A liquid asset is an asset that can be easily converted into cash in a short amount of time. 

Is real estate a liquid asset?  Nope.

Did it feel like it was during 2020, 2021 and 2022?  Yep.

For a few years there, you could list your home for sale, it would almost certainly go under contract VERY quickly, with very favorable terms, with few contingencies, and would almost certainly get to closing.  Real estate felt like a liquid asset.  You could sell most any house and could "convert it into cash" within 30 to 45 days without much difficulty.

But... we're not quite there any longer.  

Many houses -- but not all -- will still go under contract very quickly.

We are starting to see many more inspection contingencies and/or appraisal contingencies.

You may very well be able to convert your real estate (house) into cash within 30 to 45 days -- but you can't be as confident that it will definitely happen in very short order with very few speed bumps.

And... that's normal.

Real estate is not a liquid asset.  It just felt like it was for a few years.