(Forgive the double post. Character limits)
From what you're saying it sounds more like what they are saying is they can't switch the instancesd on and off every time a player enters or all players exit. That's not the same thing as what I'm suggesting at all.
As for people being moved away from FC members plots, your argument there falls apart for two reasons. 1 - if that's true the instances wouldn't be closed down. 2 - There's a huge amount of the player base who want housing but have no access so those players who want to be near their fc mates can't have any housing at all anyway.
As for apartments it is my impression that they lack certain features that houses can have, like gardens, which doesn't make them a substitute. Perhaps then the solution is to place an npc near an alley in the housing zones that can take you to instanced "walled estates" which are just instanced plots available in any of the sizes that normal plots can have. Sure you wouldn't get the nice view of a plot but at least you'd be able to play with all the features of the housing system.
		
		
			
			
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