I'm confused - does Kringle buy the house for them?

No, at least in the original, Kris gives directions so they deliberately go by the house. Because the girl Susan...in the original again, did not believe in Santa the guy says at the end, we can't let her down meaning he and the woman would buy the house in order to make the girl believe Santa had done it.

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Last replied to about a year ago, but still...

Dorey bought the house. In the meeting where she and her coworker were discussing the idea of finding things or even sending people elsewhere, he said that if the idea worked, then there would be a great possibility of receiving their bonuses, and that she would be able to buy the catalog house, as she had been thinking about it already, but could not afford it at that time. She must have had a lot of money saved to help her buy it, but the bonus put her over the top and she would be able to. Plus, marrying Brian meant that they would be able to combine their incomes, which would put her in a better place financially for when it came to buying the house.

When you think about it, the gifts from Kris were things that were already possible for Susan to receive, other people just needed a push in order to make it happen. Dorey already wanted to buy the house, but she needed more money. Brian already proposed, but Dorey needed to come around to the idea. And as for the baby brother, I am sure that they would be happy to have more kids.

"Oh my God! You put a living room where the crack den used to be!"