Figures recently released by the Wilmington Regional Association of Realtors showed an 18 percent hike in the number of homes sold in the greater Wilmington area in May compared to May 2012.

In all, 627 homes were sold last month throughout New Hanover, northern Brunswick and Pender counties – up from 531 homes sold in May 2012. The median price for a home – the midpoint in price for which all properties are sold during a given time period – increased last month to $189,900, up from $165,000 in May 2012.

The average price of a home sold in May also increased 17 percent to $248,962 last month compared to $213,393 in May 2012.

Ashley Garner, board member for the Realtors association and owner of the Wilmington-based Intracoastal Realty group Ashley B. Garner & Associates, said while the increase in home prices was a good thing, sellers should be remain cautious about increasing the asking price for their homes.

He said the increase in the average and median prices may be linked to a recent surge in luxury properties being sold in the market, particularly in Landfall, Wrightsville Beach and Pleasure Island.

“The inventory is falling in a number of price ranges, especially the first-time homebuyers’ market, which is typically $275,000 and below,” Garner said. “We’re at a seven-month supply for homes, which is great for the market, but we are still in recovery mode.”

Garner said if sales continue at their current pace, the market would become a seller’s market – possibly signaling a steady 3 percent increase in home prices across the region.

“I think at that point, yes, we would have recovered,” Garner said of the area’s dwindling inventory. “Right now, we still have to be careful. But the overall news is for the area’s housing market is fantastic, and I feel the market is going to continue to improve.” 

Year-to-date, 2,432 residences have been sold in the greater Wilmington market, according to the Wilmington Regional Association of Realtors’ records.