The problem with instanced housing is that it's a different philosophy. I'm with the devs on the concept of keeping housing limited and for it to be exclusive. It's hard to get currently but not impossible, it's just that people lose out to other players with more time, as it should be. They've always kept housing available to between 30-50% of server population depending on how populated your server is that's pretty fair.
IMO the only issue is the stupid placard spamming, that has to go it's ridiculous.

Not being able to get a house is as normal as not being able to get feast rewards for being in the top 100. Except it's easier to get housing than that, but people still complain because they don't understand it's pvp or are unwilling to accept it as a valid design.