That was true right up until they designed workshops for FCs and didn't implement a safe form of public gardening. Once they started making systems that required housing the Elitist portion went right out the window for the majority of the population as everyone would like access to airships and attempting crossbreedings.
It's my personal feeling that instanced housing for individuals is the way to go. Originally I'd have preferred the 'private island' idea that some have thrown around but the more I think about it the more I like the idea of upgrading apartments more. Make them into real gil sinks that improve the more you spend on them. Starting a simple rooms and eventually evolving into lavish multi-story affairs that could be penthouses with rooftop gardens or ground floor with access to a hidden backyard instead. Since these would all be personal instances just like the inside of houses, the only limit would be the number of apartments and the amount people spent into them.
The wards would then resume the illusion of 'elite' housing even though the reality would be everyone could own a home every bit as lavish. Some people would just be able to show their exteriors with the world while others would not.
