For this dlc the locations for the houses are in the middle of nowhere and surrounded by large open area. So why couldn't they allow us to make a mini castle and hire guards and other staff. Instead of a large manor house that is likely to get robbed by bandits.

Because the whole purpose is to make a homestead which usually got about as big as a manor, honestly I wouldn't want a castle and I'm perfectly fine with a nice, cozy manor in the wilderness.

It would of been nice to have the option to build a mini castle, for those who beginners at modding/ can't mod/ would like a mini castle.