Hair, or fur, has a growing cycle. After which it falls out and a new hair arises.
Hair, or fur, doesn't grow forever. Hair on your body has different growing cycles. Hair on the head tends to have a longer cycle. Sometimes very long, and sometimes very short. It can be different than the growing cycle under your pits or on your private parts, or anywhere else.
I always wondered about this question as a kid. And I learned why after the vet had to shave a part of my cat's body down to the skin to treat a dog bite. The fur that was shaved grew back and was exactly the same length as all the surrounding fur within a month or two. I could not tell that it had been shaved down. I was fascinated by that.
So the reason hair or fur grows to same size in a particular part of the body, is that the follicle has a set growth cycle. After which, the hair falls out and a new one begins. Being that there are so many hairs, you never notice it when one falls out. They just always seem to be the same as a whole. But if you would look deeply, you would be able to see each hair is a little bit different.