It's way more trouble than it's worth for SE to vet people for something that very few people do in the first place.....
And wasn't it you who said earlier you wanted the wards rather than instanced housing because you like the way wards are????? The reason to get a non-instanced house would be because you can show off your yard and have that neighborhood feel- plus, there would still be a sort of prestige to it. For people who don't give two flying flamingos about that, they can opt for instanced housing. A lot of people enjoy decorating but don't care if it's instanced or not. And there's really no reason why instanced housing couldn't have a yard too - look at Kugane's inn room. There's a garden off of it. Sure, you can't access it. But it would be possible to make it so that you could.
And Jojoya put it well. Options are good. I'm all for it if they want to do away with the ward system entirely but I'd prefer it a lot more if they'd give us the options so that at least everyone can have a house that's a nice size and fun to decorate AND allow people who really want to live in the ward to do that as well. Personally, I like having the wards. I really do. If I had a choice, even if an apartment could be literally the exact same size as a large house, I would still prefer the ward because I like the potential for a neighborhood feeling. Even if you could have a yard in the apartments, I'd still rather an actual house. BUT at least I'd feel happier knowing that if I lose my house for some reason or another, I can still get something just as nice at the apartments and not have to worry about losing it if I drop my sub for a couple of months.
But yeah, as Jojoya said.... the problem is that it wouldn't solve anything. Logically, you'd think "just add more wards to the populated servers and not to the low pop servers" but SE said that the system wasn't built to do that, so they can't do that. They'd have to rebuild the system if they wanted to do that and at that point, if they're rebuilding it anyway...they'd probably do something more sustainable and easier on their servers. And if they just added more wards as the system is, then it's a problem of there STILL not being enough on high pop servers AND there being tons of empty wards in low pop servers, which is a waste in SE's eyes and also it kind of devalues the experience for players on low pop servers because if you wanted an empty ward you could have just gotten instanced housing in the first place and then you wouldn't have to keep your sub up just to keep it, too.
In a perfect world, yeah. We'd have enough wards and houses for everyone. But we're just being realistic here; it's probably not going to happen sadly. Instanced housing is just more player friendly in every way. Literally the only thing it lacks is that neighborhood feel and I'd argue that it hardly exists anyway - as someone who basically lives in the housing ward. The number of times I've seen my neighbors is pretty laughable. The only time I do is if I'm near a huge FC house with tons of active members.