The small house adjustment was mainly added so small houses could have a basement so they could have the space to build an airship later on.
As for the 50 slots... isnt that much of a issue but main issue is large houses are actually too big for 200 slot limit. The game just needs larger furnishings that take up more actual space then slot space. Game doesn't really need anymore useless furnishings that dont actually do anything for actually having them in your house.