Luxury homes will outperform other property this year due to the relatively limited supply, according to FPDSavills deputy managing director Raymond Lee.
Mr Lee said luxury supply was especially tight for townhouses or larger properties of 2,000 to 3,000 square feet.
According to FPDSavills' research, 567 luxury units will be completed this year, compared with 232 last year and 266 expected next year.
Nevertheless, Mr Lee said supply was limited because most of the luxury flats in the pipeline had been pre-sold, including apartments at Leighton Hill in Causeway Bay.
Many properties, including Peak projects owned by Wharf (Holdings) and Nan Fung Development, would be held for lease and this might put pressure on rentals instead of prices, he said.
If that occurred, he expected luxury residential prices would remain stable for the first half but rise 5 per cent to 10 per cent in the second half when the United States economy recovered.