Because relocation doesn't remove a housing plot, it's a net neutral change, one plot for one plot. You can just find their old plot and try that one instead.
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I think the current relocation timer is too low. It's only five minutes. Some players have trolled others by relocating to open plots to thwart those doing placard spam only to relocate again when they move on to another open plot. I know not many people do this but it shouldn't be possible to so easily repeatedly troll players like that. And before anyone says that's an expensive way to troll, most plots are cottages which are not expensive and anyone with a house already has a very cheap relocation fee. It's not difficult to make enough gil to be able to cover the cost of multiple cottage relocations in a short space of time.
I think the relocation cd should be a week. It's short enough that you're not going to be locked out of relocation for a very long time, but long enough that it cannot be spammed to troll people.
It's become a real issue and I'm only aware of it because of my friend who is placard clicking and a member of the housing discord.
There is one plot on Balmung in Goblet's Brimming Heart in my ward 17 where I have my FC that had 3 transfers in 24 hours with one person saying they made a mistake. Would have loved for her to get that one but Brimming Heart is a place where transfers into are pretty common. It's simply become a joke really. Relocations are a good thing but their needs to be a limit to how often one can do it.
I have relocated twice in my housing history, once to another small near the water in Lavender and a second time to a medium in Shirogane. The Shirogane transfer took place during new ward additions with 4.2.
Three months is rather excessive. I would like to see the relocation cooldown changed to at least 48 hours, though. That would reduce the chances of it being used as a griefing tactic since the relocator would lose any chance to move back to their old plot.
There are a few players (fortunately few) who aren't relocating to get a better house. They're doing it to reset the purchase timers, wasting the time of those who have been waiting. They like to claim they're just messing with those who use bots/auto-clickers but the reality is they're also screwing things up for everyone trying to buy.
I can't personally speak for other servers and neither can you. Perhaps people on discord can speak to that with respect to how widespread the problem is. According to my friend who belongs to that discord this is NOT a problem unique to Balmung. The fact that this can happen and is happening is more than enough justification to fix it.
Changes are in fact coming as mentioned in the Endwalker digital event and I suppose we'll have to wait and see.