The problem is they have refused to admit they have a problem and keep building on a bad system. You might be right that to much time/investment has gone by for players. I guess it scales on the general fact that they do as they please with housing and players can go to (insert what ever word you feel like here).
I think you are wrong on the resources. This game double dips cash shop, sub, and a tiered pay for inventory. It is quite possible the design team just is unable to succeed. Other dev teams with less resources in other countries can provide housing. Yet this team can't.
The wards aren't instanced for the person above me. They are built into the very core of the game world. they are no more an instance then Northern Thanalan. That is why new wards always have to be added when game is down and must be equally added to all servers. Why they limit the wards because housing takes more zones then all the rest of the open world game. That was well thought.