Luxury home prices in Silicon Valley continued to climb last month as buyers competed for the relatively few available properties on the market, according to a new report by Coldwell Banker Residential Brokerage, the South Bay’s leading provider of luxury real estate services.

The median sale price of a luxury property climbed 7 percent in October from a year ago to hit $2,102,000. That was also up 10.6 percent from September’s median price. The figures are based on Multiple Listing Service data of all homes sold for more than $1.5 million last month in Santa Clara County.

But a continuing decline in the inventory of homes on the market kept a lid on sales in October. A total of 210 luxury properties changed hands last month, down 5 percent from the 221 sales in October 2014. Last month’s total was also down from September’s level of 227 sales.

The higher median sale price was also reflective of a greater number of homes selling in the upper end of the luxury market. Some 113 properties sold for more than $2 million, up from 109 a year ago, and 39 homes sold for more than $3 million, up from 28 last October.

“The Bay Area in general, and Silicon Valley in particular, continues to be challenged by the fact that we just don’t have enough homes for sale to meet the number of buyers out there in the market looking right now,” said Mike James, president of Coldwell Banker Residential Brokerage.

“The number of listings in October was down 16 percent throughout the Bay Area when compared to the same time last year, and last year was already at an unusually low level of inventory,” James said. “Our hope is that we’ll see more properties come on the market after New Years Day, as often happens.”

Some key findings from this month’s Coldwell Banker Residential Brokerage luxury report:

  • The most expensive sale in Silicon Valley last month was a five-bedroom, seven-bath approximately 7,500-square-foot home in Los Gatos that sold for $6.5 million;
  • Palo Alto boasted the most luxury sales with 37, followed by Los Altos and San Jose with 30, Saratoga with 26, Los Gatos with 24, Sunnyvale with 17, Mountain View with 15 and Cupertino with 14;
  • Homes sold in an average of 27.3 days on the market, up from 26.2 days a year ago and 24 days the previous month;
  • Sellers received an average of 104 percent of their asking price, down from 106 percent last year and 107 percent the previous month.

The Silicon Valley Luxury Housing Market Report is a monthly report by Coldwell Banker Residential Brokerage, a specialist in high-end real estate sales. Through its internationally renowned Coldwell Banker Previews International® program, Coldwell Banker is recognized around the world for its expertise in the luxury housing market.

Click here to view luxury homes currently for sale in Santa Clara County.

Pictured: 728 Addison Ave, Palo Alto. Offered at $6,999,888.