.1 billion worth of property in harm's way and New Jersey having $22.6 billion affected.

In addition, the superstorm may also adversely impact commercial properties and securities linked to their debt. New York accounts for 13.2 percent of property loans contained in commercial-mortgage bonds, said the reports.