Trump Tells CNBC: New York Real Estate May Be Vulnerable

New York City's real estate market is still booming -- but "that may change at a moment's notice," said Donald Trump in an interview with CNBC.

The billionaire developer told CNBC's Erin Burnett that despite the weakening housing market across the U.S., "certain small luxury niches" remain strong, including Manhattan and Palm Beach, Fla. The Gotham market "is stronger than I've ever seen it," Trump said, adding, "but next week, I may have an entirely different story."

He cited the momentum of the credit crunch as one of several variables that could suddenly alter the industry picture.

The chairman of Trump Entertainment Resorts believes "it could literally be years" before credit eases: "Very simply, right now, cash is king," he said.

Trump said he is attempting to capitalize on homebuilders' troubles by bidding "pennies on the dollar" for land the firms have optioned.

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