The property market is expected to move in line with the economy's improving growth and inflation, according to Cheung Kong (Holdings) chairman Li Ka-shing.
The market would also be helped by an intensifying price war among banks for residential mortgages, Mr Li said.
A bank battle on mortgages reached new heights on Tuesday when Standard Chartered Bank and Bank of East Asia revised loan packages after HSBC and Hang Seng Bank - the largest home-loans lenders in the SAR - cut their rates.
Mr Li said he was not concerned that the price war would hit the banking system, as banks would not offer rates at below costs.
Meanwhile, Cheung Kong deputy chairman Victor Li Tzar-kuoi declined to comment if the group intended to invest in Bangkok's Skytrain elevated railway.
He said the company had received a proposal on the project but it was too early to comment on the group's investment intention.
