I tried this out today and I could not get a fence kit to place inside or near buildings (3-4 ft.)

I tried houses, barns, sheds and other spots I had previously been able to place the kit. The kit worked as expected out in the dirt. In some cases if I angled it right and crossed my fingers I could get one end close enough to a building so that a player could not squeeze through. I didn't try placement on some of the rooftops that have allowed it in the past.