Along with death and taxes, the only thing you can count on in life is change. Perhaps nowhere else in the financial world is this more evident than in the real estate market. Regardless of where you are trying to buy or sell a home, you should prepare yourself for frequent, often unpredictable fluctuations in the market.

For those of us who are not real estate professionals or market, it's important to just remember that when the market slows down, home prices typically drop. Conversely, when the market activity is high, home prices tend to rise.

Remember, every real estate market is different, with different highs and lows, and different reasons for both. As always, your best resource for up-to-date real estate market information is your real estate agent.

Slow Market

Selling a home can be just as stressful and frustrating as buying one, especially when the real estate market refuses to stabilize. Here are some things to help you weather the storm.

When the market begins to slow down, it is tempting as a home seller to lower the asking price of your home. Sometimes this is necessary; however this may not always the best course of action. Even though homes may not be selling as quickly in a slower market, homes that are in good condition still command top dollar. Home buyers entering a slow market have more time to shop, but will still know the value of a well-priced home in good condition.

A relatively slow real estate market can look a lot like a buyer's market; however, it is more often a leveling of buying and selling activity.

Once again, your most reliable source on the actual health of your local real estate market is your real estate agent. Furthermore, an agent will have tools to compare the most recently sold properties to those that are still active on the market.

Active Market

Even if you're in a seller's market, a market with high buying and selling activity, an overpriced home will be recognized as such and remain unsold. Savvy home buyers learn to spot the differences defining a competitive real estate market and an unreasonably priced house. It is in a seller’s best interest to communicate with a real estate agent and ensure their home is well-priced.

Sellers in a developing neighborhood with a lot of new construction taking place should be aware that their home is likely in competition with home builder incentives, such as free appliances or paying buyers' closing costs.

The simplest, easiest and most productive way for buyers to find the best deals in their area is to consult with a real estate agent. It's their job to not only stay on top of the frequent fluctuations in the real estate market, but also to clearly relay that information to clients.

Also, a real estate agent will help you put together a plan, based on what you've said you're looking for, so that you are able to quickly act when you find your best match in a home.