It's the second time this week the index has set an intraday record, having jumped to 7,205 points on Tuesday.
However, sluggish trading caused it to slip back, and it finished just below 7,200 points, at 7,195.
The index was pulled up by Persimmon, whose shares jumped seven per cent to 1,936p after it reported a jump in revenues and sales in 2016.
That dragged up fellow FTSE 100-listed housebuilder Taylor Wimpey, which rose 4.7 per cent to 168.95p, while Barratt rose 2.6 per cent to 496.5p.
FTSE 250-listed builders followed suit, with McCarthy & Stone, Crest Nicholson and Bellway all rising.
"Traders remain in confident mood despite the impending uncertainty and volatility of tomorrow’s US jobs data," said Joshua Mahony, market analyst at IG.
"Interestingly, we have a mixed picture, with risky assets such as the FTSE and crude gaining heavily in the face of a clear risk-off move in favour of the yen and gold.
"The common theme for many markets is the devaluation of the dollar, which has suffered in the wake of a disappointing ADP payrolls reading of 153k. At 153k, the figure represented the second lowest ADP number in 34 months. The worry of course is whether this provides an inkling of a similarly weak figure for tomorrow’s US jobs report, which would likely"