am I being too harsh? Too sensitive?

It's just the completely natural need for personal space, your own home, where you are the determining factor, the determining factor in your own life. Personally, I wouldn't feel comfortable being forced to live with other people, outside of my own family - my partner. I've had to, and honestly, it's not for everyone, it's not for anyone.
Yes, in many cases we don't have a choice, and many people are in a much worse situation, but I hope that things will somehow change. Something to happen, small or big, that will turn things around 180 degrees, just like that, because it's clear that a solution cannot be found otherwise.