The thing that will ultimately make something like this impractical is the emotional attachment to the places that we live. It's likely the same reason that you wouldn't want to live in hotels year round... at least not for your whole life (if you're a contractor you might have some experience with this). People, unlike data, like to decorate, have things set up a certain way, and have a place they call home.
While it's interesting to imagine a world where people only used what they needed when they needed it, we can see some of that today. That's why people will rent a pickup truck for a day while they're moving, or pay to go to a public pool. They don't need to own a pool or a truck year-round, just for a bit of time, which is a little like utilizing server resources.
The part about living in a nice hotel for a day, however, was a good example of something we don't see very often. I guess we really don't have a real-world version of excessive "server load spikes" where you want to live somewhere REALLY nice for a day or two, but analogies can only go so far