Many factors, 95% of American homeowners refinanced with Interest rates where in the 2 to 3 percent range. Do to the highest inflation in American history at 9.1%, before DJT took office, people were scared to make large purchase, cars and homes. Today the fed is meeting and it is expected that interest rates will increase, this slows things down further as it costs more with higher payments so buyers get less home and higher payments making many not qualify. Currently rates are 6.8 to 7.1% which have been trending up. It makes no sense to refinance and pay double or triple the interest for your home while doubling or tripling your payment too. 

Usually in these markets some people will downsize to save money, but when they discover that in selling their home and buying a smaller home they payment does not go down because they lose their 2 or 3 % mortgage and get a 7% mortgage and goes up for a smaller home, they decide to not sell. When young families want to upsize to a bigger home because they have outgrown their home and just want to add another bedroom and discover that the mortgage payment will double, again do to losing the old low interest rate of 3 percent and replace it with a 7 percent new mortgage they decide to not buy. This is what is going on and it will change but I do not thing it will happen until next spring and slowly go down for 2 years. As this happens, things will pick up. Wages up 3%, retirement accounts up 20% or more, people have more money and inflation is down to 3%, but it takes time. Most settlements are from first-time low-end home buyers, foreclosures homes bought below value, homes from elderly people who have been deceased and the family is selling. Of course, there are exceptions, but this should give a great overall answer. People always need money, so long term we will be fine. This slowdown was expected but this too shall pass as I believe next year things will pick up and when people have money they spend it.