That would help more but things come up and I think people would still get aggravated in such a system. While I've seen something like what you are describing in the game Mabinogi, I just don't think it would be a good fit for PS to rely on a limited number of houses. Everyone being able to get their own sounds like a better solution.
In SWTOR each house is linked to a particular planet but it is in it's own instance. Think like a guildhouse but one that has both an interior and and exterior. For instance, my house on Coruscant consists not just of rooms but I can also unlock a balcony that allows you to see that the apartment sits at the top of a building and there are buildings and speeder traffic off into the distance. However, it's not like people walking around the planet can just walk up to my house like guildhouses now work in PS.
However, this is how the assignment of housing works, as far as I understand it: One of your characters purchases a house from the appropriate directory. There are several planets you can buy houses on. The ownership immediately goes to that character but it can be reassigned, I think. Each character can own a number of houses, they can share ownership of the houses with other characters on same account if they have a legacy set up(something like a family/friend relationship between your characters), and any owner can assign keys to other players which allows those players some kind of privilege in the house, but I don't know what yet. The more you unlock in the house the more players you can invite to it at once and the more you can decorate the place.
You don't have to pay rent. It is yours outright once you buy it and it is connected to a guild project system so it wouldn't make sense for them to just yank your house from you. But as I have just found, it makes for an excellent way to set up custom RP areas. I was at one that was set up as a really nice "drinking establishment" it was too classy to be called a bar.

It was impressive.